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

Claudiu-Catalin Munteanu (), Dorian-Laurentiu Florea and Andreea Pagalea
Additional contact information
Claudiu-Catalin Munteanu: Academia de Studii Economice,
Dorian-Laurentiu Florea: Academia de Studii Economice,
Andreea Pagalea: Academia de Studii Economice,

The AMFITEATRU ECONOMIC journal, 2014, vol. 16, issue 35, 58

Abstract: 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.

Keywords: brand reputation; faulty products; harmful products; social responsibility; consumers. (search for similar items in EconPapers)
JEL-codes: D12 D18 M21 M31 (search for similar items in EconPapers)
Date: 2014
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
http://www.amfiteatrueconomic.ro/temp/Article_1251.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:aes:amfeco:v:1:y:2014:i:35:p:58

Access Statistics for this article

More articles in The AMFITEATRU ECONOMIC journal from Academy of Economic Studies - Bucharest, Romania Contact information at EDIRC.
Bibliographic data for series maintained by Valentin Dumitru ().