The effect of marketing capabilities on firm performance: Investigating the moderating role of marketing strategy

Abstract

Marketing has a significant role in determining the strategic approach and the performance results in a company. Marketing is a technique that will enable an organization to handle the current challenges and obstacles and achieve the desired goals if it is used logically and intelligently in a competitive condition. Therefore, this study aims to investigate the impact of marketing capabilities on company performance regarding the moderating role of marketing strategy. Data in this applied-descriptive research has been collected through questionnaire surveys. A total of 335 copies of the questionnaire were distributed among the food and beverage manufacturing companies in the province of Tehran. Structural equation modeling (SEM) with the help of SPSS and PLS2 has been used for data analyses. The results show that there is a significant relationship between marketing capabilities and company performance. The moderating role of marketing strategy on the relationship between marketing capabilities and the company performance has been proven as well. Given the changing business environment and increasing competition from domestic and foreign competitors, companies must be able to create such a competitive advantage that their competitors cannot easily replicate using internal resources. One of these capabilities is marketing capability. Marketing capabilities can be very important to companies and enhance the performance of a specific company over its competitors.