The relationship between market orientation and firm innovativeness:

Abstract

Food-processing enterprises contribute significantly to the global economy. Yet, many struggle in their growth and face early failure. Innovation, therefore, becomes critical to their survival. This paper investigates how market orientation (MO) influences innovativeness in Tanzanian food-processing firms and tests whether gender roles moderate that relationship. The study is echoed in dynamic capability theory supported by institutional theory. The study employed an explanatory cross-sectional survey design. The simple random sampling technique was used to obtain a sample of 224 food processing firms from the population of 284 registered food processing firms which had updated their business licence in the year 2022/2023. The data were collected using a structured questionnaire which comprised Likert-scale questions. The analysis of the objectives was done by using structural equation modelling (SEM). The findings reveal that all of the MO dimensions had a positive and significant effect on innovativeness. Customer orientation had (β = 0.372, p < 0.001), competitor orientation had (β = 0.404, p < 0.001), and inter-functional coordination had (β = 0.196, p = 0.035). Gender roles moderated customer and competitor orientation links. The findings imply that firms that stay sharply focused on their markets by listening to customers, keeping an eye on competitors and making sure their teams work smoothly together tend to be more innovative. Furthermore, owner/managers should build a routine of gathering customer feedback, track competitor moves, and encourage teamwork. Policy makers offering trainings, networking events and targeted support can help smaller firms develop this market-orientated mindset and spark more innovation across the whole sector.