How does corporate hypocrisy reduce customer co-creation behaviors? Moderated mediation analysis of corporate reputation and self-brand connection

Abstract

Purpose

Customer co-creation behaviors significantly affect a firm's performance and sustainable growth. This study tested the mediating role of corporate reputation in the relationship between corporate hypocrisy and two types of customer co-creation behaviors: customer citizenship behavior and customer participation behavior. The study also investigated the moderating effect of self-corporate brand connection on the corporate hypocrisy–corporate reputation relationship and the indirect relationship between corporate hypocrisy and customer co-creation behavior through corporate reputation.

Design/methodology/approach

The authors conducted a two-wave research survey with 346 Korean bank customers and tested our hypotheses using PROCESS Macro.

Findings

Corporate reputation mediated the relationship between corporate hypocrisy and customer citizenship/participant behavior. The negative effect of corporate hypocrisy on corporate reputation was more pronounced when self-corporate brand connection was high. Self-corporate brand connection further moderated the indirect effect of corporate hypocrisy on customer citizenship/participant behavior through corporate reputation.

Originality/value

The results clearly explain how corporate hypocrisy affects customer co-creation behavior. This study advances corporate hypocrisy and corporate reputation research by proposing and verifying a moderated mediation model.

Citation

Jung, C.M. and Hur, W.-M. (2024), "How does corporate hypocrisy reduce customer co-creation behaviors? Moderated mediation analysis of corporate reputation and self-brand connection", International Journal of Bank Marketing, Vol. 42 No. 2, pp. 205-225. https://doi.org/10.1108/IJBM-08-2022-0375