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Article Review

Joshua Tate

Colangelo College of Business, Grand Canyon University

UNV-504: Introduction to Graduate Studies in the College of Business

Article Summary

We live in a world where imagery plays a significant role in a business's growth, and whether that company has the correct values behind it will make humans drawn more to it. In "How Do Consumers Reconcile Positive and Negative CSR-Related Information to Form an Ethical Brand Perception? A Mixed Method Inquiry," Brunk and de Boer (2020), claims that consumers see brands unethically when they feel their assessment of the brand's ethics is significant. They absorb information holistically and utilize negative information as a diagnostic signal. Nonetheless, consumers evaluate information in light of one another when they are aware of contradictory ethical behavior.

Problem and Questions

In the article "How Do Consumers Reconcile Positive and Negative CSR-Related Information to Form an Ethical Brand Perception? A Mixed Method Inquiry" by Brunk and de Boer (2020). They are analyzing how consumers view brands based on their interpretation of a brand's ethical behavior. The author utilizes an example and then proposes the question, "

"How do consumers mentally reconcile contrasting positive and negative pieces of ethical information? Brunk and de Boer (2020). As a consumer, you're often faced with the option to make a purchase based on an understanding of what the product has to offer and knowing the level of quality that's provided, or the brand's reputation. Exactly how much ethical information is needed before a decision can be made? How can consumers decide if moral information is relevant to them?

The amount of ethical data required before deciding depends on the complexity and significance of the ethical dilemma. It is essential to gather comprehensive and verified information to ensure that the decision is well-informed.

Methodology

Brunk and de Boer (2020) highlighted a lack of previous research on ethical brand perception. To address this deficiency, several studies were initiated aimed at acquiring detailed insights into how customers view brands, particularly those viewed in a positive or negative light. Individual interviews were conducted in order to assess the ethical perceptions of brands by consumers. Furthermore, controlled studies were conducted to statistically verify the initial findings.

According to Brunk and de Boer 2020, The format of the paper is as follows: Conceptualization: Person-Perception Formation, Algebraic Model and Configural Model.

Findings

Data from the initial study showed that participants preferred to form personalized perceptions by evaluating ethical information about companies.

The second study aimed to statistically validate these findings through an online survey using a hypothetical brand instead of real ones. The survey results indicated that early formation of Consumer Perceived Ethicality (CPE) is significantly and negatively impacted by the presence of unethical information.

In the third study, participants assessed a brand's overall attractiveness without knowing that the evaluation was based on its ethical attributes. This study explored the limits of the phenomenon and found that people fully assess a brand only when they consider the information relevant. It also revealed that concealing the survey's purpose can reduce negative reactions.

Implications

The findings of the study conducted by Brunk and de Boer (2020) carry significant implications for brand managers and marketers who have the goal of cultivating an ethical image and reputation for their companies. Leaders with the ability to manage ethical issues, such as misconduct or product faults, can also benefit greatly from this knowledge. While there may be a temporary drop in sales during a crisis, the research proposes that engaging in positive Corporate Social Responsibility (CSR) practices could help recover and potentially exceed previous sales levels, as indicated by Brunk and de Boer (2020). Additionally, the research highlights how swiftly a single piece of negative unethical information can shift customer attitudes towards uncertainty, thus damaging the brand's ethical reputation.

Implications for Technology

Both favorable and unfavorable brand messages greatly impact consumer perceptions and behaviors within the technological industry. Positive messages can foster trust and loyalty and enhance brand equity, whereas negative messages can have a more pronounced harmful effect on a brand's reputation, highlighting the critical need for strategic communication and effective reputation management. Integrating the insights from Brunk and de Boer (2020) into the technological industry would benefit all company members by fostering a positive image, which could lead to improved company profits and relations.

Conclusion

Brunk and de Boer's (2020) study emphasizes the lasting effects of unethical behavior within corporate practices, noting that even a single mistake can lead to sustained revenue declines.

A corporation's reputation is crucial in today's world and depends on its public perception and business success. Acknowledging that consumers assess information with each other when they are aware of conflicting ethical behaviors, failing to uphold ethical behaviors as a company can have significant financial repercussions due to consumer reluctance.

References

Brunk, K. H., & de Boer, C. (2020). How do consumers reconcile positive and negative CSR-related information to form an ethical brand perception? A mixed method inquiry. Journal of Business Ethics, 161(2), 443-458.

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