Internal marketing and organizational performance: A systematic review and future research agenda

Abstract

Internal marketing uses organizational integration and collaboration to facilitate strategic alignment of the organization with external market demands. In this systematic literature review, we explore how the exchanges instigated by internal marketing help to orient employees’ service relationships towards customer needs, thereby creating competitive advantage. We discuss how internal marketing, often broadly conceptualized as located in an employer-employee dyad, may stimulate complementary interactions amongst employees which contribute to the fulfilment of business objectives. We also consider how theories of internal marketing, whilst proposing an inherently inclusive strategic mindset, leave questions unanswered about the nature of stakeholder primacy. Specifically, we analyze the extent to which employees, customers or organizations should be prioritized as the principal beneficiaries of internal marketing, and the effects of theorists adopting ‘top-down’ and ‘outside-in’ perspectives focused on commercial, rather than relational, outcomes. We conclude by considering the implications of emerging working practices and suggest future research avenues.