The relationship between market orientation and performance in the hospital industry: a structural equations modeling approach

Improving pharmacy performance through market orientation and the implementation of expanded pharmacy services

This study seeks to extend the limited knowledge of market orientation's effects in retail pharmacy. Specifically, this study explores market orientation's role in the implementation of expanded pharmacy services and resulting performance implications among Canadian retail pharmacies. The results of the structural equation model showed that market orientation directly influenced the implementation of expanded pharmacy services and professional performance. The implementation of expanded pharmacy services was linked to professional performance and ultimately furthered financial performance. This study highlights the importance of how a market-oriented strategy and a pharmacy's decision to implement expanded pharmacy services can increase the dual objectives of the retail pharmacy.

The influence of financial performance on marketing expenditures among U.S. hospitals participating in the Medicare program

The Centers for Medicare and Medicaid Services (CMS) require hospitals participating in these programs to submit an annual Medicare Cost Report (MCR). This information is utilized to set rates, regulations, and future payment models. CMS defines marketing expenditures as non-reimbursable. Prior research has evaluated the influence of marketing expenditures on financial performance, but not the reverse. This analysis evaluates the influence of this reverse lens, as well as the influence of provider type. Although the results of this analysis determine significance for these constructs, the variance explained is minimal. Therefore, further research is needed to determine additional factors influencing marketing decisions.

The role of customer experience in the effect of online flow state on customer loyalty

PURPOSE

The Internet revolution has radically changed the means of conducting business all over the world in the past few decades. The digital medium enables consumers worldwide to shop online through B2C e-commerce websites in a convenient manner. Online websites compete to provide a compelling and seamless brand experience to retain their customers. In order to achieve this, fostering a state of flow may help the brands increase customer experience, customer satisfaction and loyalty. In this study, the aforementioned phenomenon is tested against Turkish university students.

METHODOLOGY

The study was conducted against 538 valid respondents. The results of the survey were interpreted with the structural equation modeling method. Quantitative data were obtained using a five-point Likert scale. Initially, confirmatory factor analyses and reliability analysis were performed, respectively in order to determine the validity and reliability of the scale.

FINDINGS

As a result of the analyses, it has been empirically proven that an online flow state, which is a momentary phenomenon, helps online e-commerce websites build customer satisfaction and customer loyalty indirectly through customer experience. These results are partly parallel with those in the extant literature.

ORIGINALITY

This study is significant in the literature in that, as opposed to the extant literature, online flow state is found to influence customer satisfaction and customer loyalty rather indirectly via moderating effect of customer experience. Additionally, it is the first to incorporate customer satisfaction along with customer loyalty as a new construct affected by online flow state and customer experience. The results also have important managerial implications.

Assessing the relationship between market orientation and business performance in the hotel industry – the mediating role of service quality

Purpose

This study aims to explore the nature of the relationship between market orientation and business performance in the Portuguese hotel industry and to evaluate the mediating role of service quality in this relationship.

Design/methodology/approach

A literature analysis on market orientation, service quality and hotel business performance was conducted. The structural model was developed, and the measurement scales’ items were generated. Working data were obtained by sending a survey to Portuguese hotel managers. A purification process was conducted, and the convergent and discriminant validity, as well the reliability, of the measurement models were assessed. The structural model was tested by conducting a path analysis, as well by evaluating the coefficient of determination (R2) and the predictive relevance indicator (Q2).

Findings

Research results show that market orientation has a positive direct effect on business performance. Moreover, results indicate that market orientation effects on business performance are mediated throughout the hotels’ ability to provide service quality.

Originality/value

Despite the large amount of research on market orientation, research on the hospitality sector has been conducted mainly using tools developed for the manufacturing and consumer goods sectors. On the other hand, little has been done to explore the nature of the mediating effect of service quality on the relationship between market orientation and business performance in the hotel industry. Moreover, despite the contribution of the tourism industry to the Portuguese gross domestic product, research on the hotel industry is scarce.

Effect of Stakeholders-Oriented Behavior on the Performance of Sustainable Business

This study focuses on stakeholder-oriented behavior, throughout organizational culture and organizational behavior, and its effects on the performance of sustainable organizations managed according to Corporative Social Responsibility (CSR) criteria. The investigation demonstrates that the sustainability efforts of a wide range of stakeholders exert various effects on business performance. This investigation tests two integrated conceptual models: (a) Stakeholder Orientation Model estimates the relationships among organizational culture components and their effects on stakeholder-oriented organizational behavior. That is, it estimates the influence of values on norms and artifacts, and their effects on stakeholder-oriented organizational behavior; (b) Performance model estimates the association between stakeholder-oriented organizational behavior and financial and market performance, reputation, and commitment. Using Structural Equation Modelling, both models were estimated from primary data collected from large- and medium-sized multi-sector Colombian companies involved in business sustainability practices. The findings reveal that values are antecedents of norms, but neither values nor norms are predictors of artifacts. Furthermore, norms and artifacts exert direct effects on stakeholder-oriented organizational behavior. In turn, stakeholder-oriented organizational behaviors are predictors of both market performance and commitment. Nevertheless, stakeholder-oriented organizational behaviors are not direct antecedents of both financial performance and reputation.

The role of corporate culture, market orientation and organisational commitment in organisational performance

Purpose

– The purpose of this paper is to propose a conceptual framework that explores the relationships among the following constructs: corporate/organisational culture, market orientation, organisational commitment and organisational performance in non-profit organisations.

Design/methodology/approach

– In line with previous studies in the field, a quantitative research design was adopted. The data collection was performed through a mail survey of a sample of Portuguese non-profit organisations operating in the area of health. Structural equation modelling was used as a means to analyse the hypothesised relationships.

Findings

– Results have shown that organisational culture impacts on organisational performance. Concerning the market orientation consequences, the study results suggest that higher levels of market orientation result in both high levels of organisational commitment and organisational performance. Results also suggest that organisational commitment does not affect performance in a very significant way.

Research limitations/implications

– The study was restricted to non-profit organisations, particularly those operating in the area of health and used cross-sectional data to test the research model and hypotheses. Whilst these findings remain valid, they cannot be used for universal generalisations. This study has significant theoretical and practical implications.

Practical implications

– Practitioners and researchers agree that organisational culture may lead to different performance results, although little attention has been given to this issue. The study is useful for understanding organisational culture, market orientation, organisational commitment and organisational performance in non-profit organisations.

Originality/value

– This paper offers original findings through simultaneously examining the relationships between organisational culture, market orientation, organisational commitment and organisational performance in the context of non-profit organisations. The findings add weight to the recent emphasis on business-oriented approaches as a lever for improving performance in non-profit organisations.

The Impact of Market Orientation on Patient Safety Climate Among Hospital Nurses

Improving market orientation and patient safety have become the key concerns of nursing management. For nurses, establishing a patient safety climate is the key to enhancing nursing quality. This study explores how market orientation affects the climate of patient safety among hospital nurses. We proposed adopting a cross-sectional research design and using questionnaires to collect responses from nurses working in two Taiwanese hospitals. Three-hundred and forty-three valid samples were obtained. Multiple regression and path analyses were conducted to test the study. Market orientation was defined as the combination of customer orientation, competitor orientation, and interfunctional coordination. Customer orientation directly affects the climate of patient safety. Although the findings only supported Hypothesis 1, competitor orientation and interfunctional coordination positively affected the patient safety climate through the mediating effects of hospital support for staff. Health care managers could encourage nurses to adopt customer-oriented perspectives to enhance their nursing care. In addition, to enhance competitor orientation, interfunctional coordination, and the patient safety climate, hospital managers could strengthen their support for staff members.

Perceptual Market Orientation Gap and Its Impact on Relationship Quality and Patient Loyalty

The purpose of this study was to explore the perceptual market orientation gaps between physician and patients and its impact on relationship quality and patient loyalty, and to verify the critical role of internal marketing on developing market orientation. Self-administered questionnaires were then employed to collect the data. We used a convenience sample of physicians and patients at a medical center in central Taiwan, and 90 usable questionnaires from physicians and 450 usable questionnaires from patients were returned. Hierarchical multiple regression analyses were used to validate the research hypotheses. Physicians’ perceptual market orientation had a positive influence on physician–patient relationship quality, hospital–patient relationship quality, and patient loyalty, but the perceptual market orientation gap between physicians and their patients had a direct negative impact on these constructs. Finally, internal marketing was found to have an influence on relationship quality and patient loyalty through the mediation of market orientation. In order to enhance relationship quality and patient loyalty, hospital managers should focus their efforts on improving employees’ market orientation and reducing patients’ perceptual market orientation gap. In addition, internal marketing was found to be a useful pathway in developing market orientation.