The Effect of Market Orientation on Service Innovation: A Study on the Information and Communication Technology (Ict) Sector in Jordan

The main purpose of this study is to investigate the effect of market orientation on service innovation in Jordanian Information and Communication Technology (ICT) Sector. Customer orientation, competitor orientation, inter- functional coordination, intelligence generation, intelligence dissemination, and intelligence responsiveness were the components of market orientation in this study. The population of this study was defined as all Intaj members that are included within Information and Communication Technology (ICT) Sector in Jordan which are 184 companies till February 2011. Primary data were collected from 50 companies by disseminating 300 questionnaires to the key respondents who were the employees within marketing and sales departments in that fifty companies. Multiple regression analysis was used to fulfill the research objective. The findings indicated that there is a high level of implementation of (1) market orientation and (2) service innovation within selected companies, and that there is a statistically significant effect of market orientation on service innovation, as well as all market orientation components have statistically significant positive effect on service innovation except for intelligence generation, and the most important (influential) independent variable within market orientation construct to influence service innovation was competitor orientation.