The effect of the CEO media coverage on corporate brand equity: evidence from Poland

Authors

DOI:

https://doi.org/10.24136/oc.2021.017

Keywords:

corporate brand, corporate brand equity, CEO brand, personal brand

Abstract

Research background: Despite increased attention in the literature to the importance of the CEO?s brand for companies, understanding of the effect of the CEO brand on the corporate brand remains limited. To contribute to this discussion, this paper investigates different facets of the impact of the CEO brand, and particularly its media coverage, on corporate brand equity.

Purpose of the article: This study investigates the relationship between the different aspects of the CEO brand?s media coverage and corporate brand equity.

Methods: Comprehensive media monitoring in the press and online sourcing of CEOs from the strongest Polish brands were conducted. For three years (2014?2017), media monitoring covered 81 CEOs, resulting in over 44,000 data points for this study. Regression analysis was conducted to determine whether a relationship exists between different facets of the CEO?s personal brand and company brand equity.

Findings & value added: This study provides a new perspective on the relationship between the CEO and corporate brands and showcases empirical evidence of the CEO brand?s relationship with corporate brand equity. It introduces two relevant and novel variables (CEO brand reach and CEO brand advertising value equivalent [AVE]) to the literature, which have been limited to the number of mentions and its sentiment. Accordingly, this study contributes to the emerging literature of CEO branding within the branding field. Contrary to expectation, the intensity of media coverage alone was not significant. Results indicate that reach and AVE of CEO media exposure are reflected in the corporate brand equity. The study also finds that negative sentiment toward a CEO?s brand negatively affects corporate brand equity. The study adds to the growing stream of literature on the role of CEO brand.

Downloads

Download data is not yet available.

References

Anderson, D., Sweeney, D., & Williams, T. (2011). Statistics for business and economics. Cincinnati: South-Western.

Argenti, P. A., & Druckenmiller, B. (2004). Reputation and the corporate brand. Corporate Reputation Review, 6(1), 368?374. doi: 10.1057/palgrace.crr.15400 05.

Bendisch, F., Larsen, G., & Trueman, M. (2013). Fame and fortune: a conceptual model of CEO brands. European Journal of Marketing, 47(3-4), 596?614. doi: 10.1108/03090561311297472.

Bennett, A. G. (2009). The big book of marketing. New York: McGraw-Hill

Brems, C., Temmerman, M., Graham T., & Broersman, M. (2017). Personal branding on twitter. How employed and freelance journalists stage themselves on social media. Digital Journalism, 4(3), 443?459. doi: 10.1080/21670811.2016. 1176534.

Burson-Marsteller (2005). CEO Reputation studies 2006. Frankfurt am Main: Burson-Marsteller.

Carter, S. M. (2006). The interaction of top management group, stakeholder, and situational factors on certain corporate reputation management activities. Journal of Management Studies, 43(1), 1145?1176. doi: 10.1111/j.1467-6486.2006 .00632.x.

Chen, C., Yi, B., & Lin, J. (2013). Media coverage, board structure and CEO compensation: evidence from Taiwan. Journal of Multinational Financial Management, 23(5), 435?445. doi: 10.1016/j.mulfin.2013.08.003.

Chin, W. W. (1998). Modern methods for business research. In W. Chin & G. Moucoulides (Eds.). The partial least squares approach to structural equation modeling. New Jersey: Lawrence Erlbaum Associates, 259?336.

Close, A., Moulard, G., & Monroe, K. (2011). Establishing human brands: determinants of placement success for first faculty positions in marketing. Academy of Marketing Science, 39(1), 9220 941. doi: 10.1007/s11747-010-0221-6.

Cohen, J., Cohen P., Leona, S., & West, S. (2003), Applied multiple regression/correlation analysis for the behavioral sciences. Hillsdale: L. Erlbaum Associates.

D?Andrea, A., Ferri, F., Grifoni, P., & Guzzo, T. (2015). Approaches, tools and applications for sentiment analysis implementation. International Journal of Computer Applications, 125(3), 26?33. doi: 10.5120/ijca2015905866.

Delgado-Garcia, J., Quevedo-Puente, E., & Blanco-Mazagatos, V. (2015). How does CEO reputational matter? Impact of CEO reputation on corporate reputation and performance. In M. Fetscherin (Ed.). CEO branding. London: Routledge. 112?136.

Fetscherin, M. (2015). How does CEO reputation Matter? Impact of CEO reputation on corporate reputation and performance. In M. Fetscherin (Ed.). CEO Branding. London: Routledge, 1?24.

Fournier, S., & Eckhardt, G. M. (2019). Putting the person back in person- brand: understanding and managing the two- bodied brand. Journal of Marketing Research, 56(4), 118?134. doi: 10.1177/0022243719830654.

Freedman, D. A. (2009). Statistical models: theory and practice. Cambridge: Cambridge University Press.

Ganushchak-Efimenko, L., Shcherbak, V., & Nifatova, O. (2018). Assessing the effects of socially responsible strategic partnership on building brand equity of integrated business structures in Ukraine. Oeconomia Copernicana, 9(4), 140?151. doi: 10.21511/bbs.14(3).2019.12.

Górska, A. (2016). Personal branding through LinkedIn. In G. Mazurek & J. Tkaczyk (Eds). The impact of the digital world on management and marketing. Warsaw: Poltext, 72?89.

Górska, A. (2017). Perception of women in top managerial positions in Poland. Journal of Business and Administration. Central Europe, 25(1). 16?32. doi: 10.7206/jmba.ce.2450-7814.187.

Górska, A. (2021). The future of idealized self: how CEOs build their personal brands? Central European Management Journal, 29(1), 39?60. doi: 10.7206/ cemj.2658-0845.40.

Hughes, M. (2007). The tools and technique of change management. Journal of Change Management, 7(1), 37?49. doi: 10.1080/14697010701309435.

Ingenhoff, D., & Sommer, K. (2010). Trust in companies and in Ceos: a comparative study of the main influences. Journal of Business Ethics, 95(1), 339?355. doi: 10.1007/s10551-010-0363-y.

Jacobson, J. (2020). You are a brand: social media managers and personal branding. Journal of Product and Brand Management, 29(6), 715?727. doi: 10.1108/ JPBM-03-2019-2299.

Janoskova, K., & Krizanova, A. (2017). Comparison of selected internationally recognized brand valuation methods. Oeconomia Copernicana, 8(1), 99?117. doi: 10.24136/oc.v8i1.7.

Jin, C. H., & Yeo, H. C., (2011). Satisfaction, corporate credibility, CEO reputation and leadership effects on public relationships. Journal of Targeting, Measurement and Analysis for Marketing, 9(19), 179?197. doi: 10.1057/jt.2011.10.

Kalia, V., Patel. A., Moriarity, A., & Canon, C. (2017). Personal branding: a primer for radiology trainees and radiologists. Journal of the American College of Radiology, 4(4), 971?975. doi: 10.1016/j.jacr.2017.03.017.

Karaduman, I. (2013). The effect of social media on personal branding efforts of top-level executives. Procedia-Social and Behavioral Sciences, 99(1), 465?473. doi: 10.1016/j.sbspro.2013.10.515.

Kee, C., & Hassan, M. (2006). The advertising-value-equivalent (AVE) method in quantifying economic values of publish relations activities: experience of a public-listed company in Malaysia. Kaljan Malaysia, 24(1), 33?55.

Keller, K. (1993). Conceptualizing, measuring, and managing customer-based brand equity. Journal of Marketing, 57(1), 1?22. doi: 10.2307/1252054.

Kenny, D. (1987). Statistics for the social and behavioral sciences. Boston: Little, Brown.

Kubowicz- Malhotra, C., & Malhotra, A., (2016). How CEOs can leverage Twitter. MIT Sloan Management Review, 57(1), 73?82.

Kucharska, W., Confente, I., & Brunetti, F. (2020). The power of personal brand authenticity and identification: top celebrity players? contribution to loyalty towards football. Journal of Product and Brand Management, 29(6), 1?41. doi: /10.1108/JPBM-02-2019-2241.

Kucharska, W., & Mikołajczak, P. (2017). Personal branding of artists and art-designers: necessity or desire? Journal of Product And Brand Management, 27(3), 246?261. doi: 10.1108/JPBM-01-2017-1391.

Kutner, M. H., Nachtsheim, C. J., & Neter, J. (2004). Applied linear regression models. New York City: McGraw-Hill Irwin.

Labrecque, L. I., Markos, E., & Milne, G. R (2011). Online personal branding: processes, challenges and implications. Journal of Interactive Marketing, 25(1), 37?50. doi: 10.1016/J.Intmar.2010.09.002.

Li, X., Qiao, P., & Zhao, L. (2019). CEO media exposure, political connection and Chinese firms? stock price synchronicity. International Review of Economics And Finance, 63(6), 61?75. doi: 10.1016/J.Iref.2018.08.006.

Luo, X, Kanuri, V., & Andrews, M (2014). How does CEO tenure matter? The mediating role of firm-employee and firm-customer relationships. Strategic Management Journal, 35(1), 492?511. doi: 10.1002/Smj.2112.

Love, E. G., Lim, J., & Bednar, M. K. (2017). The face of the firm: the influence of CEOs on corporate reputation. Academy of Management Journal, 60(1), 1462?1481. doi: 10.5465/Amj.2014.0862.

Malmendier, U., & Tate, G. (2009). Superstar CEOs. Quarterly Journal Of Economics, 124(1), 1593?1638. doi: 10.1162/Qjec.2009.124.4.1593.

Meng, J., & Berger, B. K. (2013). What they say and what they do: executives affect organizational reputation through effective communication. In C. E. Carroll (Ed.). The handbook of communication and corporate reputation. New Jersey: Wiley.

Moulard, J. G, Garrity, C. P., & Rice, D. H. (2015). What makes a human brand authentic? Identifying the antecedent of celebrity authenticity. Psychology and Marketing, 32(2), 173?186. doi: 10.1002/Mar.20771.

Milbourn, T. T. (2003). CEO reputation and stock-based compensation. Journal of Financial Economics, 68(1), 233?262. doi: 10.1016/S0304-405X(03)00066-7.

Nguyen, B. D. (2015). Is more news good news? Media coverage of Ceos, firm value and rent extraction. Quarterly Journal of Forestry, 5(4), 1?38. doi: 10.11 42/S2010139215500202.

Nolan, L. (2015). The impact of executive personal branding on non-profit perception and communication. Public Relations Review, 41(1), 288?292. doi: 10.1016/J.Pubrev.2014.11.001.

Osorio, M. L, Centeno, E., & Cambra- Fiero, J. (2020). A thematic exploration of human brands: a literature review and agenda for future research. Journal Of Product and Brand Management, 29(6), 695?714. doi: 10.1108/Jpbm-02-2019-2274?Sid=Semanticscholar.

Park, D. J., & Berger, B. K., (2004). The presentation of CEOs in the press, 1990-2000: increasing salience, positive valence, and a focus on competency and personal dimensions of image. Journal of Public Relations Research, 1(16), 93?125. doi: 10.1207/S1532754xjprr1601_4.

Parmentier, M. A., Fischer, E., & Reuber, A. (2013). Positioning personal brands in established organizational fields. Academy Of Marketing Science, 41(1), 373?387. doi: 10.1007/S11747-012-0309-2.

Peters T. (1997). The brand called you. Fast Company, 10(1). Retrieved from https://www.Fastcompany.Com/28905/Brand-Called-You.

Pharoah, A. (2003). Corporate reputation: the boardroom challenge. Corporate Governance, 3(4), 46?51. doi: 10.1108/14720700310497113.

Pluntz, C., & Pras, B. (2020). Exploring professional human brand identity through cultural and social capital: a typology of film director identities. Journal of Marketing Management, 9-10(36), 830?866. doi: 10.1080/0267257X.2020.17 63436.

Processmacro.Org, Retrieved from: http://Processmacro.Org/Index.Html

Rennebook, L., & Zhao, Y. (2015). CEO networks and the M&A market. In M. Fetscherin (Ed.). CEO branding. London: Routledge.

Rui, J., & Stefanone, M. (2013). Strategic self-presentation online: a cross-cultural study. Computers In Human Behavior, 29(1), 110?118. doi: 10.1016/J.Chb.20 12.07.022.

Sajnóg, A. R. (2020). Executive compensation and comprehensive income: evidence from Polish listed companies. Oeconomia Copernicana, 10(3), 493? 509. doi: 10.24136/Oc.2019.024.

Scheidt, S., Gelhard, C., Strotzen, J., & Henseler, J. (2018). In for a penny, in for a pound? Exploring mutual endorsement effects between celebrity Ceos and corporate brands. Journal of Product and Brand Management, 27(2), 2265?2276. doi: 10.1016/J.Clinthera.2016.09.001.

Sheather, S. (2009). A modern approach to regression with R. New York City: Springer.

Spears, N., Brown, T .J., & Dacin, P. A. (2006). Assessing the corporate brand: the unique corporate association valence (UCAV) approach. Journal of Brand Management, 14(1), 5?19. doi: 10.1057/Palgrave.Bm.2550051.

Thomas, A., Litschert, R., & Ramaswamy, K. (1991). The performance impact of strategy- manager coalignment: an empirical examination. Strategic Management Journal, 12(1), 509?522.

Tickle, P., Keller, K. L., & Richey, K. (2003). Branding in high-technology markets. Market Leader, 22(1), 21?26.

Weng, P. S., & Chen, W. Y. (2017). Doing good or choosing well? Corporate reputation, CEO reputation, and corporate financial performance. North American Journal of Economics and Finance, 39(1), 223?240. doi: 10.1016/J.Najef.2016 .10.008.

Downloads

Published

2021-06-30

How to Cite

Górska, A., & Mazurek, G. (2021). The effect of the CEO media coverage on corporate brand equity: evidence from Poland. Oeconomia Copernicana, 12(2), 499–523. https://doi.org/10.24136/oc.2021.017

Issue

Section

Articles