Investigating the Relationship Between the Market Orientation Approach of Pharmaceutical Companies and Their Innovative Performance: The Mediating Role of Dynamic Capabilities and Corporate Social Responsibility

Abstract

Background: Given the intensifying competition, adapting to the market environment and meeting customer demands are crucial aspects of the evolving marketing process. Market orientation (MO) represents an organizational culture encompassing shared beliefs and values that prioritize the customer's role in business planning. Objectives: This study seeks to explore the impact of MO on innovative performance (IP) and the potential mediating role of dynamic capabilities (DC) and corporate social responsibility (CSR) in this relationship. Methods: For this study, a structured quantitative questionnaire was distributed to 100 local pharmaceutical companies, resulting in 300 completed questionnaires. Each questionnaire consisted of four main components, which were filled out by three managers from each company: Chief executive officer (CEO), marketing manager, and research and development manager. The collected data were analyzed using SPSS software and structural equation methods to examine the research questions and hypotheses. Results: According to the study findings, there was a positive correlation between employee age, organizational structure, sales volume, and the presence of private companies with IP. MO, DC, and CSR showed a direct and significant relationship with IP. Moreover, the CSR of the company influenced IP through the mediating role of DC. Market orientation was found to enhance explorative IP, leading to improvements in existing processes and services. Conclusions: Based on the study results, it was found that MO has a direct positive impact on IP, leading to improvements in the company's existing processes through its influence on exploratory performance.