Krzysztof Fonfara

Market Orientation in the Transition Economies of Central Europe:: Tests of the Narver and Slater Market Orientation Scales

Abstract The Narver and Slater (Narver, J.C., and Slater, S.F.: The Effect of Marketing Orientation on Business Profitability. Journal of Marketing 54 (1990): 20–35.) market orientation scale is tested in the context of the transition economies of central Europe and found to be both valid and reliable. Relationships between market orientation and both marketing strategy and performance broadly follow predictions from the Western literature indicating that the adoption of a market orientation is equally applicable in transition as in Western economies. A number of different approaches, however, are evident in the transition economies suggesting that other business orientations may coexist with a market orientation creating a richer and more complex set or organizational drivers.

Marketing Capabilities and Firm Performance: A Hierarchical Model

The resource based theory of the firm (RBV) is briefly reviewed together with its recent application in the marketing literature. Significant contributions by Webster (1992) and Day (1994) are identified and an integration of the two presented as a hierarchical model of marketing capabilities. Three research propositions concerning the relationships between marketing capabilities and performance are developed and tested empirically in the transition economies of central and eastern Europe. In line with expectations from the theory of the RBV, higher order marketing capabilities are seen to be more important than operational capabilities in explaining superior competitive performance. The overall model is shown to be a helpful conceptualization of marketing capabilities and a number of issues for further research are identified.

Market orientation in the service sector of the transition economies of central Europe

The Narver and Slater market orientation scale is tested in the context of service firms in the transition economies of central Europe and found to be both valid and reliable. The survey examined levels of market orientation in 205 business to business services companies and 141 consumer services companies in Hungary, Poland and Slovenia. As predicted by the predominantly western marketing literature, those service firms with higher levels of market orientation; were more often found in turbulent, rapidly changing markets; were more likely to pursue longer term market building goals rather than short term efficiency objectives; more likely to pursue differentiated positioning through offering superior levels of service compared to competitors; and also performed better on both financial and market based criteria. A number of different business approaches, however, are evident in the transition economies suggesting that other business orientations may co‐exist with a market orientation creating a richer and more complex set of organizational drivers.

The effects of privatization on marketing capability and activity in Poland

Abstract Privatization has been a major element of reform in Central and Eastern Europe, however its effects on firm marketing capability and performance are unclear. This study tests a number of hypotheses concerning the effects of privatization on marketing capability, activities and performance in Poland. The main conclusions are that privatization leads to enhanced marketing capability, to more pro-active marketing activities, such as the adoption of longer term priorities, to an emphasis on delivering superior quality to customers and to more active new product development. On both financial and market-based criteria, the privatized firms are seen to outperform their state-owned counterparts.

Organization for Marketing among Polish Companies

Suggests that, although Poland has made much progress towards becoming a market‐led economy, powerful environmental developments are now confronting Polish firms and these have elevated the necessity for effective marketing strategy and organization. Provides findings from a survey of 893 Polish companies which indicate that many have adopted a marketing orientation and assembled organizations conducive to effective marketing. However, many companies have not yet fully overcome time, attitudinal and other barriers to the adoption of marketing philosophies and the creation of a dedicated marketing organization. There is some evidence that marketing is embraced at a strategic level among many of the firms studied. However, marketing activities are assigned to non‐specialist functions among many of the companies and some of them do not assign key activities to anyone. Concludes that an extensive programme of education may be required to enhance awareness of the importance of, and knowledge for, marketing amo...

Marketing planning in central and Eastern Europe

This paper addresses the implementation of marketing planning in Central and Eastern Europe with special emphasis on Hungary, Poland and Bulgaria. The results of a 12‐month investigation are presented through reference to mailed surveys conducted in each country. Marketing planning in the region is rudimentary, often the emphasis being on shorter term sales or financial plans, rather than longer term marketing plans. Despite the low levels of marketing planning in general, a small group of enthusiastic planners did emerge. Contents of marketing plans are discussed together with issues of plan implementation.

Marketing organizations in Hungarian and Polish firms: part 1

The first of several articles on the temporal development of intra‐firm marketing organizations, relates how Hungary and Poland have progressed strongly towards the free market economic system. However, social and political opposition is now threatening further rapid reform. Moreover, infrastructure deficiencies and managerial problems are constraining effective marketing. Outdated production orientation is inhibiting the adoption of marketing orientation in the state sector while firm smallness is limiting managerial specialization in the private sector. Concludes, from a mail survey of 1,786 Hungarian and Polish firms, that most existing organizations are inadequate. Marketing orientation is extensive in Hungary but sparse in Poland. Although companies adapt flexibly to market changes and assign marketing responsibility to chief executives, most do not have specialist marketing departments. In the minority of cases where specialist departments do exist, they do not have inferior status to other function...

The Internationalisation of Business in Poland

In recent years, authorities in Poland have recognised the need for greater internationalisation of business. As with many other socialist countries, the development of internationalisation has been under the control and guidance of the state authorities. The authors attempt to identify whether any long‐term internationalisation policy has been implemented and whether or not Polish companies follow the customary internationalisation path. They have found that despite attempts to implement economic reform, there is both a lack of integration and the omission of key elements. These failings have hindered development and export strategy has not been successful to date. The discussion takes place on both a macro and microeconomic level, examining the various types of enterprise carrying out foreign trade. The conclusion is that macroeconomic and micro‐economic conditions create formidable barriers to the internationalisation of Polish enterprises.

The Role of Foreign Direct Investment in the Transition Process in Central and Eastern Europe

The economies of Central and Eastern Europe (CEE) have seen substantial changes in the last decade, as they have, with varying levels of success, sought the transition from centrally planned to market-led economics (Fingleton et al., 1996).

Does Market Orientation Lead to Better Company Performance in Poland

The paper considers the market orientation and performance of companies in Poland. Four different company groups are considered comprising SOEs, former SOEs privatised by domestic capital, companies having some FDI involvement, and private companies which were never SOEs. Considerable differences in the market orientations are found with FDI companies the most market orientated and SOEs the least. Despite these differences, no significant differences were found in aggregate company performance.