The Liability of Good Reputation: A Study of Product Recalls in the U.S. Automobile Industry

References

• Barber B. M., Darrough M. N. Product reliability and firm value: The experience of American and Japanese automakers, 1973–1992. J. Political Econom. (1996) 104:1084–1099Crossref, Google Scholar
• Barnett W. P., Mischke G. A., Ocasio W. The evolution of collective strategies among organizations. Organ. Stud. (2000) 21:325–354Crossref, Google Scholar
• Barney J. B.Gaining and Sustaining Competitive Advantage (1997) (Prentice Hall, Englewood Cliffs, NJ) Google Scholar
• Baron J. N., Hannan M. T., Burton M. D. Labor pains: Change in organizational models and employee turnover in young, high-tech firms. Amer. J. Sociology (2001) 106:960–1012Crossref, Google Scholar
• Belsley D. A., Kuh E., Welsch R. E.Regression Diagnostics: Identifying Influential Data and Sources of Collinearity (1980) (John Wiley, New York) Crossref, Google Scholar
• Benjamin B. A., Podolny J. M. Status, quality, and social order in the California wine industry. Admin. Sci. Quart. (1999) 44:563–589Crossref, Google Scholar
• Berger P. L., Luckmann T.The Social Construction of Reality (1967) (Doubleday, New York) Google Scholar
• Blau Peter M.Exchange and Power in Social Life (1964) (Wiley, New York) Google Scholar
• Borenstein S., Zimmerman M. B. Market incentives for safe commercial airline operation. Amer. Econom. Rev. (1988) 78:913–935Google Scholar
• Brody R. G., Kaplan S. E. Escalation of commitment among internal auditors. Auditing (1996) 15:1–13Google Scholar
• Burgoon J. K., LePoire B. A. Effects of communication expectancies, actual communication, and expectancy disconfirmation on evaluations of communicators and their communication behavior. Human Comm. Res. (1993) 20:67–96Crossref, Google Scholar
• Burt R. S.Toward a Structural Theory of Action: Network Models of Social Structure, Perception, and Action (1982) (Academic Press, New York) Crossref, Google Scholar
• Carroll G. R., Hannan M. T.The Demography of Corporations and Industries (2000) (Princeton University Press, Princeton, NJ) Crossref, Google Scholar
• Carroll G. R., Swaminathan A. Why the microbrewery movement? Organizational dynamics of resource partitioning in the U.S. brewing industry. Amer. J. Sociology (2000) 106:715–762Crossref, Google Scholar
• Carroll G. R., Swaminathan S. D., Staw B., Kramer R. M. Organizational process of resource partitioning. Research in Organization Behavior (2002) 24(JAI Press, Greenwich, CT) 1–40Crossref, Google Scholar
• Church B. K., Schneider A. Auditor objectivity: The effect of prior involvement in audit program design. Accounting Finance (1993) 33:61–78Crossref, Google Scholar
• Crafton S. M., Hoffer G. E., Reilly R. J. Testing the impact of recalls on the demand for automobiles. Econom. Inquiry (1981) 19:694–703Crossref, Google Scholar
• Cronbach L. J. Statistical tests for moderator variables: Flaws in analysis recently proposed. Psych. Bull. (1987) 102:414–417Crossref, Google Scholar
• Cyert R. M., DeGroot M. H.Bayesian Analysis and Uncertainty in Economic Theory (1987) (Rowman & Littlefield, Totowa, NJ) Crossref, Google Scholar
• Cyert R. M., March J. G.A Behavioral Theory of the Firm (1963) (Prentice Hall, Englewood Cliffs, NJ) Google Scholar
• Dacin M. T., Goodstein J., Scott W. R. Institutional theory and institutional change: Introduction to the special research forum. Acad. Management J. (2002) 45:45–57Crossref, Google Scholar
• Deephouse D. L. Media reputation as a strategic resource: An integration of mass communication and resource-based theories. J. Management (2000) 26:1091–1112Crossref, Google Scholar
• Devaraj S., Conlon K. F. Product and service quality: The antecedents of customer loyalty in the automotive industry. Production Oper. Management (2001) 10:424–439Crossref, Google Scholar
• Ding W. W. Why do for-profit firms adopt open science? (2004) . Working paper, Graduate School of Business, University of Chicago, Chicago, ILGoogle Scholar
• Dobrev S. D., Kim T.-Y., Carroll G. R. The evolution of organizational niches: U.S. automobile manufacturers 1885–1981. Admin. Sci. Quart. (2002) 47:233–264Crossref, Google Scholar
• Dobrev S. D., Kim T.-Y., Hannan M. T. Dynamics of niche width and resource partitioning. Amer. J. Sociology (2001) 106:1299–1337Crossref, Google Scholar
• Economist, The Twenty years down the road. (2002) 364:62–63Google Scholar
• Elsbach K. D. Managing organizational identity in the California cattle industry: The construction and effectiveness of verbal accounts. Admin. Sci. Quart. (1994) 39:57–88Crossref, Google Scholar
• Fombrun C.Reputation: Realizing Value from the Corporate Image (1996) (Harvard Business School Press, Boston, MA) Google Scholar
• Fombrun C., Shanley M. What's in a name? Reputation building and corporate strategy. Acad. Management J. (1990) 33:233–258Crossref, Google Scholar
• Goffman E. The nature of deference and demeanor. Amer. Anthropologist (1956) 58:473–499Crossref, Google Scholar
• Golub G. H., Van Loan C. F.Matrix Computations (1996) 3rd ed.(Johns Hopkins University Press, Baltimore, MD) Google Scholar
• Gould R. V. The origins of status hierarchies: A formal theory and empirical test. Amer. J. Sociology (2002) 107:1143–1178Crossref, Google Scholar
• Han S.-K. Mimetic isomorphism and its effect on the audit services market. Soc. Forces (1994) 73:637–663Crossref, Google Scholar
• Hardie B. G. S., Johnson E. J., Fader P. S. Modeling loss aversion and reference dependence effects on brand choice. Marketing Sci. (1993) 12:378–394Link, Google Scholar
• Haunschild P. R., Rhee M. The role of volition in organizational learning: The case of automotive product recalls. Management Sci. (2004) 50:1545–1560Link, Google Scholar
• Haunschild P. R., Sullivan B. N. Learning from complexity: Effects of prior accidents and incidents on airlines' learning. Admin. Sci. Quart. (2002) 47:609–643Crossref, Google Scholar
• Hayward M. L. A., Rindova V. P., Pollock T. G. Believing one’s own press: The causes and consequences of chief executive officer celebrity. Strategic Management J. (2004) 25:637–653Crossref, Google Scholar
• Heath T. B., Chatterjee S. Asymmetric decoy effects on lower-quality versus higher-quality brands: Meta-analytic and experimental evidence. J. Consumer Res. (1995) 22:268–284Crossref, Google Scholar
• Hoffman A. J., Ocasio W. Not all events are attended equally: Toward a middle-range theory of industry attention to external events. Organ. Sci. (2001) 12:414–434Link, Google Scholar
• Huber P. J., Le Cam L. M., Neyman J. The behavior of maximum likelihood estimates under nonstandard conditions. Proc. 5th Berkeley Sympos. Math. Statist. Probability (1967) (University of California Press, Berkeley, CA) 221–233Google Scholar
• Jackson J. E.A User's Guide to Principal Components (1991) (John Wiley & Sons, New York) Crossref, Google Scholar
• Levin D. Z. Organizational learning and the transfer of knowledge: An investigation of quality improvement. Organ. Sci. (2000) 11:630–647Link, Google Scholar
• Liang K.-Y., Zeger S. L. Longitudinal data analysis using generalized linear model. Biometrika (1986) 73:13–22Crossref, Google Scholar
• Messier W. F., Quilliam W. C. The effects of accountability on judgment: Development of hypotheses for auditing. Auditing (1992) 11:123–138Google Scholar
• Milgrom P., Roberts J. Predation, reputation and entry deterrence. J. Econom. Theory (1982) 27:253–279Crossref, Google Scholar
• Moore D. A., Tetlock P. E., Tanlu L., Bazerman M. H. Conflicts of interest and the case of auditor independence: Moral seduction and strategic issue cycling. Acad. Management Rev. (2006) . ForthcomingCrossref, Google Scholar
• Park D. Y., Podolny J. M. The competitive dynamics of status and niche width: U.S. investment banking, 1920–1949. Indust. Corporate Change (2000) 9:377–414Crossref, Google Scholar
• Perrow C. Organizational prestige: Some functions and dysfunctions. Amer. J. Sociology (1961) 66:335–341Crossref, Google Scholar
• Podolny J. M. A status-based model of market competition. Amer. J. Sociology (1993) 98:829–872Crossref, Google Scholar
• Podolny J. M. Market uncertainty and the social character of economic exchange. Admin. Sci. Quart. (1994) 39:458–483Crossref, Google Scholar
• Podolny J. M., Hsu G., Raub W., Buskens V., Snijders C. Quality, exchange, and Knightian uncertainty. Research in the Sociology of Organizations (2003) 20(JAI Press, Greenwich, CT) 77–103Google Scholar
• Podolny J. M., Phillips D. J. The dynamics of organizational status. Indust. Corporate Change (1996) 5:453–471Crossref, Google Scholar
• Rao H. The sociological construction of reputation: Certification contests, legitimization, and the survival of organizations in the American automobile industry: 1985–1912. Strategic Management J. (1994) 15(Winter Special Issue):29–44Crossref, Google Scholar
• Reilly Robert J., Hoffer George E. Will retarding the information flow on automotive recalls affect consumer demand? Econom. Inquiry (1983) 21:444–447Crossref, Google Scholar
• Rindova V. P., Pollock T. G., Hayward M. L. A. Celebrity firms: The social construction of market popularity. Acad. Management Rev. (2006) 31:1–22Crossref, Google Scholar
• Roberts P. W., Dowling G. R. Corporate reputation and sustained superior financial performance. Strategic Management J. (2002) 23:1077–1093Crossref, Google Scholar
• Saville D., Wood G. R.Statistical Methods: The Geometric Approach (1991) (Springer-Verlag, New York) Crossref, Google Scholar
• Schoorman F. D. Escalation bias in performance appraisals: An unintended consequence of supervisor participation in hiring decisions. J. Appl. Psych. (1988) 73:58–62Crossref, Google Scholar
• Scott W. R.Institutions and Organizations (2001) 2nd ed.(Sage, Thousand Oaks, CA) Google Scholar
• Shapiro C. Premiums for high-quality products as returns to reputations. Quart. J. Econom. (1983) 98:659–679Crossref, Google Scholar
• Simonson I., Tversky A. Choice in context: Tradeoff contrast and extremeness aversion. J. Marketing Res. (1992) 29:281–295Crossref, Google Scholar
• Sine W. D., Haveman H. A., Tolbert P. S. Risky business? Entrepreneurship in the new independent power sector. Admin. Sci. Quart. (2005) 50:200–232Crossref, Google Scholar
• Sine W. D., Shane S., DiGregorio D. The halo effect and technology licensing: The influence of institutional prestige on the licensing of university inventions. Management Sci. (2003) 49:478–496Link, Google Scholar
• Staw B. M. The escalation of commitment to a course of action. Acad. Management Rev. (1981) 6:577–587Crossref, Google Scholar
• Staw B. M., Ross J. Knowing when to pull the plug. Harvard Bus. Rev. (1987) 65:68–74Google Scholar
• Stigler S. M. Who discovered Bayes' theorem? Amer. Statistician (1983) 37:290–296Google Scholar
• Strang D., Sine W. D., Baum J. A. C. Interorganizational institutions. Companion to Organizations (2002) (Blackwell, Oxford, UK) 497–519Google Scholar
• Stuart T. E., Hoang H., Hybels R. C. Interorganizational endorsements and the performance of entrepreneurial ventures. Admin. Sci. Quart. (1999) 44:315–349Crossref, Google Scholar
• Sujan M. Consumer knowledge: Effects on evaluation strategies mediating consumer judgments. J. Consumer Res. (1985) 12:31–46Crossref, Google Scholar
• Sukhdial A. S., Chakraborty G., Steger E. K. Measuring values can sharpen segmentation in the luxury auto market. J. Advertising Res. (1995) 35:9–22Google Scholar
• Sullivan M. W. How brand names affect the demand for twin automobiles. J. Marketing Res. (1998) 35:154–165Crossref, Google Scholar
• Tan H.-T. Effects of expectations, prior involvement, and review awareness on memory for audit evidence and judgment. J. Accounting Res. (1995) 33:113–135Crossref, Google Scholar
• Taran Z.Competitive Aspects of Brand Value for Passenger Cars: The Inverse Demand Model Analysis (2001) . Unpublished doctoral dissertation, Rutgers UniversityGoogle Scholar
• Tolbert P. S., Zucker L. G., Clegg S. R., Hardy C., Nord W. R. The institutionalization of institutional theory. Handbook of Organization Studies (1996) (Sage, London, UK) 175–190Google Scholar
• Tversky A., Kahneman D. Judgment under uncertainty: Heuristics and biases. Science (1974) 185:1124–1131Crossref, Google Scholar
• Vaaler P., McNamara G. Crisis and competition in expert organizational decision making. Organ. Sci. (2004) 15:687–703Link, Google Scholar
• Washington M., Zajac E. J. Status evolution and competition: Theory and evidence. Acad. Management J. (2005) 48:282–296Crossref, Google Scholar
• Weigelt K., Camerer C. Reputation and corporate strategy: A review of recent theory and applications. Strategic Management J. (1988) 9:443–454Crossref, Google Scholar
• White H. Maximum likelihood estimation of misspecified models. Econometrica (1982) 50:1–25Crossref, Google Scholar
• White H. C.Markets from Networks: Socioeconomic Models of Production (2002) (Princeton University Press, Princeton, NJ) Google Scholar
• Zucker L. G. The role of institutionalization in cultural persistence. Amer. Sociological Rev. (1977) 42:726–743Crossref, Google Scholar
• Zuckerman E. W. The categorical imperative: Securities analysts and the illegitimacy discount. Amer. J. Sociology (1999) 104:1398–1438Crossref, Google Scholar
• Zuckerman E. W. Focusing the corporate product: Securities analysts and de-diversification. Admin. Sci. Quart. (2000) 45:591–619Crossref, Google Scholar
• Zuckerman E. W., Kim T.-Y. The critical trade-off: Identity assignment and box-office success in the feature film industry. Indust. Corporate Change (2003) 12:27–66Crossref, Google Scholar
• Zyglidopoulos S. C. The impact of accidents on firms’ reputation for social performance. Bus. Soc. (2001) 40:416–441Crossref, Google Scholar