Systemic Attribution Explanation for Negative Crisis Spillover

The purpose of this study is to explain the process of negative spillover effects of organizational crisis within the same industry. Previous research explains the spillover effects of organizational crises primarily through the lens of organizational similarity, yet it overlooks how similarity can lead to both positive and negative spillover effects, failing to account for a specific directional impact. Addressing this gap, the current research proposes systemic attribution as a driving factor of negative spillover and investigates its effects through two experiments, each conducted in integrity and capability crisis context. Additionally, drawing on two elements of attribution theory, consistency and consensus, this study examined the effects of prior crisis history of the crisis-stricken organization and crisis prevalence within the industry on systemic attribution and subsequent negative spillover. The findings indicate that systemic attribution indeed drives negative spillover effects. Furthermore, prior crisis history weakens spillover by lowering systemic attribution, whereas crisis prevalence strengthens spillover by enhancing systemic attribution. The findings were consistent across both integrity-related and capability-related crisis contexts.