Korea Trade Review (무역학회지)

Korea Trade Research Association (한국무역학회)
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Market Orientation Types and Investment Performance: Evidence from Multinational Manufacturers in China

중국진출 다국적제조기업의 현지시장지향성 유형과 투자성과에 대한 실증분석

  • Song Gao (Department of International Trade, Konkuk University) ;
  • Sung-Hoon Lim (Department of International Trade, Konkuk University)
  • 고숭 (건국대학교 국제무역학과) ;
  • 임성훈 (건국대학교 국제무역학과)
  • Received : 2022.02.03
  • Accepted : 2022.02.26
  • Published : 2022.02.28
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Abstract

For multinational manufacturers, China is an attractive consumer market, but the unique attributes and tastes of Chinese customers present challenges in achieving desired investment performance. In this paper, the influence (mediating function) of consumer-centered market orientation adopted as a strategic means by multinational companies entering China on investment performance was examined utilizing samples collected through questionnaires and statical analysis through structural equation models. This paper, based on value chain and product attributes, divided market orientation into two types: production impacted market orientation and service impacted market orientation. The empirical analysis results of 233 samples showed that, service impacted market orientation with downstream activities and support service (as a variable) has a greater impact on investment performance than production impacted market orientation with upstream activities and product attributes. This indicates to managers that focusing on service impacted market orientation when implementing consumer-centered marketing strategies in the Chinese local market is an efficient/effective localization strategy to increase expected investment performance.

Keywords

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