Open AccessInnovation and Leadership
Author(s) -
Adam J. Bock,
Andreas B. Eisengerich,
Dmitry Sharapov,
Gerard George
Publication year - 2015
Publication title -
sage open
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.357
H-Index - 32
ISSN - 2158-2440
DOI - 10.1177/2158244015586812
Subject(s) - marketing , cost leadership , business , product innovation , revenue , exploit , new product development , value (mathematics) , service (business) , competitive advantage , computer security , accounting , machine learning , computer science
Ensuring that organizational innovation generates valueincreasingly requires effective marketing management. Prior studies, however, reportconflicting effects of chief marketing officer (CMO) leadership on how well the firmexploits innovation. These inconsistencies may be associated with firm-level innovationeffort, customer focus, and industry type. We analyze archival data from 587 interviewswith global CEOs to explain the effect of CMO leadership on outcomes of organizationalinnovation. CMO leadership of the firm’s primary innovation mode is positivelyassociated with product–market innovation effort but not marginal revenue frominnovation. CMO leadership also moderates the relationship between customer focus andinnovation revenue. Predictive validity testing shows that these effects are especiallyimportant for service firms. The benefits of CMO-led innovation have specificlimitations that firms must consider for organization-wide innovationefforts