Abstract

Research studies have differed over the importance of the relative emphasis of a customer versus competitor orientation in the development of a market orientation (Slater & Narver, 1994; Tajeddini, 2010). In this study, we assess whether the emphasis of one component over another of a market orientation is an important determinant of firm performance within the Illinois beef industry, specifically the cow-calf sector. Using a series of OLS regressions, we examine the importance of a market orientation, relative emphasis, learning, innovativeness, and a cost focus on firm performance in a sample of 269 beef farms. Our results suggest that firms should invest equally in awareness of both customer demands and competitor responses as opposed to a singular focus on one or the other. This result corroborates the findings of Slater and Narver (1994), while examining the relationship within a highly competitive, homogeneous market. Implications and directions for future research are also discussed.

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