Market orientation in UK multiple retail companies: nature and pattern

Despite substantial research on market orientation in manufactured goods companies, few studies have examined the adoption of market orientation by retailers. Develops a framework for market orientation and examines the pattern of market orientation in UK multiple retail companies. Shows that market‐orientated retail companies bear similar characteristics to similarly orientated manufacturing companies. Finds that the overwhelming majority of multiple retail companies have a marketing department but most of them are more akin to marketing services departments with a responsibility mainly for support activities rather than for policy. UK retailers tend to be either market or operations orientated. Although 40 per cent of companies reported a market orientation, about 70 per cent claimed to be moving towards a market orientation in the next two years. A market‐orientated retailer introduces more new formats, tailors offers to targeted groups of customers, researches customers more and, to a large extent, co‐ordinates business activities. However, market‐orientated retailers do not enjoy higher financial performance than retailers with other orientations. Discusses the managerial and research implications.