Inter-functional Market Orientation Between Marketing Departments and Technical Departments in the Management of the New Product Development Process

The marketing concept states that firms who first determine and then satisfy customer needs should realize superior performance. Market orientation (MO) operationalizes the marketing concept and is the organization-wide generation of market intelligence, dissemination of the intelligence across departments, and organization-wide responsiveness to it (Kohli and Jaworski, 1990). Market oriented firms should enjoy successful new product programs (Slater and Narver, 1994). However, empirical findings are mixed. This research conceptualizes MO at the departmental level, specifically within cross-functional new product teams. Findings here suggest interfunctional market orientation (IFMO), between marketing and technology groups, is directly related to new product program success.