The purpose of this study is to explore that how hospitals’ administrators apply the practice of
internal marketing to influences hospitals’ market orientation and innovation. The research
subjects are 491 contracted hospitals with the evaluated level as district hospital and above to
investigate presidents and high-level managers of hospitals in Taiwan. There were 106 valid
questionnaires retrieved and the response rate was 21%.According to the result, this study
found that: Internal marketing influence the market orientation significantly; Internal
marketing influence the organizational innovation significantly.