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Article
Publication date: 7 November 2016

Seul Lee and Sora Kim

Two questions guide this study: “Do two crisis history types (i.e. organization-specific vs industry-wide) have the same effect on publics’ perception of the organization in a…

Abstract

Purpose

Two questions guide this study: “Do two crisis history types (i.e. organization-specific vs industry-wide) have the same effect on publics’ perception of the organization in a crisis?” And “Is there any significant difference in public responses between the high and low levels of issue involvement?” The paper aims to discuss these issues.

Design/methodology/approach

A two organization-specific crisis history (frequent vs infrequent) × two industry-wide crisis history (frequent vs infrequent) × two consumer issue involvement (high vs low) between-subjects experimental design was employed.

Findings

This experiment suggests that an industry-wide crisis history can mitigate negative damages of a crisis, while an organization-specific crisis history intensifies the damages. This indicates that crisis history types should be considered as an important factor when diagnosing appropriate crisis response strategies during crisis. This study also identifies a stronger negative impact of an organization-specific crisis history among highly issue-involved publics than less involved publics.

Originality/value

This study extends situational crisis communication theory by identifying the buffering impact of an industry-wide crisis history and adding crisis history type as an influencer in the process of the publics’ crisis responsibility attributions.

Details

Journal of Communication Management, vol. 20 no. 4
Type: Research Article
ISSN: 1363-254X

Keywords

Article
Publication date: 29 May 2019

Michail Vafeiadis, Denise S. Bortree, Christen Buckley, Pratiti Diddi and Anli Xiao

The dissemination of fake news has accelerated with social media and this has important implications for both organizations and their stakeholders alike. Hence, the purpose of…

5374

Abstract

Purpose

The dissemination of fake news has accelerated with social media and this has important implications for both organizations and their stakeholders alike. Hence, the purpose of this study is to shed light on the effectiveness of the crisis response strategies of denial and attack in addressing rumors about consumer privacy when non-profit organizations are targeted on social media.

Design/methodology/approach

To test the hypotheses, a 2 (response type: denial vs attack) × 2 (privacy concerns: low vs high), between-group online experiment was conducted via Qualtrics.

Findings

The results indicated that one’s involvement level in the issue determines the effectiveness of the crisis response strategy. Data showed that attacking the source of fake news (as a crisis response) reduces the message’s credibility more than denying fake news. Furthermore, highly involved individuals are more likely to centrally process information and develop positive supportive intentions toward the affected non-profit brand. High issue involvement also predicted organizational and response credibility. Conversely, an attack rebuttal message increased the credibility of the circulated malicious rumors for low involved individuals.

Research limitations/implications

The findings suggest that issue involvement plays a key role in message perceptions of false information regarding consumer privacy in social media.

Practical implications

Practically, this study offers insights for organizations that are developing response strategies in the current environment of fake news. Findings from this study suggest that organizations need to consider the degree to which audiences are currently involved in an issue before deciding how aggressively to respond to perpetrators of fake news.

Originality/value

The present study examines the intersection of fake news and crisis management in the non-profit sector, with an emphasis on various response strategies and issue involvement. This is one of the first attempts to experimentally investigate how social media strategies can defend and protect non-profit reputation in the fake news era.

Details

Journal of Product & Brand Management, vol. 29 no. 2
Type: Research Article
ISSN: 1061-0421

Keywords

Book part
Publication date: 2 March 2011

Carlo Gola and Francesco Spadafora

The global financial crisis has magnified the role of Financial Sector Surveillance (FSS) in the International Monetary Fund's activities. This chapter surveys the various steps…

Abstract

The global financial crisis has magnified the role of Financial Sector Surveillance (FSS) in the International Monetary Fund's activities. This chapter surveys the various steps and initiatives through which the Fund has increasingly deepened its involvement in FSS. Overall, this process can be characterised by a preliminary stage and two main phases. The preliminary stage dates back to the 1980s and early 1990s, and was mainly related to the Fund's research and technical assistance activities within the process of monetary and financial deregulation embraced by several member countries. The first ‘official’ phase of the Fund's involvement in FSS started in the aftermath of the Mexican crisis, and relates to the international call to include financial sector issues among the core areas of Fund surveillance. The second phase focuses on the objectives of bringing the coverage of financial sector issues ‘up-to-par’ with the coverage of other traditional core areas of surveillance, and of integrating financial analysis into the Fund's analytical macroeconomic framework. By urging the Fund to give greater attention to its member countries' financial systems, the international community's response to the global crisis may mark the beginning of a new phase of FSS. The Fund's financial sector surveillance, particularly on advanced economies, is of paramount importance for emerging market and developing countries, as they are vulnerable to spillover effects from crises originated in advanced economies. Emerging market and developing economies, which constitute the majority of the Fund's 187 members, are currently the recipients of over 50 programmes of financial support from the Fund (including those of a precautionary nature), totalling over $250 billion.

Details

The Impact of the Global Financial Crisis on Emerging Financial Markets
Type: Book
ISBN: 978-0-85724-754-4

Keywords

Article
Publication date: 23 July 2019

Danielle LaGree, Douglas Wilbur and Glen T. Cameron

Using the National Football League (NFL) concussion crisis context, the purpose of this paper is to provide sports marketers with a strategic approach to sports crisis management…

3628

Abstract

Purpose

Using the National Football League (NFL) concussion crisis context, the purpose of this paper is to provide sports marketers with a strategic approach to sports crisis management through consideration of crisis media coverage and organizational reputation.

Design/methodology/approach

An online experiment assessed the impact of two crisis response strategies, fan involvement and exposure to crisis media coverage on emotional response, corporate message credibility, crisis perception and perceived corporate reputation.

Findings

The accident response strategy was associated with more favorable perceptions of the NFL and corporate message credibility. Sports fan involvement facilitated more favorable perceptions of the NFL’s reputation, while exposure to media coverage of the NFL’s crisis created negative perceptions of the NFL’s reputation. Exposure to media coverage of the NFL concussion crisis increased feelings of anger, which in turn decreased perceptions of corporate message credibility.

Research limitations/implications

A limitation for this study is the specific crisis scenario that was used. The NFL concussion crisis is different from other crisis types in that it does not directly impact the audience’s well-being, but instead affects their perceptions of an iconic institution.

Practical implications

In light of study findings, it is suggested that sports marketers consider the following when dealing with crises: carefully determine proper framing methods when crafting a crisis response as different response types affect consumers in different ways; leverage public relations (PR) practices by engaging in media monitoring to inform an appropriate crisis response to control the narrative; and examine forces exernal of the organization that influence consumer emotions, paying special attention to feelings of anger as anger negatively impacts consumer perceptions of corporate credibility.

Originality/value

This paper addresses sports crisis strategy from both marketing and public relations perspectives. It describes how strategic efforts protect a sports organization’s reputation, thus increasing marketing effectiveness.

Details

International Journal of Sports Marketing and Sponsorship, vol. 20 no. 3
Type: Research Article
ISSN: 1464-6668

Keywords

Article
Publication date: 16 September 2013

Rita S. Mano and Stefanos K. Giannikis

Involvement is a basic element in successful crisis management. Crisis solutions cannot be advanced when notions of “politics of self actualization” among volunteers and paid…

1090

Abstract

Purpose

Involvement is a basic element in successful crisis management. Crisis solutions cannot be advanced when notions of “politics of self actualization” among volunteers and paid staff prevail because they generate turnover; the study seeks to: distinguish between nonprofits that have or have not experienced crisis; control their differences in organizational structure; measure the level of involvement of active – paid and volunteer – members; and assess differences in turnover behavior between paid staff and volunteers separately for nonprofits that experienced and those which did not – a crisis. The paper aims to discuss these issues.

Design/methodology/approach

The questionnaires were distributed in 164 social organizations which operate in Israel. It was distributed to the employees at their workplace, and they were asked to fill it out completely. Also, the respondents were assured that the questionnaire was intended for research purposes only and that it would be anonymous. A total of 164 subjects participated in the research: 73 men (who are 45.3 percent of the sample population) and 87 women (who are 56.4 percent of the sample). Average age was 45.91. Questionnaires were distributed to managers at different levels in the organization. Most of the respondents (51.2 percent) were chief executive managers. A total of 38.4 percent experienced organizational crisis and 74 (45.1 percent) did not. In the organizations which experienced organizational crisis, the number of paid employees was about 8 percent of all of the active members in the organization. By contrast, in the organizations which did not experience the crisis, the proportion of paid employees was 20 percent of all of the active members.

Findings

In the organizations which did not experience a crisis, the average number of the paid employees (24.2) is higher than in the organizations which did experience (20.32); there are no significant differences in the turnover level of the volunteers or their involvement despite the fact that their involvement is higher in organizations which experienced a crisis; and the turnover model, based on the predictors of age, size, involvement and organizational crisis for paid employees, is stronger (R2=0.29) than the same model predicting turnover among volunteers (R2=0.16).

Research limitations/implications

First, the size of the sample is relatively small (N=168). Second, the time lapse between the occurrence of crisis and the self-reports may cause history related bias. The ideas of the present study should be continued using a quantitative as well as qualitative methodology.

Practical implications

Human resources managers will become aware of the adversities related to the excess mobilization of volunteers following the occurrence of a crisis caused by budget cuts, while putting more efforts into supporting paid staff whose involvement is high and their odds of leaving the organization low.

Originality/value

The study provides a practical view of the actual contribution of the volunteers in nonprofit organizations and contributes to a skeptical approach to the total reliance of nonprofit organizations at the expense of hiring paid employees – during and following crisis.

Details

Personnel Review, vol. 42 no. 6
Type: Research Article
ISSN: 0048-3486

Keywords

Article
Publication date: 3 October 2016

Jeesun Kim and Yan Jin

The purpose of this paper is to examine the interplay of crisis type and felt involvement as well as product category on publics’ anger toward the company and empathy for the…

2034

Abstract

Purpose

The purpose of this paper is to examine the interplay of crisis type and felt involvement as well as product category on publics’ anger toward the company and empathy for the victims.

Design/methodology/approach

This study uses an experiment based on a 2 (crisis type: accident vs transgression) × 2 (publics’ felt crisis involvement: high vs low) × 2 (product category in crisis: food-related vs technology-related) mixed design.

Findings

Differential main effects on emotions were detected in different consumer product crises. One of the most interesting findings in this study was the main effects of high felt involvement over low felt involvement in strong feelings of anger toward a company and empathy for the victims in both food- and technology-related crisis situations. There was an interaction effect between crisis type and product category on feelings of anger toward a company. Participants in the food-related crisis condition reported more anger when exposed to a transgression crisis than an accident crisis.

Research limitations/implications

Future research needs to study other important crisis emotions and to measure them with multiple items instead of a single item. It would be useful to find out what combinations among crisis variables would produce interaction effects to better understand how different publics’ emotions are inducted and processed in different crisis situations.

Practical implications

The role of felt involvement on public emotions may not be product category specific, but rather be affectively influential across different product categories. From the standpoint of crisis management practice, the main contribution of the present study is to provide empirical evidence that crisis communication managers could use the level of publics’ felt crisis involvement to better predict publics’ emotions that are likely to be felt and displayed in crisis situations.

Originality/value

This study investigates the crisis-generated discrete emotions as a function of crisis type and felt involvement. Felt involvement should be considered as an important construct due to its potential consequences on publics’ emotions and their behaviors beyond perceptions of crisis responsibility. Crisis response messages should be strategically developed with a consideration of the interplay of crisis type, publics’ felt involvement, and product categories.

Details

Corporate Communications: An International Journal, vol. 21 no. 4
Type: Research Article
ISSN: 1356-3289

Keywords

Article
Publication date: 31 July 2019

Yeunjae Lee, Katie Haejung Kim and Jeong-Nam Kim

The purpose of this paper is to examine the impact of different types of corporate issues and employee–organization relationships (EORs) on employees’ perceptions of the issues

1304

Abstract

Purpose

The purpose of this paper is to examine the impact of different types of corporate issues and employee–organization relationships (EORs) on employees’ perceptions of the issues and on their communicative actions. Specifically, this study investigates how employees who have experienced an internal or an external issue within their organizations differently perceive the organizational issue and engage in positive and/or negative communicative behaviors.

Design/methodology/approach

An online survey was conducted with 363 full-time employees in large-sized companies in the USA who have experienced any internal or external issues within the past six months.

Findings

Employees are more cognitively aware of and feel more involved and less constrained in solving an internal company issue than an external one. Experiencing internal issues has led employees to share negative information about their organization externally. The quality of EORs pre-issue significantly increases employees’ involvement and positive communication behavior and decreases constraint levels and negative communication behaviors regarding an issue.

Practical implications

Corporate communication and public relations practitioners should incorporate strategic internal communication strategies to preemptively manage internal issues and to avoid them from evolving into internal crises.

Originality/value

This study is among the first to distinguish internal and external issues perceived by internal stakeholders and to examine their impacts on employees’ issue-specific perceptions and communicative behaviors. This study also provides significant practical guidelines for corporate communication practitioners and leaders by explicating the strategic role of issue type and employee behaviors in issue management.

Details

Corporate Communications: An International Journal, vol. 24 no. 3
Type: Research Article
ISSN: 1356-3289

Keywords

Article
Publication date: 29 April 2021

Taylor Jing Wen, Jo-Yun Li and Baobao Song

This study situates in the context of Chipotle's food safety issue and seeks to understand how their primary customers perceive their crisis response messages after learning of…

1078

Abstract

Purpose

This study situates in the context of Chipotle's food safety issue and seeks to understand how their primary customers perceive their crisis response messages after learning of the outbreaks. The current study incorporates the framework of situational crisis communication theory (SCCT; Coombs, 2007) and public segmentation model (Rawlins, 2006) to understand the effectiveness of crisis response messages. It aims to examine the role of public segmentation in situational crisis communication and investigate the effects of three crisis response strategies according to SCCT on different public segments.

Design/methodology/approach

The SCCT provides guidelines for understanding the effectiveness of different crisis response strategies. The current study showcases the importance of public segmentation in the SCCT model through the lens of stakeholder theory. A 3 (crisis response strategy: deny, diminish, rebuild) × 4 (public segment: advocate, dormant, adversarial, apathetic) factorial experiment was conducted.

Findings

The findings suggest that advocate public expressed more positive evaluation about the company when exposed to rebuild and deny strategies. Both dormant and adversarial stakeholders reported positive responses on rebuild and diminish strategies. However, no difference was found among apathetic public.

Originality/value

The researchers attempt to make a modest contribution in this direction by reporting results from an empirical experiment that examined the effects of crisis response strategies on different public segments. The findings suggest an effective message tailoring approach to target different public segments. Thus, the results of this study are expected to benefit relevant corporations and public relations practitioners.

Details

Corporate Communications: An International Journal, vol. 26 no. 3
Type: Research Article
ISSN: 1356-3289

Keywords

Article
Publication date: 1 September 2023

KyuJin Shim, Young Kim and ChihYao Chang

This study aims to propose a model of publics' ethical activism, testing the role of emotional outrage in an extended framework of the previously established STOPS model. Thus…

Abstract

Purpose

This study aims to propose a model of publics' ethical activism, testing the role of emotional outrage in an extended framework of the previously established STOPS model. Thus, this study aims to investigate (1) how ethical perception of a social issue affects situational motivation that leads to participation in public activism, and (2) how emotional outrage plays a role in mediating between situational motivation and activism behaviors.

Design/methodology/approach

The study aims at investigating the mediating role of emotional outrage between situational motivation and activism behaviors, which have not been investigated thoroughly in public relations research. By conducting a national survey with 386 people (N = 386) living in Australia, the study's suggestive model was tested in the context of two ethical issues (e.g. climate change and anti-racism). This study found that people who perceive an ethical issue are likely to be motivated to participate in activism behaviors. Specifically, three situational perceptions (i.e. problem recognition, constraint recognition and involvement recognition) were found to be significant factors affecting situational motivation (SM) in problem solving. A high level of emotional outrage was found to play a mediating role between SM and consequential ethical activism behaviors. The more people feel outraged about an ethical issue, the more likely they will engage in punitive behavior. This study contributes to the theoretical development of public relations by illuminating how situational perceptions lead to emotional outrage that promotes behavioral intentions in an ethical context. This study also suggests that a practitioner should be sought to manage the levels of perceptual factors when setting up a communication plan in response to an ethical public crisis.

Findings

This study found that people who perceive an ethical issue are likely to be motivated to participate in activism behaviors. Specifically, three situational perceptions (i.e. problem recognition, constraint recognition and involvement recognition) were found to be significant factors affecting situational motivation (SM) in problem solving. A high level of emotional outrage was found to play a mediating role between SM and consequential ethical activism behaviors. The more people feel outraged about an ethical issue, the more likely they will engage in punitive behavior.

Research limitations/implications

This study substantiates how three perceptual antecedents may conjointly affect situational motivation. Also, the findings in this study also contribute to theoretical development in predicting ethical activism intentions. Another contribution of this study is to demonstrate the mediating role of emotional outrage between situational motivation and ethical activism. The authors strived to explore individuals' perceptions and its impact on intention to boycott against ethical problematic social issues. It should be considered that this study used a hypothetical and manipulated situation where respondents are exposed to the visual stimuli that focus on the moral problems that those specific issues have raised.

Practical implications

First, as problem recognition plays a prime mover role in the overall problem-solving process in an ethical context, organizations should reduce individual's ethical problem recognition. When setting up a communication plan, an organization should showcase their positive role in addressing the ethical problems (e.g. to show Adani's commitment to indigenous people and efforts to protect the environment). The response strategy should be effective enough to create an “ethical dilemma,” which refers to a situation in which one has a difficult choice to make between two ethical options.

Originality/value

This study contributes to theoretical development of public relations by illuminating how situational perceptions lead to emotional outrage that promotes behavioral intentions in an ethical context. This study also suggests that a practitioner should be sought to manage the levels of perceptual factors when setting up a communication plan in response to an ethical public crisis.

Details

Corporate Communications: An International Journal, vol. 28 no. 6
Type: Research Article
ISSN: 1356-3289

Keywords

Article
Publication date: 15 June 2021

Guido Grunwald, Jürgen Schwill and Anne-Marie Sassenberg

This paper aims to analyze the requirements for stakeholder integration in sustainability project partnerships in times of sustainability crisis. Referring to the COVID-19…

Abstract

Purpose

This paper aims to analyze the requirements for stakeholder integration in sustainability project partnerships in times of sustainability crisis. Referring to the COVID-19 pandemic as a sustainability crisis that has sensitized consumers and other stakeholders to corporate responsibility for social and sustainability issues, a conceptual framework for stakeholder integration is developed from which implications for designing the potential, process and result quality are derived.

Design/methodology/approach

In this conceptual paper, design options for stakeholder integration are derived from open innovation and service management research. Specific crisis-related determinants of stakeholder integration are derived from current corporate social responsibility (CSR) and crisis research taking into account the opportunities and challenges of the COVID-19 pandemic. Design options and crisis-related determinants are then combined to a conceptual framework for stakeholder integration in sustainability project partnerships in times of crisis. Based on this framework, research propositions are derived that provide insights into the design of the potential, process and result quality of stakeholder integration.

Findings

This paper shows that the COVID-19 pandemic can be viewed as a sustainability crisis, which places special entrepreneurial demands on stakeholder integration in sustainability project partnerships. The pandemic offers potential for integrating a large number of stakeholders and has emphasized the need for integrating a broad range of stakeholders. Higher skepticism of stakeholders toward companies' CSR engagement in the pandemic has raised stakeholder demands for early integration. Higher skepticism and CSR involvement have rendered active forms of integration even more relevant, which, however, should still be adapted to the respective stakeholder prerequisites. The pandemic has increased the need for constant and comprehensive exchange of data on project results between stakeholders and the project leading organization. Measurement of target achievement can be promoted by establishing stakeholder commitment with regard to the target measures on the collective and relationship levels of the partnership. Finally, the pandemic has reinforced the need for more dialogical forms of communicating sustainability project results.

Originality/value

Solving problems and exploiting opportunities in times of crisis require a high degree of entrepreneurship and creative leadership in order to gain new ideas and overcome resource deficits. Sustainability project partnerships in which various stakeholders contribute resources and knowledge to collaborate on idea development and finding solutions to sustainability issues are suitable for this. However, previous approaches to stakeholder integration in open innovation and service management research largely neglect the crisis context and only a few are related to sustainability. In CSR and crisis research, stakeholder-related approaches to coping with crises tend to be underrepresented, and the comprehensive concept of stakeholder integration has so far hardly been considered as an approach to crisis management. By taking into account the COVID-19 pandemic as a sustainability crisis, this paper provides new impulses for the integration of stakeholders in sustainability project partnerships in times of crisis. Recommendations for the design of the potential, process and result quality are derived, which provide insights for project leaders and stakeholders alike. In addition, implications for public policymakers are derived, who are assigned an increasingly active role in the pandemic and who can contribute to the success of sustainability project partnerships by setting suitable framework conditions. The developed concept can be expanded to include further company-related determinants and offers a starting point for empirical analysis in the still underexplored research fields of sustainability-oriented relationship marketing and sustainability crises.

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