Skip to main content
Log in

Perceived environmental turbulence and its effect on selected entrepreneurship, marketing, and organizational characteristics in industrial firms

  • Published:
Journal of the Academy of Marketing Science Aims and scope Submit manuscript

Abstract

Entrepreneurship and marketing are approached as proactive corporate responses to an increasingly dynamic, threatening, and complex external environment. Both represent organizational orientations built around creativity, innovativeness, flexibility, and risk-taking. A conceptual model is proposed relating the levels of entrepreneurship, marketing activity, and marketing-related structure of a firm to the degree of perceived environmental turbulence confronting the firm. Results of a survey involving personal interviews with managers in 93 firms representing six industries are reported. Turbulence is found to have a significant causal impact on both the levels of entrepreneurship and the marketing orientation of the firm, but not on structural variables.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Similar content being viewed by others

References

  • Ansoff, I.H. 1979. “The Changing Shape of the Strategic Problem.”Strategic Management. Boston: Little Brown and Company.

    Google Scholar 

  • Bagozzi, R.P. 1975. “Marketing as Exchange.”Journal of Marketing 39 (October):32–39.

    Article  Google Scholar 

  • Bagozzi, R.P., and Y. Yi. 1988. “On the Evaluation of Structural Equations Models.”Journal of the Academy of Marketing Science 16(1) (Spring):46–67.

    Article  Google Scholar 

  • Baknoff, E.N., and J.T. Brannon. 1984. “Forward and Backward Linkages in a Plantation Economy: Immigrant Entrepreneurship and Industrial Development in Yucatan, Mexico.”The Journal of Developing Areas 19 (October):82–94.

    Google Scholar 

  • Bennett, R.C., and R.G. Cooper. 1979. “Beyond the Marketing Concept.”Business Horizons (June):76–83.

    Article  Google Scholar 

  • Bonoma, T.V. 1986. “Marketing Subversives.”Harvard Business Review (November–December):113–118.

    Google Scholar 

  • Brandt, S. 1986.Entrepreneuring in Established Companies. Homewood, IL: Dow Jones-Irwin.

    Google Scholar 

  • Brockhaus, R.H., and W.R. Nord. 1979. “An Exploration of Factors Affecting the Entrepreneurial Decision: Personal Characteristics vs. Environmental Conditions.”Proceedings, Academy of Management Annual Meetings.

  • Burgelman, R.A. 1984. “Designs for Corporate Entrepreneurship in Established Firms.”California Management Review 26(3):154–166.

    Google Scholar 

  • Business Week. 1983. “Marketing: The New Priority.” November 21.

  • Calantone, R., and R.G. Cooper. 1977. “A Typology of Industrial New Product Failure.” InProceedings, Educator’s Conference Series No. 41, pp. 492–497. B.A. Greenburg and D.N. Bellenger, eds. Chicago: American Marketing Association.

    Google Scholar 

  • Canning, G., Jr. 1988. “Is Your Company Marketing Oriented?”Journal of Business Strategy 9 (May/June):38–44.

    Google Scholar 

  • Carland, J.W., F. Hoy, W.R. Boulton, and J.C. Carland. 1984. “Differentiating Entrepreneurs from Small Business Owners.”Academy of Management Review 9:354–359.

    Article  Google Scholar 

  • Cauthorn, R.C. 1989.Contributions to a Theory of Entrepreneurship. New York: Garland Publishing.

    Google Scholar 

  • Cooper, R.G. 1979. “The Dimensions of Industrial New Product Success and Failure.”Journal of Marketing 43(3):93–103.

    Article  Google Scholar 

  • — 1982. “New Product Success in Industrial Firms.”Industrial Marketing Management 11:215–223.

    Article  Google Scholar 

  • — 1983. “The Impact of New Product Strategies.”Industrial Marketing Management 12 (November):243–256.

    Article  Google Scholar 

  • Covin, J.G., and D.P. Slevin. 1989. “Strategic Management of Small Firms in Hostile and Benign Environments.”Strategic Management Journal 10 (January):75–87.

    Article  Google Scholar 

  • Deshpande, R., and F.E. Webster, Jr. 1989. “Organizational Culture and Marketing: Defining the Research Agenda.”Journal of Marketing 53(1) (January):3–15.

    Article  Google Scholar 

  • Drucker, P.F. 1980.Managing in Turbulent Times. New York: Harper and Row.

    Google Scholar 

  • — 1985.Innovation and Entrepreneurship: Principles and Practices. New York: Harper and Row.

    Google Scholar 

  • — 1977. “The Innovative Organization.”People and Performance: The Best of Peter Drucker on Management. New York: Harper and Row, pp. 145–163.

    Google Scholar 

  • Emery, F.E., and E.L. Trist. 1965. “The Causal Texture of Organizational Environments.”Human Relations, 18:21–32.

    Article  Google Scholar 

  • Ettlie, J.E. 1983. “Organizational Policy and Innovation Among Suppliers to the Food Processing Sector.”Academy of Management Journal 26: 27–44.

    Article  Google Scholar 

  • Fornel C. 1983. “A Second Generation of Multivariate Analysis: Classification of Methods and Implications for Marketing Research.” Working Paper, University of Michigan.

  • Geneen, H. 1984.Managing. New York: Doubleday and Company.

    Google Scholar 

  • Ginsberg, A. 1985. “Measuring Changes in Entrepreneurial Orientation Following Industry Deregulation: The Development of a Diagnostic Instrument.”Proceedings, of the First Diennial Conference of the U.S. Affiliate of the International Council for Small Business.

  • Gobeli, D. 1983. “Recasting the Marketing Concept.”Proceedings, Educator’s Conference. Chicago: American Marketing Association, pp. 320–323.

    Google Scholar 

  • Hayes, R.H., and W.J. Abernathy. 1980. “Managing Our Way to Economic Decline.”Harvard Business Review (July–August):67–77.

    Google Scholar 

  • Hebert, R.F., and A.N. Link. 1988.The Entrepreneur: Mainstream Views and Radical Critiques. 2nd edition. Westport, CT: Quorom Books.

    Google Scholar 

  • Hunt, S.D. 1976. “The Nature and Scope of Marketing.”Journal of Marketing 40 (July):17–28.

    Article  Google Scholar 

  • Jain, S.C. 1983. “The Evolution of Strategic Marketing.”Journal of Business Research 11:409–425.

    Article  Google Scholar 

  • Joreskog, K.G., and D. Sorbom. 1983.LISREL: Analysis of Linear Structural Relationships by Method of Maximum Likelihood—User’s Guide. 2nd edition. Chicago: National Educational Resources.

    Google Scholar 

  • Kanter, R.M. 1983.The Change Masters: Innovation and Entrepreneurship in the American Corporation. New York: Simon and Shuster.

    Google Scholar 

  • Kao, J.J. 1989.Entrepreneurship, Creativity and Organization. Englewood Cliffs, NJ: Prentice-Hall.

    Google Scholar 

  • Kent, C.A. 1986.The Environment for Entrepreneurship. Lexington, MA: D.C. Heath and Co.

    Google Scholar 

  • Kerby, J.K. 1972. “The Marketing Concept: Suitable Guide to Product Strategy?”The Business Quarterly 37 (Summer):31–35.

    Google Scholar 

  • Khandwalla, P. 1977.The Design of Organizations. New York: Harcourt, Brace, Jovanovich.

    Google Scholar 

  • Knight, R.M. 1987. “Corporate Innovation and Entrepreneurship: A Canadian Study.”Journal of Product Innovation Management 4(4) (December): 284–297.

    Article  Google Scholar 

  • Kotler, P. 1988.Marketing Management, Analysis, Planning, Implementation and Control. Englewood Cliffs, NJ: Prentice-Hall.

    Google Scholar 

  • Lusch, R.F., and G.R. Laczniak. 1987. “The Evolving Marketing Concept, Competitive Intensity, and Organizational Performance.”Journal of the Academy of Marketing Science 15 (Spring):1–11.

    Article  Google Scholar 

  • MacMillan, I.C., Z. Block, and P. Narashina. 1986. “Corporate Venturing: Alternatives, Obstacles Encountered, and Experience Effects.”Journal of Business Venturing 1(2) (Spring):177–192.

    Article  Google Scholar 

  • McCarthy, E.J., and W.D. Perreault. 1987.Basic Marketing. Homewood, IL: Richard D. Irwin.

    Google Scholar 

  • McKetterick, J.B. 1957. “What Is the Marketing Management Concept?”The Frontiers of Marketing Thought and Action. Chicago: American Marketing Association, pp. 71–82.

    Google Scholar 

  • McNamara, C.P. 1972. “The Present States of the Marketing Concept.”Journal of Marketing 36 (January):50–57.

    Article  Google Scholar 

  • Miles, M.P., and D.R. Arnold. 1989. “An Empirical Investigation of the Relationship Between the Marketing Orientation and the Entrepreneurial Orientation.” Working Paper Series, Mississippi State University, Mississippi State, MS.

    Google Scholar 

  • Miller, D., and P.H. Friesen. 1982. “Innovation in Conservative and Entrepreneurial Firms: Two Models of Strategic Momentum.”Strategic Management Journal 3:1–25.

    Article  Google Scholar 

  • Miller, D., and P.H. Friesen. 1983. “Strategy-Making and Environment: The Third Link.”Strategic Management Journal 4:221–235.

    Article  Google Scholar 

  • Morris, M.H., and G.W. Paul. 1987. “The Relationship Between Entrepreneurship and Marketing in Established Firms.”Journal of Business Venturing 2:247–259.

    Article  Google Scholar 

  • Murray, J.A. 1984. “A Concept of Entrepreneurial Strategy.”Strategic Management Journal 5:1–13.

    Article  Google Scholar 

  • — 1981. “Marketing in the Home for the Entrepreneurial Process.”Industrial Marketing Management 10:93–100.

    Article  Google Scholar 

  • Nunnally, J.C. 1970.Psychometric Theory. New York: McGraw-Hill.

    Google Scholar 

  • Peters, T.J., and R.H. Waterman. 1982.In Search of Excellence. New York: Harper and Row.

    Google Scholar 

  • Pinchot, G., III. 1985.Intrapreneuring. New York: Harper and Row.

    Google Scholar 

  • Rothwell, R. 1980. “Policies in Industry.” Ink. Pavitt. Editor.Technical Innovation and British Economic Performance. London: MacMillan, pp. 209–309.

    Google Scholar 

  • Sachs, W.S., and G. Benson. 1978. “Is It Time to Discard the Marketing Concept?”Business Horizons 21 (August):68–74.

    Article  Google Scholar 

  • Smart, C., and I. Vertinsky. 1984. “Strategy and the Environment: A Case Study of Corporate Responses to Crises.”Strategic Management Journal 5:199–213.

    Article  Google Scholar 

  • Stefflre, V. 1985. “Organizational Obstacles to Innovation: A Formulation of the Problem.”Journal of Product Innovation Management 2:3–11.

    Article  Google Scholar 

  • Stevenson, H.H., and D.E. Gumpert. 1985. “The Heart of Entrepreneurship.”Harvard Business Review 63(2) (March/Arpil): 85–94.

    Google Scholar 

  • Stevenson, H.H., M.J. Roberts, and H.I. Grousback. 1985.New Business Ventures and the Entrepreneur.Homewood, IL:Richard D. Irwin.

    Google Scholar 

  • Waterman, R.H. 1987.The Renewal Factor. New York: Bantam.

    Google Scholar 

  • Webster, F.E., Jr. 1988. “Rediscovering the Marketing Concept.”Business Horizons 31 (May–June):29–39.

    Article  Google Scholar 

  • Zahra, S.A. 1986. “A Canonical Analysis of Corporate Entrepreneurship Antecedents and Impact on Performance.” InBest Paper Proceedings, 46th Annual Meeting. Pearce and Robinson, eds. Academy of Management, pp. 71–75.

  • Zeithaml, C.P., and V.A. Zeithaml. 1984. “Environmental Management: Revising the Marketing Perspective.”Journal of Marketing 48 (Spring): 46–53.

    Article  Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Rights and permissions

Reprints and permissions

About this article

Cite this article

Davis, D., Morris, M. & Allen, J. Perceived environmental turbulence and its effect on selected entrepreneurship, marketing, and organizational characteristics in industrial firms. JAMS 19, 43–51 (1991). https://doi.org/10.1007/BF02723423

Download citation

  • Issue Date:

  • DOI: https://doi.org/10.1007/BF02723423

Keywords

Navigation