What Type of Companies Choose a CEO with a Marketing Background?

Document Type

Article

Comments

Published by the Journal of American Academy of Business in The Business Review, Cambridge, volume 11, issue 1, pages 195-201.

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Keywords

Background checks;Organizational behavior;Appointments & personnel changes

Publisher

Journal of American Academy of Business

Publication Source

The Business Review, Cambridge

Abstract

CEOs can come from many backgrounds including marketing, accounting/finance, technical/scientific, and general administration, yet there is limited information in the literature regarding why companies choose CEOs with particular functional backgrounds and experiences. This study examines the characteristics of firms that select a CEO with a marketing background. Results of the study suggest that firms selecting a CEO with a marketing background are more likely to be in a retail business, are older firms, and have higher gross profit margins. Taken together, these results imply that firms with a material focus on brand management are more likely to choose a CEO with experience in the marketing functions.

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