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This study examines the effect of agency creativity on campaign outcomes as moderated by different levels of market dynamism and competitive intensity. Using data from matched interviews of advertisers and agency creative teams in China, the study reveals complicated relationships among agency creativity, market conditions, and campaign outcomes. The impact of agency creativity on campaign outcomes is positive but the impact of excessive creativity is negative, and agency creativity is more powerful in high rather than low competitive intensity and in low rather than high market dynamism. Theoretical and managerial implications as well as directions for future advertising creativity research are derived from findings of the study.
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Li et al. (2008) studied this question.
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