The dynamic of employees’ trust in their organization in a corporate brand crisis: the bounce-back effect of organisational identification

Sophie de Villartay (), Marie-Aude Abid-Dupont () and Fabienne Berger-Remy ()
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Sophie de Villartay: UEVE - Université d'Évry-Val-d'Essonne, LITEM - Laboratoire en Innovation, Technologies, Economie et Management (EA 7363) - UEVE - Université d'Évry-Val-d'Essonne - Université Paris-Saclay - IMT-BS - Institut Mines-Télécom Business School - IMT - Institut Mines-Télécom [Paris]
Marie-Aude Abid-Dupont: CEROS - Centre d'Etudes et de Recherches sur les Organisations et la Stratégie - UPN - Université Paris Nanterre
Fabienne Berger-Remy: Equipe de Recherche en Marketing & Stratégie - DRM ERMES - DRM - Dauphine Recherches en Management - Université Paris Dauphine-PSL - PSL - Université Paris Sciences et Lettres - CNRS - Centre National de la Recherche Scientifique

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Abstract: Given their increasing number, corporate brand crises are a subject of growing academic interest. Today's managers face a hostile and often uncontrollable external information environment. Maintaining employee trust during turmoil is key to crisis resolution. However, it is during crises that employee trust can be most threatened. Our study draws on social identity theory to understand the conditions under which trust is destroyed and possibly repaired after a corporate brand crisis. The results from two experimental studies suggest that corporate brand crises decrease employee trust due to the threat to their social image. However, appropriate mitigation strategies that restore employees' social status can effectively repair their trust. This decline and repair dynamic is amplified among highly identified employees, suggesting that organisational identification has a bounce-back effect on this mechanism.

Keywords: Corporate and crisis; Corporate reputation; Organisational trust; Organisational identification; Crisis mitigation strategies (search for similar items in EconPapers)
Date: 2024-02
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Published in Journal of Marketing Management, 2024, 40 (3-4), pp.260-288. ⟨10.1080/0267257X.2023.2276867⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-05506947

DOI: 10.1080/0267257X.2023.2276867

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