IDEAS home Printed from https://ideas.repec.org/a/jso/coejss/v4y2015i2p812-827.html
   My bibliography  Save this article

Analysis of the Relationship between Market Orientation and Leadership Style in Hungarian SMEs

Author

Listed:
  • Dr. Agnes Hofmeister-Tóth
  • Kinga Kopfer-Rácz
  • Dóra Sas

Abstract

SMEs’ relation towards marketing and their marketing practices are as yet unexplored research areas in Hungary. This study focuses on the market orientation of Hungarian small and medium-sized companies, with a special focus on the interrelation between market orientation and leadership style. Since previous research (e.g.: Blankson et al., 2006, Smart and Conant, 1994) has shown a significant, positive correlation between market orientation and marketing competencies, we have also examined which internal factors influence the level of market orientation of Hungarian SMEs. Quantitative research1 was conducted with the participation of 200 SMEs using the Kohli-Jaworski (1990) scale. The results confirmed previous international studies that market orientation is significantly and positively related to financial performance. This means that the SME leader should pay closer attention to collect information and create market intelligence pertaining to current and future customer needs, to disseminate this intelligence across departments and to respond to it organization-wide. Leadership style was determined based on the Harris and Ogbonna (2001) scale. Our results indicated that a participating and supportive management style leads to higher market orientation. In the case of Hungarian SMEs, there are three factors significantly associated with leadership styles: the industry, the size of the business, and the location of the company.

Suggested Citation

  • Dr. Agnes Hofmeister-Tóth & Kinga Kopfer-Rácz & Dóra Sas, 2015. "Analysis of the Relationship between Market Orientation and Leadership Style in Hungarian SMEs," Journal of Social Sciences (COES&RJ-JSS), , vol. 4(2), pages 812-827, April.
    • Handle: RePEc:jso:coejss:v:4:y:2015:i:2:p:812-827
    as

    Download full text from publisher

    File URL: http://centreofexcellence.net/J/JSS/Vol4/No2/JSSarticle5,4%282%29pp812-827.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. John Dawes, 2000. "Market Orientation and Company Profitability: Further Evidence Incorporating Longitudinal Data," Australian Journal of Management, Australian School of Business, vol. 25(2), pages 173-199, September.
    2. Zahra, Shaker A. & Covin, Jeffrey G., 1995. "Contextual influences on the corporate entrepreneurship-performance relationship: A longitudinal analysis," Journal of Business Venturing, Elsevier, vol. 10(1), pages 43-58, January.
    3. Bhuian, Shahid N., 1998. "An Empirical Examination of Market Orientation in Saudi Arabian Manufacturing Companies," Journal of Business Research, Elsevier, vol. 43(1), pages 13-25, September.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dr. Agnes Hofmeister-Tóth & Kinga Kopfer-Rácz & Dóra Sas, 2015. "Analysis of the Relationship between Market Orientation and Leadership Style in Hungarian SMEs," Journal of Business & Management (COES&RJ-JBM), , vol. 3(4), pages 459-476, October.
    2. Gurjeet Kaur & Shruti Gupta, 2012. "Business Orientation of Indian Consumer Banking," Global Business Review, International Management Institute, vol. 13(3), pages 481-507, October.
    3. Rong, Baiding & Wilkinson, Ian F., 2011. "What do managers’ survey responses mean and what affects them? The case of market orientation and firm performance," Australasian marketing journal, Elsevier, vol. 19(3), pages 137-147.
    4. Seemant Kumar Yadav & Vikas Tripathi & Geetika Goel, 2021. "Dis-Aggregated Effect of Market Orientation on Firms' Performance: A Study on Indian Small and Medium-Scale (SMEs) Manufacturers," International Journal of Asian Business and Information Management (IJABIM), IGI Global, vol. 12(3), pages 87-108, July.
    5. Benkraiem, Ramzi & Boubaker, Sabri & Brinette, Souad & Khemiri, Sabrina, 2021. "Board feminization and innovation through corporate venture capital investments: The moderating effects of independence and management skills," Technological Forecasting and Social Change, Elsevier, vol. 163(C).
    6. Swen Nadkarni & Reinhard Prügl, 2021. "Digital transformation: a review, synthesis and opportunities for future research," Management Review Quarterly, Springer, vol. 71(2), pages 233-341, April.
    7. Shingo Yoshida & Hironori Yagi, 2021. "Long-Term Development of Urban Agriculture: Resilience and Sustainability of Farmers Facing the Covid-19 Pandemic in Japan," Sustainability, MDPI, vol. 13(8), pages 1-23, April.
    8. Abiodun Tope Samson, 2015. "The Impact of Entrepreneurial Orientation, Reconfiguring Capability and Moderation of Environmental Turbulence on Export Performance of SMEs in Nigeria," Journal of Economics and Behavioral Studies, AMH International, vol. 7(3), pages 76-87.
    9. Heira Georgina Valdez-Bocanegra & Gonzalo Maldonado-Guzmán & Carmen Castrejón-Mata, 2020. "The Entrepreneurial Orientation and its Impact on Competitiveness and Growth: Empirical Evidence in the State of Aguascalientes in Mexico," Advances in Management and Applied Economics, SCIENPRESS Ltd, vol. 10(3), pages 1-6.
    10. Nida Platin & Hande Sinem Ergun, 2017. "The Relationship between Entrepreneurial Orientation and Performance; Evidence from Turkish SMEs," Business and Management Studies, Redfame publishing, vol. 3(2), pages 78-89, June.
    11. Boris Urban & Thanusha Govender, 2017. "Cultivating an Entrepreneurial Mind-Set through Transformational Leadership: A Focus on the Corporate Context," Managing Global Transitions, University of Primorska, Faculty of Management Koper, vol. 15(2 (Summer), pages 123-143.
    12. Leonidas A. Zampetakis & Melina Vekini & Vassilis Moustakis, 2009. "Entrepreneurial orientation, access to financial resources, and product performance in the Greek commercial TV industry," The Service Industries Journal, Taylor & Francis Journals, vol. 31(6), pages 897-910, April.
    13. Arslan Ayub & Muhammad Salman Aslam & Hanan Iftekhar & Adeel Razzaq & Sabiha Hafeez, 2013. "Compete or Leapfrog: Creating Blue Ocean through Entrepreneurial Orientation," Acta Universitatis Danubius. OEconomica, Danubius University of Galati, issue 9(5), pages 211-221, October.
    14. Gonçalo Rodrigues Brás & Miguel Torres Preto, 2021. "The consequences of intrapreneurship in exporting firms: a structural-model approach," CeBER Working Papers 2021-06, Centre for Business and Economics Research (CeBER), University of Coimbra.
    15. UMRANI Waheed Ali & MAHMOOD Rosli & AHMED Umair, 2016. "Unveiling The Direct Effect Of Corporate Entrepreneurship’S Dimensions On The Business Performance: A Case Of Big Five Banks In Pakistan," Studies in Business and Economics, Lucian Blaga University of Sibiu, Faculty of Economic Sciences, vol. 11(1), pages 181-195, April.
    16. Elert, Niklas & Stam, Erik & Stenkula, Mikael, 2019. "Intrapreneurship and Trust," Working Paper Series 1280, Research Institute of Industrial Economics.
    17. Esther Hormiga & Petra Saá-Pérez & Nieves L. Díaz-Díaz & José Luis Ballesteros-Rodríguez & Inmaculada Aguiar-Diaz, 2017. "The influence of entrepreneurial orientation on the performance of academic research groups: the mediating role of knowledge sharing," The Journal of Technology Transfer, Springer, vol. 42(1), pages 10-32, February.
    18. Erik Lundmark & Anna Krzeminska & Dean A. Shepherd, 2019. "Images of Entrepreneurship: Exploring Root Metaphors and Expanding Upon Them," Entrepreneurship Theory and Practice, , vol. 43(1), pages 138-170, January.
    19. Águeda Gil-López & Unai Arzubiaga & Elena San Román & Alfredo Massis, 2022. "The Visible Hand of corporate entrepreneurship in state-owned enterprises: a longitudinal study of the Spanish National Postal Operator," International Entrepreneurship and Management Journal, Springer, vol. 18(3), pages 1033-1071, September.
    20. Jaskiewicz, Peter & Combs, James G. & Rau, Sabine B., 2015. "Entrepreneurial legacy: Toward a theory of how some family firms nurture transgenerational entrepreneurship," Journal of Business Venturing, Elsevier, vol. 30(1), pages 29-49.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:jso:coejss:v:4:y:2015:i:2:p:812-827. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: COES&RJ LLC. Maintainer-Workplace-Name: Centre of Excellence for Scientific & Research Journalism - COES&RJ LLC Maintainer-Address: 10685-B Hazelhurst Dr., Houston, TX 77043, USA or the person in charge (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.