• Title/Summary/Keyword: Crisis Response Strategy

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The Impact of Crisis Response Strategy on Brand Attitude - Focus on the Crisis Type and Cause Related Marketing - (기업의 위기대응전략이 브랜드 태도에 미치는 영향 - 위기 유형과 기업의 공익연계 마케팅을 중심으로 -)

  • Seol, Sang-Chul;Jung, Sung-Gwang;Choi, Woo-Young
    • Management & Information Systems Review
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    • v.34 no.5
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    • pp.251-276
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    • 2015
  • This study is to review the attitude of consumers on the crisis response strategy (defensive vs. receptive) that the company implements in crisis situations. Also, the interaction between the crisis response strategy that the company implements and the crisis type of companies (corporate ability vs corporate social responsibility) was discussed. In addition, the interaction between the messages (abstract vs. concrete) of public interest associated marketing implemented prior to crisis situations and the crisis response strategy implemented after crisis situations was discussed. And these results were reviewed to see if the same result can come out after controlling the involvement on consumer's public interest associated marketing as a covariate. The main results of this study are as follows. First, regarding the crisis response strategy, in the company's crisis response strategy, the receptive attitude was more favorable for the consumer's attitude than the defensive attitude. Second, it was seen that there is a significant interaction between the crisis response strategy of companies and the crisis type of companies. Third, it was seen that the crisis response strategy of companies has a significant interaction with the message type of public interest associated marketing. Lastly, the involvement showed a significant effect as a covariate and the interaction between the crisis response strategy of companies, the crisis type of company and the message type of public interest associated marketing can be confirmed even after controlling the involvement. In the conclusion of the study, the direction on implications, limitations and future.

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Impact of Social Consumption Crisis Strategy on Distribution Marketplaces' Relationships

  • LEE, Jaemin;KIM, Kapseon
    • Journal of Distribution Science
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    • v.19 no.3
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    • pp.61-70
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    • 2021
  • Purpose: This paper reviews the attitudes of consumers related to the consumption crisis response strategy (i.e., defensive vs. receptive) that companies implement during crises. Research design, data, and methodology: We discuss the interaction between the crisis response strategy and the consumption crisis type (i.e., corporate ability vs. corporate social responsibility). We used SAS ver. 9.4 software to analyze the results. We applied a 2 × 2 intergroup experimental design to our sample of subjects, who were undergraduate and graduate students at a university in Seoul, South Korea. The three experimental variables considered were the entity's risk response strategy, the crisis type, and public relations strategy. The experiments were conducted by presenting a hypothetical scenario to eight groups. Prior to this experiment, five preliminary surveys were conducted to determine the three variables just mentioned. Preliminary surveys were conducted on the basis of these criteria. For eight selected product lines, 320 undergraduates were required to enter the product lines that are frequently used in the assessment center up to the fourth priority. Results: Analysis of variance revealed that experiments related to crisis response strategy, type of enterprise crisis, and type of public relations message were successful. Conclusions: Our results verify the impact of different types of social initiatives on distribution marketplaces.

A Study on Situational Crisis Communication Strategy according to Type of Crisis in Korea (위기 유형별 위기 대응 커뮤니케이션 전략 실태 연구 : 기업 사과문 분석을 중심으로)

  • Min, Jisun;Choi, Seong-Rak
    • The Journal of the Korea Contents Association
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    • v.15 no.12
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    • pp.471-482
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    • 2015
  • Situational Crisis communication theory (SCCT), one of the major crisis communication theories, suggests that crisis managers have to choose the most effective crisis response strategy in accordance to the crisis type. However, there's a controversy over whether this theory is practically applicable in Korea. Therefore, this study analyzed statements of apology to see if companies in Korea are actually taking different response strategy according to the types of crisis. According to the result of analysis on 244 apology statements published in the newspapers from 2012 to spring of 2015, adaptive response strategy was mostly taken no matter what the crisis type was. In conclusion, there's a discrepancy in crisis response strategy between the theory suggested in SCCT and the current practices in Korea. This conclusion can contribute to devising an appropriate application of SCCT in Korea and to develop a more Korea relevant theory.

The Effects of a Company's Response Type Strategy due to New Product Failure on Consumers' Negative WOMs : The Moderating Roles of both Cause-related Marketing Activity and Message Strategy (신제품 실패에 따른 기업의 대응유형전략이 소비자의 부정적 구전에 미치는 영향: 공익연계 마케팅 활동여부와 메시지전략의 조절역할)

  • Yun, Hui Kyung;Choi, Young Min;Bae, Sang Wook
    • Journal of Korea Society of Industrial Information Systems
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    • v.23 no.2
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    • pp.93-107
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    • 2018
  • The Purpose of This Study is to Investigate Consumers' Negative WOMs due to the Crisis Response Strategy that Companies Perform in Crisis Situations due to the Failure of New Products. To do This, the Crisis Scenarios and Response Strategies were Manipulated Using a Virtual Laptop Company, and then an Experiment was Performed. The Results of This Experimental Design are as Follows. First, According to The Response Type Strategies, It is Found that Apologizing rather than Denying for the Crisis Response Mitigates the Negative WOMs more. Second, It is Found that the Companies that have Engaged in Cause-Related Marketing Activities before the Crisis Caused by New Product Failure Mitigate Consumers' Negative WOMs more than those which have not. Third, It is Shown that the Message Strategy of the Firm does not Affect Consumers' Negative WOMs. Fourth, the Interaction between the Response Type Strategy and the Cause-Related Marketing Activities are Found to Exist, but the Interaction Between The Response Type Strategy and the Message Strategy does not Appear.

The Effect of Identification Framing as Crisis Response Strategy (위기대응 전략으로서 정체성 프레이밍 효과)

  • Cho, Seung-Ho
    • The Journal of the Korea Contents Association
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    • v.18 no.1
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    • pp.327-335
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    • 2018
  • The current study challenges to suggest an umbrella strategy applied to different type of crisis, which is different from normative principle in crisis communication. The umbrella or comprehensive strategy in this study is identification framing. Identification framing is strategic message for organizational identification, which is close to social identification. The current study employed experimental design manipulating crisis types, crisis response types, and identification framing. The crisis types were internal versus external crisis, crisis responses were denial versus apology, and using identification framing $2{\times}2{\times}2$ factorial design were used. Two hundreds forty students participated in the experiment. The result showed the significant effectiveness of identification framing in different crisis types and crisis responses.

A Study of Social Media User Response about Firms' Crisis Response Strategies (기업의 위기대응전략에 대한 소셜 미디어 이용자의 반응 연구)

  • Kim, Bora;Kim, Woohee;Jung, Yoonhyuk
    • The Journal of Bigdata
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    • v.2 no.1
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    • pp.27-39
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    • 2017
  • The importance of online communication is getting increased by the rapid growth of smartphone supply and Social Network Service (SNS) use. Catching up with the trend, firms are actively use SNS to improve brand image, promote products, and communicate with customer. On the one hand, SNS is the channel for firms' marketing activities, but on the other, it is also the channel where the events related to the firms propagate in real time. Firms are led to unexpected state of crisis, when events are quickly spread out on SNS. Then firms are assessed their image by the way they deal with the state of crisis. This paper proposes to figure out user response on SNS according to each crisis response strategies by analyzing event-related twitter data when crisis situations of firms arise. We classify crisis response strategies into response attitude, defensive and accommodative response, and response speed, fast and slow response. This paper suggests optimal crisis response strategy to firms regarding state of crisis propagated on SNS.

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A Study on the Difference of Crisis Communication Strategy and PR Team's Role according to Type of Crisis (위기 유형에 따른 위기 대응 커뮤니케이션 전략 및 역할 차이에 대한 연구)

  • Min, Ji-Sun;Choi, Seong-Rak
    • The Journal of the Korea Contents Association
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    • v.17 no.11
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    • pp.398-409
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    • 2017
  • Situational Crisis communication theory (SCCT), one of the major crisis communication theories, suggests that crisis managers have to choose the most effective crisis response strategy in accordance to the crisis type. Therefore, this study analyzed whether the crisis response strategies of Korea companies are different according to the types of crisis. According to the result of analysis on survey to PR managers, the crisis response strategies are different according to the types of crisis. And the role and function of PR team are different according to the types of crisis, too. This conclusion can contribute to devising SCCT theory and to develop a more Korea relevant theory.

An Examination of the Effectiveness of Crisis Response Strategies for Repairing Competence and Integrity Violations

  • Sung, Yen-yi;Lee, Han-joon;Park, Jong-chul
    • Asia Marketing Journal
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    • v.15 no.1
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    • pp.129-154
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    • 2013
  • Product-harm crises, which are connected to defective or dangerous products, are perceived as the most common threats to a company. Product harm crises can distort long standing favorable equality perceptions, tarnish a company's reputation, cause major revenue and market-share losses, lead to costly product recalls, and devastate a carefully nurtured brand equity. However, in spite of the devastating impact of product-harm crises, little systematic research exists to asses its marketing consequences. So, the purpose of this study is to investigate how Koreans react to the crisis response in the aftermath of different crises(competence violation vs. integrity violation) and inspire additional research in crisis communication. This study has three main findings which run counter to the assumptions of Kim et al.(2007). Namely, the current study expands on the research of Kim et al. (2004, 2007) by examining how companies repair customers' trust and corporate attitude after crises. Different from previous studies, this study assumes that apology for an integrity-based crisis is the most appropriate way to repair consumer trust and corporate attitude. As for competence-based crisis, similarly, apology for competence-based crisis can be more successful repairing consumer trust and corporate attitude. Concerning silence strategy, remaining silent dose not admit or deny guilt right away, but instead of asking the perceiver to withhold judgment, suggesting that, silence could be expected to be superior to apology but inferior to denial. Finally, apology for competence violation will be expected to bemore effective than apology for integrity violation. Research conceptual model was as follows: According to the results, apology is found to be the most effective strategy to repair corporate attitude no matter the crisis is perceived as a violation of competence or integrity. Second, company may consider keeping silent as a desirable response because they does not admit nor deny responsibility but ask the public to withhold judgment. However, the result of this study shows that, in the overall crisis situations, silence strategy did not differ significantly from the denial strategy, which suggested that the public wants explanation instead of uncertainty. Third, there was the interaction effect between crisis type and crisis response strategies. In this study, apology is more effective for the competence violated situation in terms of regaining consumer trust and repairing their attitude toward company, while the apology's effectiveness is lower for the integrity-violated situation. More specifically, when the crisis is perceived due to company's lack of ability(competence violation), consumer's trust belief and attitude toward the company is more easily to repair when the company issued a sincere apology. Damaged product is perceived less intentional so participants are more likely to give the company second chance when they apology to the public. By contrast, exaggerated advertisement(integrity violation) is perceived intentionally and thus makes participants angrier toward the accused company. Although apology is perceived as the most effective strategy, when issuing apology, it also means the company admitted their intention. Therefore, in this kind of crisis situation, trust repair needs not only a sincere apology but additional efforts.

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Content Analysis of Crisis Response Communication Strategies along Crisis Stages for Match-fixing Case in K-League (프로축구 승부조작 사건에 대한 프로축구연맹의 위기단계별 위기대응 커뮤니케이션 전략 분석)

  • Bang, Shinwoong;Hwang, Sunhwan
    • The Journal of the Korea Contents Association
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    • v.14 no.5
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    • pp.390-402
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    • 2014
  • This study, based upon the Sturges' crisis stages, examines the crisis response communication strategies of Korea Professional Football League(KPFL) for the K-league match-fixing case as well as the frequency of related news articles and the source of information. To explore the crisis response communication strategies the Korea Professional Football League used, a total of 118 news articles were analyzed using the content analysis and frequency analysis. The unit of analysis for crisis response communication strategies is sentence. The frequency of news articles based upon the crisis stages shows highest rate at the acute crisis stage. The source of information for news reports shows that KPFL was one of the major sources of the news reports. KPFL's crisis response communication strategy throughout all stages of the crisis stage shows that corrective action strategy was used highest ratio. In particular, the crisis response communication strategy between team, player and KPFL was shown lack of consistency throughout all crisis stages. Implication and future research direction for the results are discussed.

Interaction Effects of Crisis Responsibility and SNS Interactivity on Acceptances of Crisis Response Strategies in the case of CEO in Crisis (CEO 위기책임성과 SNS 상호작용성이 위기 대응 전략 인식에 미치는 영향)

  • Liu, Le;Choi, Youjin
    • The Journal of the Korea Contents Association
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    • v.20 no.3
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    • pp.59-72
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    • 2020
  • Previous crisis management research has mainly focused on business organizations' responsibility for crises, and yet research on CEOs in crisis still lacks. This research examined the influences of crisis responsibility and response strategies on attitudes toward a CEO, attitudes toward a corporate, and purchase intentions in the case of CEOs in crisis. In addition, this study explored how a CEO's SNS interactivity during normal times moderates the influences of crisis responsibility and response strategies. A 2(responsibility: high vs. low)X2(strategy: defensive vs. apology)X2(interactivity: high vs. low) experimental design was conducted with 200 Chinese students in Seoul. According to the analysis results from effects of response strategies by CEO's crisis responsibility levels, regardless of the crisis responsibility levels, the apology strategy was more effective than the defensive strategy in terms of CEO attitudes, corporate attitudes, and purchasing intentions. The analysis results about the moderating role of SNS interactivity during normal times show that under the CEO's high responsibility condition, keeping high SNS interactivity during normal times and using the apology after crisis brought out most favorable responses. Under the CEO's low responsibility condition, regardless of the SNS interactivity levels, the apology strategy brought out more favorable responses than the defensive strategy.