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The purpose of this paper is to investigate the importance of localizing online communities (OCs) and examines how OC members form impressions of organizations that use OCs in their communication activities. A conceptual framework and measurement scale are developed that consist of complex latent constructs.

A sequential multi-method approach is adopted with both qualitative and quantitative investigations. Using Structural equation modeling, the research refines and validates the measurement scales of impression formation in OCs.

Findings reveal that comprehensive messages have a direct effect on the impressions that an OC member forms. In particular, social context cues are an important predictor of online community corporate impression (OCCIP). Source credibility, affiliation, characteristics and interpersonal communication are all critical to OCCIP, which in turn, influence members’ attitudes toward the company and the intention to use it again. Surprisingly, relevance, timeliness, accuracy and perceived similarity did not have any significant effect on the corporate impression.

Three contributions are offered: First, the study provides reliable scales for measuring OCCIP. Second, support is given to the conceptual model that links OCCIP to a set of consequences, namely, attitudes toward the company, intention to use the company, and word-of-mouth. Finally, the study is conducted across two different and unique types of OC contexts, stipulating further insights into the localization of OCs.

This study aims to evaluate elements of corporate communication in online communities (OCs) and their influence on corporate impression formation. Interactive online platforms such as OCs are growing. Companies are discovering their importance and increasingly include OCs in their communication activities. The present study identifies the underlying components relevant to successful corporate communication in OCs, and further explore if and how online community members (OCMs) expect companies to communicate with them, explaining how corporate impressions are formed.

A qualitative research method was chosen, consisting of two stages. In stage one, 17 expert interviews with academics and practitioners were conducted, and in stage two, 12 OCMs were interviewed to clarify the concepts and gain new insights.

The study gains new knowledge relating to corporate communication in OCs and image formation. Specifically, the authors identify and confirm important key constructs in corporate impression formation in OCs, namely, relevance of messages, communication style, social context cues, affiliation, perceived similarity, source credibility and interpersonal communication. Furthermore, a conceptual model is proposed on the relationship between communication elements relevant in online communities and their influence on corporate impression.

The study helps to refine existing concepts of corporate impression formation in OCs. It is suggested that understanding how corporate impression is formed in OCs helps companies to participate in virtual networks, improving their corporate impression.

This study extends prior findings on word-of-mouth on the Internet (word-of-mouse) to demonstrate that communication among virtual community (VC) members can influence the image formation process, such that positive word-of-mouse has a positive effect on corporate image.