Transformational Leadership and Development of Marketing Capabilities: Explaining the Mediating Role of Strategic Orientations of Market and Entrepreneurship Orientation
Subject Areas :
1 - Assistant Professor, Department of Business Management and Information Technology Management, Payam Noor University
Keywords: Transformational leadership, entrepreneurial orientation, market orientation, marketing capabilities, small and medium businesses,
Abstract :
Strategic orientations are considered as a combination of resources, behavioral patterns, and value points of a company in the market to provide products and services tailored to the market. On the other h&, the need for continuous organizational change in a dynamic and changing environment today is the presence of transformational leaders. Due to the increasing attention given to leadership in creating change and organizational performance around the world, this study tries to examine the relationship between transformational leadership and organizational performance by mediating the strategic orientations of entrepreneurship and market orientation, from the perspective of senior executives of small & medium enterprises In the food industry of Kerman Province in the first six months of 2017. The data gathering tool was questionnaire & data analysis was done by using LISREL and PLS softwares. The results show that transformational leadership has significant effect on both market and entrepreneurial tendencies; but evidence suggests a lack of support for the mediating role of market orientation in the relationship between transformational leadership & marketing capabilities; and confirming the indirect impact of transformational leadership on developing marketing capabilities & performance improvement merely through the entrepreneurship orientation in our studied businesses.
باقری، سید محمد و اصغری، فرشته. (1392). بررسی هماهنگی میان استراتژی‌های سطح کسب‌وکار و بازارگرایی در چارچوب مراحل چرخه عمر سازمان. مدیریت بازاریابی، 8(19)، 125- 109.
قهرمانی، محمد؛ حاجی خواجه‌لو، صالح رشید و ابوچناری، عقیل. (1390). نقش رهبری تحولی در ارتقای دانشگاه به سازمان کارآفرین (مطالعه موردی: دانشگاه شهید بهشتی). فصلنامه علمی پژوهشی توسعه کارآفرینی، 4(14)، 204-185.
موقرزاده، عاطفه؛ شیخی، ایوب؛ ذاکری‌افشار، وحید و نصرالله‌پور، مجتبی. (1395). تأثير کارآفرینی اجتماعی بر عملكرد سازمان به واسطه سبك رهبري تحول‌گراي مديران در سازمان‌های مردم نهاد شهرستان کرمان، مدیریت شهری، (43)، 324- 305.
هومن، حیدر علی (1395) . مدل یابی معادلات ساختاري. انتشارات سمت، چاپ هفتم.
Avolio, B. J. & Bass, B. M. (2002). Developing Potential across a Full Range of Leadership Cases on Transactional and Transformational Leadership, Lawrence Erlbaum Associates, Mahwah, NJ.
Baker, W. E., & Sinkula, J. M. (1999). The synergistic effect of market orientation & learning orientation on organizational performance. Journal of the Academy of Marketing Science, 27(4), 411–427.
Basile, A. (2012). Entrepreneurial orientation in smes: risk-taking to entering international markets. Far East Journal of Psychology and Business, 7(2), 1-17.
Bhattacharyya, S. S., & Jha, S. (2015). Study of market orientation intelligence generation & organizational variable: In the context of emerging economy market. International Journal of Commerce & Management, 25(4), 699-710.
Bouncken, R. B., Plüschke, B. D., Pesch, R., & Kraus, S. (2016). Entrepreneurial orientation in vertical alliances: joint product innovation & learning from allies. Review of Managerial Science, 10(2), 381-409.
Burton, L. J., & Peachey, J. W. (2009). Transactional or transformational? Leadership preferences of Division III athletic administrators. Journal of Intercollegiate Sport, 2(2), 245-259.
Combs,J., Crook,T. & Shook,C. (2005). The dimensionality of organizational performance and its implications for strategic management research. Research Methodology in Strategy and Management, 2, 259–286.
Day G.S. (1994). The Capabilities of the Market Driven Organization. Journal of Marketing, 58, 37-51.
Dess, G. & Robinson, Jr. (1984). Measuring organizational performance in the absence of objective measures. Strategic Management Journal ,5, 274–286.
Givens, J. (2008). Transformational leadership: The impact on organizational and personal outcomes. Emerging Leadership Journeys, 1(1), 4- 24.
Halim (2014). Effect of Market, Learning and Entrepreneurship Orientation on Marketing Capabilities and Marketing Performance. Australian Journal of Basic and Applied Sciences, 8(10), 395-403.
Hatta, I. H. (2015). The Effect of Market Orientation, Entrepreneurship towards the Marketing Capability and Performance
Helfert, G., Ritter, T. & Walter, A. (2002). Redefining market orientation from a perspective relationship- theoretical consideration and empirical results, European Journal of Marketing, 36 (9-10), 1119-1139.
Hughes, M., Eggers, F., Kraus, S., & Hughes, P. (2015). The relevance of slack resource availability & networking effectiveness for entrepreneurial orientation. International Journal of Entrepreneurship & Small Business, 26(1), 116-138.
Hult, G. T. M., & Ketchen, D. J. J. (2001). Does market orientation matter?: a test of the relationship between positional advantage & performance. Strategic management journal, 22, 899-906.
Jain, R., Jain, C., & Jain, P. (2013). Integrated Framework of Antecedents and Effects of Market Orientation: A Qualitative Review. Management and Labour Studies, 38(4), 425-445.
Joo, M. Y., Jae, K. M., Seok, H. J., Joo, J. L. (2012). The Effects Entrepreneurship and Market Orientation on Social Performance of Social Enterprise. International Conference on Economics Marketing and Management, IPEDR, IACSIT Press, Singapore, 28, 60-65.
Kayabasi, A., & Mtetwa, T. (2016). Impact of marketing effectiveness and capabilities, and export market orientation on export performance: Evidence from Turkey. European Business Review, 28(5), 532-559.
Khan, E.A. (2017). An investigation of marketing capabilities of informal microenterprises: A study of street food vending in Thailand. International Journal of Sociology and Social Policy, 37(3/4), 186-202.
Kraus, S., Halbertstadt, J., Niem, T., Shaw, E., & Syrja, P. (2017). Social entrepreneurship orientation: development of a measurement scale. International Journal of Entrepreneurial Behaviour and Research, 1-34.
Krishnan, R. (2004). Impact of transformational leadership on followers influence strategies. The Leadership and Organization Development Journal, 25(1), 58- 72.
Kumar, V., Jones, E., Venkatesan, R., & Leone, R. P. (2011). Is market orientation a source of sustainable competitive advantage or simply the cost of competing? Journal of Marketing, 75, 16–30.
Laukkanen, T., Nagy, G., Hirvonen, S., Reijonen, H., & Pasanen, M. (2013). The effect of strategic orientations on business performance in SMEs: A multigroup analysis comparing Hungary and Finland. International Marketing Review, 30(6), 510-535.
Li, Y., Zhao, Y., Tan, J., & Liu, Y. (2008). Moderating effects of entrepreneurial orientation on market orientation-performance. Journal of Small Business Management, 46(1), 113–133.
Liaw, Y. J., Chi, N. W., & Chuang, A. (2009). Examining the mechanisms linking transformational leadership, employee customer orientation, and service performance: The mediating roles of perceived supervisor & coworker support. Journal of Business and Psychology, 25(3), 477-492.
Long, H. C. (2013). The relationship among learning orientation, market orientation, entrepreneurial orientation, and firm performance of Vietnam marketing communications firms. Philippine Management Review, 20.
Lumpkin, G. T., & Dess, G. G. (1996). Clarifying the entrepreneurial orientation construct and linking it to performance. Academy of management Review, 21(1), 135-172.
Lumpkin, G. T., Cogliser, C. C., & Schneider, D. R. (2009), Understanding and measuring autonomy: An entrepreneurial orientation perspective. Entrepreneurship Theory and Practice, 33(1), 47-69.
Merrilees, B., Rundle-Thiele, S & Lye, A. (2011). Marketing capabilities: Antecedents and implications for B2B SME performance, Industrial Marketing Management, 40(3) , 368–375.
Miles, M.P. & Arnold, D.R. (1991). The relationship between marketing orientation & entrepreneurial orientation. Entrepreneurship: Theory and Practice 15(4), 49–65.
Morgan, N. A., Slotegraaf, R. J., & Vorhies, D. W. (2009). Linking marketing capabilities with profit growth. International Journal of Research in Marketing, 26(4), 284-293.
Morris, M. H., Coombes, S., Schindehutte, M., & Allen, J. (2007). Antecedents & outcomes of entrepreneurial & market orientations in a non-profit context: Theoretical and empirical insights. Journal of Leadership and Organizational Studies, 13(4), 12-39.
Murphy, G.B. & Callaway, S.K. (2004). Doing well and happy about it? Explaining variance in entrepreneurs’stated satisfaction with performance. New England Journal of Entrepreneurship, 7(2), 15–26
Namen, J. & Slevin, D. (1993). Entrepreneurship & the concept of fit: a model & empirical tests, Strategic Management Journal, 14(2), 137–53.
Narver, J. C. & Slater, S. F. (1990). The effect of a market orientation on business profitability, Journal of Marketing, 54, 20-35.
Ngo, L. V., & O'Cass, A. (2012). Performance implications of market orientation, marketing resources, and marketing capabilities. Journal of Marketing Management, 28(1-2), 173-187.
Nur, N. (2014). Entrepreneurship Orientation, Market Orientation, Business Strategy, Management Capabilities On Business Performance; Study At Small and Medium Enterprise Printing In Kendari. International Journal of Business and Management Invention, 3(12), 8-17.
Qureshi, S., Mian, S. A. & Oswego, S.U.N.Y.(2010). Antecedents and Outcomes of Entrepreneurial Firms Marketing Capabilities: An Empirical investigation of Small Technology Based Firms, Journal of Strategic Innovation and Sustainability, 6(4), 28-45.
Riaz, T. Akram, M. & Ijaz, H. (2011). Impact of transformational leadership style on affective employees, commitment: An empirical study of banking sector in Islamabad (Pakistan). The Journal of Commerce, 3(1), 43- 51.
Rowold, J., & Rohmann, A. (2009). Relationships between leadership styles and followers' emotional experience and effectiveness in the Voluntary Sector. Nonprofit and Voluntary Sector Quarterly, 38(2), 270- 286.
Song M., Benedetto, A.D. &, Nason., R.W. (2007). Capabilities and financial performance: The moderating effect of strategic type. Journal of the Academy of Marketing Science, 35,18-24.
Stephen, I.A., Mary, O.O. (2014). Antecedents of Business Level Strategies in Nigerian Agro-Based Firms. Journal of Competitiveness. 6(3), 63-76.
Tan, C & Smyrnios, K. (2005(. Business Orientation, Marketing Capabilities and Firm Performance: Fast 100 Versus Top 500 Companies, Paper presented at the International Council for Small Business, Washington D.C.
Tan, C & Smyrnios, K. (2007(. Sources of Competitive Advantage For Emerging Fast Growth Small-To-Medium Enterprises, Un Published Ph.D, RMIT University.
Tomaskova, E. (2009). Internal Barriers Of Market Orientation Application, Economics & Management, 14, 535- 540
Vorhies, D. W., Morgan, R. E., & Autry, C. W. (2009). Product‐market strategy and the marketing capabilities of the firm: impact on market effectiveness and cash flow performance. Strategic Management Journal, 30(12), 1310-1334.
Weerawardena, J. & O. Aron (2004). Exploring the Characteristics of the Market- Driven Firms and Antecedents to Sustained Competitive Advantage, Industrial Marketing Management, 33(5), 419 - 428.
Zhou, K. Z., Yim, C. K., & Tse, D. K. (2005). The effects of strategic orientations on technology-& market-based break through innovations. Journal of Marketing, 69 (2), 42–60
