Negative product safety news: Coverage, responses, and effects

Negativity in marketing communication is a dangerous phenomenon, the antithesis of the goal of the firm's marketing program to provide good public relations and advertising. The sales and market share effects of 6 of the major negative publicity incidents that have taken place in the automotive...

Full description

Saved in:
Bibliographic Details
Published in:Business horizons 1991-05, Vol.34 (3), p.23-31
Main Authors: Weinberger, Marc G., Romeo, Jean B., Piracha, Azhar
Format: Article
Language:English
Subjects:
Advertising
Automobile industry
Automobile sales
Case studies
Consumer attitudes
Effects
Manycompanies
Market shares
Marketing
Marketing communications
Marketing management
Negative
Product recalls
Product safety
Publicity
Statistical analysis
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:Negativity in marketing communication is a dangerous phenomenon, the antithesis of the goal of the firm's marketing program to provide good public relations and advertising. The sales and market share effects of 6 of the major negative publicity incidents that have taken place in the automotive industry over the last 25 years are examined. Six vehicles that were assailed for alleged major safety problems were analyzed in terms of precrisis sales, market share levels, and immediate and longer term postcrisis levels. The results show that negative product safety messages can have severe and lasting effects on product sales. Television appears to have generated the greatest impact on the public, and negative television visuals magnify the effects on viewers. The company's response is a key element in limiting the damage caused by negative publicity.
ISSN:0007-6813
1873-6068
DOI:10.1016/0007-6813(91)90091-9