Cut-throat competition or justice? Consumers’ responses to competitor whistleblowing from the perspective of consumer scepticism

Abstract

ABSTRACT Given the rise of the competitor whistleblowing phenomenon and the lack of relevant knowledge on the topic, the current study developed a moderated mediation framework to examine how consumers respond to whistleblowing by a competitor company from the perspective of consumer scepticism. The results from three between-subjects experiments reveal that competitor whistleblowing could induce consumer scepticism towards the real intention for whistleblowing. Such scepticism mediates the link between competitor whistleblowing and consumers’ attitudes towards the whistleblower company. We also found that the whistleblowing timing and stated motives moderate the direct influence of competitor whistleblowing on consumer scepticism and the indirect effect of competitor whistleblowing on consumers’ attitudes via consumer scepticism. The managerial implications of these findings, the limitations of the study and future research directions are also highlighted.