This study looks into how innovative product success influences the link between market performance and strategic direction. The investigation took a quantitative method. Self-administered questionnaires were the instruments used to gather data. In order to investigate the connections between the variables and evaluate the mediator's impacts, a number of hypotheses were ultimately created. The data was collected using a field survey given to 384 employees of Ethiopian textile and apparel companies. Using the AMOS function of structural equation modelling software, hypotheses were empirically evaluated on a data set of 384 participants by analysing the variables' regression and confirmatory factors. A total of 384 surveys were sent out. The various hypotheses posited in the study were empirically tested and found to be positively significant. According to the findings of this study shows that Strategy orientation has significant positive effect on products innovative and market Performance.