How do COVID-19 preventive measures build corporate reputation: focus on the hospitality industry in Tanzania

Abstract

PurposeThe study investigated the strategic contribution of COVID-19 preventive measures in building corporate reputation in the hospitality industry when mediated with ethical branding.Design/methodology/approachThe hypothesized model was developed and tested using a cross-sectional research design among 404 customers of hospitality organizations (i.e. hotels and restaurants). The collected data were analyzed quantitatively using structural equation modeling.FindingsThe results showed that COVID-19 preventive measures are important drivers in building or rebuilding corporate reputation during and after the COVID-19 pandemic. The study also showed that ethical branding acts as a mediator between COVID-19 preventive measures and corporate reputation.Research limitations/implicationsThe study used a nonprobability sampling technique, i.e. convenience sampling and a cross-sectional survey research design. It is therefore necessary to be careful when generalizing the findings.Practical implicationsThe study recommends that managers in hospitality organizations should ensure proper and effective compliance with COVID-19 preventive measures during service delivery. Among others, the study highlighted areas for further study to include an investigation using a longitudinal approach to observe behavioral changes toward COVID-19 preventive measures and their consequences on the overall corporate reputation of the hospitality industry. This recommendation is based on the fact that, currently, new cases and mortality rates have decreased considerably. As a result, customers in the hospitality industry have started to have different opinions about complying with COVID-19 preventive measures.Originality/valueThe study is among new endeavors to investigate drivers that can rebuild and sustain the corporate reputation of hospitality organizations during a pandemic like COVID-19.

The Influence of Trust on Consumer Desire to Visit Hotels

“…The research was modified from studies conducted by (Amani, 2023;Hui-Wen Chuah et al, 2022) The goal of this study is to observe changes in behavior and ethical branding strategies after the pandemic ended and their effects on the hotel industry's company reputation with reference to, Trust, and Intention to Visit. All the questions were generated using five-point Likert scales that stood for "Strongly disagree" and "Strongly Agree" using questionnaires cross-sectional design (Sekaran & Bougie, 2016).…”

“…According to social contract theory, ethical branding is the process of creating a distinct image by fulfilling a company's moral commitment to the public or society as well as its obligation to the company (Alwi et al, 2017). Socially responsible and accountable behavior is part of a company's strategy in business contexts with highly demanding customers who prefer businesses that support ethical practices (Amani, 2023). In addition, the researchers hypothesized that hospitality businesses could enhance their ethical brand identification by incorporating ethical practices into strategic corporate marketing strategies, such as adopting service industry ethical norms in response to pandemic measures (Wei et al, 2021).…”

“…In addition, the researchers hypothesized that hospitality businesses could enhance their ethical brand identification by incorporating ethical practices into strategic corporate marketing strategies, such as adopting service industry ethical norms in response to pandemic measures (Wei et al, 2021). A company's social and environmental responsibility can be effectively communicated through ethical branding (Amani, 2023). In the aftermath of the global Covid-19 pandemic, hospitality organizations' ethical practices serve as a driving force toward achieving a type of positioning strategy that defines the essence of the organization (Zhang et al, 2021).…”

“…Hotels are responding to the pandemic crisis by being concerned not only about their own health but also about the health of their guests when they stay at their establishments. According to Amani, (2023) and Hui-Wen Chuah et al, (2022) of the study's findings, ethical branding can result in a hotel's intention to visit and, ultimately, a business reputation. This can be accomplished by placing an emphasis on activities related to ethical branding to earn customers' trust (He & Harris, 2020).…”

“…This can be accomplished by placing an emphasis on activities related to ethical branding to earn customers' trust (He & Harris, 2020). According to (Amani, 2023), ethical branding strategies influence a variety of attitudes, including customer loyalty. Therefore, hotel companies' give contribution to social ethics responsibility following the pandemic is crucial and is regarded as strategic philanthropy (Shin & Mattila, 2019).…”