Secondary Titles (1)
- 3M Faculty Fellow
Niket Jindal is an assistant professor of marketing at Indiana University’s Kelley School of Business. He teaches Marketing Analytics to undergraduate students and Business-to-Business Marketing to executives. His research focuses on marketing’s effect on firm value and risk. Within this domain, he is particularly interested in marketing’s role in the context of bankruptcy.
Niket’s research has been published in the Journal of Marketing, Journal of Marketing Research, and Marketing Science. He received the American Marketing Association’s Mathew Joseph Emerging Scholar Award in 2015. Niket has a PhD from the University of Texas, MBA from Northwestern University, MS in electrical engineering from Columbia University, and BS in electrical engineering from the University of Illinois at Urbana-Champaign. Before coming to academia, he spent fourteen years in the semiconductor industry working in engineering, marketing, and strategy.
Industry Expertise (1)
Areas of Expertise (6)
Research & Development
3M Non-Tenured Faculty Award
Kelley School of Business Trustee Teaching Award Nominee, Indiana University
Mathew Joseph Emerging Scholar Award, American Marketing Association
Alden G. Clayton Doctoral Dissertation Proposal Award Honorable Mention, Marketing Science Institute
Doctoral Dissertation Award Finalist, Institute for the Study of Business Markets
The University of Texas at Austin: Ph.D., Marketing 2015
Northwestern University,: M.B.A., Kellogg School of Management 2003
Columbia University: M.S., Electrical Engineering 2000
University of Illinois at Urbana-Champaign: B.S., Electrical Engineering 1996
Media Appearances (1)
Brands, patents can protect firms from bankruptcy
PHYS ORG online
The study, The Impacts of Advertising Assets and R&D Assets on Reducing Bankruptcy Risk by Niket Jindal of Indiana University's Kelley School of Business and Leigh McAlister of the University of Texas's McCombs School of Business, is based on data from more than 1,000 firms covering three decades. "While it is widely recognized that intangible assets, such as brands and patents, contribute to a firm's stock price, until now there has been limited research on whether and how these same intangible assets protect firms from bankruptcy," says Jindal...
Advertising Effectiveness: The Moderating Effect of Firm StrategyJournal of Marketing Research
2016 Advertising’s influence on firm sales and firm value has drawn early attention from economists and accountants and more recent attention from marketers. Most studies that have investigated a link between advertising and sales have found such a link. However, studies that have investigated a link between advertising and firm value have only sometimes found that link. Meta-analysis has failed to determine moderators that govern the link between advertising and firm value. In this article, the authors hypothesize that advertising influences firm value for a differentiator because advertising can elaborate the firm’s point of difference into brand equity, thereby building firm value. Advertising cannot build brand equity for a cost leader because such a firm has no point of difference on which to build. Identifying differentiators and cost leaders on the basis of firms’ reactions to a change in accounting regulations, the authors confirm hypotheses: advertising is related to sales for all firms, but it is more strongly related to firm value for differentiators than for cost leaders. Beyond explaining differences in advertising effectiveness, this study’s indicator of differentiation versus cost leadership should enhance future analyses of marketing’s effect on firm-level outcomes using archival financial data.
The Impacts of Advertising Assets and R&D Assets on Reducing Bankruptcy RiskMarketing Science
2015 Research has shown that advertising assets and R&D (research and development) assets increase shareholder value. Although one might conclude that their impacts on bankruptcy risk are merely the inverse of their impacts on shareholder value, we argue otherwise and show that the differences hinge on the fact that shareholder value is a function of expected cash flows from all future periods, whereas bankruptcy risk is a function of expected cash flow from only the next period. We show that current market turbulence moderates the impacts of advertising assets and R&D assets on expected cash flow from the next period but not on expected cash flows from more distant future periods. Therefore, market turbulence moderates the impacts of advertising assets and R&D assets on bankruptcy risk but not shareholder value. Market stability increases the impact of advertising assets on reducing bankruptcy risk, whereas market turbulence increases the impact of R&D assets on reducing bankruptcy risk. Using a data set of more than 1,000 firms covering three decades, we find support for our hypotheses. Out-of-sample validation indicates that bankruptcy prediction performance improves when including marketing variables in addition to the usual financial predictors.
The Impact of Advertising and R&D on Bankruptcy Survival: A Double-Edged SwordSage Publications
2020 Advertising and research and development (R&D) benefit firms by increasing sales and shareholder value. However, when a firm is in bankruptcy, the cumulative effects of its past advertising and R&D can be a double-edged sword. On the one hand, they increase the firm’s expected future cash flow, which increases the likelihood that the bankruptcy court will decide the firm can survive. On the other hand, they increase the liquidation value of the firm’s assets, which decreases the likelihood that the bankruptcy court will decide that the firm can survive.