Electronic Resource
Article - The Effects of Company Image and Communication Platform Alignment on Investor Information Processing Volume 6, Issue 2 89–109
Motivated by firms’ increasing use of new media technology for investor communications, we
investigate how alignment between company image and communication platform affects investor
judgment and decision making. In our first experiment, we demonstrate that investors expect alignment
between firm image and the perception of the new media communication platform managers choose
for investor relations. In a second experiment, we examine how this alignment affects investor
judgment and decision making. We predict and find that greater platform-image alignment leads
investors to experience subjective ease of processing, but does not change investment amounts.
Additionally, we demonstrate an approach to conducting an explicit test of a null hypothesis by
evaluating the convergence of null hypothesis significance testing (NHST) and Bayesian methods. Our
findings have implications for researchers, firms, and investors and add to a growing literature on new
media disclosure.
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