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Product-harm crisis management: Time heals all wounds?

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  • Vassilikopoulou, Aikaterini
  • Siomkos, George
  • Chatzipanagiotou, Kalliopi
  • Pantouvakis, Angelos

Abstract

This paper focuses on product-harm crises and examines consumer responses associated with product defect in three time periods (i.e., 3 days, 3 months and 1 year after a crisis). An experiment was conducted based on three widely accepted- influences on product-harm crisis management (i.e., crisis extent, social responsibility and organizational responses). The fourth influencing factor, time, was introduced in the present study. The four-factor model for measuring the effectiveness of product-harm crisis management was tested with particular attention to the impact of time. Crises were described in scenarios for a fictitious mobile phone. The results demonstrate that the effects of a crisis are minimal a few months after the crisis has occurred. Consumers tend to “forget†about the crisis and its effects, especially in cases when the company is socially responsible, and when the company issues a voluntary recall of its product.

Suggested Citation

  • Vassilikopoulou, Aikaterini & Siomkos, George & Chatzipanagiotou, Kalliopi & Pantouvakis, Angelos, 2009. "Product-harm crisis management: Time heals all wounds?," Journal of Retailing and Consumer Services, Elsevier, vol. 16(3), pages 174-180.
  • Handle: RePEc:eee:joreco:v:16:y:2009:i:3:p:174-180
    DOI: 10.1016/j.jretconser.2008.11.011
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    References listed on IDEAS

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    14. Francesca Magno & Fabio Cassia & Marta Ugolini, 2017. "Impact of voluntary product recalls on utilitarian and hedonic attitudes: Is it the same for all brands?," Australian Journal of Management, Australian School of Business, vol. 42(1), pages 161-174, February.
    15. Scheidler, Sabrina & Edinger-Schons, Laura Marie, 2020. "Partners in crime? The impact of consumers' culpability for corporate social irresponsibility on their boycott attitude," Journal of Business Research, Elsevier, vol. 109(C), pages 607-620.
    16. Sandra Escamilla-Solano & Antonio Fernández-Portillo & Jessica Paule-Vianez & Paola Plaza-Casado, 2019. "Effect of the Disclosure of Corporate Social Responsibility on Business Profitability. A Dimensional Analysis in the Spanish Stock Market," Sustainability, MDPI, vol. 11(23), pages 1-17, November.
    17. Bozic, Branko & Kuppelwieser, Volker G., 2019. "Customer trust recovery: An alternative explanation," Journal of Retailing and Consumer Services, Elsevier, vol. 49(C), pages 208-218.
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