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1 – 10 of over 1000The purpose of this study was to investigate the effect of perceived corporate hypocrisy on customer mistreatment behaviors within the banking industry and the moderating effects…
Abstract
Purpose
The purpose of this study was to investigate the effect of perceived corporate hypocrisy on customer mistreatment behaviors within the banking industry and the moderating effects of customer–company identification (CCI) and brand equity on the hypocrisy-mistreatment behavior relationship.
Design/methodology/approach
Using multistage sampling, 567 South Korean banking service users participated in an online survey. Structural equation modeling (confirmatory factor analysis) and hierarchical regression analysis were used to analyze the data.
Findings
Perceived corporate hypocrisy was positively related to customer mistreatment behaviors. CCI and brand equity differentially moderated the positive relationship between perceived corporate hypocrisy and customer mistreatment behaviors. Specifically, CCI and brand equity strengthened and weakened the positive relationship between perceived corporate hypocrisy and customer mistreatment behaviors, respectively.
Practical implications
Marketers and banking service managers should pay careful attention to customer evaluations of their social activities and communication about the ethical values and actions of their firms. Since CCI and brand equity have contrasting moderating effects on the corporate hypocrisy-aggressive behavior relationship, marketers should devise different strategies to manage the adverse effects of such corporate crises on company-identified and brand-committed customers. For example, managers should focus on customers who actively express their deep sense of disappointment or profound anger in response to corporate hypocrisy (e.g. those with high levels of CCI) because they are likely to exhibit aggressive behaviors toward the company or its employees. Managers need to devise customized relationship-recovery strategies for such customers (e.g. forging a personal connection between the customer and service provider).
Originality/value
The present findings delineate the adverse effects of perceived corporate hypocrisy on customer behaviors and the moderating effect of customer relationship quality on the corporate hypocrisy-mistreatment behavior relationship within the banking industry.
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Kun Zhang, Xiu-e Zhang and Xuejiao Xu
Hypocrisy often observed in the social responsibility practices of commercial enterprises is more likely to occur in social enterprises. However, this issue has received little…
Abstract
Purpose
Hypocrisy often observed in the social responsibility practices of commercial enterprises is more likely to occur in social enterprises. However, this issue has received little research attention. This study explores, from a consumer perspective, the formation of perceived hypocrisy and its impact on the cognitive legitimacy of social enterprises.
Design/methodology/approach
This research conducted two experiments, and data were collected from 515 subjects in China to test the proposed hypotheses.
Findings
Behavioral inconsistency in social enterprises leads to consumers' perceived hypocrisy. The higher the perceived hypocrisy towards social enterprises, the weaker their cognitive legitimacy of social enterprises. At a lower level of inconsistency, the perceived hypocrisy of social enterprises was lower than that of commercial enterprises. Egoistic attribution to prosocial behavior moderated the negative effect of perceived hypocrisy on cognitive legitimacy. The stronger the egoistic attribution, the greater is the negative effect of perceived hypocrisy on the cognitive legitimacy of social enterprises.
Practical implications
Social entrepreneurs should be acutely aware of the harmful effects of hypocrisy on social enterprises. Social enterprises should not exaggerate their propaganda or be consistent with their words and actions.
Originality/value
This study innovatively analyzes the damage to the cognitive legitimacy of social enterprises caused by the hypocrisy that tends to occur in commercial enterprises and argues from the consumer viewpoint. These findings enrich the perspective on exploring social enterprise legitimacy.
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Denni Arli, Patrick van Esch, Gavin Northey, Michael S.W. Lee and Radu Dimitriu
The purpose of this paper is to examine the effect of corporate hypocrisy and consumer skepticism on perceived corporate reputation. In addition, the effect of perceived corporate…
Abstract
Purpose
The purpose of this paper is to examine the effect of corporate hypocrisy and consumer skepticism on perceived corporate reputation. In addition, the effect of perceived corporate social responsibility (CSR) in mediating the relationship between corporate hypocrisy and consumer skepticism toward perceived corporate reputation.
Design/methodology/approach
An experimental design was employed to test the effects of corporate hypocrisy and consumer skepticism on consumers’ perception of a firm’s corporate reputation, as well as the role of perceived CSR as a causal mechanism. Analysis involved structural equation modeling (AMOS) to test hypotheses. A convenience sample (n=837) was recruited from the USA and Australia to allow for any national biases or brand familiarity effects and to ensure the results were robust and generalizable.
Findings
Corporate hypocrisy and consumers’ skepticism significantly influences perceived CSR and corporate reputation. Furthermore, a consumer’s level of perceived CSR acts as a causal mechanism, mediating the relationship between corporate hypocrisy and skepticism on perceived corporate reputation.
Practical implications
The importance of being transparent and honest toward consumers. When companies are inconsistent in their CSR activities, it increases consumers’ skepticism toward the brand. Nonetheless, CSR has a positive influence on the consumers’ perception of corporate reputation and this, in turn, will positively influences consumers’ support for the firm.
Originality/value
The first empirical evidence that companies producing vices (such as beer) generate lower expectations in the minds of the consumers, meaning there is less impact on brand reputation when consumers feel the CSR does not fit with the brand image.
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When fast fashion brands launch corporate social responsibility (CSR) programs, consumers may consider these brands to behave hypocritically as their business model is generally…
Abstract
Purpose
When fast fashion brands launch corporate social responsibility (CSR) programs, consumers may consider these brands to behave hypocritically as their business model is generally perceived as being inconsistent with sustainable practices. Built on construal level theory (CLT), this study aims to examine how the benefit appeals that are widely used in CSR initiatives affect perceived corporate hypocrisy and the CSR performance of fast fashion brands.
Design/methodology/approach
This study designed an online experiment with a 2 (fashion brand: fast fashion vs. unknown) × 2 (benefit appeal: self-benefit vs other-benefit) stimulus, using a virtual label named “Eco Care” for experimental manipulation. A total number of 298 Chinese consumers participated in the experiment and they answered an online survey.
Findings
It was found that the brand types (fast fashion vs unknown) and benefit appeals (self-benefit vs other benefit) did not elicit perceived corporate hypocrisy nor did them directly affect perceptions of CSR performance. However, there was a significant interaction effect of them. That is, fast fashion brand’s CSR performance was judged based on how the brand framed its sustainability claims. A fast fashion brand’s CSR label significantly increased hypocrisy perceptions when the label used a self-benefit appeal and the interactive effect of the fast fashion brand and the self-benefit appeal hindered the formation of a green brand image and brand purchase intentions.
Originality/value
This study adds a body of knowledge to the literature by examining the relationship between benefit appeals and perceived corporate hypocrisy from the perspective of CLT. The findings can help fast fashion marketers better understand the critical role of benefit appeals by acknowledging that the misuse of communication strategies may result in unfavorable consequences, thus ruining their efforts to improve their brand’s image.
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Arzu Ilsev and Eren Miski Aydin
Hypocrisy is a widely recognized concept in both academic literature and popular media. However, very few studies have examined the reflections of hypocrisy in leader's behaviors…
Abstract
Hypocrisy is a widely recognized concept in both academic literature and popular media. However, very few studies have examined the reflections of hypocrisy in leader's behaviors in organizational behavior literature. Leader hypocrisy mainly refers to the misalignment between words and deeds of a leader. This chapter first provides a review of the concept of hypocrisy and its various conceptualizations in philosophy, social psychology, and organizational behavior literatures. The chapter then focuses on the implications of leader hypocrisy for organizations and its members by presenting the studies conducted on the emotional, attitudinal, and behavioral consequences of leader hypocrisy (word–deed misalignment) and leader behavioral integrity (word–deed alignment). Moreover, some of the gaps in the literature are identified, and suggestions are made for future research on the topic.
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There is increasing interest in understanding negative consumer reactions to brands and the nature of negative brand perceptions. The purpose of this paper is to conceptualize the…
Abstract
Purpose
There is increasing interest in understanding negative consumer reactions to brands and the nature of negative brand perceptions. The purpose of this paper is to conceptualize the construct of brand hypocrisy from a consumer perspective and develop a scale to measure it.
Design/methodology/approach
A multiphase scale development process involving 559 consumers was conducted. Study 1 pertains to item generation and reduction phases. Study 2 reports on scale purification and validation through confirmatory factor analyses and model comparisons. Study 3 focuses on discriminant and predictive validity, while Study 4 further investigates predictive validity using real brands with differences in brand hypocrisy.
Findings
A 12-item scale measuring four dimensions of brand hypocrisy is developed: image hypocrisy (brand failing to put words into action), mission hypocrisy (brand exerting an unacknowledged negative impact on society or consumer well-being), message hypocrisy (brand conveying unrealistic or unattainable images) and social hypocrisy (brand supporting social responsibility initiatives for strategic purposes only). Results indicate that brand hypocrisy is distinguishable from similar constructs in the literature and that it is a significant predictor of negative word-of-mouth and brand distance.
Practical implications
This conceptualization provides managers with a detailed understanding of what constitutes a hypocritical brand in the eyes of consumers as well as insights about how to prevent consumer perceptions of brand hypocrisy.
Originality/value
Findings enrich the understanding of negative consumer inferences related to brands and provide a conceptualization of an understudied but increasingly relevant form of brand judgment.
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Hoa Pham, Huu Phuc Dang and Bang Nguyen-Viet
The call for consumption reduction behavior has been getting more attention from scholars and practitioners. However, the consumption reduction often receives backfire from…
Abstract
Purpose
The call for consumption reduction behavior has been getting more attention from scholars and practitioners. However, the consumption reduction often receives backfire from consumers because it does not follow the business philosophy of demand creation. Thus, this research dissolves this issue by using a holistic corporate social responsibility (CSR) approach regarding sustainable development.
Design/methodology/approach
A conceptual model was developed to represent the proposed relationships among the related variables. The current study employed an online survey to collect data from 341 international program students of three prominent universities in Ho Chi Minh City, Vietnam.
Findings
The findings indicate that the perception of the holistic CSR negatively impacts perceived corporate hypocrisy, triggering in turn brand credibility, resulting in brand advocacy and mindful consumption behavior.
Originality/value
This research forms a holistic CSR including economic, environmental and societal dimensions and proposes that the holistic CSR triggers brand advocacy and mindful consumption behavior representing consumption reduction behavior via the mediating roles of perceived corporate hypocrisy and brand credibility. These findings contribute to theoretical and managerial implications in CSR practices with the aim of consumption reduction.
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Customer co-creation behaviors significantly affect a firm's performance and sustainable growth. This study tested the mediating role of corporate reputation in the relationship…
Abstract
Purpose
Customer co-creation behaviors significantly affect a firm's performance and sustainable growth. This study tested the mediating role of corporate reputation in the relationship between corporate hypocrisy and two types of customer co-creation behaviors: customer citizenship behavior and customer participation behavior. The study also investigated the moderating effect of self-corporate brand connection on the corporate hypocrisy–corporate reputation relationship and the indirect relationship between corporate hypocrisy and customer co-creation behavior through corporate reputation.
Design/methodology/approach
The authors conducted a two-wave research survey with 346 Korean bank customers and tested our hypotheses using PROCESS Macro.
Findings
Corporate reputation mediated the relationship between corporate hypocrisy and customer citizenship/participant behavior. The negative effect of corporate hypocrisy on corporate reputation was more pronounced when self-corporate brand connection was high. Self-corporate brand connection further moderated the indirect effect of corporate hypocrisy on customer citizenship/participant behavior through corporate reputation.
Originality/value
The results clearly explain how corporate hypocrisy affects customer co-creation behavior. This study advances corporate hypocrisy and corporate reputation research by proposing and verifying a moderated mediation model.
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Sojin Jung, Gargi Bhaduri and Jung E. Ha-Brookshire
This study aims to empirically examine the determinants of corporate hypocrisy and to investigate the potential negative impact on the consumer–brand relationship, specifically on…
Abstract
Purpose
This study aims to empirically examine the determinants of corporate hypocrisy and to investigate the potential negative impact on the consumer–brand relationship, specifically on trust, switch and resilience intentions.
Design/methodology/approach
A 2 (mission: no and yes) × 3 (sustainability activities: perfect, imperfect and no duty) experiment was developed. A total of 548 US consumers were randomly assigned to one of six case conditions and asked to respond to an online survey. The responses were analyzed by both two-way analysis of variance and PROCESS.
Findings
The results showed that respondents who saw clear sustainability goals in the companies’ mission statements had lower levels of corporate hypocrisy than those who did not, and when the mission statements and activities related to corporate sustainability were congruent, the respondents were less likely to elicit corporate hypocrisy than when they were not. Also, consumers showed lower levels of trust when corporate hypocrisy was present, which negatively impacted their switch and resilience intentions.
Originality/value
This study provided empirical evidence demonstrating how and to what extent corporate hypocrisy is formed by varying sustainability goals and activities. These findings urge brand managers to recognize the ripple effect created by a mismatch between their stated sustainability goals and their activities. Also, these findings could provide apparel management with guidelines for formulating and communicating companies’ sustainability goals and activities.
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The purpose of this study was to investigate the comparative impacts of the four salient aspects of employees' perceived corporate hypocrisy (PCH), namely PCH based on…
Abstract
Purpose
The purpose of this study was to investigate the comparative impacts of the four salient aspects of employees' perceived corporate hypocrisy (PCH), namely PCH based on psychological contract breach (CB), perceived lack of morality (MOR), double standards (DS) and word–action gap (WA), on employees' turnover intentions and attitudes towards corporations.
Design/methodology/approach
A self-reported online survey was designed to collect data from 520 retail employees using Qualtrics.
Findings
PCH-MOR had the most detrimental effect on employees' attitudes and turnover intentions compared to other PCH types. PCH-DS had the second highest negative impact on employees' attitudes, whereas PCH-WA was the second highest predictor of turnover intentions. Employees' negative responses were more concerning for PCH attributed to organizational aspects than the personnel aspects of corporations. PCH-CB was observed to have no significant impact on employees.
Practical implications
The study generated a deeper understanding of the multi-faceted PCH. It identified the types of PCH that need to be prioritized to guide corporations in attributing the correct areas of concern and determining the scopes of management.
Originality/value
While prior research conceptualized employees' PCH as a single-dimensional construct, this study is the first to acknowledge its multi-faceted nature. Although a few studies theoretically proposed its salient aspects, this study presented empirical evidence of this framework, comparing their varied impacts on employees. Contrary to the dominant notion of characterizing PCH as WA, this research presented evidence that employees' PCH characterized by a perceived lack of morality was more worrisome. This study presented empirical evidence for the organizational and individual levels of PCH, noting PCH attributed to organizational aspects as a bigger concern.
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