The Relationship between Market-orientation Culture and Human Resource Productivity: Business Organizations in the Focus

Abstract

Market-orientation culture represents a form of creative flexibility the purpose of which is to boost values for market stake holders by prioritizing the role of costumer in all business activities. Productivity, along with efficiency as an inherent economic factor accompanying it, is the ultimate goal for numerous business organizations. The purpose of the present enquiry was to find out the extent to which market-orientation culture and productivity of human resources may influence each other. The study is based on the mixed findings regarding the nature of the relationship and the orientation of causality. To serve the purpose, the Granger Causality Test and the Hausman Test in simultaneous equation system were employed. Employing Market-orientation Culture Model of Denison and Human Resource Productivity Model of Hersi and Blanchard, the research data were obtained via direct observation of behavioral attitudes of the personnel working at Yaas Chain Stores in Tehran up to saturation point. The findings indicated significant positive relationship between the two research variables with enhanced human resource productivity boosting market-orientation culture and vice-versa.

Keywords

• granger causality
• hausman test
• human resource productivity
• market-orientation culture
• simultaneous equation system