How do new energy vehicle companies deal with ambiguous product harm crises? Scenario simulation based on three communication strategies

Abstract

AbstractIn the face of some product harm crises of new energy vehicles, which are difficult to find out the real reasons, it is highly significant for new energy vehicle companies to choose appropriate communication strategies. This study examines the impact of three communication tactics on consumer trust and purchase willingness using two rounds of scenario simulation experiments based on stimulus–organism–response theory. The results show that, when compared with deny and rebuild method, the diminish strategy is the most effective in reducing the influence of ambiguous product harm crises on consumer behaviours. Simultaneously, brand reputation has a moderating effect. For new energy vehicle companies with high brand reputation, the communication effect of diminish strategy is the best. Only a higher‐cost rebuild strategy can be viable for automotive businesses with a poor brand reputation. Thus, when dealing with ambiguous product harm crises, new energy vehicle companies should focus on efficient and low‐cost diminish strategy. Meanwhile, to take the initiative in dealing with an ambiguous product harm crisis, we must improve the technical maturity of products as well as improve the after‐sales service system to continuously enhance the brand reputation.