AN EMPIRICAL ASSESSMENT OF CONSUMER PERCEPTIONS OF FAKE NEWS AND ITS INFLUENCE ON EMOTIONAL REGULATION AND BEHAVIORAL RESPONSES: EVIDENCE FROM THE PAKISTAN SOFT DRINK INDUSTRY

Abstract

The purpose of this paper is to empirically examine consumer perceptions of the influence of fake news and how these perceptions relate to emotional regulation and consumer responses in the soft drink industry in Pakistan. The research examines the constructs of consumer perception, trust, loyalty, and emotional responses (anxiety, anger, and confusion) in an online information environment. The study employed a descriptive quantitative approach with a survey questionnaire. A sample of 600 respondents was surveyed, with equal representation from three geographical areas. Frequencies and percentages were used to describe consumer perceptions, emotions, and behavioral intentions in response to fake news. The results suggest that most consumers (54% - 59%) view fake news as prevalent, deceptive, and hard to identify. Fake news exposure is linked to changes in consumer perceptions, such as heightened distrust of product safety, brand integrity, and corporate reputation. Moreover, 53%-58% of participants reported a decrease in trust and loyalty, as indicated by lower purchase intentions, higher brand switching, and reluctance to recommend brands. Emotionally, fake news is linked to increased feelings of anxiety, anger, and confusion (52% - 56%), which lead to uncertainty and risk-averse behavior. In summary, the results show the interrelated nature of cognitive, emotional, and behavioral factors in consumer reactions. The research offers valuable theoretical and managerial insights by showing that fake news is a perceptual and emotional disruptor in consumer markets. For marketers, the study highlights the importance of active communication, transparency, and consumer education programs to counter the negative impact of fake news. For policymakers, the research highlights the need for media literacy and the regulation of deceptive information in the digital space. The study adds to the body of knowledge by providing industry-specific empirical insights from a developing market and extending the knowledge of consumer reactions to fake news.