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Commentary on Dutta and Pullig (2011): Corrective action is more effective than downplaying harm for restoring brand equity

Citation

Palmer, MA and Strelan, P, Commentary on Dutta and Pullig (2011): Corrective action is more effective than downplaying harm for restoring brand equity, Journal of Business Research, 68, (6) Article e109802. ISSN 0148-2963 (2015) [Contribution to Refereed Journal]

Copyright Statement

Copyright 2014 Elsevier Inc.

DOI: doi:10.1016/j.jbusres.2014.11.007

Abstract

Dutta and Pullig (2011) contrast different strategies for responding to corporate crises, including corrective action (i.e., accepting responsibility and promising remedial action) and downplaying harm (downplaying the amount of damage resulting from the crisis). Based on the results of null hypothesis tests, Dutta and Pullig conclude that downplaying harm is as effective as corrective action for restoring brand equity following a values-based crisis. This finding is concerning because, as Dutta and Pullig note, it may increase the temptation for firms to downplay the severity of their transgressions rather than accepting responsibility for them. Reanalysis of Dutta and Pullig's data using effect size estimates and associated confidence intervals overturns their conclusion. Following a values-based crisis, corrective action is more effective than downplaying harm at restoring brand equity.

Item Details

Item Type:Contribution to Refereed Journal
Keywords:brand crisis, brand equity, corrective action, crisis response, effect size
Research Division:Psychology and Cognitive Sciences
Research Group:Psychology
Research Field:Psychological Methodology, Design and Analysis
Objective Division:Expanding Knowledge
Objective Group:Expanding Knowledge
Objective Field:Expanding Knowledge in Psychology and Cognitive Sciences
Author:Palmer, MA (Dr Matt Palmer)
ID Code:106508
Year Published:2015
Deposited By:Psychology
Deposited On:2016-02-12
Last Modified:2016-08-01
Downloads:0

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