When and how Board Members with Marketing Experience Facilitate Firm Growth
Kimberly A. Whitler, Ryan Krause, Donald R. Lehmann
Journal of Marketing · 2018 · Volume 82 · Issue 5
Abstract
Scholars have expressed concern that marketing's influence at the strategic levels of the firm is waning. Consistent with this view, only 2.6% of firms’ board members have marketing experience. The authors suggest that this is shortsighted and that including more marketing-experienced board members (MEBMs) will increase firm growth by (1) helping firms prioritize growth as a strategic objective and (2) contributing their expertise to improve the effectiveness of revenue growth strategies. Drawing on the behavioral model of corporate governance, the authors develop a theoretical framework explicating the situational, dispositional, and structural influence moderators that alter the impact of MEBMs on firm growth. Using 64,086 director biographies from S&P 1500 firms, the authors find that MEBMs positively affect firm-level revenue growth and that this relationship is strengthened or weakened by important contingencies that occur in the firm. The findings suggest that the common practice of not including experienced marketers on boards of directors puts firms at a competitive disadvantage.
Keywords
marketing-experienced board member, chief of marketing, board of directors, revenue growth, board diversity, upper echelons
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