Although a large body of research theoretically asserts a positive association between relationship marketing orientation (RMO) and business performance, a valid measure of RMO has not yet been proposed and systematic analysis of its effect on business performance has thus far not been possible. This paper addresses some conceptual and measurement issues related to the study of RMO and its impact on business performance in a service context. It first reviews the concept of RMO and its important dimensions. Next, a measurement scale with acceptable reliability and validity is developed to capture the dimensions of RMO. In turn, analysis of data shows that RMO is positively and significantly associated with sales growth, customer retention, market share, ROI, and overall performance. The implications of these findings are discussed and the limitations of the study as well as future research directions are addressed.
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1 December 2002
Research Article|
December 01 2002
The effect of relationship marketing orientation on business performance in a service‐oriented economy Available to Purchase
Leo Y.M. Sin;
Leo Y.M. Sin
Associate Professor, Department of Marketing, The Chinese University of Hong Kong, Hong Kong
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Alan C.B. Tse;
Alan C.B. Tse
Associate Professor, Department of Marketing, The Chinese University of Hong Kong, Hong Kong
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Oliver H.M. Yau;
Oliver H.M. Yau
Professor of Marketing, City University of Hong Kong, Hong Kong
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Jenny S.Y. Lee;
Jenny S.Y. Lee
University Lecturer, City University of Hong Kong, Hong Kong
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Raymond Chow
Raymond Chow
Instructor, City University of Hong Kong, Hong Kong
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Publisher: Emerald Publishing
Online ISSN: 2054-1651
Print ISSN: 0887-6045
© MCB UP Limited
2002
Journal of Services Marketing (2002) 16 (7): 656–676.
Citation
Sin LY, Tse AC, Yau OH, Lee JS, Chow R (2002), "The effect of relationship marketing orientation on business performance in a service‐oriented economy". Journal of Services Marketing, Vol. 16 No. 7 pp. 656–676, doi: https://doi.org/10.1108/08876040210447360
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