Market Orientation and Public Service Performance: New Public Management Gone Mad?
Article first published online: 1 SEP 2011
Copyright © 2011 The American Society for Public Administration
Public Administration Review
Volume 71, Issue 5, pages 707–717, September/October 2011
How to Cite
Walker, R. M., Brewer, G. A., Boyne, G. A. and Avellaneda, C. N. (2011), Market Orientation and Public Service Performance: New Public Management Gone Mad?. Public Administration Review, 71: 707–717. doi: 10.1111/j.1540-6210.2011.02410.x
- Issue published online: 1 SEP 2011
- Article first published online: 1 SEP 2011
The backbone of theory of the market-based approach New Public Management is that market orientation improves public service performance. In this article, market orientation is operationalized through the dominant theoretical framework in the business literature: competitor orientation, customer orientation, and interfunctional coordination. Market orientation is examined from the vantage point of three stakeholder groups in English local government: citizens, public servants, and the central government’s agent, the Audit Commission. Findings show that market orientation works best for enhancing citizen satisfaction with local services, but its impacts on the performance judgments of local managers or the Audit Commission are negligible. The conclusion discusses important implications of these findings for research, policy, and practice.