Market Orientation, Ambidexterity and Performance Outcomes

This study aims to discuss the relation between market orientation and innovation strategies from an ambidexterity perspective. First, defining ambidexterity as simultaneous pursuit of exploitative and explorative innovation strategies, we argue the role of market orientation with responsive and proactive dimensions as an antecedent of both exploitative and explorative innovation strategies. Secondly, we discuss the joint effects of both strategy types on firm performance. We develop several propositions and recommend that a total market orientation can facilitate firms to realize their organizational ambidexterity. Lastly, implications for further research and managerial suggestions are highlighted.