Abstract: The objectives of this study were to identify the level of market orientation of micro and small businesses and to identify whether there are differences in level of market orientation in terms of firm level characteristics. Accordingly, a sample of 49 micro and small businesses based on agriculture and trading sectors in Badulla district were studied. According to descriptive statistics, none of the firms is adopting a high level market orientation whereas all most all the firms are belonging to either medium or low level of adaptation of market orientation. The test results of independent sample t-test and One Way ANOVA proves that data support for a statistically significant (P<0.05) difference in the level of market orientation in terms of gender educational level of the owner manager and the business experience of the owner managers in the studied sample.
Keywords: Market orientation, firm level characteristics