Enhancing Theory and Strengthening Knowledge Development in the Marketing Discipline David W. Stewart Ideas that Matter: A Dialog on Enhancing Theory Development in Marketing American Marketing Association Marketing Educators’ 2010 Summer Conference Pre-Conference Program August 13,

What Theory Is and Is Not Strong theory resonates; it shows patterns of inter- connectedness; it provides details about causal mechanisms; and it provides answers as to the question why (Kaplan 1964). Strong theory captures and succinctly summarizes knowledge that is generalizable. It builds on empirical generalizations but is not empirical Sutton and Staw (1995) have persuasively argued that theory is not references, data, variables, diagrams or hypotheses. Not literature review Not meta-analysis 2

Good Theory Does More Than Describe It identities causal structures that provide the basis for forward prediction (not just good fits of historical data) and control (at least in some circumstances). It provides explanations of marketing phenomena— e.g., why customers behave as they do, why different markets evolve in particular ways over time, and why specific institutions and practices emerge. With the addition of situational (e.g., industry knowledge), marketing theories may also provide for predictions (Secord 1983). Strong theories are simple and elegant; they provide rich descriptions; and they provide the basis for testable predictions in controlled circumstances. 3

Observations of A Former Editor Two Marketing Journals Most Receptive to Theoretical and Conceptual Papers Journal of Marketing and Journal of the Academy of Marketing Science Problems with Theory in Papers Submitted (and published) “Theory” as Thin Veneer for Empirical Work Empirical Bias? Borrowed Theory with Effort to Show Its Application to Marketing Phenomenon What’s New? Focus On Supporting a Theory (or part of a theory) Rather than Comparing Competing Theories The Null Hypothesis as Default Theory? 4

Observations of a Dean P&T Process Is Biased Toward Empirical Work Data Easy to Acquire or Generate Bias Toward Numbers/Counting Bias Against Books/Monographs Short Tenure Horizons Impact More Difficult to Assess and Reward Conceptual and Theoretical Work Often Has Greater Synergy with Teaching Mission Often Is More Meaningful/Relevant to Practitioner Constituencies Impacts Long Term Reputation 5

Some Recommendations Create Journals or Sections of Journals Devoted to Theoretical and Conceptual Papers Give Greater Weight to Scholarly Books Identify Unique Phenomenon to Be Addressed by Marketing Theory Decision Making in Markets Buyer Behavior Management of Market Exchanges Value Chain Regulation of Market Activities Social Welfare 6