Marketing Capability, Strategy and Business Performance in Emerging Markets of Pakistan

Afzal, Sarwat (2009): Marketing Capability, Strategy and Business Performance in Emerging Markets of Pakistan. Published in: IUB Journal of Social Sciences and Humanities , Vol. 7, No. 2 (November 2009): pp. 88-102.

Abstract

In this project an attempt has been made to demonstrate a positive relationship between marketing capabilities and Strategy using Porters framework and corporate performance in an emerging/developing market of Pakistan. This paper reports a study that marketing practice regulates the relationship between marketing capabilities & Strategy using Porters framework and business performance. In turn, the type of marketing practice adopted is moderated by the market served. Various studies have suggested that marketing capabilities & Strategy using Porters framework influences business performance. These discussions are summarized by a theoretical model and a series of theoretical propositions. The results suggest that Marketing Capabilities and Strategy frame exist in the business environment of Pakistan but there is a weak relationship with firm performance.

• Item Type: MPRA Paper
• Language: English
• Keywords: Marketing Capabilities, Competitive Advantages, Business strategy, Firm Performance
• Subjects: M - Business Administration and Business Economics ; Marketing ; Accounting ; Personnel Economics > M3 - Marketing and Advertising > M31 - Marketing; M - Business Administration and Business Economics ; Marketing ; Accounting ; Personnel Economics > M3 - Marketing and Advertising > M30 - General

References

Acker, David A. (1988), Strategic Market Management, 2nd ed. New York: John Wiley & Sons, Inc. (1989), "Managing Assets and Skills: The Key to Sustainable Competitive Advantage," California Management Review, 31 (2), 91-106.

Alderson, Wroe (1957), Marketing Behavior and Executive Action. Homewood, IL: Richard D. Irwin, Inc.

Barney, J.B. (1991), "Firm resources and sustained competitive advantage", Journal of Management, Vol. 17, March, pp. 99-120.

Bharadwaj, S.G., Varadarajan, P.R. and Fahy, J. (1993), "Sustainable competitive advantage in service industries, a conceptual model and research propositions", Journal of Marketing, Vol. 57, October, pp. 83-99.

Day, G.S. (1990), Market Driven Strategy, Processes for Creating Value, The Free Press, New York, W.

Day, G.S. (1993), The Capabilities of Market-Driven Organizations, Marketing Science Institute Report No. 93-123.

Day, G.S. (1994), "The capabilities of market-driven organizations", Journal of Marketing, Vol. 58, October, pp. 37-51.

Day, G.S. and Wensley, R. (1988), "Assessing advantage: a framework for diagnosing competitive superiority", Journal of Marketing, Vol. 52, April, pp. 1-20.

Deshpande, Rohit and Frederick E. Webster, Jr. (1989), "Or¬ganizational Culture and Marketing: Defining the Research Agenda," Journal of Marketing, 53 (January), 3-15.

Grant, R.M. (1991), "The resource-based theory of competitive advantage, implications for strategy formulation", California Management Review, Spring, pp. 114-35.

Grant, R.M., (1996), "Prospering in dynamically-competitive environments, organizational capability as knowledge integration", Organizational Science, Vol. 7, July-August, pp. 375-87.

Hair, J.F., Anderson, R.E, Multivariate Data Analysis with Readings, 6th ed., Macmillan Publishing Company, New York, W.

Kaplan, R.S. and Norton, D.P. (1992), "The balanced scorecard - measures that drive performance", Harvard Business Review, January-February, pp. 71-9.

Kaplan, R.S. and Norton, D.P. (1993), "Putting the balanced scorecard to work", Harvard Business Review, September-October, pp. 134-47.

Kaplan, R.S. and Norton, D.P. (1996), "Using the balanced scorecard as a strategic management system", Harvard Business Review, January-February, pp. 75-85.

Kohli, A.K. and Jaworski, B.J. (1990), "Market orientation: the construct, research propositions and managerial implications", Journal of Marketing, Vol. 54, April, pp. 1-18.

Kohli, Ajay K. and Bernard J. Jaworski (1990), "Market Ori¬entation: The Construct, Research Propositions, and Man¬agement Implications," Journal of Marketing, forthcom¬ing. Kotler, P. (1977), "From Sales Obsession to Marketing Effectiveness," Harvard Business Review, 55 (6), 67-75.

(1984), Marketing Management: Analysis, Plan¬ning, and Control. Englewood Cliffs, NJ: Prentice-Hall, Inc.and Alan R. Andreasen (1987), Strategic Marketing for Nonprofit Organizations. Englewood Cliffs, NJ: Pren¬tice-Hall, Inc.

Moller, K. and Anttila, M. (1987), "Marketing capability - a key success factor in small business?", Journal of Marketing Management, Vol. 3 No. 2, pp. 185-203.

Narver, J.C. and Slater, S.F. (1990), "The effect of a market orientation on business profitability", Journal of Marketing, Vol. 54, October, pp. 20-35.

Porter, Michael (1980), Competitive Strategy. New York: The Free Press. (1985), Competitive Advantage. New York: The Free Press.

Prahalad C.K. and Hamel, G. (1990), "The core competence of the corporation", Harvard Business Review, May June, pp. 79-91.

Shapiro, B. P. (1988), "What the Hell Is `Market Oriented'?" Harvard Business Review, 66 (6), 119-25.

Sinkula, J.M. (1994), "Market information processing and organizational learning", Journal of Marketing, Vol. 58, January, pp. 35-45.

Slater, S.F. and Narver, J.C. (1995), "Market orientation and the learning organization", Journal of Marketing, Vol. 59, July, pp. 63-74.

Tuominen, M., Moller, K. and Rajala, A. (1997), "Marketing capability: a nexus of learning-based resources and a prerequisite for market orientation", Proceedings of the Annual Conference of the European Marketing Academy, May, pp. 1220-40.

Venkatraman, N. (1989), "Strategic orientation of business enterprises, the construct, dimensionality, and measurement", Management Science, Vol. 35, August, pp. 942-62.

Venkatraman, N. and Ramanujam, V. (1986), "Measurement of business economic performance, a comparison of approaches", Academy of Management Review, Vol. 11, pp. 801-14.

Vohries . W. Douglas and Micheal Harker and C.P.Rao, “The Capabilities and Performance advantage of Market-Driven Firms”, European Journal Of Marketing, Vol. 33, No 11/12, 1999, pp.1171-1202

Webster, Frederick, E., Jr. (1988), "Rediscovering the Mar¬keting Concept," Business Horizons, 31 (May-June), 29-39.

Woodruff, R.B. (1997), "Customer value, the next source for competitive advantage", Journal of the Academy of Marketing Science, Vol. 25, spring, pp. 139-53.