In extreme cases, the negative WOM attached to one company can have affects that spill over to an entire industry.

Question

Quizplus · Accepted Answer

Negative WOM can create a negative perception about a company and in extreme cases, it can affect the entire industry. People may start associating the negative experience with one company to the entire industry, leading to a decrease in overall demand and reputation. This is especially true for industries where there are only a few major players. Therefore, companies must take negative WOM seriously and work to address the issues raised by customers to prevent spillover effects.

In Extreme Cases, the Negative WOM Attached to One Company