As organizations continue to invest heavily in analytics and digital transformation, a new study by researchers at LAU’s Adnan Kassar School of Business (AKSOB) examines why some firms successfully turn data into a competitive advantage while others struggle to derive meaningful value from it.

Published in Industrial Marketing Management, the study titled “Employing big data capability in the face of fierce competition: Exploring the synergy between market orientation, marketing strategies, and innovation capabilities” was co-authored by Associate Professor and Chair of the Department of Information Technology and Operations Management Manal Yunis and Associate Professor and Chair of the Department of Marketing Omar Itani, alongside international researchers.

Drawing on responses from 190 companies across competitive industries, the study explores how firms translate market intelligence into innovation and marketing capabilities through the effective use of big data.

“What pushed us toward this research was a clear disconnect,” said Dr. Itani. “Firms are investing heavily in big data, yet many still struggle to turn it into a real competitive advantage.”

The study, he added, examined the conditions that allow organizations to turn data capabilities into innovation and marketing effectiveness.

The findings challenge the idea that technology alone drives transformation. Instead, the study positions effective data use as an organizational strength shaped by the alignment of human expertise, business processes, and technological resources. 

“Technology alone does not create value,” explained Dr. Yunis. “Data only becomes meaningful when it is supported by the right people and embedded in business processes.” Without alignment across these dimensions, she added, data remains underused instead of becoming a real capability.

Using responses from companies operating in highly competitive environments, the researchers found that market-oriented firms are significantly better positioned to develop effective analytics capabilities.

Organizations that actively generate, share, and respond to market intelligence are more likely to leverage data because they already prioritize customer and competitor insights in decision-making.

The findings also show that effective use of data acts as a bridge between market orientation and broader organizational performance. Firms may gather market intelligence, but the ability to process information at scale, extract meaningful insights, and transform those insights into innovation and marketing action is what ultimately creates value.

“The challenge is turning information into faster decisions, stronger customer understanding, and long-term business value,” said Dr. Itani. “Innovation helps firms stay relevant, while marketing capability ensures they communicate and deliver value effectively. These capabilities are strengthened by improving precision, responsiveness, and decision-making.”

The research further highlights the role of competitive intensity. In highly competitive environments, where organizations face constant pressure to differentiate and adapt quickly, the value of strong analytical capabilities becomes even more significant.

“Competition increases the need for agility, differentiation, and precision,” said Dr. Yunis. “In those environments, the insights generated from big data become significantly more valuable because they help firms respond faster and outperform rivals.”

Beyond its practical implications, the study also contributes to broader management theories, including the resource-based view and dynamic capabilities theory, by demonstrating that data becomes strategically valuable only when firms effectively integrate and deploy resources across the organization.

“Leadership plays a critical role in whether data initiatives succeed,” noted Dr. Yunis. “Without organizational support and a culture that values informed decision-making, even strong technological investments tend to remain superficial.”

Ultimately, the study argues, competitive advantage no longer depends solely on access to data but on an organization’s ability to transform it into coordinated action.

“Digital transformation is not simply about technology,” said Dr. Yunis. “Firms need to rethink how they align data, people, and strategy if they want those efforts to improve performance and strengthen long-term growth.” 

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