The importance of not only planning and implementing a strategy to build strong brand equity but also effectively dealing with brand crisis is currently an issue. Hence, companies are trying to build an effective model for crisis management in order t...
The importance of not only planning and implementing a strategy to build strong brand equity but also effectively dealing with brand crisis is currently an issue. Hence, companies are trying to build an effective model for crisis management in order to minimize the negative impact of brand crisis on the company. Accordingly, there has been an increase in researches that have been conducted to find out the effects of negative information and the response measures of a company. This research shows
the negative impacts on a brand caused by different types of brand crises based on corporation association, and looked into the moderating effects of the brand hierarchy(corporate versus individual), brand reputation(high versus low), self-construal(independent versus interdependent).
The results show that 1) when a crisis occurred on an individual brand level, the negative impact on the brand was greater in the case of 'Corporate Ability' relevant to 'Corporate Social Responsibility', and when a crisis occurred on a corporate brand level, the negative impact on the brand was no significant difference. 2) There was no interaction effect between type of brand crisis and brand reputation. 3) Consumers with independent self-construal showed more nagative response to brand crisis caused by
Corporate Ability rather than CSR, and consumers with interdependent self-construal did not show significant difference between the types of brand crisis.
And lastly, this research discusses the theoretical and practical implications, its limitations and also guidelines for future studies related to this issue.