Effects of Marketing Decisions on Post-Bankruptcy Performance

This paper aims at providing a framework to investigate the effects of marketing-related decisions on firms after filing for bankruptcy. The proposed framework includes advertising and R&D assets, channel intensity, related diversification, and low price strategy as the marketing decision, which influence the operating performance of bankrupted firms. The paper also discusses the moderating effects of market turbulence and competition on the relationship between marketing decisions and operating performance of bankrupted firms. More specifically, the paper argues that market turbulence decreases the effect of advertising assets and increases the effect of R&D assets on bankrupted firms. Because of the paucity of literature on determining the effect of marketing-associated decisions on the performance of companies after filing for bankruptcy, this paper aims to fill this gap and make relevant contributions for academics and practitioners by investigating the effects of marketing factors on bankrupted firms