The Impact of Market Orientation on Organisational Performance: A Study of Small and Medium Scale Hotels in Tourism Industry in Southern Province, Sri Lanka

Abstract

This research aimed to identify the impact of market orientation on organisational performance in small and medium scale tourist hotels in Southern province, Sri Lanka. This study used a structured questionnaire to collect data and partial least squares path modelling (PLS) to analyse the collected data. Hypothesis on interfunctional coordination and organisational performance was not statistically significant, whereas three hypotheses on customer orientation, competitor orientation, and social benefit orientation were statistically significant. All four hypotheses indicated a positive impact on organisational performance. It thereby added to the existing body of literature and provided several insights for managers in the hotel industry and hospitality services. Since this field of inquiry is relatively new, it also offers numerous alternatives for further studies.