How Stakeholders React to Issues with Risk Implications: Extending a Relational Perspective of Issues Management

Mengqi Monica Zhan · Xinyan Zhao

6 citations0/0 files storedJournal of Contingencies and Crisis Management

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Public Relations and Crisis Communication Customer Service Quality and Loyalty Corporate Identity and Reputation

Abstract

Abstract Extending the relational perspective of strategic issues management, this study investigates the relational outcomes of potential risks associated with organizational issues and explores the moderators of the risk perception and relational outcomes relationships. The results from a between‐subjects factorial experiment (N = 297) revealed that stakeholders' perceived risks led to negative word‐of‐mouth (NWOM) intentions. Furthermore, fear and anger amplified the relationship between perceived risks and NWOM intentions, whereas efficacy‐enhancing communication alleviated the negative relationship between perceived risks and organization–public relationships. Crisis and issue managers are recommended to mitigate stakeholders' negative emotions and use efficacy‐enhancing communication to help stakeholders interpret the risks.

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1999Cutoff criteria for fit indexes in covariance structure analysis: Conventional criteria versus new alternatives 1993Risk Society: Towards a New Modernity 2004Electronic word-of-mouth via consumer-opinion platforms: What motivates consumers to articulate themselves on the Internet?2001Risk as feelings.1992Putting the fear back into fear appeals: The extended parallel process model 1991Progress on a cognitive-motivational-relational theory of emotion.2000A Meta-Analysis of Fear Appeals: Implications for Effective Public Health Campaigns 2007Protecting Organization Reputations During a Crisis: The Development and Application of Situational Crisis Communication Theory

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