Although a number of researchers theoretically declare a positive association between customer relationship management and firm performance, a valid measure of customer relationship management orientation (CRMO) has not yet been proposed, nor has a systematic analysis of its effect on firm performance been previously completed.
This thesis addresses some conceptual and measurement issues related to the study of CRMO and its impact on firm performance in the travel industry in Taiwan. It first reviews the literature of travel agents and CRM, then the concept of CRMO and its important dimensions. Next, a sampling frame of 1,586 travel agents was constructed and questionnaires were sent to them accordingly. As a result, 171 questionnaires, which represent 10.78% returned rate, was received. This sample was utilized to test the construct of CRMO in terms of construct validity, convergent validity, discriminate validity, nomological validity and reliability. Findings show that the validity and reliability of CRMO are confirmed.
Findings of this study have several implications. From the theoretical perspective, the scale for CRMO has help expanding the theory on customer relationship to a new boundary. Results indicate that CRMO is definitely an independent construct, which affects the performance of a firm. There are several implications from the managerial perspective. Firstly, CRMO could be used to help firms perform better through proper training and motivation. Secondly, since dynamic capability can only influence performance through knowledge capability, firms should put more emphasis on the three components of knowledge capability so as to achieve better firm performance.
The study has a number of limitations. Firstly, the development of the scale for CRMO has only adopted travel agents in Taiwan as sampling units. A more generalized framework should be used in the future. Secondly, the sample size tends to be small. In the future, a more representative sample should be adopted.

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