Examining the role of market learning in innovation-based dual performance in social purpose organizations (SPOs)

ABSTRACT

This study builds on the growing view in the market orientation (MO) literature that market learning alone is inadequate to deliver high-value adding innovations. Addressing the limitations of direct adaptation of market orientation (MO) measures to an SPO context, we conceptualize market learning to capture a broader set of stakeholders that influences SPO marketing campaigns. The study design adopts a two-stage, multi-method design: a qualitative study focused on building an SPO context-specific research model, followed by a quantitative study of testing the model in a larger sampling frame of SPOs. The findings of the study support our theorization that market learning stimulates network learning yet has no direct effect on social innovation. Our paper contributes to the strategic marketing literature by conceptualizing the market-learning construct that captures the SPO context and examining its interplay with network learning, which is suggested to impact the dual social and economic value creation.