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The capabilities and performance advantages of market-driven firms: An empirical investigation
Journal article   Peer reviewed

The capabilities and performance advantages of market-driven firms: An empirical investigation

D W Vorhies and Michael Harker
Australian Journal of Management, Vol.25(2), pp.145-172
2000
url
https://doi.org/10.1177/031289620002500203View
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Abstract

market-driven market orientation capabilities
Although progress has been made in understanding the development of business competencies from a theoretical perspective, relatively few empirical studies have addresed the capabilities needed to become market-driven and the performance advantages accruing to firms possessing these capabilities. One of the barriers faced has been in defining what is meant by the term 'market-driven'. This study develops a multi-dimensional measure useful for assessing the degree to which a firm is market-driven. Evidence is presented in this study that strategically focused market-driven business units developed higher levels of capabilities than their less market-driven rivals and significantly outperformed these rival business units on four measures of organisational performance.

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