The Effect of Market Orientation on Service Quality

Abstract

The authors explore the effect of market orientation on service quality based on a survey on Taiwanese security brokerage firms. The results indicate that market orientation and service quality have a positive relationship, but fail to support the proposition of a curvilinear, diminishing function. An ad hoc investigation on the effects of individual components revealed that, among the four market orientation components, only customer orientation and profit expectation have a more consistent and significant effect on overall service quality and the five service quality components. Important managerial and future research implications are offered.