Market orientation and organizational performance: a case of Pakistani smes

Abstract

The purpose of this study is to examine the relationship between market orientation and its three dimensions with firm performance. The study employed a cross sectional research design, using a structured questionnaire survey with a sample of 367 SMEs fully operational in Pakistan. A total of 213 valid questionnaires were completed and returned representing 58 percent response rate. The results indicate that market orientation as a construct has a significant relationship and influence on performance of SMEs. Multiple regression results indicate that all the three dimensions of market orientation have significant influence on performance. The study will benefit SME managers, owners and government at various levels and will also serve as a frame of reference for future studies. Future recommendations are also provided for researchers.