Strategic orientations and marketing performance of Indonesian FM radio stations
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Date
2009
Authors
Brahmana, Sunardi Sembiring
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Abstract
The purpose of this study is to examine the effect of each of the four strategic orientations (market, innovation, entrepreneurship, and learning orientation) on marketing performance in the context of Indonesian FM radio stations. The study also examines the mediating effect of program innovation on the relationship between each of the four strategic orientations and marketing performance. In this study, each of the four strategic orientations is conceptualized as a multidimensional construct which consists of three dimensions for market orientation (i.e. customer orientation, competitor orientation, and inter-functional coordination), two dimensions for innovation orientation (i.e. openness to new ideas, and propensity to change), three dimensions for entrepreneurship orientation (i.e. receptiveness to innovation, risk-taking attitude, and proactiveness toward opportunity), and four dimensions for learning orientation (i.e. commitment to learning, shared vision, open-mindedness, and intra-organizational knowledge sharing). Data were collected through mail survey and a total of 117 usable responses were accepted for the purpose of this study. The results of this study revealed that customer orientation, competitor orientation, inter-functional coordination, innovation orientation, receptiveness to innovation, proactiveness toward opportunity, commitment to learning, shared vision, open-mindedness, and intraorganizational knowledge sharing have a significant influence on marketing performance, whereas risk taking attitude has insignificantly influence marketing performance. The results also revealed that customer orientation, competitor orientation, innovation orientation, proactiveness toward opportunity, commitment to learning, and shared vision significantly influence program innovation, whereas inter-functional coordination, receptiveness to innovation, risk taking attitude, open-mindedness, and intraorganizational knowledge sharing do not significantly influence program innovation. In addition, it is found that program innovation has a significant influence on marketing performance. Furthermore, the results of this study support the mediation effect of program innovation only for the relationship between customer orientation, competitor orientation, innovation orientation, proactiveness toward opportunity, commitment to learning, shared vision and marketing performance. The findings suggest that each of the four strategic orientations is important to Indonesian FM radio stations. Therefore, Indonesian FM radio station should carefully develop and implemented these four strategic orientations to enhance their program innovation capabilities, which in turn will lead to superior marketing performance. Limitations of the study and recommendations for future research are also included in this study.
Description
PhD
Keywords
Management , Strategic orientations , Marketing performance , Radio stations