Social media firestorms pose a significant challenge for firms in the digital age. Tackling firestorms is difficult because the judgments and responses from social media users are influenced by not only the nature of the transgressions but also by the reactions and opinions of other social media users. Drawing on the heuristic-systematic information processing model, we propose a research model to explain the effects of social impact (the heuristic mode) and argument quality and moral intensity (the systematic mode) on perceptions of firm wrongness (the judgment outcome) as well as the effects of perceptions of firm wrongness on vindictive complaining and patronage reduction. We adopted a mixed methods approach in our investigation, including a survey, an experiment, and a focus group study. Our findings show that the heuristic and systematic modes of information processing exert both direct and interaction effects on individuals’ judgment. Specifically, the heuristic mode of information processing dominates overall and also biases the systematic mode. Our study advances the literature by offering an alternative explanation for the emergence of social media firestorms and identifying a novel context in which the heuristic mode dominates in dual information processing. It also sheds light on the formulation of response strategies to mitigate the adverse impacts resulting from social media firestorms. We conclude our paper with limitations and future research directions.
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Letting go of the firm or “my baby” as some entrepreneurs describe their creation, leads to a certain amount of stress (Rahim 1996, Kets de Vries 1999). Dealing with stress in singular events as the transfer of a business, is hardly been subject of research (Uy et al. 2012). Improving coping strategies in business transfers for the incumbent could be of importance as statistics indicate the continued aging of owners in the European Union. Expanding the possibilities of incumbents to sell their business and move on to their next phase in their life would help to offset such negative effects to each national economy. The number of failed business transfers of viable SMEs now threatens innovative driven European economies (European Commission 2003, Van Teeffelen 2010, Stone et al. 2004). A recent study calculated that the Dutch economy suffers 20,000 unnecessary SME liquidations and approximately 10,000 failed successions per annum, with a projected economic damage of 80,000 jobs, a loss of turnover of almost € 4 billion and a destruction of assets of about € 2 billion yearly (Van Teeffelen 2012). Therefore we believe that coping strategies and psychological barriers in business transfers deserve more academic attention. Our aim is to check and add items to the list of psychological barriers and finally to relate barriers to coping styles. Therefore we engaged in a qualitative study that seeks to explain a particular issue and allows the researcher to study issues in depth and produces detailed data on a small number of individuals (Hyde 2000).
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IT organizations and CEO‟s are, and should be, concerned these days about the (lack of) data confidentiality and the usage of „shadow‟ IT systems by employees. Not only does the company risk monetary loss or public embarrassment, the senior management might also risk personal fines or even imprisonment. Several trends reinforce the attention for these subjects, including the fact that an increasing number of people perform parts of their work tasks from home (RSA, 2007) and the increasing bandwidth available to internet users which makes them rely on the Internet for satisfying their business and personal computing needs (Desisto et al. 2008). Employee compliance with the existing IT security policies is therefore essential. This paper presents a study on factors that influence non-compliance behavior of employees in organizations. The factors found in literature are tested in a survey study amongst employees of a big-four accountancy firm in the Netherlands and Belgium. The study concludes that stricter IT governance and cultural aspects are the most important factors influencing non-compliance behavior.
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