The effect of a buyer's market orientation on attitudinal loyalty toward a supplier: is dependence a moderator?

Abstract

Purpose The aim of this study is to analyze in depth the possible influence of a firm's market orientation on its own attitudinal loyalty toward a supplier. Design/methodology/approach An empirical study was carried out through two structured surveys of 141 industrial firms. Data were compiled in two stages (with a time lag of one year). The time lag instituted between the collection of market orientation data and the other model constructs alleviates the common method problem. Findings The results show that the direct influence of the buyer's market orientation on attitudinal loyalty is negative but that an indirect positive effect also exists through communication, conflict, satisfaction, and trust. The research also reveals that these results are not contingent on the buyer's dependence on the supplier. Research limitations/implications This study's main contribution consists of shedding new light on the intense marketing debate about the effects of market orientation. Practical implications Practitioners can use the findings of this research to segment their customer base and develop specific programs adapted to each target. Originality/value The present work is the first to directly address the influence of a firm's market orientation on its attitudinal loyalty toward its strategic suppliers. Structured academic research on this topic is lacking, even though more firms are market‐oriented because of increasing competition, which means that the interest of suppliers in the effects of this orientation will become more pronounced.

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