Consumer responses to corporate wrongdoing

What is it about?

This paper considers and examines two forms of consumer response to corporate wrongdoing: (1) constructive punitive actions (i.e., those designed to induce firms to change their behavior but with the hope of sustaining relationships with consumers); (2) destructive punitive actions (i.e., those intended to discredit or harm firms, ultimately leading to disengagement from firms).

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Why is it important?

This study shows the conditions under whichconstructive or destructive punitive actions are taken. Results highlight that anger regulates the former, whereas contempt governs the latter.