✦ LIBER ✦

Profits and halos: The role of firm profitability information in consumer inference

✍ Scribed by Steven S. Posavac; Michal Herzenstein; Frank R. Kardes; Suresh Sundaram

Publisher: Elsevier Science
Year: 2010
Tongue: English
Weight: 701 KB
Volume: 20
Category: Article
ISSN: 1057-7408
DOI: 10.1016/j.jcps.2010.06.020

No coin nor oath required. For personal study only.

✦ Synopsis

Abstract

Three experiments investigated the consequences of the presence of information that a manufacturing firm is profitable on consumers' judgments of the firm and the consequences for perceptions of advertising, products, and choice intention. When profitability is present in the advertising context, consumers form more favorable advertiser judgments, which drive perceptions of greater advertisement credibility, which lead to more favorable product inferences, and ultimately stronger purchase intentions. The third experiment additionally shows that profitability information interacts with a warranty to drive judgments and choice. The implication of our findings is that firms should consider highlighting their profitability to enhance advertising effectiveness.

📜 SIMILAR VOLUMES

The effects of industry and firm resourc

The effects of industry and firm resources on profitability in the food economy

✍ Sara Schumacher; Michael Boland 📂 Article 📅 2005 🏛 John Wiley and Sons 🌐 English ⚖ 98 KB 👁 3 views

The relative impact of actual and potent

The relative impact of actual and potential rivalry on firm profitability in the pharmaceutical industry

✍ Karel Cool; Lars-Hendrik Röller; Benoit Leleux 📂 Article 📅 1999 🏛 John Wiley and Sons 🌐 English ⚖ 95 KB 👁 3 views

This paper estimates the effects of actual and potential rivalry on profitability of firms in the U.S. pharmaceutical industry during the 20-year period 1963-82. The results show that during the 1960s actual rivalry among the sampled firms did not materially affect firm profitability, but that durin

Marketing for growth: the role of marketers in driving revenues and profits

✍ The Economist 📂 Fiction 📅 2014 🏛 PublicAffairs;The Economist;Public Affairs 🌐 English ⚖ 424 KB 👁 2 views

*The Economist: Marketing for Growth* is a guide to how marketing can and should become a business's most important driver of growth. Marketers play a crucial role in generating revenue, and they can play an equally important role in how revenues translate into profit. They can help a company achiev

Profitability differences between MNE su

Profitability differences between MNE subsidiaries and domestic firms: The case of the food industry in Greece

✍ George Anastassopoulos 📂 Article 📅 2004 🏛 John Wiley and Sons 🌐 English ⚖ 134 KB 👁 2 views

## Abstract This report analyzes determinants of profitability differences between subsidiaries of Multinational Enterprises (MNEs) and Domestic Enterprises (DMEs) in the Greek food industry using company level data. Previous studies have tested the hypothesis that ownership‐specific advantages are

The role of non-profit corporate foundat

The role of non-profit corporate foundations in Korea: Positive and negative perspectives

✍ Tae-Kyu Park 📂 Article 📅 1996 🏛 Springer 🌐 English ⚖ 484 KB

Effects of profit-reducing policies on f

Effects of profit-reducing policies on firm survival, financial performance, and new drug introductions in the research-based pharmaceutical industry

✍ Darren Filson; Neal Masia 📂 Article 📅 2007 🏛 John Wiley and Sons 🌐 English ⚖ 279 KB 👁 1 views

## Abstract We introduce a computational model of the evolution of a value‐maximizing research‐based pharmaceutical firm and parameterize it using estimates of R&D costs, profit distributions, and candidate attrition rates. We use the model to estimate how the probability of surviving and covering