IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v15y2023i22p15909-d1279591.html
   My bibliography  Save this article

Should Brands Talk about Environmental Sustainability Aspects That “Really Hurt”? Exploring the Consequences of Disclosing Highly Relevant Negative CSR Information

Author

Listed:
  • Jonas Müller

    (markstones Institute of Marketing, Branding & Technology, University of Bremen, Max-von-Laue-Straße 1, 28359 Bremen, Germany)

  • Michael Schade

    (markstones Institute of Marketing, Branding & Technology, University of Bremen, Max-von-Laue-Straße 1, 28359 Bremen, Germany)

  • Christoph Burmann

    (markstones Institute of Marketing, Branding & Technology, University of Bremen, Max-von-Laue-Straße 1, 28359 Bremen, Germany)

Abstract

When communicating their CSR (Corporate Social Responsibility) activities many companies predominantly release positive information. However, relying solely on positive information holds potential risks. Brands are consequently confronted with the dilemma of whether to exclusively disclose positive details about their environmental CSR activities (i.e., one-sided messages) or opt for voluntary disclosure of positive and negative information (i.e., two-sided messages). Existing literature distinguishes moderately and highly relevant types of negative information. However, prior research has predominantly overlooked the investigation of highly relevant negative CSR information. Therefore, our primary objective is to explore the impact of two-sided messages encompassing highly relevant negative CSR information in comparison to one-sided messages. We conducted four online experiments in two countries with different brands (study 1 (Germany, Mercedes-Benz, n = 457); study 2 (Germany, Porsche, n = 431); study 3 (USA, Mercedes-Benz, n = 468) and study 4 (USA, Tesla, n = 465)). The results reveal that two-sided messages with the disclosure of highly relevant negative CSR information lead to negative effects in comparison to one-sided messages with only positive information. Consequently, brands should exercise caution in communicating highly relevant negative CSR aspects. Our findings offer notable theoretical insights and practical implications.

Suggested Citation

  • Jonas Müller & Michael Schade & Christoph Burmann, 2023. "Should Brands Talk about Environmental Sustainability Aspects That “Really Hurt”? Exploring the Consequences of Disclosing Highly Relevant Negative CSR Information," Sustainability, MDPI, vol. 15(22), pages 1-14, November.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:22:p:15909-:d:1279591
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/15/22/15909/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/15/22/15909/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Rüdiger Hahn & Regina Lülfs, 2014. "Legitimizing Negative Aspects in GRI-Oriented Sustainability Reporting: A Qualitative Analysis of Corporate Disclosure Strategies," Journal of Business Ethics, Springer, vol. 123(3), pages 401-420, September.
    2. Lori Holder-Webb & Jeffrey Cohen & Leda Nath & David Wood, 2009. "The Supply of Corporate Social Responsibility Disclosures Among U.S. Firms," Journal of Business Ethics, Springer, vol. 84(4), pages 497-527, February.
    3. Folkes, Valerie S, 1988. "Recent Attribution Research in Consumer Behavior: A Review and New Directions," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 14(4), pages 548-565, March.
    4. Pavlos Vlachos & Nikolaos Panagopoulos & Adam Rapp, 2013. "Feeling Good by Doing Good: Employee CSR-Induced Attributions, Job Satisfaction, and the Role of Charismatic Leadership," Journal of Business Ethics, Springer, vol. 118(3), pages 577-588, December.
    5. David Hackston & Markus J. Milne, 1996. "Some determinants of social and environmental disclosures in New Zealand companies," Accounting, Auditing & Accountability Journal, Emerald Group Publishing Limited, vol. 9(1), pages 77-108, March.
    6. Crowley, Ayn E & Hoyer, Wayne D, 1994. "An Integrative Framework for Understanding Two-Sided Persuasion," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 20(4), pages 561-574, March.
    7. Kavanoor, Sukumar & Grewal, Dhruv & Blodgett, Jeff, 1997. "Ads promoting OTC medications: The effect of ad format and credibility on beliefs, attitudes, and purchase intentions," Journal of Business Research, Elsevier, vol. 40(3), pages 219-227, November.
    8. Lafferty, Barbara A. & Goldsmith, Ronald E., 1999. "Corporate Credibility's Role in Consumers' Attitudes and Purchase Intentions When a High versus a Low Credibility Endorser Is Used in the Ad," Journal of Business Research, Elsevier, vol. 44(2), pages 109-116, February.
    9. Whitney Ginder & Wi-Suk Kwon & Sang-Eun Byun, 2021. "Effects of Internal–External Congruence-Based CSR Positioning: An Attribution Theory Approach," Journal of Business Ethics, Springer, vol. 169(2), pages 355-369, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jahn, Johannes & Brühl, Rolf, 2019. "Can bad news be good? On the positive and negative effects of including moderately negative information in CSR disclosures," Journal of Business Research, Elsevier, vol. 97(C), pages 117-128.
    2. Ramendra Pratap Singh & Neelotpaul Banerjee, 2018. "Exploring the Influence of Celebrity Credibility on Brand Attitude, Advertisement Attitude and Purchase Intention," Global Business Review, International Management Institute, vol. 19(6), pages 1622-1639, December.
    3. Adriana Calu & Costel Negrei & Daniela Artemisa Calu & Viorel Avram, 2015. "Reporting of Non-Financial Performance Indicators – a Useful Tool for a Sustainable Marketing Strategy," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 17(40), pages 977-977, August.
    4. Philipp Borgstedt & Ann-Marie Nienaber & Bernd Liesenkötter & Gerhard Schewe, 2019. "Legitimacy Strategies in Corporate Environmental Reporting: A Longitudinal Analysis of German DAX Companies’ Disclosed Objectives," Journal of Business Ethics, Springer, vol. 158(1), pages 177-200, August.
    5. Silvia Ruiz-Blanco & Silvia Romero & Belen Fernandez-Feijoo, 2022. "Green, blue or black, but washing–What company characteristics determine greenwashing?," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(3), pages 4024-4045, March.
    6. Aleena Amir & Muhammad Usman, 2024. "Understanding the Influence of Perceived Authenticity of Femvertising on Consumer Buycott Intentions: A Moderated Mediation Model of Consumers’ Extrinsic Attributions and Power Distance," Bulletin of Business and Economics (BBE), Research Foundation for Humanity (RFH), vol. 13(3), pages 273-281.
    7. Elgaaied-Gambier, Leila & Monnot, Elisa & Reniou, Fanny, 2018. "Using descriptive norm appeals effectively to promote green behavior," Journal of Business Research, Elsevier, vol. 82(C), pages 179-191.
    8. Madhavan, Naveen & White, Gareth R.T. & Jones, Paul, 2023. "Identifying the value of a clinical information system during the COVID-19 pandemic," Technovation, Elsevier, vol. 120(C).
    9. Ye Chen & Naiding Yang, 2023. "Investor Responses to Corporate Donation Frequency Strategies: The Mediating Roles of Bidirectional Motive Attributions," Sustainability, MDPI, vol. 15(21), pages 1-19, October.
    10. Souad Moufty & Basil Al‐Najjar & Abdulhadi Ibrahim, 2024. "Communications of sustainability practices in the banking sector: Evidence from cross‐country analysis," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 29(1), pages 135-161, January.
    11. Monahan, Lisa & Espinosa, Jennifer A. & Langenderfer, Jeff & Ortinau, David J., 2023. "Did you hear our brand is hated? The unexpected upside of hate-acknowledging advertising for polarizing brands," Journal of Business Research, Elsevier, vol. 154(C).
    12. Viorel Avram & Daniela Artemisa Calu & Valentin Florentin Dumitru & Mădălina Dumitru & Mariana Elena Glăvan & Gabriel Jinga, 2018. "The Institutionalization of the Consistency and Comparability Principle in the European Companies," Energies, MDPI, vol. 11(12), pages 1-24, December.
    13. Nicolo, Giuseppe & Zampone, Giovanni & Sannino, Giuseppe & Tiron-Tudor, Adriana, 2023. "Worldwide evidence of corporate governance influence on ESG disclosure in the utilities sector," Utilities Policy, Elsevier, vol. 82(C).
    14. Rajesh Sharma, 2024. "Consumer perceived corporate social responsibility and electronic word of mouth in social media: mediating role of consumer–company identification and moderating role of user-generated content," Journal of Financial Services Marketing, Palgrave Macmillan, vol. 29(2), pages 523-535, June.
    15. Laura Bini & Marco Bellucci & Francesco Giunta, 2016. "Put Your Money where Your Mouth is: The Difference between Real Commitment to Sustainability and Mere Rhetoric," FINANCIAL REPORTING, FrancoAngeli Editore, vol. 2016(2), pages 5-31.
    16. Mark Fuller, 2018. "Letters from the top: a comparative control group study of CEO letters to stakeholders," International Journal of Corporate Social Responsibility, Springer, vol. 3(1), pages 1-14, December.
    17. Charles H. Cho & Michele Fabrizi & Silvia Pilonato & Federica Ricceri, 2024. "Not all bad news is harmful to a good reputation: evidence from the most visible companies in the US," Journal of Management & Governance, Springer;Accademia Italiana di Economia Aziendale (AIDEA), vol. 28(1), pages 9-36, March.
    18. Carolin Baier & Max Göttsche & Andreas Hellmann & Frank Schiemann, 2022. "Too Good To Be True: Influencing Credibility Perceptions with Signaling Reference Explicitness and Assurance Depth," Journal of Business Ethics, Springer, vol. 178(3), pages 695-714, July.
    19. Cai, Xiaowei & Cebollada, Javier & Cortiñas, Mónica, 2023. "Impact of seller- and buyer-created content on product sales in the electronic commerce platform: The role of informativeness, readability, multimedia richness, and extreme valence," Journal of Retailing and Consumer Services, Elsevier, vol. 70(C).
    20. Bona-Sánchez, Carolina & Pérez-Alemán, Jerónimo & Santana-Martin, Domingo J., 2017. "Sustainability disclosure, dominant owners and earnings informativeness," Research in International Business and Finance, Elsevier, vol. 39(PA), pages 625-639.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:15:y:2023:i:22:p:15909-:d:1279591. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.