Who spoils the barrel? Negative spillover effect on competitor brands during food crises

Purpose The purpose of this paper is to examine a possible negative spillover effect in sports sponsorship to answer whether the sponsored team’s poor performance will have a negative effect on audiences’ trust in its sponsor’s brand. The authors further analysed whether the audience’s attitude towards the team plays a mediating role and whether the audience’s personality type (active vs passive) plays a moderating role in this negative spillover effect. Design/methodology/approach Three experimental studies were conducted with 380 Chinese undergraduates and MBA student participants over two years. The authors designed the experiment as a computer-mediated intervention in which good, poor and neutral performance groups were compared. After the respondents were exposed to the intervention, we asked them to answer questions using a computer terminal. We analysed the data from the three experiments through analysis of variance (ANOVA), regression analysis and a bootstrap. Findings The audiences who were exposed to a team’s poor performance condition reported less trust in the sponsor’s brand relative to those exposed to a good performance condition, and the brand trust was even lower than for those who were exposed to a control condition (no performance information). Further, the audience’s negative attitude towards the sports team mediated the negative effect of the team’s poor performance on its sponsor’s brand trust. The negative effect was more obvious for individuals with Type A personalities (active) than for those with Type B personalities (passive). Originality/value The prior literature has neglected a possible negative effect of a sports team’s performance on its sponsor’s brand trust. In particular, questions of whether, how and when this negative effect occurs are critical for sponsors, teams, and audiences. Since sports team sponsorship is burgeoning in China, the negative implications are unclear in this new context. Thus, the revelation that the negative spillover effects of a team’s poor performance on audiences’ trust in the sponsor’s brand provides two original contributions. First, the negative effect reveals value for multiple sponsorship stakeholders. Second, the Chinese context in this study adds value for future research and practice regarding both Chinese-foreign and domestic Chinese decisions.

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Negative Spillover Effect on Demand for US Pork and Vegetables Caused by BSE Outbreak

Journal of Food Research ◽

10.5539/jfr.v1n2p32 ◽

2012 ◽

Vol 1 (2) ◽

Author(s):

Takashi Ishida ◽

Noriko Ishikawa ◽

Mototsugu Fukushige

Keyword(s):

Spillover Effect ◽

On Demand ◽

Negative Spillover

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The negative spillover effect of food crises on restaurant firms: Did Jack in the Box really recover from an E. coli scare?

International Journal of Hospitality Management ◽

10.1016/j.ijhm.2014.02.011 ◽

2014 ◽

Vol 39 ◽

pp. 107-121 ◽

Cited By ~ 10

Author(s):

Soobin Seo ◽

SooCheong (Shawn) Jang ◽

Barbara Almanza ◽

Li Miao ◽

Carl Behnke

Keyword(s):

Spillover Effect ◽

E Coli ◽

Effect Of Food ◽

Restaurant Firms ◽

Negative Spillover

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Direct Effect and Spillover Effect of ICT on Electricity Consumption in China: Evidence from a Spatial Panel Analysis

Mathematical Problems in Engineering ◽

10.1155/2021/6688800 ◽

2021 ◽

Vol 2021 ◽

pp. 1-13

Author(s):

Jianjun Xu ◽

Xiaowei Yang

Keyword(s):

Information And Communication Technologies ◽

Direct Effect ◽

Industrial Structure ◽

Spillover Effect ◽

Electricity Consumption ◽

Spillover Effects ◽

Mediating Effect ◽

Information And Communication ◽

Positive Direct ◽

Negative Spillover

The extensive use of information and communication technologies (ICT) has facilitated people’s lives and promoted the improvement of productivity. In the meantime, ICT has a profound effect on the efficiency of electricity utilization and the demand for electricity. The existing studies consider the direct effect of ICT on electricity consumption (EC) but neglect the spillover effect of ICT on EC and their action channels. Under the assumption of cross-section dependence, this paper introduces spatial modeling techniques to confirm the positive direct effect and negative spillover effect of ICT on EC. The positive direct effects and negative spillover effects of information technology on EC are similar to those of the communication technology, and the absolute value of the former is also greater than the latter. Additionally, the results of meditation effect modeling also confirm that there exists an incomplete mediating effect in the process of the ICT affecting EC through the channels of economic growth and the adjustment of the industrial structure. This study provides freshly empirical evidence for people to better understand the role of ICT in EC and opens fresh insights for policymakers to make corresponding policy adjustments.

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The influence of moral credentials and sociopolitical ideology on the negative spillover of environmental behaviours

10.32920/ryerson.14655636.v1 ◽

2021 ◽

Author(s):

Shannon Currie

Keyword(s):

Spillover Effect ◽

Self Esteem ◽

Political Orientation ◽

Moderating Effect ◽

Mediating Effect ◽

Moral Behaviour ◽

Positive Feelings ◽

Environmental Behaviours ◽

Present Thesis ◽

Negative Spillover

The present thesis investigated whether negative spillover of environmental behaviours (i.e., when engaging in one green behaviour decreases engagement in subsequent pro-environmental behaviours) can be explained within the framework of the moral credentials phenomenon (i.e., when engaging in one moral behaviour reduces engagement in further moral behaviours). Specifically, the goal was to test whether a boost in self-esteem following a green behaviour increased the likelihood of a moral credential negative spillover effect, and whether this effect was more likely for left-wingers (vs. right-wingers), because they perceive green behaviours as more moral. Study 1 found, as predicted, that left-wingers (vs. right-wingers) perceived green behaviours as more moral and that positive feelings associated with engaging in green behaviours mediated this relation. Furthermore, Study 2 found there was a marginally significant moral credential negative spillover effect. However, the proposed moderating effect of political orientation and mediating effect of self-esteem were not found.

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The bonding hypothesis revisited: evidence from US class action lawsuits

Managerial Finance ◽

10.1108/mf-02-2021-0064 ◽

2021 ◽

Vol ahead-of-print (ahead-of-print) ◽

Author(s):

Jeffrey M. Coy ◽

Kien D. Cao ◽

Thuy T. Nguyen

Keyword(s):

Spillover Effect ◽

Abnormal Returns ◽

Class Action ◽

Content Type ◽

Listed Firms ◽

Class Action Lawsuits ◽

Bonding Hypothesis ◽

The Impact ◽

Industry Peers ◽

Negative Spillover

PurposeConsistent with an “absolute bonding hypothesis,” the benefits of listing on US exchanges experienced by cross-listed firms are accompanied by an increased risk of experiencing a spillover effect due to negative news within their industry. The purpose of this study is to test this form of the bonding hypothesis by analyzing the spillover effect to cross-listed firms when class action lawsuits are filed against their industry peers.Design/methodology/approachThe bonding hypothesis is tested by analyzing the spillover effect to non-sued cross-listed firms of class action lawsuits brought against US domestic firms in the same industry. The spillover effect is identified using cumulative abnormal returns around lawsuit filing dates from 1996 to 2020. A sample of matched non-sued cross-listed and domestic peer firms is evaluated in a cross-sectional analysis to identify country and firm-level characteristics that mitigate the negative spillover effect to cross-listed firms.FindingsWhile US firms realize significantly negative abnormal returns when class action suits are filed against their industry peers, the impact to cross-listed peers is statistically insignificant. In multivariate analyses, we show that the ability of cross-listed firms to avoid this negative spillover effect is stronger for firms with greater profitability that are headquartered in countries with better shareholder protections and governance characteristics.Originality/valueResults suggest that cross-listed firms may have a level of immunization from the negative industry spillover effect of class action lawsuits and, thus, exhibit only “partial bonding” to the US market.

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Optimization and Decision of Supply Chain Considering Negative Spillover Effect and Service Competition

Sustainability ◽

10.3390/su13042320 ◽

2021 ◽

Vol 13 (4) ◽

pp. 2320

Author(s):

Yucai Wu ◽

Jiguang Wang ◽

Lu Chen

Keyword(s):

Decision Making ◽

Supply Chain ◽

Stackelberg Game ◽

Market Competition ◽

Spillover Effect ◽

Service Level ◽

Layer Compound ◽

Competitive Network ◽

Optimal Service ◽

Negative Spillover

Excellent service plays a vital role in the sustainability of enterprise and supply chains development in today’s increasingly fierce market competition. However, due to the inevitable spillover effect in the competitive network, enterprises’ initiative to improve the service level is reduced. From the perspective of negative spillover effect, optimization and decision-making in the competitive network of retailer-dominated supply chain are examined in this study. Considering four competitive situations in practical operation management, the corresponding double-layer compound nested Stackelberg game models are constructed, and the optimal equilibrium solutions are derived. Employing comprehensive comparison and analysis of the results, it is found that when the negative spillover effect of service increases, the optimal profit and service level of the leading supply chain or its retailers decrease, and the optimal retail price and overall optimal profit also gradually decline. For the leading supply chain, the centralized decision-making can achieve higher profits, and also more willing to improve the level of service. However, for the following supply chain, when the negative spillover effect of service is weak, the optimal service level under decentralized decision is higher, while when the spillover effect of service is strong, the optimal service level under integrated decision is higher. In addition, the supply chain-to-chain competition can bring negative incentives to the retailer that provides services, while for the rival that does not provide services, it can generate a certain free-riding effect that benefits them, and the effect is enhanced with the increase of competition.

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Impact Analysis of Large-Scale Environmental Spot Inspection Policy on Green Innovation: Evidence From China

Frontiers in Environmental Science ◽

10.3389/fenvs.2021.676413 ◽

2021 ◽

Vol 9 ◽

Author(s):

Bo Chen ◽

Meitong Ren ◽

Liye Chen

Keyword(s):

Spatial Heterogeneity ◽

Large Scale ◽

Spillover Effect ◽

Spillover Effects ◽

Chinese Government ◽

Eastern Region ◽

Green Innovation ◽

Inspection Policy ◽

The Impact ◽

Negative Spillover

The spot inspection policy has been widely applied in environmental protection in China. This paper collects environmental enforcement announcements and green patent data published by Chinese government agencies from 2006 to 2015. First, it studies the impact of spot inspection on green innovation with the spatial Durbin model. Then, it analyzes spatial heterogeneity according to the eastern, central, and western regions including 29 provinces. The spot inspection policy significantly increases the green innovation of a current region with a negative spillover effect on neighboring regions. Even though this policy has the best performance in the eastern region, it leads to pollution transfer into the western region, while being ineffective in the central region. Further, analysis on the spatial spillover effects of the 29 provinces proves that 21 provinces have a positive spillover effect, while eight provinces have a negative spillover effect. The research study shows that although spot inspection is generally beneficial to green innovation, pollution transfer and policy failure exist because of spatial heterogeneity.

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The influence of moral credentials and sociopolitical ideology on the negative spillover of environmental behaviours

10.32920/ryerson.14655636 ◽

2021 ◽

Author(s):

Shannon Currie

Keyword(s):

Spillover Effect ◽

Self Esteem ◽

Political Orientation ◽

Moderating Effect ◽

Mediating Effect ◽

Moral Behaviour ◽

Positive Feelings ◽

Environmental Behaviours ◽

Present Thesis ◽

Negative Spillover

The present thesis investigated whether negative spillover of environmental behaviours (i.e., when engaging in one green behaviour decreases engagement in subsequent pro-environmental behaviours) can be explained within the framework of the moral credentials phenomenon (i.e., when engaging in one moral behaviour reduces engagement in further moral behaviours). Specifically, the goal was to test whether a boost in self-esteem following a green behaviour increased the likelihood of a moral credential negative spillover effect, and whether this effect was more likely for left-wingers (vs. right-wingers), because they perceive green behaviours as more moral. Study 1 found, as predicted, that left-wingers (vs. right-wingers) perceived green behaviours as more moral and that positive feelings associated with engaging in green behaviours mediated this relation. Furthermore, Study 2 found there was a marginally significant moral credential negative spillover effect. However, the proposed moderating effect of political orientation and mediating effect of self-esteem were not found.

Download Full-text