Crisis management and its impact on brand image

Abstract:

Brand crises due to product fail has become more frequent due to increases in products complexity. Crisis generated by recall campaigns are unique, unexpected and can lead to deterioration of the established favorable relationship between brands and consumers, affecting the brand image and its brand equity. The consequences involve short and long-term financial losses for the brand, the company and eventually to the category as a whole. This article is based on a qualitative exploratory research with a single case study in the food industry. Its objective is to verify empirically the application of the theories of brand recall and crisis in a recent Brazilian case. The results meets the assumptions developed based on theoretical framework. The study presents as additional contribution the effect of a real crisis overtime.

Keywords:
Crisis management; Recall; Brand crisis effect