Managerial traits, market orientation and organisational performance: an empirical examination in a Middle Eastern context

Abstract

The purpose of this study is to empirically examine the role of managerial traits (need for achievement, tolerance for ambiguity, conformity, and individualism) in advancing market orientation and in turn business performance. The sample of the study consisted of 262 bank branch managers in Jordan. Structural equation modelling was used to analyse the data and test the hypotheses. Results supported all five hypotheses. Specifically, need for achievement, tolerance for ambiguity, conformity and individualism are all positively and significantly related to market orientation. This study provides evidence that managerial traits may be effective enablers of market orientation and in turn of firm performance. Firms could recruit, select and train managers with certain traits when they are in pursuit of market orientation. Even though numerous studies considered structure, process, system, behaviour, competence, leadership, and context as enhancers of market orientation, not much attention has been given to the plausible effects of psychological traits of managers on market orientation. By testing four important managerial traits, the study advances the literature on predictors of market orientation.