Document Type

Article

Publication Date

1-1-2010

Abstract

Driven in part by recent corporate failures, consumers are increasingly distrustful of motivations and behaviors of corporate leaders, firms, and entire sectors of the economy. How do firms win consumer loyalty in distrust-dominated environments? We use two competing theoretical lenses to investigate the most salient strategic path to firm loyalty in trust- and distrust-dominated environments, from the consumer perspective. We find that consumer distrust in a firm is a grave threat to loyalty across industries. Additionally, we show that distrust-dominated environments present unique opportunity for some firms with high consumer trust to gain loyalty, while trust-dominated environments present fewer opportunities.

Keywords

consumers -- research, trust, distrust, environmental scanning, consumer loyalty

Rights

© The Author(s). Kelvin Smith Library provides access for non-commercial, personal, or research use only. All other use, including but not limited to commercial or scholarly reproductions, redistribution, publication or transmission, whether by electronic means or otherwise, without prior written permission is strictly prohibited.

Department/Center

Design & Innovation

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