Title: Does market orientation lead to higher service quality provision and performance? A study among service organisations in Northern Malaysia

Authors: T. Ramayah, May-Chiun Lo, Hasliza Abdul Halim, Nusrah Samat

Addresses: School of Management, Universiti Sains Malaysia, Minden, 11800 Penang, Malaysia. ' Faculty of Economics and Business, Universiti Malaysia Sarawak, 94300 Kota Samarahan, Sarawak, Malaysia. ' School of Management, Universiti Sains Malaysia, Minden, 11800 Penang, Malaysia. ' Faculty of Business Management, Universiti Teknologi MARA, Shah Alam, Selangor Darul Ehsan, Malaysia

Abstract: This study examines the impact of market orientation and service quality on organisational performance. The data was gathered from a survey of 175 service organisations, of which 101 organisations participated in this study. Structural equation modelling was used to run the analysis of the study variables. The findings suggest that different market orientation components had different impacts on the service quality components. Service quality components were also found to be positively influencing organisational performance. The findings indicate that companies should focus on technical and functional quality in order to improve financial and non-financial performance.

Keywords: market orientation; service quality; structural equation modelling; organisational performance; service firms; Malaysia; services.

DOI: 10.1504/IJMOM.2010.038148

International Journal of Modelling in Operations Management, 2010 Vol.1 No.2, pp.180 - 196

Published online: 19 Jan 2011 *

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