Abstract
CEOs uniquely shape activities within the firm. Among potential activities, pricing is unique: pricing has a direct and substantial effect on firm performance. In what may be the first quantitative study in industrial marketing polling exclusively CEOs globally we examine to which degree CEO championing of pricing influences pricing capabilities and firm performance. Our sample consists of 358 CEOs of industrial firms. Our results suggest that the level of championing of pricing by the CEO positively influences decision-making rationality, pricing capabilities, and collective mindfulness thereby leading to a significantly higher firm performance. This study also documents a relationship between decision making rationality and pricing capabilities (but not firm performance) thus suggesting that intuition in pricing decisions could drive firm performance.
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