Testing the Buffering and Boomerang Effects of CSR Practices on Consumers’ Perception of a Corporation during a Crisis

Abstract

This study explores the effects of corporate social responsibility (CSR) practices on consumers’ perception of a corporation and the cognitive process involved in those effects. We conducted an experiment in the context of a health campaign by a fictional soft drink company with a 2 (CSR practices: CSR before a crisis vs no CSR before a crisis) × 2 (crisis type: same issue attribute as CSR vs different issue attribute from CSR) factorial design. The results suggest that CSR activities have buffering effects during a crisis, regardless of the issue attributes of the company’s CSR activities and those of the crisis. However, a close examination of the effects of issue attributes revealed that when the issue attributes of the company’s CSR activities and those of the crisis were congruent, consumers perceived the company’s motives for engaging in CSR practices as more self-serving and strategic-serving than public-serving, which led to higher CSR skepticism. We discuss the theoretical and practical implications.