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The impact of economic downturns on marketing

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  • Rollins, Minna
  • Nickell, David
  • Ennis, Justin

Abstract

The Great Recession of 2008–2010 affected the global and U.S. economies and its companies more universally than any economic downturn since the Great Depression. This study explores how the Great Recession influenced the marketing decisions of firms and the resulting long-term effects on marketing within business-to-business companies. Empirical evidence from previous recessions suggests that companies should focus on their customers and increase their marketing efforts during a recession. However, many companies typically slash their marketing budgets during economic downturns. Authors found that during the Great Recession, companies reacted differently than in previous recessions with their marketing responses. Authors conclude their analysis by proposing that the Great Recession will have three long-term effects on marketing in business-to-business companies.

Suggested Citation

  • Rollins, Minna & Nickell, David & Ennis, Justin, 2014. "The impact of economic downturns on marketing," Journal of Business Research, Elsevier, vol. 67(1), pages 2727-2731.
    • Handle: RePEc:eee:jbrese:v:67:y:2014:i:1:p:2727-2731
    DOI: 10.1016/j.jbusres.2013.03.022
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    References listed on IDEAS

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    1. John O’Neill, 2009. "Market," Chapters, in: Jan Peil & Irene van Staveren (ed.), Handbook of Economics and Ethics, chapter 42, Edward Elgar Publishing.
    2. Pearce, John II & Michael, Steven C., 1997. "Marketing strategies that make entrepreneurial firms recession-resistant," Journal of Business Venturing, Elsevier, vol. 12(4), pages 301-314, July.
    3. Robert Picard, 2001. "Effects of Recessions on Advertising Expenditures: An Exploratory Study of Economic Downturns in Nine Developed Nations," Journal of Media Economics, Taylor & Francis Journals, vol. 14(1), pages 1-14.
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    Cited by:

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    2. Eric Hansen & Erlend Nybakk, 2018. "Response to the global financial crisis: a follow-up study," Journal of Innovation and Entrepreneurship, Springer, vol. 7(1), pages 1-12, December.
    3. Ahmed, Muhammad Usman & Kristal, Mehmet Murat & Pagell, Mark, 2014. "Impact of operational and marketing capabilities on firm performance: Evidence from economic growth and downturns," International Journal of Production Economics, Elsevier, vol. 154(C), pages 59-71.
    4. Lori M. Thanos & Sylvia D. Clark, 2020. "A Quantitative Exploration of Culturally-Pluralistic Segmentation Among Millennials," International Journal of Marketing Studies, Canadian Center of Science and Education, vol. 11(4), pages 1-69, March.
    5. Wei Liu & Zongshui Wang & Hong Zhao, 2020. "Comparative study of customer relationship management research from East Asia, North America and Europe: A bibliometric overview," Electronic Markets, Springer;IIM University of St. Gallen, vol. 30(4), pages 735-757, December.
    6. Tiwary, Nishant Kumar & Kumar, Rishi Kant & Sarraf, Shagun & Kumar, Prashant & Rana, Nripendra P., 2021. "Impact assessment of social media usage in B2B marketing: A review of the literature and a way forward," Journal of Business Research, Elsevier, vol. 131(C), pages 121-139.
    7. Mann, Manveer & Byun, Sang-Eun, 2017. "To retrench or invest? Turnaround strategies during a recessionary time," Journal of Business Research, Elsevier, vol. 80(C), pages 24-34.
    8. Seles, Bruno Michel Roman Pais & Lopes de Sousa Jabbour, Ana Beatriz & Jabbour, Charbel Jose Chiappetta & Latan, Hengky & Roubaud, David, 2019. "Do Environmental Practices Improve Business Performance Even in an Economic Crisis? Extending the Win-Win Perspective," Ecological Economics, Elsevier, vol. 163(C), pages 189-204.

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