Testing MKTOR in Tanzania Universities [Pengujian MKTOR di Universitas Tanzania]

Ramadhani Kitwana Dau, Huda Ahmed Yussuf

Abstract


The objective of the study was to determine the extent to which market orientation (MO) is related to university performance. The study was based on 212 respondents from private and public universities across Tanzania. Market orientation was measured by MKTOR. Structural Equation Model (AMOS 22) and SPSS were deployed for data analysis. Tests for reliability and validity showed that the measures have sound psychometric properties. Two hypotheses were tested and both were supported. This is the first study in Tanzania which is pan territorial drawing its sample from both public as well as private universities, notwithstanding the relatively low representation by private universities. This study is cross sectional. A longitudinal study would have provided a more appropriate explanation on underlying relationships over a period of time. Furthermore, in view of complexity of high education industry, mediating variables would have shaded more light on the relationship between the two constructs under different set of circumstances. Obvious practical implication is that universities should design programs that address wider customer needs which will make them a “go to” universities and in the process increase their reputation. High reputation will attract funding from different sources thereby giving the universities ability to offer scholarships to students. This will lead to increased access to university education and hence help the Government to solve some of social problems.

Abstrak dalam Bahasa Indonesia. Tujuan dari penelitian ini adalah untuk mengetahui sejauh mana orientasi pasar (MO) terkait dengan kinerja universitas. Studi ini didasarkan pada 212 responden dari universitas swasta dan negeri di seluruh Tanzania. Orientasi pasar diukur dengan MKTOR. Model Persamaan Struktural (AMOS 22) dan SPSS digunakan untuk analisis data. Uji reliabilitas dan validitas menunjukkan bahwa langkah-langkah tersebut memiliki sifat psikometrik yang baik. Dua hipotesis diuji dan keduanya didukung. Ini adalah studi pertama di Tanzania yang merupakan pan teritorial yang mengambil sampelnya dari universitas negeri maupun swasta, meskipun perwakilan universitas swasta relatif rendah. Penelitian ini bersifat cross sectional. Studi longitudinal akan memberikan penjelasan yang lebih tepat tentang hubungan yang mendasari selama periode waktu tertentu. Selain itu, mengingat kompleksitas industri pendidikan tinggi, variabel mediasi akan lebih memperjelas hubungan antara dua konstruksi dalam keadaan yang berbeda. Implikasi praktis yang jelas adalah bahwa universitas harus merancang program yang menjawab kebutuhan pelanggan yang lebih luas yang akan membuat mereka menjadi universitas “go to” dan dalam proses meningkatkan reputasi mereka. Reputasi tinggi akan menarik pendanaan dari berbagai sumber sehingga memberikan kemampuan universitas untuk menawarkan beasiswa kepada mahasiswa. Hal ini akan mengarah pada peningkatan akses ke pendidikan universitas dan karenanya membantu Pemerintah untuk memecahkan beberapa masalah sosial.


Keywords


Market orientation; MKTOR; performance; Tanzania



DOI: http://dx.doi.org/10.19166/derema.v18i1.5947

Full Text

PDF

References


Ahmad, N. N. N., Ismael, S., & Siraj, S. A. (2019). Financial sustainability of Malaysian public universities: Officers’ perceptions. International Journal of Educational Management, 33,(2), 317-334. https://doi.org/10.1108/ijem-06-2017-0140

Akman, G., & Yilmaz, C. (2008). Innovative capability, innovation strategy and market orientation: An empirical analysis in Turkish software industry. International Journal of Innovation Management, 12(01), 69-111. https://doi.org/10.1142/s1363919608001923

Alobaidi, M., & Kitapci, O. (2019). Strategic orientation, market orientation and business performance: In Searching for Integration, Evidence from Turkey. Montenegrin Journal of Economics, 15(3), 53-70. https://doi.org/10.14254/1800-5845/2019.15-3.4

Anabila, P., Kastner, A. N. A., Bulley, C.A., & Allan, M. M. (2019) Market orientation: A key to survival and competitive advantage in Ghana’s private universities. Journal of Marketing for Higher Education, 30, 125–144. https://doi.org/10.1080/08841241.2019.1693474

Awang, Z., Afthanorhan, A., & Asri, M. A. M. (2015). Parametric and non-parametric approach in structural equation modeling (SEM): The application of bootstrapping. Modern Applied Science, 9(9), 58. https://doi.org/10.5539/mas.v9n9p58

Baber, R., & Upadhyay, Y. (2015). Examining the role of competition intensity as moderator on market orientation and performance relationship in private universities. South Asia Journal of Management, 22(1), 97-113.

Bay, D., & Harold, D. (2001). The student is not the customer-an alternative perspective. Journal of Marketing for Higher Education, 11(1), 1-19. https://doi.org/10.1300/j050v11n01_01

Buratti, N., Protumo, G., & Persico, L. (2021). The impact of market orientation on university spin-off business performance. Journal of International Entrepreneurship, 19, 104-129. https://doi.org/10.1007/s10843-020-00282-4

Cano, C. R., Carrillat, F. A., & Jaramillo, F. (2004). A meta-analysis of the relationship between market orientation and business performance: Evidence from five continents. International Journal of Research in Marketing, 21(2), 179-200. https://doi.org/10.1016/j.ijresmar.2003.07.001

Caruana, A., Ramaseshan, B., & Ewing, M. T. (1998a). Do universities that are more market oriented perform better? International Journal of Public Sector Management, 11(1), 55-70. https://doi.org/10.1108/09513559810199898

Caruana, A., Ramaseshan, B., & Ewing, M. T. (1998b). The market orientation-performance link: Some evidence from public sector and universities. Journal of Non Profit and Public Sector Marketing. 6(1), 63-82. https://doi.org/10.1300/j054v06n01_05

Casidy, R. (2014). The role of perceived market orientation in higher education sector. Australasian Marketing Journal, 22(2), 155-163. https://doi.org/10.1016/j.ausmj.2014.02.001

Chaudhry, N. I., Mahesar H. I., Ansari, M., & Ali, M. (2016). Impact of market orientation on the performance of private universities in Pakistan. International Journal of Arts and Humanities. 44, 21-32.

Dau, R. K. (1992). Marketing orientation and export performance in New Zealand manufacturing industry, Unpublished Doctoral Dissertation, Victoria University of Wellington, New Zealand. https://doi.org/10.26686/wgtn.16945783.v1

Dawes, J. (1999). The relationship between subjective and objective company performance measures in market orientation research: Further empirical evidence. Marketing Bulletin 10, 65-75.

Deegan, J., Jr. (1978). On the occurrence of standardized regression coefficients greater than one. Education and Psychological Measurement, 38(4), 873-888. https://doi.org/10.1177/001316447803800404

Deshpandé, R., & Farley, J. U. (1998). Measuring market orientation: Generalization and synthesis. Journal of Market-Focused Management, 2(3), 213-232. https://doi.org/10.1023/a:1009719615327

Dess, G. G., & Robinson, R. B., Jr. (1984). Measuring organizational performance in the absence of objective measures: The case of the privately‐held firm and conglomerate business unit. Strategic Management Journal, 5(3), 265-273. https://doi.org/10.1002/smj.4250050306

Farrell, M. A. & Oczkowski, E. (1997). An analysis of the MKTOR and MARKOR measures of market orientation: An Australian perspective. Marketing Bulletin, 8, 30-40.

Ellis, P. D. (2006). Market orientation and performance: A meta‐analysis and cross‐national comparisons. Journal of Management Studies, 43(5), 1089-1107. https://doi.org/10.1111/j.1467-6486.2006.00630.x

Fornell, C., & Larcker, D. F. (1981). Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research, 18(1), 39-50. https://doi.org/10.1177/002224378101800104

Fortson, B. L., Scotti, J. R., Ben, K. S. D., & Chen, Y. C. (2006). Reliability and validity of an internet traumatic stress survey with a college student sample. Journal of Traumatic Stress: Official Publication of the International Society for Traumatic Stress Studies, 19(5), 709-720. https://doi.org/10.1002/jts.20165

Gaski, J. F. (1986). Interrelations among a channel entity’s power sources: Impact of the exercise of reward and coercion on expert, referent, and legitimate power sources. Journal of Marketing, 23, 62-77. https://doi.org/10.1177/002224378602300107

Griffis, S. E., Goldsby, T. J., & Cooper, M. (2003). Web‐based and mail surveys: A comparison of response, data, and cost. Journal of Business Logistics, 24(2), 237-258. https://doi.org/10.1002/j.2158-1592.2003.tb00053.x

Gupta, V. K., Atav, G., & Dutta, D. K. (2019). Market orientation research: A qualitative synthesis and future research agenda. Review of Managerial Science, 13(4), 649-670. https://doi.org/10.1007/s11846-017-0262-z

Hair, J. F., Black, W. C., Babin, B. J., & Anderson, R. E. (2014). Multivariate data analysis (7th ed.), Pearson Education Limited, Edinburg Gate, Harlow, Essex, England.

Hammond, K. L., Webster, R. L., & Harmon, H. A. (2006). Market orientation, top management emphasis and performance within university schools of business: Implications for universities. Journal of Marketing Theory and Practice, 14(1), 69-85. https://doi.org/10.2753/mtp1069-6679140105

Hampton, G. M. (2007). Exploring market orientation and performance in the university. Building Knowledge and Skills in the 21st Century: Fulfilling the Mission of Marketing Education. Marketing Educators’ Association Conference Proceedings, San Antonio, Texas, 4-8.

Harris, L. C. (2001). Market orientation and performance: Objective and subjective empirical evidence from UK companies. Journal of Management Studies, 38(1), 17-43. https://doi.org/10.1111/1467-6486.00226

Harrison-Walker, L. J. (2001). The measurement of a market orientation and its impact on business performance. Journal of Quality management, 6(2), 139-172. https://doi.org/10.1016/s1084-8568(01)00035-9

Hemsley-Brown, J., & Oplatka, I. (2010). Market orientation in universities: A comparative study of two national higher education systems. International Journal of Educational Management, 24(3), 204-220. https://doi.org/10.1108/09513541011031565

Hidayati, A. (2020). Performance and competitiveness of private universities in Bengkulu province. Technium Social Sciences Journal, 3, 26-36. https://doi.org/10.47577/tssj.v3i1.56

Ishengoma, J. (2004). Cost-Sharing in Higher Education in Tanzania: Fact or Fiction?. Journal of Higher Education in Africa, 2(2), 101-133. https://doi.org/10.57054/jhea.v2i2.1677

Jacob, M. Lundqvist, M., & Hellsmark, H. (2003). Entrepreneurial transformations in the Swedish university system: The case of Chalmers University of Technology. Research Policy 32, 1555–1568. https://doi.org/10.1016/s0048-7333(03)00024-6

Ketokivi, M. M., & Schroeder R. G. (2004). Perceptual measures of performance: Fact or fiction? Journal of Operations Management, 22(3), 247-264. https://doi.org/10.1016/j.jom.2002.07.001

Khalifa, A. S. (2010). Rethinking the current dominant approach to business school strategy. European Business Review, 22(6), 591-607. https://doi.org/10.1108/09555341011082907

Khuwaja, F. M., Umrani, W. A., Shaikh, S. S., Ahmed, A., & Shar, S. ( 2019). University Markor: A Context-Specific Scale to Measure Market-Orientation in Universities. SAGE Open, April-June, 1–11. https://doi.org/10.1177/2158244019853921

Kirca, A. H., Jayachandran, S., & Bearden, W. O. (2005). Market orientation: A meta-analytic review and assessment of its antecedents and impact on performance. Journal of Marketing, 69(2), 24-41. https://doi.org/10.1509/jmkg.69.2.24.60761

Kocak, A., Carsrud, A., & Oflazoglu, S. (2017). Market, entrepreneurial, and technology orientations: Impact on innovation and firm performance. Management Decisions, 55(2), 248-270. https://doi.org/10.1108/md-04-2015-0146

Kohli, A. K., Jaworski, B. J., & Kumar, A. (1993). MARKOR: A measure of market orientation. Journal of Marketing Research, 30(4), 467-477. https://doi.org/10.1177/002224379303000406

Krejcie, R. V., & Morgan, D. W. (1970). Determining sample size for research activities. Educational and Psychological Measurement, 30(3), 607-610. https://doi.org/10.1177/001316447003000308

Loomis, D. K., & Paterson, S. (2018). A comparison of data collection methods: Mail versus online surveys. Journal of Leisure Research, 49(2), 133-149. https://doi.org/10.1080/00222216.2018.1494418

Ma, J., & Todorovic, Z. (2011). Making universities relevant: Market orientation as a dynamic capability within institutions of higher learning. Academy of Marketing Studies Journal, 15(2), 1-15.

Mainardes, E. W., Raposo, M., & Alves, H. (2014). Universities need a market orientation to attract non-traditional stakeholders as new financing sources. Policy Organization Review, 14(2), 159-171. https://doi.org/10.1007/s11115-012-0211-x

Mavondo, F. T., & Farrell, M. A. (2000). Measuring market orientation: Are there differences between business marketers and consumer marketers? Australian Journal of Management, 25(2), 223-244. https://doi.org/10.1177/031289620002500206

Meier, K. J., & O’Toole, L. J. (2013). Subjective organizational performance and measurement error: common source bias and spurious relationships. Journal of Public Administration Research and Theory, 23(2), 429-456. https://doi.org/10.1093/jopart/mus057

Mîndrilã, D. (2010). Maximum likelihood (ML) and diagonally weighted least squares (DWLS) estimation procedures: A comparison of estimation bias with ordinal and multivariate non-normal data. International Journal of Digital Society, 1(1), 60-66. https://doi.org/10.20533/ijds.2040.2570.2010.0010

Mitra, S. K. (2009). Why universities are adopting market oriented management practices? Asian Social Science, 5(3), 137-142. https://doi.org/10.5539/ass.v5n3p137

Mnubi, G. M. (2013). Tanzania higher education-fifty years after independence, Unpublished Doctoral Dissertation, The University of North Dakota, USA.

Modi, P., & Sahi, G. K. (2018). The meaning and relevance of internal market orientation in nonprofit organisations. The Service Industries Journal, 38(5-6), 303-320. https://doi.org/10.1080/02642069.2017.1376660

Mokoena, B. A. (2019a). A comparative analysis of MARKOR and MKTOR scales of market orientation on university performance among Universities of Technology in South Africa. International Journal of Business and Management Studies, 11(1), 16-37.

Mokoena, B. A. (2019b). The relationship selected market orientation dimensions and organizational performance within universities in South Africa. Studia Universitatis Bases-Bol yai Oeconomica, 64(3), 54-68. https://doi.org/10.2478/subboec-2019-0015

Mokoena, B. A., & Dhurup, M. R. (2017). Effects of market orientation and barriers to market orientation on university performance: a study of universities of Technology in South Africa. International Business and Economics Research Journal. 16(1), 17-29. https://doi.org/10.19030/iber.v16i1.9882

Mokoena, B. A., Mafini, C., & Dhurup M. (2015). Navigating the influence of market orientation on university performance. Studia Universitatis Bases-Bol yai Oeconomica, 60(3), 22-40.

Narver, J. C., Slater, S. F., & Mac Lachlana, D.L. (2004). Responsive and proactive market orientation nad new-product success. Journal of Product Innovation Management, 21(5), 334-347. https://doi.org/10.1111/j.0737-6782.2004.00086.x

Narver, J. C., & Slater, S. F. (1990). The effect of a market orientation on business profitability. Journal of Marketing, 54(4), 20-35. https://doi.org/10.1177/002224299005400403

Niculescu, M., Xu, B., Hampton, G. M., & Peterson, R. T. (2013). Market orientation and its measurement in universities. Administrative Issues Journal: Education, Practice and Research, 3(2), 72-87. https://doi.org/10.5929/2013.3.2.2

Nor, A. I. (2018). Factors contributing to the students’ choice of university. Imperial Journal of Interdisciplinary Research, 4(1), 49-55.

Nunnally, J. C. (1978). Psychometric theory. McGraw-Hill Book Company.

Oreskovich, M. R., Kaups, K. L., Balch, C. M., Hanks, J. B., Satele, D., Sloan, J., & Shanafelt, T. D. (2012). Prevalence of alcohol use disorders among American surgeons. Archives of surgery, 147(2), 168-174. https://doi.org/10.1001/archsurg.2011.1481

Peter, J. P., (1981). Construct validity: A review of basic issues and marketing practices. Journal of Marketing Research, 18, 133-145. https://doi.org/10.1177/002224378101800201

Podsakoff, P. M., Mackenzie, S. B., Lee, J-Y., & Podsakoff, N. P. (2003). Common method biases in behavioural research: A critical review of the literature and recommended remedies. Journal of Applied Psychology, 88, 879-903. https://doi.org/10.1037/0021-9010.88.5.879

Ross, M., Debra, G., & We, S. (2013). Come on higher ed . . . get with the program! A study of market orientation in international student recruitment. Educational Review, 65(2), 219-240. https://doi.org/10.1080/00131911.2012.659656

Sefnedi, S. (2017). The market orientation and performance relationship: An empirical study in private universities. DeReMa Jurnal Manajemen, 12(1), 19-39. https://doi.org/10.19166/derema.v12i1.331

Shah, M., Nair, C. S., & Bennett, L. (2013). Factors influencing student choice to study at private higher education institutions. Quality Assurance in Education, 21(4), 402-416. https://doi.org/10.1108/qae-04-2012-0019

Sin, L. Y. M., Tse, A. C. B., Heung, V. C. S., & Yim, F. H. K. (2005). An analysis of the relationship between market orientation and business performance in the hotel industry. Hospitality Management, 24, 555-577. https://doi.org/10.1016/j.ijhm.2004.11.002

Sin, L. Y. M., Tse, A. C. B., Yau, O. H. M., Lee, J. S. Y., & Chow, R. (2002). The effect of relationship market orientation on business performance in a service-oriented economy. Journal of Service Marketing, 16(7), 656-676. https://doi.org/10.1108/08876040210447360

Singh, S., Darwish, T. K., & Potočnik, K. (2016). Measuring organizational performance: A case for subjective measures. British Journal of Management, 27(1), 214-224. https://doi.org/10.1111/1467-8551.12126

Stanton, J. M. (1998). An empirical assessment of data collection using the internet. Personnel Psychology, 51(3), 709-725. https://doi.org/10.1111/j.1744-6570.1998.tb00259.x

Svensson, G., & Wood, G. (2007). Are university students really customers? when illusion may lead to delusion for all! International Journal of Educational Management, 21(1), 17-28. https://doi.org/10.1108/09513540710716795

Swoboda, W. J., Mühlberger, N., Weitkunat, R., & Schneeweiß, S. (1997). Internet surveys by direct mailing: An innovative way of collecting data. Social Science Computer Review, 15(3), 242-255. https://doi.org/10.1177/089443939701500302

Tanzania Commission for Universities (2020). Vital stats on university education in Tanzania 2019. Tanzania Commission for Universities, Ministry of Education, Science and Technology.

Tjahjadi, B., Soewarno, N., Jermias, J., Hariyati, H., Fairuzi, A., & Anwar, D.N. (2022). Does Engaging in Global Market Orientation Strategy Affect HEIs’ Performance? The Mediating Roles of Intellectual Capital Readiness and Open Innovation. Journal of Open Innovation: Technology, Market and Complexity, 2022, 8, 29. https://doi.org/10.3390/joitmc8010029

Tran, T. P., Blankson C., & Roswinanto, W. (2015). Market orientation: An option for universities to adopt? International Journal of Nonprofit and Voluntary Sector Marketing, 20, 347-365. https://doi.org/10.1002/nvsm.1535

Vallen, H., Albaum, G., Wiley, J., James, B., & Thirkell, P. (2009). Applying theory to structure respondents’ stated motivations for participating in web surveys. Qualitative Market Research: An International Journal, 12(4), 428-442. https://doi.org/10.1108/13522750910993338

UNESCO. (2022, October, 24). Government expenditure on education, total (% of GDP) - Tanzania. https://data.worldbank.org/indicator/SE.XPD.TOTL.GD.ZS?locations=TZ

Vaikunthavasan, S., Jebarajakirthy, C., & Shankar, A. (2018). How to make higher education institutions innovative: An application of market orientation practices. Journal of Nonprofit and Public Sector Marketing. https://doi.org/10.1080/10495142.2018.1526741

Venkatraman, N., & Ramanujam, V. (1987). Measurement of business economic performance: An examination of method convergence. Journal of Management, 13(1), 109-122. https://doi.org/10.1177/014920638701300109

Webster, R. L., Hammond, K. L., & Rothwell, J. C. (2014). Market orientation effects on business school performance: Views from inside and outside business schools. American Journal of Business Education, 7(1), 9-20. https://doi.org/10.19030/ajbe.v7i1.8315

Willott, L. (2019). Average survey response rate – what you need to know. https://www.customerthermometer.com/customer-surveys/average-survey-response-rate/ retrieved on 28/06/2021

Zebal, M. A., & Goodwin, D. R. (2012). Market orientation and performance in private universities. Marketing Intelligence and Planning, 30(3), 339-357. https://doi.org/10.1108/02634501211226302


Cited by

  • There are currently no citations to this article.


Bookmark and Share


Copyright (c) 2023 Ramadhani Kitwana Dau, Huda Ahmed Yussuf

Creative Commons License
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

favicon Department of Management | Business School | Universitas Pelita Harapan | Indonesia | +62 21 546 0901 |  jurnal.derema@uph.edu