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The Influence of Alternative Marketing Styles on Internal Competences in Small Manufacturing Firms: the Results of a UK Investigation
Authors:Dr Ian Chaston
Abstract:Increasingly firms are being encouraged to move away from traditional, transactional marketing and instead adopt a relationship marketing orientation. Concurrently another emerging academic concept is entrepreneurial marketing. Interest in this latter area has, in part, been stimulated by research on marketing processes within the SME sector. It is proposed that the merger of relationship and entrepreneurial marketing might result in 4 alternative marketing styles. To determine whether these styles exist, a mail survey of 300 small UK manufacturing firms was undertaken in the summer of 1996. The survey tool used the Covin/Slevin entrepreneurial measurement scale and a new scale developed specifically to measure relationship marketing style. Competence was measured by seeking managing directors' assessment of the current capability of their firm in the areas of positioning, innovation, H.R.M., employee productivity, quality and information management. Applying ANOVA to the responses from 104 firms suggests that respondent firms can be classified into 4 different marketing styles and that an orientation towards an entrepreneurial-transactional marketing style will generate the highest overall sales growth rate. Discriminant function analysis indicates that relationship orientated firms exhibit higher competences in areas such as the management of quality and the utilisation of information to enhance decision-making. The implications of these findings in relation to the future provision of support services to smaller firms are discussed, as is the need for further research.
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