EconPapers    
Economics at your fingertips  
 

Marketing strategy decision making in new product development: direct effects and moderation by market information time sensitivity and analyzability

Serdar S. Durmusoglu, Kwaku Atuahene-Gima and Roger J. Calantone

European Journal of Innovation Management, 2022, vol. 26, issue 6, 1619-1648

Abstract: Purpose - Research on market information use in product innovation suggests that firms utilize two key strategic decision-making processes: incremental and comprehensive. Drawing from organizational information processing theory, literature implies that these processes operate differently. However, this assumption remains untested. Moreover, the degree to which a comprehensive process affects the innovation strategy outcomes depends on market information time sensitivity (MITS) and analyzability. To-date, no study has tested these assertions, either. Finally, it is suggested that meaningful market strategy is a key driver of new product success and it is important to understand how decision-making processes influence it under differing time sensitivity and analyzability. Design/methodology/approach - Based on survey data from 250 Chinese firms, authors use structural equation modeling to test the hypotheses. Findings - The results generally support authors’ contentions. More specifically, marketing strategy outcomes are influenced by marketing strategy incrementality (MSI) and marketing strategy comprehensiveness (MSC) differently. Further, time sensitivity moderates the effect of both MSI and MSC on outcomes, except for the effect of MSI on decision quality. Finally, analyzability moderates the relationships between decision making processes and certain strategy outcomes such as between MSI and meaningfulness. Originality/value - Drawing from information processing theory, authors argue that incremental and comprehensive marketing strategy decision making for new product operate differentially under the same conditions. Further, the effects of these decision processes on outcomes depend on time sensitivity and analyzability of market information. Finally, auhtors argue that meaningful market strategy is a driver of success. The authors find support for most of our hypotheses and provide directions for future research.

Keywords: Strategic decision-making process; Comprehensiveness; Incrementality; Marketing strategy; New product development; Information processing; Time sensitivity; Analyzability; Meaningfulness; Decision making speed; Decision quality (search for similar items in EconPapers)
Date: 2022
References: Add references at CitEc
Citations:

Downloads: (external link)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (text/html)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (application/pdf)
Access to full text is restricted to subscribers

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eme:ejimpp:ejim-11-2021-0575

DOI: 10.1108/EJIM-11-2021-0575

Access Statistics for this article

European Journal of Innovation Management is currently edited by Dr Vincenzo Corvello

More articles in European Journal of Innovation Management from Emerald Group Publishing Limited
Bibliographic data for series maintained by Emerald Support ().

 
Page updated 2025-05-31
Handle: RePEc:eme:ejimpp:ejim-11-2021-0575