Examining the role of information technology in cultivating firms' dynamic marketing capabilities

Dynamic capabilities enable firms to reconfigure limited resources or relative strengths to respond to rapid changes in market conditions. This study considers the central role of IT in creating and enhancing dynamic capabilities by analyzing the essential determinants of dynamic marketing capabilities and proposing a model that includes market orientation, IT infrastructure capabilities, and use of IT to support CRM. Tests using a large-scale survey support the model and most of its hypotheses. The results reveal significant effects of a firm’s market orientation and use of IT to support CRM and the functionality of IT infrastructure capabilities on dynamic marketing capabilities.