scholarly journals How to deal with negative publicity: the importance of consumer involvement

2005 ◽  
Vol 9 (spe2) ◽  
pp. 47-62
Author(s):  
Celso Augusto de Matos ◽  
Ricardo Teixeira Veiga

Negative information about companies can have a harmful effect on consumer perceptions. However, few studies investigate how consumers process negative publicity and how companies should react to it. In order to examine this question, two experiments were carried out: first, a laboratory experiment which tests how consumers process two different types of negative publicity (product attributes or company values); second, a field experiment comparing three different responses (no answer, denial/reduction of offensiveness and corrective action) given by the company affected by the negative publicity. Results from the first study confirm the detrimental effect of negative publicity on consumer attitudes, indicate that consumers have a higher level of involvement with the message when it is concerned with the company's values and suggest a moderating role of the product involvement on the influence of negative information on corporate image. The second study extends these findings by identifying different options for company reactions from literature and testing them empirically. Results suggest again the involvement variable as a moderator, now on the influence of company reaction on product image.

2019 ◽  
Vol 23 (1) ◽  
pp. 25-43 ◽  
Author(s):  
Cristina Calvo-Porral ◽  
Manuel Nieto-Mengotti

Purpose The growing availability of wireless internet services and the great popularization of smartphones and other mobile devices means a greater challenge for mobile service companies that need to identify the factors influencing the use behavior of mobile services. So considering that the level of consumer involvement can lead to differences in service outcome evaluations, this study aims to examine whether consumer involvement with information and communication technologies (ICTs) has a moderating influence on consumer behavior in mobile services Design/methodology/approach The authors propose an integrative model of the usage of mobile services to examine the moderating role of involvement with ICTs. Drawing on a sample of 493 users, two levels of involvement with ICTs were examined; and data were analyzed through multiple-group structural equation modeling. Findings Findings show that the level of consumer involvement with ICTs influences the behavior in the mobile services. Further, the findings support that mobile services’ perceived quality, followed by the service perceived value are the factors with a stronger influence in satisfaction with mobile services, regardless the level of consumer involvement with ICTs. However, the mobile company corporate image has a lower influence. In addition, the results support the partial moderating role of involvement with ICTs in the loyalty toward mobile service providers, suggesting that consumers lowly involved with ICTs experience a greater impact of the service quality on their loyalty. Originality/value The main contribution of this study is the examination of the influence of involvement with technologies in consumer behavior in the mobile services


2000 ◽  
Vol 37 (2) ◽  
pp. 203-214 ◽  
Author(s):  
Rohini Ahluwalia ◽  
Robert E. Burnkrant ◽  
H. Rao Unnava

Even though negative information about brands and companies is widely prevalent in the marketplace, except for case studies, there has been no systematic investigation of how consumers process negative information about the brands they like and use. In the three studies in this research, the authors attempt to bridge this gap. The findings of the first and second studies provide a theoretical framework for understanding how consumers process negative information in the marketplace. Commitment of the consumer toward the brand is identified as a moderator of negative information effects. In the third study, the authors use this theoretical framework to derive and test response strategies that companies can use to counter negative publicity for consumers who are high and low in commitment toward the brand.


2019 ◽  
Vol 11 (7) ◽  
pp. 2067 ◽  
Author(s):  
Chang-Hyun Jin ◽  
Jung-Yong Lee

This study attempts to assess the role of the polarity of information or publicity about a company (whether positive, negative, or neutral) and two CSR activities (e.g., environmental preservation and supporting social welfare in developing countries) in the relationships between consumers and brands and also to investigate how a corporate image, as perceived by consumers, affects the formation of an image of a company or brand through the halo effect of Corporate Social Responsibility (CSR) activity. An experimental design was used to test the hypotheses. A group of subjects who were exposed to negative publicity about a company showed a change in average values in their attitudes toward the brand, purchase intention, corporate image, attitude to the CEO, and brand loyalty. The formation of attitudes or images changed more positively when the type of CSR activity involved was closely related to a company’s corporate image. The results of the analysis used to test the halo effect of a company’s CSR activity indicate that corporate CSR activity is closely related to consumer attitude formation or changes in perceptions of a company. The results of this study provide an opportunity to assess the importance of negative information about a company or product, as well as types of CSR activity that affect image formation. The study suggests that only CSR activities that are highly congruent with a company’s image or its products can produce positive and amicable reactions from consumers through the halo effect.


2020 ◽  
Vol 53 (1) ◽  
pp. 36-63
Author(s):  
Yuan Cheng ◽  
Zhongsheng Wu

Existing studies assume that the value of political connections is homogeneous to different types of nonprofits and seldom consider their interplay with other accountability mechanisms. Based on a multilevel analysis of 2,085 foundations in China, this study builds and tests a theoretical framework of the contingent value of political connections to nonprofits, treating transparency as a moderator for the relationship between political connections and donations. Our findings suggest that while transparency is positively associated with the amount of donations obtained by foundations, political connections can help foundations obtain more donations only when their transparency score is higher than a certain threshold.


2019 ◽  
Vol 11 (17) ◽  
pp. 4745 ◽  
Author(s):  
Seojin Stacey Lee ◽  
Yaeri Kim ◽  
Taewoo Roh

The current study aims to suggest a modified pyramid of corporate social responsibility (CSR) in the airline industry and find the moderating effects of consumer’s CSR experience (CSRE). Although previous studies proved the positive effects of CSR, there are surprisingly few research studies that incorporate Carroll’s fundamental CSR and specific issues of environmental responsibility in the airline industry as the integrated model. Thus, we suggest an alternative perspective of CSR, which can apply exclusively in the airline industry. Second, the moderating role of CSRE is demonstrated in a critical manner. To be specific, we hypothesize that sharing the same experience of altruistic motives may increase intimacy between the company and consumers, which affects a positive CSR evaluation. Therefore, consumers sharing the CSRE may perceive the CSR initiative more positively when compared to those who were not involved in the CSR programs before. By using the structural equation model (SEM) and ordinary least square (OLS) regression, we examined the effects of the modified pyramid of CSR on the corporate image (CI) and the moderating role of CSRE on customer loyalty (CL). The findings suggest that airline managers should consider environmental responsibility in CSR activities and design a variety of programs that should be designed to enhance consumers’ CSRE.


Author(s):  
Rania Mostafa

The purpose of this study is to examine the moderating role of corporate image to the relationship between service recovery strategies and post-recovery satisfaction. Data were collected, using a questionnaire from 182 complaining customers in the mobile service sector. Hierarchical regression analyses demonstrated the moderating role of corporate image between service recovery strategies and post recovery satisfaction. Findings based on disconfirmation paradigm theory revealed that corporate image moderates the effect of apology, problem solving, and speed response on service recovery satisfaction. However, corporate image was not found to have a moderating effect on the courtesy - recovery satisfaction link. Academic and managerial implications, as well as, future research directions are provided.


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