Recovering From Ethical Failures: Role of External Attribution and Monetary Compensation

Sekar Raju, Iowa State University, USA
Priyali Rajagopal, Southern Methodist University, USA
We examine the two different recovery strategies from ethical failures - external attribution and monetary compensation. We find that while both strategies improve consumer attitudes post the failure, only external attribution improves behavioral intentions and reduces the likelihood of future ethical failures.
[ to cite ]:
Sekar Raju and Priyali Rajagopal (2012) ,"Recovering From Ethical Failures: Role of External Attribution and Monetary Compensation", in NA - Advances in Consumer Research Volume 40, eds. Zeynep G├╝rhan-Canli, Cele Otnes, and Rui (Juliet) Zhu, Duluth, MN : Association for Consumer Research, Pages: 964-965.