CMO equity incentive and shareholder value: Moderating role of CMO managerial discretion

Chief marketing officers (CMOs) are the marketing leaders in their respective firms and are responsible for creating shareholder value. To incentivize CMOs to focus on shareholders' interests, an increasing number of firms are compensating their CMOs with equity. This study examines the impact of CMO equity incentive on shareholder value and introduces three different forms of managerial discretion given to CMOs as contingencies determining when...