The Effects of Faulty or Potentially Harmful Products on Brand Reputation and Social Responsibility of Business

Building a strong brand requires a good management of brand reputation over time. Social responsibility of business is a key factor in evoking a positive brand reputation. Both the product itself and brand related actions and communications define brand reputation in the eyes of consumers, thus i...

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Main Authors: Claudiu-Cătălin Munteanu, Dorian-Laurenţiu Florea, Andreea Pagalea
Format: Article
Language:English
Published: Editura ASE 2014-02-01
Series:Amfiteatru Economic
Subjects:
Online Access:http://www.amfiteatrueconomic.ro/ArticolEN.aspx?CodArticol=1250
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author Claudiu-Cătălin Munteanu
Dorian-Laurenţiu Florea
Andreea Pagalea
author_facet Claudiu-Cătălin Munteanu
Dorian-Laurenţiu Florea
Andreea Pagalea
author_sort Claudiu-Cătălin Munteanu
collection DOAJ
description Building a strong brand requires a good management of brand reputation over time. Social responsibility of business is a key factor in evoking a positive brand reputation. Both the product itself and brand related actions and communications define brand reputation in the eyes of consumers, thus influencing perceived corporate social responsibility. As a consequence, it can be easily hindered or endangered by many product related issues such as faulty products or potentially harmful products. The purpose of this article is to provide an insight on the link between brand reputation and social responsibility in order to help organizations provide better services and protection for consumers. We examined how brand reputation is influenced by the negative bias generated by brand related communications regarding potentially harmful products. This study also analyzes how under normal consumption circumstances, consumers' experiences related to faulty products can influence brand reputation. To investigate this, we propose a model based on perceptual brand constructs and possible outcomes of brand reputation. In both circumstances, negative spillover effects are highlighted using structural equation modeling. The findings reveal that both faulty products and potentially harmful products have a negative bias on brand reputation, but affected perceptual brand constructs are different.
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series Amfiteatru Economic
spelling doaj-art-9f5ff6a5ec644cddac6adec9146a9fa12025-08-20T03:38:27ZengEditura ASEAmfiteatru Economic1582-91462247-91042014-02-0116355872The Effects of Faulty or Potentially Harmful Products on Brand Reputation and Social Responsibility of BusinessClaudiu-Cătălin Munteanu0Dorian-Laurenţiu Florea1Andreea Pagalea 2Bucharest University of EconomicsBucharest University of EconomicsBucharest University of EconomicsBuilding a strong brand requires a good management of brand reputation over time. Social responsibility of business is a key factor in evoking a positive brand reputation. Both the product itself and brand related actions and communications define brand reputation in the eyes of consumers, thus influencing perceived corporate social responsibility. As a consequence, it can be easily hindered or endangered by many product related issues such as faulty products or potentially harmful products. The purpose of this article is to provide an insight on the link between brand reputation and social responsibility in order to help organizations provide better services and protection for consumers. We examined how brand reputation is influenced by the negative bias generated by brand related communications regarding potentially harmful products. This study also analyzes how under normal consumption circumstances, consumers' experiences related to faulty products can influence brand reputation. To investigate this, we propose a model based on perceptual brand constructs and possible outcomes of brand reputation. In both circumstances, negative spillover effects are highlighted using structural equation modeling. The findings reveal that both faulty products and potentially harmful products have a negative bias on brand reputation, but affected perceptual brand constructs are different.http://www.amfiteatrueconomic.ro/ArticolEN.aspx?CodArticol=1250brand reputationfaulty productsharmful productssocial responsibilityconsumers.
spellingShingle Claudiu-Cătălin Munteanu
Dorian-Laurenţiu Florea
Andreea Pagalea
The Effects of Faulty or Potentially Harmful Products on Brand Reputation and Social Responsibility of Business
Amfiteatru Economic
brand reputation
faulty products
harmful products
social responsibility
consumers.
title The Effects of Faulty or Potentially Harmful Products on Brand Reputation and Social Responsibility of Business
title_full The Effects of Faulty or Potentially Harmful Products on Brand Reputation and Social Responsibility of Business
title_fullStr The Effects of Faulty or Potentially Harmful Products on Brand Reputation and Social Responsibility of Business
title_full_unstemmed The Effects of Faulty or Potentially Harmful Products on Brand Reputation and Social Responsibility of Business
title_short The Effects of Faulty or Potentially Harmful Products on Brand Reputation and Social Responsibility of Business
title_sort effects of faulty or potentially harmful products on brand reputation and social responsibility of business
topic brand reputation
faulty products
harmful products
social responsibility
consumers.
url http://www.amfiteatrueconomic.ro/ArticolEN.aspx?CodArticol=1250
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