Guido Berens

Corporate associations and consumer product responses: The moderating role of corporate brand dominance

This study investigates the effect of corporate brand dominance—that is, the visibility of a companys corporate brand in product communications—on the relationship between corporate associations and product evaluations. The results show that corporate brand dominance determines the degree to which associations with the companys corporate ability and corporate social responsibility influence product attitudes, as well as the nature of the moderating effects of fit and involvement.

Stimulating Strategically Aligned Behaviour among Employees

Strategically aligned behaviour (SAB), i.e. employee action that is consistent with the companys strategy, is of vital importance to companies. This study provides insights into the way managers could promote such behaviour among employees (who can be managers as well) by stimulating employee motivation, by informing employees, and by stimulating the development of their capabilities. The results of surveys conducted in three organizations suggest that, first, perceived efforts by management aimed at motivating and informing employees (both managers and non-managers), and at developing their capabilities, each are related to SAB. Second, among the perceived efforts to stimulate motivation among employees, providing a rationale for the strategy and an open communication climate have a stronger relationship with SAB than participation in decision making and supportiveness. Third, the perceptions of the different types of managerial effort are related to each other. For this reason, the efforts have direct as well as indirect relationships to SAB. Fourth, each of the perceived efforts seems to be complementary to the others, in the sense that the relationship of one type of effort to SAB is stronger when other types of effort are perceived to be higher.

Creating consumer confidence in CSR communications

Abstract Purpose We examine the role of communication in stimulating consumer attitudes and buying behavior regarding corporate social responsibility (CSR). Methodology We review the literature on communicating CSR to consumers through (1) messages constructed and verified by the company (such as product claims and corporate advertising), (2) messages constructed by the company, but verified by a third party (such as disclosures), and (3) messages constructed and verified by a third party (such as independent consumer guides and publicity). Findings Communication messages constructed and verified by the company can be quite effective in persuading consumers, if they are communicated in a credible way. The latter can, for example, be done by including specific behaviors and/or outcomes in the message. Messages constructed by the firm, but verified by a third party tend to have a higher credibility, but risk containing either too little information or too much. Finally, messages constructed and verified by a third party can be seen as highly credible, but can sometimes be seen as merely PR. In addition, both messages focusing on deontological responsibility (the firm’s motives and behavior), and messages focusing on consequentialist responsibility (the outcomes of the firm’s behavior) seem important to consumers. Practical implications The results offer suggestions on how to communicate about CSR to consumers. Originality/value of the chapter The chapter provides the first comprehensive overview of the literature on communication about CSR to consumers.

Corporate branding: the marketing perspective

This chapter discusses the importance of corporate branding within the marketing field, and provides an overview of research on corporate brand associations (people’s perceptions of corporate brands) and the influence that these associations may have on consumer behaviour. It shows that corporate brands and the associations people have with them play an exceptional role in consumers’ judgements and decision-making processes.

Balancing corporate branding policies in multi-business companies

The CEO/Chairman looked once more at the letter he had just drafted for his management team and strategic business unit directors. It was a great letter — in his opinion. It formulated why the company had to change the multi-branding strategy into a more uniform approach. The arguments were crystal-clear: it would increase familiarity for the company; it would be more attractive for the labor market; communications could be spread across the corporate entity; and, the shareholders would appreciate cost reductions that could be gained by the revised strategy. He also thought, personally, that it would be advantageous because his friends at the golf club would get a better impression of the company he was responsible for as well.

Social influence: the effect of Twitter information on corporate image

This article examines information sharing on Twitter and its effects on corporate credibility and corporate image, mediated by informedness and engagement. In an experiment, we found that informedness and engagement play an important role in how the corporate image is being perceived. We also found that the depth of the relationship among users, the level of corporate involvement, the purpose of the channel, message credibility, and source credibility influence corporate credibility and corporate image.

Country RepTrak™: A Standardized Measure of Country Reputation

The increased global accessibility of information through the internet and other digital channels has increased the importance of managing a country’s reputation. Events happening in any country in the world can become world news within minutes, and can dramatically influence public opinion about the country. In turn, public opinion can substantially influence diplomatic relations between countries, the number of tourists visiting a country, and the level of foreign investment in that country (Kotler and Gertner 2002; Papadopoulos and Heslop 2002; Yang et al. 2008). These effects are especially relevant for developing countries that compete increasingly with other developing countries for tourism and foreign investment from developed nations. Kotler and Gertner (2002) describe how, in the 1990s, ‘underdog’ Costa Rica won a major deal from Intel Corporation to establish a production plant, principally because of its investment in reputation management. In addition, a country’s reputation can substantially boost or impede the success of products originating from that country seen from the point of view of other countries (Verlegh and Steenkamp 1999). For example, on hearing that a product originates from Germany or Japan, many consumers will ascribe a high level of reliability and overall quality to the product, because, at least in part, of the established reputations of these countries.

Why does psychic distance inhibit international buyer-supplier relationships?

Abstract In spite of technological advances and the removal or reduction of tariffs and other barriers to trade, international buyer–supplier relationships often struggle. In this conceptual chapter, we examine how purchase intentions are influenced by the effects of the psychic distance between the countries where the buyer and the supplier reside. We look into the causal mechanism through which the psychic distance between the buyer and the supplier influences the extent to which the two will enter a business relationship. Two causal pathways are proposed, a more emotional pathway, through organizational identification, as predicted by the psychological distance theory, and a more rational pathway, through trust and expected relationship quality, as predicted by internationalization theory.

The "boomerang effect" of CSR promotion campaigns during corporate crises

Companies often emphasize their corporate social responsibility (CSR) in their communication campaigns to consumers. However, they cannot be fully assured that promoting themselves as socially responsible will generate long-term benefits. The reason is that companies that are doing the most in the area of CSR are also the ones that are criticized the most (e.g., Knight and Greenberg 2002). On the other hand, Klem and Dawar (2004) showed that when a company is known for positive actions in the CSR field, consumers seem to be less likely to blame the company for a product-harm crisis (i.e., a defective product) than when the company has a poor record regarding CSR. In addition, they hold more favorable evaluations of the company and have higher intentions to buy the company’s products. From these results, CSR seems to be a viable strategy to protect the company from damage resulting from a crisis. Other authors in crisis communication have also suggested this (e.g., Coombs 1995; Benoit 1997).