The Relationship between Strategy Orientation and Marketing Performance: The Role of Organizational Change Capability

Small and Medium-sized Enterprises (SMEs) have a great contribution to the economy of Indonesia. Their qualitative development, however, is not as rapid as their quantitative one. This research is intended to provide information about conceptual controversy relevant to the role of market orientation, innovation orientation and marketing performance. Population of this research are owners or managers of SMEs in food sector in Solo Raya, Indonesia. The research uses sampling area method, and the number of sample is 250. The method applied in analyzing the data is the Structural Equation Modeling with Lisrel software. This research reveals the results: customer and competitor orientation have positive and significant influence on technical innovation and marketing performance orientation. Technical innovation orientation shows negative and insignificant effect on marketing performance. The organizational change capability moderates the influence of customer orientation on the orientation of technical innovation, but it does not moderate the influence of competitor orientation on the orientation of technical innovation.