Commodity Theory as a Theoretical Explanation for the Impact of the Self-Disclosure of Organizational Crises.

Year of publication: 2013
Author(s): Claeys, A.S., ; Cauberghe, V., & Pandelaere, M.
Appeared in: Proceeding of the 63rd ICA conference, London, United Kingdom, June, 2013.

Abstract

Commodity theory is examined as an explanation for the impact of the self-disclosure of incriminating information by organizations in crisis. Two experiments examined participants’ attention to negative publicity about an organization in crisis and the impact of that negative publicity on the organizational post-crisis reputation. Study one shows that when an organization self-discloses a crisis, participants devote less attention to subsequent negative publicity and that information has less impact on the organizational post-crisis reputation. Study two indicates an interaction effect between crisis timing strategy and crisis involvement. If an organization self-discloses a crisis, both participants’ attention for subsequent negative publicity and the impact of that information on post-crisis reputation are low, irrespective of their involvement with the crisis. If an organization does not self-disclose a crisis, crisis involvement affects consumers’ attention to negative publicity, but not its impact on the organizational post-crisis reputation.

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