Understanding the patterns of market orientation among small businesses

Purpose - To assess the patterns of market orientation within the small business sector. Design/methodology/approach - After a pilot study involving interviews with owner-managers, and covert and overt observation of small businesses' marketing practices, depth interviews by telephone and face- to- face were conducted in one state of the USA. Data, collected in the form of protocols and means- end maps for individual owner-managers, were analyzed by inductive reasoning. Findings - The study confirmed the appropriateness of the market orientation framework for the small business sector. Findings included a distinctive "marketing style" (strong emphasis on customer care and employee welfare; motivation; and market intelligence) related to size of the firms surveyed, the personality of the owner-manager, the available resources and the nature of the operating environment. Despite absence of a formal approach to market research and marketing planning, this " style" was found to have a positive effect on margins and market share. Research limitations/implications - Future studies could usefully investigate larger samples in broader geographic settings, including countries at all stages of economic development. It should also examine causal links among the " constructs" of market orientation. Practical implications - The findings provide small business owner-managers, policy makers and researchers with a framework for the measurement and evaluation of market orientation in small businesses, which could be adapted to specific conditions or used as a source of performance benchmarks. Originality/value - This paper offers useful and candid insights into the application of market orientation by small businesses, distilled from in-depth investigation of the motivations underlying respondents' marketing decisions and initiatives. It thus supplements the largely quantitative studies of market orientation in the literature to date.