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The Impact of Time on
Product-Harm Crises:
The Case of IKEA’s Meatballs

Dr. Aikaterini Vassilikopoulou
Peter J Stavroulakis

1st WSEAS International Conference on COMPUTER SUPPORTED EDUCATION
CRISIS: A DISRUPTION THAT
AFFECTS THE ENTIRE CORPORATE
SYSTEM AND THREATENS ITS BASIC
PRINCIPLES
Pauchant & Mitroff, 1992
Product-harm
crises
are
incidents where a product is
found to be unsafe for
consumers,
defective
or
dangerous.
Dawar & Pillutla, 2001
Brand Crises Typology:
o Performance-related
o Values-related
Dutta & Pullig, 2011
The Organizations’ Response to a
Crisis May Significantly Affect
Consumers’ Attitudes,
Perceptions and Reactions
•Denial to Super-Effort
(Shrivastava and Siomkos , 1989)

•Three Basic Accommodative Strategies
(Coombs, 2007)
The impact of time on
product-harm crises
 Literature is limited
 Time span may be critical (Standop, 2006)
 Consumers seem to forget (Vassilikopoulou,

2009)

Limitations: Research was based on hypothetical
scenarios and a great deal of time had passed
between the crisis and the research
IKEA Meatball Crisis
Timeline
 Feb 25th 2013, traces of horsemeat are found

in samples of IKEA’s meatballs in the Czech
Republic and the information goes public,
IKEA recalls meatballs from 14 EU countries
 7 weeks afterwards the meatballs are back on

the shelves with a discounted retail price
Methodology

 Three days after the crisis goes public
 124 respondents given a questionnaire
 41% men

 56% college graduates
 30% were 18-25 years old
Questionnaire
 I have a good impression about IKEA

 How would you characterize the decision of whether to






buy meatballs from IKEA’s restaurant?
I hold IKEA responsible for the product harm
I feel angry about the event
How severe was the event
I intend to buy meatballs from IKEA’s restaurant in the
future
I intend to buy furniture from IKEA in the future

All items were formulated in 7-point Likert-type scale format.
Results
Item
Impression

Mean Scores
3 days after 1 week 2 weeks 4 weeks 6 weeks
after
after
after
after
3.45
4.67
4.66
4.89
5.01

Perceived risk
Item

4.91
4.20
4.13
3.87
3.65
3 days after 1 week 2 weeks 4 weeks 6 weeks
after
after
after
after

Anger

5.09

4.32

4.22

3.75

3.73

Severity

4.88

4.52

4.44

4.29

3.95

Purchase
intentions
(meatballs)
Purchase
intentions
(furniture)

2.54

3.68

4.16

4.54

4.69

5.89

6.02

6.07

6.12

6.20
Impression and Perceived
Risk
Blame, Anger and Severity
Purchase Intentions
Conclusions
 While it may take people years to forget

negative experiences deriving from a crisis
and for them to form more positive
perceptions (Kanso, Levitt and Nelson, 2010),
it would seem that the crisis has been
mitigated
 Time is an altering factor
Future Directions
 Model of estimating the temporal impact of a

crisis utilizing growth curves
Thank you for your
attention!

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The Impact of Time on Product Harm Crises

  • 1. The Impact of Time on Product-Harm Crises: The Case of IKEA’s Meatballs Dr. Aikaterini Vassilikopoulou Peter J Stavroulakis 1st WSEAS International Conference on COMPUTER SUPPORTED EDUCATION
  • 2. CRISIS: A DISRUPTION THAT AFFECTS THE ENTIRE CORPORATE SYSTEM AND THREATENS ITS BASIC PRINCIPLES Pauchant & Mitroff, 1992
  • 3. Product-harm crises are incidents where a product is found to be unsafe for consumers, defective or dangerous. Dawar & Pillutla, 2001
  • 4. Brand Crises Typology: o Performance-related o Values-related Dutta & Pullig, 2011
  • 5. The Organizations’ Response to a Crisis May Significantly Affect Consumers’ Attitudes, Perceptions and Reactions •Denial to Super-Effort (Shrivastava and Siomkos , 1989) •Three Basic Accommodative Strategies (Coombs, 2007)
  • 6. The impact of time on product-harm crises  Literature is limited  Time span may be critical (Standop, 2006)  Consumers seem to forget (Vassilikopoulou, 2009) Limitations: Research was based on hypothetical scenarios and a great deal of time had passed between the crisis and the research
  • 7. IKEA Meatball Crisis Timeline  Feb 25th 2013, traces of horsemeat are found in samples of IKEA’s meatballs in the Czech Republic and the information goes public, IKEA recalls meatballs from 14 EU countries  7 weeks afterwards the meatballs are back on the shelves with a discounted retail price
  • 8. Methodology  Three days after the crisis goes public  124 respondents given a questionnaire  41% men  56% college graduates  30% were 18-25 years old
  • 9. Questionnaire  I have a good impression about IKEA  How would you characterize the decision of whether to      buy meatballs from IKEA’s restaurant? I hold IKEA responsible for the product harm I feel angry about the event How severe was the event I intend to buy meatballs from IKEA’s restaurant in the future I intend to buy furniture from IKEA in the future All items were formulated in 7-point Likert-type scale format.
  • 10. Results Item Impression Mean Scores 3 days after 1 week 2 weeks 4 weeks 6 weeks after after after after 3.45 4.67 4.66 4.89 5.01 Perceived risk Item 4.91 4.20 4.13 3.87 3.65 3 days after 1 week 2 weeks 4 weeks 6 weeks after after after after Anger 5.09 4.32 4.22 3.75 3.73 Severity 4.88 4.52 4.44 4.29 3.95 Purchase intentions (meatballs) Purchase intentions (furniture) 2.54 3.68 4.16 4.54 4.69 5.89 6.02 6.07 6.12 6.20
  • 12. Blame, Anger and Severity
  • 14. Conclusions  While it may take people years to forget negative experiences deriving from a crisis and for them to form more positive perceptions (Kanso, Levitt and Nelson, 2010), it would seem that the crisis has been mitigated  Time is an altering factor
  • 15. Future Directions  Model of estimating the temporal impact of a crisis utilizing growth curves
  • 16. Thank you for your attention!