Impact of Product-Harm Crises on Brand Equity: The Moderating Role of Consumer Expectations

Dawar, N and Pillutla, M (2000) Impact of Product-Harm Crises on Brand Equity: The Moderating Role of Consumer Expectations. Journal of Marketing Research, 37 (2).

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Abstract

Brand equity is a valuable yet fragile asset. The mounting frequency of product-harm crises and ill-prepared corporate responses to such crises can have profound consequences for brand equity. Yet there is little research on the marketing impact of crises. The authors employ the expectations–evidence framework to understand the impact of firms' responses to crises on customer-based brand equity. The results of a field survey and two laboratory experiments indicate that consumers interpret firm response on the basis of their prior expectations about the firm. The interaction of expectations and firm response is shown to affect postcrisis brand equity. The authors draw implications for the expectations–evidence framework and for the outcomes of different types of firm response (i.e., unambiguous support, ambiguous response, and unambiguous stonewalling) on brand equity.

Affiliation: Indian School of Business
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ORCiD
Pillutla, M
https://orcid.org/ 0000-0001-5529-5094
Item Type: Article
Additional Information: The research article was published by the author with the affiliation of London Business School
Uncontrolled Keywords: Product-Harm Crises, Brand Equity, Consumer Expectations
Subjects: Organization Behavior
Depositing User: Gurusrinivasan K
Date Deposited: 26 Sep 2021 17:15
Last Modified: 26 Sep 2021 17:15
URI: https://eprints.exchange.isb.edu/id/eprint/1575
Publisher URL: https://journals.sagepub.com/doi/10.1509/jmkr.37.2...
Publisher OA policy: https://v2.sherpa.ac.uk/id/publication/35655
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