The Effect of Downsizing on Market Orientation: The Mediating Roles of Trust and Commitment

Mark Farrell

    Research output: Contribution to journalArticlepeer-review

    9 Citations (Scopus)

    Abstract

    Evidence suggests that organizations are continuing to downsize, whilst simultaneously attempting to embrace an organizational market orientation. Data is analysed from 2,000 organisations, using a structural equation modelling approach, (SEM). The findings suggest that downsizing - seeking efficiencies through reducing the number of employees, has a negative effect on employee trust, and employee commitment to a customer focus. Results suggest that employee trust has a positive effect on employee commitment to a customer focus and market orientation, and employee commitment to customer focus has a positive effect on market orientation.
    Original languageEnglish
    Pages (from-to)55-74
    Number of pages20
    JournalJournal of Strategic Marketing
    Volume11
    Issue number1
    DOIs
    Publication statusPublished - 2003

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