Global Product Quality and Corporate Social Responsibility Perceptions: A Cross-National Study of Halo Effects
Thomas J. Madden, Martin S. Roth, and William R. Dillon
ABSTRACT
Attribute ratings often contain a holistic or global impression of the brand, commonly referred to as “halo.” A halo response can occur when perceptions of a brand’s performance on an attribute are influenced by performance percep- tions on another attribute or by a global impression of the brand. Using cross-national survey data from consumers in Argentina, China, Spain, and the United States, the authors examine the extent to which a halo response introduces bias to product quality and corporate social responsibility perceptions of competing brands. The findings show that halo is more pervasive for product quality than for corporate social responsibility associations, varies across brands and markets, and is strongly related to brand recommendations. Examining cross-national brand performance and halo perceptions can help international marketing managers understand key perceptual similarities and differences between and across markets, which can inform strategic considerations such as whether to pursue global, panregional, or national branding, positioning, and advertising strategies.
Keywords: constrained components analysis, associative network models, automatic activation theory, branding and brand management, marketing standardization/adaptation, corporate social responsibility
The strategic importance of corporate social respon- sibility (CSR) and associated initiatives continues unabated despite the recent economic downturn. Corporate leaders such as General Electric chief execu- tive officer Jeffrey Immelt argue that transparency, accountability, and strategic engagement with govern- ment will become increasingly essential (Warhurst 2008). A 2009 McKinsey survey of more than