The Influence of Corporate Messages on the Product Portfolio

Abstract

The authors examine factors that change the influence of corporate messages for forming judgments about products in the company's portfolio (i.e., transfer). Corporate messages transferred more than a product message onto other products in the company's portfolio. However, a product message had more influence than corporate messages for that product. Moreover, a corporate ability (quality) message transferred more to the portfolio than did a corporate social responsibility message. Finally, a competitive product message that preceded a company product message and was positioned similarly to a company product lessened corporate message diagnosticity, reducing transfer. However, this occurred only for a product in the same category but not for a product in a different one. The authors discuss the implications of these findings for corporate brand and product brand managers and suggest directions for further research.

Exploring origins of ethical company/brand perceptions — A consumer perspective of corporate ethics

“…Despite a progressively expanding research body dealing with links between a company's CSR or ethical image, and consumer responses (Berens et al, 2005;Biehal and Sheinin, 2007;Brown and Dacin, 1997;Carrigan and Attalla, 2001;Ross, 1997, 1996;De Pelsmacker et al, 2005;Folkes and Kamins, 1999;Gürhan-Canli and Batra, 2004;Lichtenstein et al, 2004;Luo and Bhattacharya, 2006;Madrigal and Boush, 2008;Mohr and Webb, 2005;Mohr et al, 2001;Sen and Bhattacharya, 2001), and the most recent research on the impact of brand misconduct on consumer brand-relationships (Huber et al, 2008), little is known about what types of behavior can actually evoke un/ethical brand/company perceptions. Creyer and Ross (1997) acknowledge the opportunity to identify the dimensions along which consumers evaluate the ethicality of corporate behavior -in other words, which business practices are judged to be right or wrong.…”

“…The majority of the existing research relating to business ethics and CSR focuses on decision-making processes within companies. Certainly, the business perspective is of great importance, but, further to recent consumer behavior research that has established a link between a company's CSR or ethics and consumer responses (Berens et al, 2005;Biehal and Sheinin, 2007;De Pelsmacker et al, 2005;Folkes and Kamins, 1999;Gürhan-Canli and Batra 2004;Lichtenstein et al, 2004;Luo and Bhattacharya, 2006;Madrigal and Boush, 2008;Mohr and Webb, 2005;Mohr et al, 2001;Sen and Bhattacharya, 2001), researchers must also investigate the way that corporate decisions are perceived by the public. Despite a considerable extension of the related research body over the last 10 years, the consumer side is still in need of indepth exploration (Mohr et al, 2001;Newholm and Shaw, 2007;Sen and Bhattacharya, 2001).…”

One strike and you're out: Qualitative insights into the formation of consumers' ethical company or brand perceptions

“…Recent research establishes a link between a company's CSR or business ethics and consumer responses (Biehal and Sheinin, 2007;Berens et al, 2005;De Pelsmacker et al, 2005;Folkes and Kamins, 1999;Gürhan-Canli and Batra, 2004;Lichtenstein et al, 2004;Luo and Bhattacharya, 2006;Madrigal and Boush, 2008;Sen and Bhattacharya, 2001). Favorable or non favorable perceptions about a company or brand's ethics impact consumers' evaluation of that business and their attitude towards and relationship with its brands, and may consequently steer purchase behavior.…”

Consumer Response to Unethical Corporate Behavior: A Re-Examination and Extension of the Moral Decoupling Model

“…The majority of studies converges on the finding that information about improper firm behavior leads to undesirable consequences with consumers including damages to the image consumers hold of the company (e.g., Einwiller et al 2006), its products (Biehal and Sheinin 2007), the brands (Schmalz and Orth 2012), their attitudes (Ahluwalia et al 2000), intentions and behavior (Hoffmann 2013), and-ultimatelyreductions in sales, profits, and stock price (Einwiller et al 2006). There are, however, cases when apparent unethical behavior of a firm has little or no effect on consumer response.…”