Document Type : Research Paper
Business studies have underlined the role of market orientation and technological capability to improve an industry performance. Technological capability and market orientation are known as rare, valuable and
inimitable resources which are affected by managerial perception of environmental dynamicity. It is mportant to explain the impact of managerial perception of environmental dynamicity on technological capability via mediator variable of market orientation. Environmental dynamicity focuses on complexity and volume of environmental and technological changes and market orientation emphasizes on the degree of sensitivity and response to the environmental changes. This relation is explored in this research by focusing on Iran avionics sector and verified as being a mediation relation. The results of this research shown by a structural model emphasize on the importance of changes of market needs and its dynamicity in technological capability improvement in the sectors with high rapid changes like avionics sector.