| Market orientation delivered inconsistent results in marketing channels of developing economies where power imbalances exist between members. This study investigates the impact of market orientation on manufacturer-distributor relationships in Indonesia as a developing country with high industrial concentration. A Structural Equation Modeling analysis on 140 manufacturers revealed market orientation and long-term orientation were joint drivers that determined satisfaction and trust via dependence and role performance constructs. This suggests that to achieve relationship quality in channels characterized by trust and satisfaction, a market orientation view should be combined with an intention of manufacturer to build a longer term relationship with distributor.
Keywords: market orientation, manufacturer, distributor, Indonesia. |
Updated 07/09/2013