Abstract
This study asks two unique questions. First, does the CEO’s religious affiliation, a proxy for risk taking, influence the firm’s advertising spending decision? Based on data collected on the religious affiliations of CEOs of publicly listed U.S. firms between 1992 and 2014 from Marquis Who’s Who, and advertising spending and shareholder value from COMPUSTAT, we find higher advertising spending levels for Protestant over Catholic-led firms. Second, is the relationship between advertising spending and shareholder value moderated by the CEO’s religious affiliation? We find that the effect of advertising spending on shareholder value is greater for Protestant than Catholic-led firms. These new results highlight the role of executives’ personal religious values in shaping firms’ marketing spending decisions and shareholder value. The implications are twofold. First, marketing theory needs to incorporate the missing but fundamental effect of religious affiliation based values. Second, Boards of Directors, seeki...
Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
