The Effects of Harm Directions and Service Recovery Strategies on Customer Forgiveness and Negative Word-of-Mouth Intentions

By Riza Casidy, Hyunju Shin. 2015

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Abstract This study aims to investigate the direction of harm and the role of service recovery strategies on customer positive (i.e., forgiveness) and negative (i.e., word-of-mouth) intentions. We found that customer intentions are stronger among those who are directly affected by the service failure than indirectly affected customers. Further, we assess the role of service recovery in customer intentions after the service failure. The study findings contribute to the development of theory on the “other customers” effect by comparing the consequences of service failure directed at the focal customer and other customers and provide solutions to practitioners to reduce this damaging effect.

Subfields: Organizational Behavior and Human Resource Management, Social Psychology, Sociology and Political Science

View Paper: https://www.semanticscholar.org/paper/e4be151f95f07b057842abefd1c504ae82b2044a