 The more, the better: The influence of overconfident CEOs on their firms’ digital orientationJulie Saesen, Corinna Vera Hedwig Schmidt and Steffen Strese Journal of Business Research, 2024, vol. 183, issue C Abstract: Adopting a digital orientation (DO) is an essential organizing theme for firms seeking to lay the basis for a digital transformation by defining how to nurture digitalization strategies. Existing literature reveals that CEOs determine resource allocations for digital investments, with few insights into how CEO characteristics influence DO. We address this gap and propose that CEO overconfidence positively relates to a firm’s DO, particularly in industries with low market turbulence and technological dynamism. This study adds to the literature at the intersection of strategic management and information systems by investigating CEO overconfidence as an antecedent of DO and by showing the positive outcomes resulting from the cognitive bias of overconfidence. Our results indicate that environments with low market turbulence and low technological dynamism strengthen the relation between CEO overconfidence and DO. We contribute to the upper echelons perspective by extending the so-far ambiguous findings on the influence of dynamic environments. Keywords: Digital orientation; Digital transformation; Overconfidence; Upper echelons perspective (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:jbrese:v:183:y:2024:i:c:s0148296324003138 DOI: 10.1016/j.jbusres.2024.114809 Access Statistics for this article Journal of Business Research is currently edited by A. G. Woodside More articles in Journal of Business Research from Elsevier |
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