The role of crisis typology and cultural belongingness in shaping consumers’ negative responses towards a faulty brand

2019 ◽  
Vol 28 (5) ◽  
pp. 653-670 ◽  
Author(s):  
Ilaria Baghi ◽  
Veronica Gabrielli

Purpose Previous research on brand crisis has introduced the difference between a values-related crisis and a performance-related crisis. However, little remains known regarding consumers’ varying negative responses towards these two different types of brand misconduct. This paper aims to investigate and compare consumers’ affective and behavioural negative reactions (i.e. negative word of mouth and purchase intention) towards a faulty brand during a values-related crisis and a performance-related crisis by testing the mediation of negative emotions and introducing the moderating role of cultural belongingness (collectivistic vs individualistic). Design/methodology/approach The authors tested a model of moderated mediation in a cross-cultural investigation on a sample of 229 Italian and Asian consumers. The study is a 2 (cultures: collectivistic vs individualistic) × 2 (crisis: performance-related vs values-related) between-subjects experimental design. The moderated mediation model shows that consumers’ negative reactions (negative word of mouth and negative purchase intention) towards a faulty brand involved in different crisis typologies is explained by the mediating role of negative emotions, and that this mediation depends on a consumer’s cultural belongingness. Findings The results suggest that consumers belonging to a collectivistic culture (e.g. Asian culture) tend to react in a more severe and strict manner when faced with a values-related brand crisis event then when faced with a performance-related crisis. The arousal of negative emotion towards a brand represents the mediating variable in behavioural responses (i.e. negative word of mouth and purchase intention). Originality/value The present study extends current knowledge in the field of consumers’ negative response to brand irresponsibility behaviours while introducing the role of crisis typology and cultural belongingness. In particular, individualistic people are more sensitive to a values-related crisis in comparison with a performance-related one. The findings of this study have strong managerial implications for defining effective response strategies to negative events involving brands in different markets.

2018 ◽  
Vol 27 (6) ◽  
pp. 716-731 ◽  
Author(s):  
Ilaria Baghi ◽  
Veronica Gabrielli

Purpose Past research on cause-related marketing (CRM) suggests that these socially beneficial initiatives can be implemented as co-branding strategies. Little is known, however, about the role of brand prominence, in terms of visual conspicuousness of the two brands that are partner-involved (for-profit and non-profit brands). This study aims to advance a model of moderated mediation that explains how and under what circumstances brand prominence disparity enhances consumers’ attitudes toward CRM co-branded products and increases purchase intention Design/methodology/approach The authors test a model of moderated mediation in two studies. Study 1 shows that the effectiveness of brand prominence disparity is explained by the mediating role of attitude toward a CRM co-branded product. Study 2 demonstrates that this mediation is moderated by the positioning of the for-profit brand partner (luxury vs non-luxury positioning). Findings Results show that brand prominence disparity has a role in defining consumers’ purchase intention toward a CRM co-branded product through mediation of attitude. Moreover, positioning of the for-profit brand partner moderates the cognitive processes activated by the visual brand prominence. In luxury positioning, a loud visual prominence of the for-profit brand significantly improves consumers’ attitudes and intentions to buy the CRM co-branded product. Originality/value The study extends our understanding of how visual brand presence can promote the effectiveness of co-branded CRM initiatives, and it offers practical guidelines for marketers wishing to partner with social causes, while promoting products with luxury or non-luxury features.


2018 ◽  
Vol 35 (7) ◽  
pp. 698-708 ◽  
Author(s):  
Stephanie Gillison ◽  
Kristy Reynolds

PurposeThe purpose of this paper is to investigate how shoppers’ expectations regarding the amount of search and disconfirmation of these search expectations affect outcomes of the shopping trip.Design/methodology/approachA survey of shoppers is used to test the proposed hypotheses.FindingsSurvey results indicate that search disconfirmation is conceptually distinct from but related to search effort and search regret. The results show that negative search disconfirmation mediates the relationship between search effort and shopper satisfaction, hedonic and utilitarian shopping value, choice confidence, search regret and negative word-of-mouth intent.Originality/valueThe findings underscore that search effort itself is not negative for shoppers. However, when search effort is perceived as excessive compared to shoppers’ expectations, negative retail outcomes can occur. Theoretical and managerial implications are discussed.


2019 ◽  
Vol 43 (5) ◽  
pp. 818-841
Author(s):  
Chih Wen-Hai ◽  
Chien-Yun Yuan ◽  
Ming-Te Liu ◽  
Jiann-Fa Fang

Purpose All previous research seldom considered the proliferation process from the perspective of consumers or from a negative perspective to examine the desire for revenge and negative word of mouth (WOM) caused by deficiencies in innovative products. The purpose of this paper is to investigate consumers’ subsequent behaviors after they have outward and inward negative emotions such as anger and regret. The objective of this study is to explore the different effects of customers’ anger and regret on desire for revenge and negative WOM. Design/methodology/approach This research uses structural equation modeling to analyze 226 samples. Findings The results showed that regret has significant and positive effects on desire for revenge and negative WOM but anger has only a significant and positive effect on desire for revenge. Moreover, desire for revenge has a significant and positive effect on negative WOM. In addition, the desire for revenge plays a crucial mediator between anger and negative WOM as well as regret and negative WOM. Practical implications Corporations can use tangled emotions among consumers to predict the development of the desire for revenge and immediately implement remedies for deficiencies to prevent consumers from developing the desire for revenge and spreading negative WOM regarding the corporation or product, or engaging in other revenge behaviors. Corporations can easily detect and prevent the path between anger and revenge behaviors simply based on the desire for revenge. In contrast to the outward negative behavior that is anger, regret is implicit and internal. Originality/value This study explored two negative emotions of affect (anger and regret) based on affection and conation/action of the tricomponent attitude model and their different effects on consumers’ revenge behaviors such as desire for revenge and negative WOM. The contributions of this research are to clarify the different relationships between outward negative emotion (anger) and desire for revenge/negative WOM as well as inward negative emotion (regret) and desire for revenge/negative WOM.


2021 ◽  
pp. 002224372110111
Author(s):  
Riza Casidy ◽  
Adam Duhachek ◽  
Vishal Singh ◽  
Ali Tamaddoni

This research examines the effects of religious belief and religious priming on negative word-of-mouth (NWOM) behavior. Drawing on social exchange and norm paradigms, we theorize and find evidence of the unique effects of religious belief and religious priming on NWOM in everyday service failure encounters. Specifically, we find that religious belief is associated with higher NWOM, driven by a greater sensitivity to violations of fairness norms, which in turn reduces forgiveness. However, exposure to religious priming attenuates NWOM among more religious consumers by reducing sensitivity to violations of fairness norms, which in turn enhances forgiveness. A field study involving over 1.2 million online reviews of actual restaurant experiences, in addition to four lab studies, provides support for our theorized effects. Our study sheds light on the religion–forgiveness discrepancy by establishing the mediating role of sensitivity to fairness violations on the relationship between religion and forgiveness in the NWOM context. Further, our results demonstrate the importance of religion as a strategic variable in the management of service failure experiences, providing theoretical implications for the literature on the effects of religion on consumer behavior.


2019 ◽  
Vol 58 (2) ◽  
pp. 376-392 ◽  
Author(s):  
Hassan Ahmed Shah ◽  
Muhammad Yasir ◽  
Abdul Majid ◽  
Muhammad Yasir ◽  
Asad Javed

Purpose The purpose of this paper is to explore the ways in which strategic orientation (SO) and strategic renewal (SR) could create the possibility for improving strategic performance (SP). The indirect effect of SO was also tested in this study. Furthermore, by using the moderated mediation model, the authors also investigated the moderating role of organizational ambidexterity (OA). Design/methodology/approach The results of this cross-sectional study are based on a survey conducted on 1,430 owner/managers of SMEs. To analyze the relationship among variables, this study used descriptive, correlation and hierarchical multiple regression approach. Findings Results revealed that SO positively affects SR and SP in SMEs. Furthermore, the mediating role of SR between the relationships of SO and SP was also confirmed. Moreover, OA strengthens the connection between SO, SR and SP. Practical implications The current study provides new insights for strategic planning and management by focusing on SO along with its different dimensions. Therefore, it provides new guidelines and a roadmap that would be helpful in achieving the objectives of SP. Originality/value The study makes significant contributions to the extant literature by adding new knowledge about the positive impact of SO on SP. Moreover, with the analysis of mediating role of SR in this relationship, the study has made significant addition to the existing literature on SP. Furthermore, moderated mediation model adds value to the existing body of knowledge.


2015 ◽  
Vol 43 (6) ◽  
pp. 561-574 ◽  
Author(s):  
Patricia Huddleston ◽  
Bridget K. Behe ◽  
Stella Minahan ◽  
R. Thomas Fernandez

Purpose – The purpose of this paper is to elucidate the role that visual measures of attention to product and information and price display signage have on purchase intention. The authors assessed the effect of visual attention to the product, information or price sign on purchase intention, as measured by likelihood to buy. Design/methodology/approach – The authors used eye-tracking technology to collect data from Australian and US garden centre customers, who viewed eight plant displays in which the signs had been altered to show either price or supplemental information (16 images total). The authors compared the role of visual attention to price and information sign, and the role of visual attention to the product when either sign was present on likelihood to buy. Findings – Overall, providing product information on a sign without price elicited higher likelihood to buy than providing a sign with price. The authors found a positive relationship between visual attention to price on the display sign and likelihood to buy, but an inverse relationship between visual attention to information and likelihood to buy. Research limitations/implications – An understanding of the attention-capturing power of merchandise display elements, especially signs, has practical significance. The findings will assist retailers in creating more effective and efficient display signage content, for example, featuring the product information more prominently than the price. The study was conducted on a minimally packaged product, live plants, which may reduce the ability to generalize findings to other product types. Practical implications – The findings will assist retailers in creating more effective and efficient display signage content. The study used only one product category (plants) which may reduce the ability to generalize findings to other product types. Originality/value – The study is one of the first to use eye-tracking in a macro-level, holistic investigation of the attention-capturing value of display signage information and its relationship to likelihood to buy. Researchers, for the first time, now have the ability to empirically test the degree to which attention and decision-making are linked.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Lijing Zhao ◽  
Shuming Zhao ◽  
Hao Zeng ◽  
Jingyi Bai

PurposeDrawing on identity theory and the symbolic interactionism perspective of identity theory, this study aims to construct a moderated mediation framework to test the effects of perceived overqualification (POQ) on knowledge sharing (KS) through professional identity threat (PIT) and the moderating role of coworkers' help-seeking behavior (CHSB).Design/methodology/approachThis paper uses a quantitative multistudy research design with a combination of a scenario experiment (Study 1) and a two-wave field study among 220 supervisor-subordinate dyads at a power company in China. Using analysis of variance, confirmatory factor analysis (CFA) and bootstrapping method, the authors validated the research hypothesis.FindingsIn the scenario experiment study (study 1), the authors find that POQ is positively related to PIT and that CHSB negatively moderates the positive impact of POQ on PIT. The field study (study 2) replicated the above findings and found that PIT mediates the negative effect of POQ on KS. In addition, CHSB negatively moderates the mediating role of PIT between POQ and KS.Originality/valueFirst, the current study extended the nomological network of POQ research by examining its influence on employees' KS. Second, this study empirically investigated the mediating role of PIT, which provided a new explanatory mechanism for the influence of POQ. Finally, this study demonstrates the moderating role of CHSB—a situational factor that has been ignored in previous studies.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mazzini Muda ◽  
Muhammad Iskandar Hamzah

PurposeIn spite of the increasing organic and interactive marketing activities over social media, a general understanding of the source credibility of voluntary user-generated content (UGC) is still limited. In line with the social identity theory, this paper examines the effects of consumers' perceived source credibility of UGC in YouTube videos on their attitudes and behavioral intentions. Additionally, source homophily theory is included to predict the antecedent of source credibility.Design/methodology/approachThree hundred and seventy two Generation Y respondents were interviewed using snowball sampling. Data were analyzed with component-based structural equation modeling technique of partial least squares-structural equation modeling (PLS-SEM).FindingsFindings confirmed that perceived source credibility indirectly affects purchase intention (PI) and electronic word-of-mouth via attitude toward UGC. Besides, perceived source credibility mediates the effect of perceived source homophily on attitude toward UGC.Practical implicationsSince today's consumers have begun to trust and rely more on UGC than company-generated content on social media when making purchase decisions, companies may reconsider democratizing certain aspects of their branding strategies. Firms may fine-tune their marketing communication budgets – not only just by sponsoring public figures and celebrities but also by nurturing coproductive engagements with independent content creators who are ordinary consumers. Endowed with their imposing credibility, these micro-influencers and prosumers have high potentials to be uplifted to brand ambassadors.Originality/valueWhile consumers' purchase outcome can be measured easily using metrics and analytics, the roles of source homophily in stages leading up to the purchase is still elusive. Drawing on the rich theoretical basis of source homophily may help researchers to understand not only how credibility and attitude are related to PI but also how this nexus generates positive word of mouth among UGC followers within the social media circles.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Muhammad Asim Faheem ◽  
Ishfaq Ahmed ◽  
Insya Ain ◽  
Zanaira Iqbal

Purpose The ethical issues arising at work demand the role of both leader and employees, but how both the levels are linked in determining the ethical responses is an area that has not gained due attention in the past. Against this backdrop, this study aims to address the influence of a leader’s authenticity and ethical voice on ethical culture and the role ethicality of followers. Design/methodology/approach Survey design has been used, and a questionnaire is used to elicit the responses. In total, 381 filled questionnaires were used for data analysis. Findings The findings of this study highlight the role of authentic leadership in predicting the role ethicality of followers both directly and through the mediation of ethical culture. Furthermore, a leader’s ethical voice strengthens the authentic leadership and outcome relationships (with ethical culture and followers’ role ethicality). The moderated-mediation mechanism has proved as the leaders’ voice foster the indirect mechanism. Originality/value There is a dearth of literature that has focused on leadership traits (authenticity) and behavior (ethical voice) in predicting the followers’ outcomes (perceptions – ethical culture and behaviors – role ethicality). The moderated-mediation mechanism has been unattended in the past.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Atmadeep Mukherjee ◽  
Amaradri Mukherjee ◽  
Pramod Iyer

Purpose Food waste is a big problem where millions of pounds of produce are discarded every year because they are imperfect or unattractive. Despite the societal implications of selling unattractive produce, limited research has been directed toward understanding the effect of imperfect produce on consumers’ evaluations of the produce and retailer outcomes. This paper aims to investigate why consumers tend to discard imperfect produce and how retailer interventions (i.e. anthropomorphized signage and packaging) can alleviate these negative effects. Design/methodology/approach Three experiments were conducted to examine the postulations. Study 1 highlights the role of consumers’ embarrassment in the purchase decision of imperfect produce and retailer patronage intention. Studies 2 and 3 provide managerially relevant boundary conditions of anthropomorphic signage and opaque packaging. Findings Convergent results across three studies (n = 882) indicate that imperfect produce increases purchase embarrassment and reduces purchase intention and retailer patronage intention. Retailer interventions (i.e. anthropomorphic signage and opaque packaging) can allay this feeling of embarrassment and lead to an increased retailer patronage intention and higher service satisfaction. Practical implications This research provides guidance to retailers for effectively promoting imperfect produce. Social implications Retailers’ actions can benefit the well-being of farmers, suppliers, customers and the overall environment. Originality/value This research adds to the literature on unattractive produce by identifying new moderators, namely, anthropomorphic signages and opaque packaging. The research also shows that purchase embarrassment is a key process mechanism.


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