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The Effects of Corporate Facebook Pages on Corporate Reputation: From the Perspectives of Warranting Principle and Herd Behavior
Lai, Shuk Ling
Chen, Yi Ning
Lai, Shuk Ling
Corporate Facebook Pages
|Issue Date:||2016-08-22 13:45:20 (UTC+8)|
The rise of social media has changed the way people interact with each other and have also changed the corporate communication strategies of organizations. More and more companies are trying to get consumers engaged in online discussions by including social media like Facebook and Twitter in their communication strategy to enhance corporate reputation. Corporate Facebook Pages, a new feature introduced by Facebook in 2007, has emerged as a popular marketing vehicle for many companies and is regarded as the function with the highest commercial potential. Many food service businesses begin to utilize social media to communicate with consumers who are willing to engage online and provide opinions and suggestions about their performance. However, the research on corporate reputation management on social media context has been limited. A crucial question that has not been studied extensively is how the content generated by companies and consumers affect a company’s corporate reputation.
An experimental design has been employed. Following the warranting principle and herd behavior theory, the results of this study show that official information (company-generated content) and consumer reviews (consumer-generated content) on restaurant Corporate Facebook Pages have different effects on corporate reputation. Moreover, it is found that the popularity of content affects the effect of the source of content on corporate reputation. Corporate reputation management strategies used on corporate Facebook Pages are identified, in order to gain an understanding of the specific features of reputation management in the social media context.
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