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Market-Driven Versus Driving Markets

Bernard Jaworski

The Monitor Company

Ajay K. Kohli

Emory University

Arvind Sahay

London Business School

The purpose of this article is to discuss two approaches to being market oriented—a market-driven approach and a driving-markets approach. Market driven refers to a business orientation that is based on understanding and reacting to the preferences and behaviors of players within a given market structure. Driving markets, on the other hand, implies influencing the structure of the market and/or the behavior(s) of market players in a direction that enhances the competitive position of the business. There are three generic ways of changing the structure of a market: (1) eliminating players in a market (deconstruction approach), (2) building a new or modified set of players in a market (construction approach), and (3) changing the functions performed by players (functional modification approach). Market behavior can be modified directly or, alternatively, indirectly by changing the mind-set of market players (e.g., customers, competitors, and other stakeholders).

Journal of the Academy of Marketing Science, Vol. 28, No. 1, 45-54 (2000)
DOI: 10.1177/0092070300281005


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