Journal of Social Sciences

Journal of Social Sciences

ISSN (E): 2305-9249
ISSN (P): 2305-9494

Volume 4, No.2, April 2015 Issue

Analysis of the Relationship between Market Orientation and Leadership Style in Hungarian SMEs
Dr. Agnes Hofmeister-Tóth, Kinga Kopfer-Rácz, Dóra Sas

pp 812-827


SMEs' relation towards marketing and their marketing practices are as yet unexplored research areas in Hungary. This study focuses on the market orientation of Hungarian small and medium-sized companies, with a special focus on the interrelation between market orientation and leadership style. Since previous research (e.g.: Blankson et al., 2006, Smart and Conant, 1994) has shown a significant, positive correlation between market orientation and marketing competencies, we have also examined which internal factors influence the level of market orientation of Hungarian SMEs.

Quantitative research1 was conducted with the participation of 200 SMEs using the Kohli-Jaworski (1990) scale. The results confirmed previous international studies that market orientation is significantly and positively related to financial performance. This means that the SME leader should pay closer attention to collect information and create market intelligence pertaining to current and future customer needs, to disseminate this intelligence across departments and to respond to it organization-wide.

Leadership style was determined based on the Harris and Ogbonna (2001) scale. Our results indicated that a participating and supportive management style leads to higher market orientation. In the case of Hungarian SMEs, there are three factors significantly associated with leadership styles: the industry, the size of the business, and the location of the company.

SMEs, marketing, market orientation, management, leadership style, revenue, Hungary

Hofmeister-Tóth , Agnes; Kopfer-Rácz , Kinga; Sas, Dóra, (2015); Analysis of the Relationship between Market Orientation and Leadership Style in Hungarian SMEs; Journal of Social Sciences (COES&RJ-JSS), Vol. 4, No. 2, pp:812-827;

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Journal of Social Sciences (COES&RJ-JSS) Volume 4, No. 2, April 2015 ISSN (E): 2305-9249 ISSN (P): 2305-9494
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