Individual actions designed to address issues of public concern is a common theme in the discourse on how to mobilize resources and target efforts toward sustainable practices. We contribute to this area by developing and empirically validating a multidimensional scale for civic engagement; synthesizing and testing the adequacy of the theory of planned behavior and the value–belief–norm theory in explaining civic engagement; and considering how an individual’s orientation, identity, and beliefs motivate moral thinking and action. The focus is on the (...) important social issues of global warming and climate change, income inequality, and world poverty, and hunger. We follow both correlational and configurational approaches to examine symmetric and asymmetric causal relationships, respectively. The findings from a sample of 819 US citizens reveal that the TPB and VBN theory can adequately explain civic engagement, after we control for the influence of past experience. In addition, while belief in a just world inhibits the occurrence of adverse consequences and the formation of positive attitudes, social value orientation, and moral identity facilitate them. Notably, at least two causal conditions need to be present for adverse confsequences to emerge, while moral identity is almost a necessary condition for the development of positive attitudes. We conclude with a discussion of important implications for researchers and practitioners. (shrink)

Valorising the biocultural heritage of common goods could enable peasant farmers to achieve socially and economically inclusive sustainability. Increasingly appreciated by consumers, peasant heritage products offer small farmers promising opportunities for economic, social and territorial development. Identifying the obstacles and levers of this complex, multi-scale and multi-stakeholder objective requires an integrative framework. We applied the panarchy conceptual framework to two cases of participatory research with small quinoa producers: a local fair in Chile and quinoa export production in Bolivia. In both (...) cases, the “commoning” process was crucial both to bring stakeholders together inside their communities and to gain outside recognition for their production and thus achieve social and economic inclusion. Despite the differences in scale, the local fair and the export market shared a similar marketing strategy based on short value chains promoting quality products with high identity value. In these dynamics of biocultural heritage valorisation, the panarchical approach revealed the central place as well as the vulnerability of the community territory. As a place of both anchoring and opening, the community territory is the privileged space where autonomous and consensual control over the governance of common biocultural resources can be exercised. (shrink)

The growing availability and consumption of Fairtrade products is recognised as one of the most widespread ethically inspired market developments, and as an example of activist-driven change within the wider marketing system. The Fairtrade Towns movement, now operating in over 1700 towns and cities globally, represents a comparatively recent extension of Fairtrade marketing driven by local activists seeking to promote positive change in production and consumption systems. This paper briefly explores the conventional framing of the role that ethically related activism (...) plays in the operation of markets and in influencing market participants. It then presents key insights gathered from a grounded theory exploration of Fairtrade Towns as activist-driven marketing systems, revealing the atypical nature of the activism involved. The findings demonstrate how local activists leverage their social networks to exert pressure and generate support to promote ethical consumption. The study suggests that Fairtrade Towns offer a new role for activists as Fairtrade itself becomes more mainstream, and considers the role they are fulfilling as ‘informal’ local marketers. The marketing dynamics revealed represent a complex and distinctive form of relational activism that seeks to build Fairtrade markets and highlight their positive benefits, with potential lessons for other local ethical market-building efforts in future. (shrink)

This article offers a first step toward a multi-level theory linking social movements to corporate social initiatives. In particular, building on the premise that social movements reflect ideologies that direct behavior inside and outside organizations, this essay identifies mechanisms by which social movements induce firms to engage with social issues. First, social movements are able to influence the expectations that key stakeholders have about firms’ social responsibility, making corporate social initiatives more attractive. Second, through conflict or collaboration, they shape firms’ (...) reputation and legitimacy. And third, social movements’ ideologies manifest inside the corporations by triggering organizational members’ values and affecting managerial cognition. The essay contributes to the literatures on social movements and CSR, extends the understanding of how ideologies are manifested in movement-business interactions, and generates rich opportunities for future research. (shrink)

Supply chains are an indispensable element of any global economy. At the same time such supply chains create a societal and environmental burden. Drastic actions are required to mitigate these effects. Supply chains should become responsible and sustainable addressing economic, political, societal, legal, human rights, ethical and environmental concerns. This research shifts from the question of why companies should implement responsibility and sustainability into supply chains, to how they should do so effectively. Illustrated by a case study of Sedex, a (...) collaborative platform for buyers and suppliers, this paper proposes three solutions for responsible and sustainable supply chain management. Firstly, supply chains have to be supported by research and innovation. Secondly, supply chains should be based on multi-stakeholder efforts of industry, governmental and non-governmental organisations. Thirdly, the responsibility should lie not only with an individual company and its employees, but also with organisations of companies. As a result, responsible and sustainable supply chains require technological, political and ethical solutions involving the development of sound, multi-stakeholder business and governance models. These models should be based on the equal consideration of all three dimensions of sustainability, the cooperation of the partners in the chain, strengthening long-term relationships and legitimate requirements of the stakeholders of a supply chain. (shrink)

Business Ethics: A European Review, EarlyView.

ABSTRACTSome firms are initiating pro-stakeholder activities and policies that transcend conventional corporate social responsibility conceptions and seem inconsistent with their business interests or economic responsibilities. These initiatives, which are neither legally nor morally obligatory, are responding to calls for a more active role of business in society and for a broader interpretation of CSR. In fact, they benefit stakeholders in a superior and an innovative way and are difficult to reconcile with commonly used rationales in the extant CSR literature, such (...) as win-win opportunities, creating shared value, or corporate philanthropy. For better insight, we develop a qualified account of the concept of supererogation from ethical theory. This account, which examines voluntary responses to moral obligations from which a business is normally excused, is applied to identify the unique features of the initiatives that are not readily understood within conventional reasoning, which is generally focused on a business case. (shrink)

Many advocate practices of ‘local food’ or ‘locavorism’ as a partial solution to the injustices and unsustainability of contemporary food systems. I think that there is much to be said in favor of local food movements, but these virtues are insufficient to immunize locavorism from criticism. In particular, three duties of international ethics—beneficence, repair and fairness—may provide reasons for constraining the developed world’s permissible pursuit of local food. A complete account of why (and how) the fulfillment of these duties constrains (...) locavorism will require extensive empirical evidence about the relationship between agricultural demand-led industrialization, international trade (rules), and local food practices. In this paper I can only gesture at some of this evidence and, for that reason, my policy prescriptions are merely provisional. Instead, the upshot of this paper is that advocates of locavorism ought to be attentive to the empirical-dependence of the moral permissibility of their projects. As local food ‘scales up’—and comes to be embraced as a goal of political communities—these concerns should receive even greater attention. (shrink)

In an ever more transparent, digitalized, and connected environment, customers are increasingly pressuring brands to embrace genuine corporate social responsibility practices and co-creation activities. While both CSR and co-creation are social and collaborative processes, there is still little research examining whether CSR can boost co-creation. In addition, while previous research has mainly related co-creation to emotional outcomes, limited empirical research has related it to rational and behavioral outcomes. To address these shortcomings in the literature, this paper examines the influence of (...) CSR on customer loyalty, considering the mediating roles of co-creation and customer trust. It also investigates the influence of co-creation on customer trust. The data were collected in Spain in late 2017 using an online survey, and the sample contained 1101 customers of health insurance services brands. Structural equation modeling was used to test the hypothesized relationships simultaneously. The results show that CSR influences customer loyalty both directly and indirectly through co-creation and customer trust. However, the indirect impact is the stronger of the two, implying that embracing co-creation activities and developing customer trust can make it easier for CSR practices to enhance customer loyalty. In addition, co-creation has a direct effect on customer trust. (shrink)

Previous research demonstrates that consumers support firms’ CSR activities, and increasingly demand socially responsible products and services. However, an implicit assumption in the extant literature is that the purchaser and the consumer of the product are the same person. The current research focuses on a unique form of socially responsible consumption behavior: gift-giving. Through 30 depth consumer interviews, we develop a typology of consumers based on whether consumers integrate CSR-related information into purchases, and whether the purchases are for themselves or (...) for others. We find that in some instances, consumers actively avoid purchasing products from socially responsible organizations and do so with the intention of managing their impressions with the gift recipient. This is counter to previous research that suggests consumers often choose to make socially responsible consumption decisions in efforts to satisfy self-presentation concerns. In addition, the decision to engage in socially responsible consumption for oneself but not for others was motivated by a variety of factors including the role of the recipient and a concern over the credibility of socially responsible gifts. Finally, some participants who do not incorporate CSR into their own personal consumption chose gifts based on a variety of CSR activities in an effort to build awareness for socially responsible organizations. (shrink)

Corporate codes of conduct are a practical corporate social responsibility (CSR) instrument commonly used to govern employee behavior and establish a socially responsible organizational culture. The effectiveness of these codes has been widely discussed on theoretical grounds and empirically tested in numerous previous reports that directly compare companies with and without codes of conduct. Empirical research has yielded inconsistent results that may be explained by multiple ancillary factors, including the quality of code content and implementation, which are excluded from analyses (...) based solely on the presence or absence of codes.This study investigated the importance of code content in determining code effectiveness by examining the relationship between code of conduct quality and ethical performance. Companies maintaining high quality codes of conduct were significantly more represented among top CSR ranking systems for corporate citizenship, sustainability, ethical behavior, and public perception. Further, a significant relationship was observed between code quality and CSR performance, across a full range of ethical rankings. These findings suggest code quality may play a crucial role in the effectiveness of codes of conduct and their ability to transform organizational cultures.Future research efforts should transcend traditional comparisons based on the presence or absence of ethical codes and begin to examine the essential factors leading to the effective establishment of CSR policies and sustainable business practices in corporate culture. (shrink)

Relations between non-governmental organizations (NGOs) and companies have been the subject of a sharply increasing amount of publications in recent years within academic business journals. In this article, we critically assess this fast-developing body of literature, which we treat as forming a ‘business and society discourse’ on NGO–business relations. Drawing on discourse theory, we examine 199 academic articles in 11 business and society, international business, and management journals. Focusing on the dominant articulations on the NGO–business relationship and key signifiers they (...) rely on, we analyze the problem-settings of articles in order to reveal the statements that are acceptable and appropriate within this field. Our threefold aim is to (1) identify dominant articulations of NGO–business relations in business and society discourse, (2) expose those articulations that are silenced or suppressed by these dominant articulations, and (3) critically assess possible power effects of these discursive dynamics in the field of discursivity. While business and society discourse on NGO–business relations overall remains open to many different articulations, we also find that those articulations that focus on NGO–business partnerships and governance initiatives tend to privilege collaborative and deliberative ways of engaging and marginalize more adversarial subject positions. We call for more recognition of the potentially constructive role that can be played by conflict. (shrink)

This paper investigates the effects of Buddhist ethics on consumers’ materialism, that is, the propensity to attach a fundamental role to possessions. The literature shows that religion and religiosity influence various attitudes and behaviors of consumers, including their ethical beliefs and ethical decisions. However, most studies focus on general religiosity rather than on the specific doctrinal ethical tenets of religions. The current research focuses on Buddhism and argues that it can tame materialism directly, similar to other religions, and through the (...) specific Buddhist ethical doctrines of the Four Immeasurables: compassion, loving kindness, empathetic joy, and equanimity. The empirical results show the following: (1) Buddhism reduces materialism directly and through some of the Four Immeasurables, and (2) despite the doctrine of non-existence of the self, positive emotions toward the self are still present, and the self absorbs the effects of Buddhist ethics on materialism. The latter finding suggests a “resistance of the self” that is coherent with the idea of a consumer who leverages the self to go beyond it. (shrink)

The article reports the findings of a study conducted among 387 consumers regarding their perceptions of the unethicality of business practices of firms and how these affect their response behavior, in terms of trust, satisfaction, and loyalty. The study confirmed that high levels of perceived corporate unethicality decrease consumer trust. This in turn reduces consumer satisfaction, which ultimately has negative effects on customer loyalty. It was also revealed that, although both consumer gender and urbanity have a moderating effect on the (...) link between perceived unethicality and trust, the age group and level of education of the consumer did not exhibit such an effect. With regard to consumer cultural characteristics, both high uncertainty avoidance and low individualism were found to increase the negative impact of business unethicality on trust, as opposed to power distance and masculinity that did not have any moderating effect on this relationship. Implications for managers are extracted from the study findings, as well as directions for future research. (shrink)

Individual and collective ethical stances regarding ethical consumption and related outcomes are usually seen as both a form of concern about extant market offerings and as opportunities to develop new offerings. In this sense, demand and supply are traditionally portrayed as interacting dialectically on the basis of extant business models. In general, this perspective implicitly assumes the juxtaposition of demand side ethical stances and supply side corporate initiatives. The Eataly story describes, however, a different approach to market transformation; in this (...) case a company and a social movement (Slow Food) have negotiated and collaborated prior to initiating a new business model. This collaboration process and its outcomes are described, focusing specifically on ordinary Eataly customers’ and Slow Food members’ reactions. Given that Eataly can be regarded as a case of mainstreaming, ordinary customers seem satisfied with the new offering and the Slow Food support for the initiative; the more purist members of the Slow Food movement had critical concerns, however, as happened in similar conditions, according to literature, with regard to Fair Trade. The Slow Food endorsement of the new venture has also been observed from the attitude–behaviour gap perspective, as it contributed to addressing the factors affecting the gap between attitudes and actual behaviours. Extensive qualitative data were collected and analysed over a 3-year period. The main study implications refer to the ways in which companies and social movements could interact to co-design new business models, as well as outlining consumers’ attitudes and behaviours towards such new offerings. (shrink)

Driven by increased consumer interest and stakeholder pressure, the number of Fairtrade (FT) products has been steadily increasing. The mainstreaming of FT means that the products are now facing stiff competition within the generic product categories in which they operate. While consumers may pressure organizations for ethical conduct, they are less willing to pay premium prices for fairly traded products. For FT to continue to grow, more efficient operating models are required to offset the premium prices paid to producers to (...) ensure competitiveness in the market. One such improvement approach may be the management of FT supply chains. To investigate the feasibility of this approach, this article systematically combines literature on FT with key supply chain management (SCM) constructs and theories. We discuss existing SCM paradigms in the context of FT and demonstrate aspects where the efficiency of FT chains needs to be improved to ensure their viability. We present propositions that demonstrate the key limitations of the FT model from the point of view of SCM theory and practice and suggest the potential changes needed in the management of FT supply chains. The article provides a timely first attempt to systematically combine FT with SCM constructs, thus establishing a basis for the further development of FT chains and for the improvement of the operating efficiency within them. (shrink)

This paper investigates the effectiveness of a new traceability label on consumer willingness to buy the labelled product and whether the effect is mediated by moral affective evaluations of the product. A between-subjects factorial design was used to test the effect of a new traceability label on willingness to buy a chocolate bar, while controlling for different product features and whether this effect was mediated through the consumer’s moral affective evaluations of the product. A broad sample of 1,064 ordinary Danish (...) consumers was recruited for the study from the panel of an online sample provider, age range 18–80. We found that the traceability label has a significant impact on consumer willingness to buy a chocolate bar. This impact is mediated by moral affective evaluations of the chocolate bar. Based on the dual process models of persuasion, we conclude that consumers mainly process the traceability label in a heuristic way, through a peripheral route, making a fast and frugal, affect-based judgment, rather than one based on elaborate reasoning. Being one of the first empirical studies on the impact of a traceability label on consumer willingness to buy a product, it provides valuable insights for businesses on the effects of a traceability label on consumer behaviour. In addition, it provides new insights on the process through which an ethical label influences consumer evaluations and purchase behaviour. This study is, to the best of our knowledge, the first to show that an ethical label influences consumer decision-making through activating a holistic moral affective evaluation of the offering, rather than through strengthening the consumer’s knowledge base for a more qualified reasoning process. (shrink)

Research examining consumer responses to the provision of nutritional information as part of restaurant menus has produced mixed results. In light of pending legislation requiring the provision of nutritional information, the authors examine the how corporate social responsibility impacts consumer service evaluation of restaurants. Findings from three studies demonstrate that the relationship between consumer attitudes toward the disclosure of nutrition information and their subsequent evaluation of the food provider is impacted by CSR-related initiatives. Studies one and two find that consumer (...) evaluations are enhanced when the firm has an existing reputation for CSR and when the firm includes healthy product options as part of the introduction of the nutritional information. Study 3 finds these effects are particularly strong with fast-food restaurants. Overall, the findings suggest that, for some firms, the introduction of the legislation provides an opportunity to strengthen relationships with customers and gain advantage over some competitors. (shrink)

The literature is replete with articles emphasizing the importance of corporate social responsibility. However, few, if any, of these articles discuss the role of the consumer in achieving corporate social responsibility. It is the premise of the current paper that it may be difficult for corporate social responsibility to succeed without the assistance of consumers. That is, for corporate social responsibility to flourish, it needs to be accompanied by consumer social responsibility. This paper examines this proposition, makes the distinction between (...) consumer ethics and CnSR, and presents research in these two expanding areas of inquiry, examining literature which supports the role of CnSR in complementing corporate social responsibility. (shrink)

This article explores the relationship between corporate social responsibility and authenticity by developing a framework that explains the characteristics of CSR activities that lead to a perception by stakeholders that a firm’s CSR efforts are genuine. Drawing on the authenticity literature, we identify two core dimensions of authenticity that impact stakeholder perceptions of CSR: distinctiveness and social connectedness. Distinctiveness captures the extent to which a firm’s CSR activities are aligned with their core mission, vision and values while social connectedness refers (...) to the degree to which an organization’s CSR efforts are embedded in a larger social context. We use this framework to explore the question ‘when are a firm’s CSR efforts most likely to be perceived as authentic by stakeholders?’ and find that both of these dimensions are necessary; social connectedness or distinctiveness alone are necessary but insufficient conditions for perceptions of authenticity to occur. A detailed exploration of authenticity, therefore, advances research in the CSR domain that may help mend the growing divide between business and society. (shrink)

For four decades, research on the role and responsibilities of business in society has centered on the business case for corporate social responsibility (CSR) and an increasing number of studies on the corporate social performance (CSP)—corporate financial performance (CFP) link emerged leading to controversial results. Heeding the call for a deeper understanding of the mechanisms linking certain CSR efforts to certain performance outcomes, this study provides a stakeholder-based organizing framework rooted in an extensive review of existing literature on the link (...) between CSP and CFP. In so doing, we aim at guiding research and practice toward less simplistic understandings of the CSP–CFP connection, thus advancing the debate over the consequences of voluntary integrating CSR into business operations and into relationships with stakeholders. By disentangling specific drivers and outcomes of the CSP–CFP link, we underline the importance of setting clear boundaries and specifying levels of analysis to generate comparable results. (shrink)

A company’s product-harm crises often lead to negative publicity which substantially affects purchase intention. This study attempts to examine the purchase intention and its antecedents (e.g., perceived negative publicity) during product-harm crises by simultaneously including perceived corporate ability (CA) and corporate social responsibility (CSR) as moderators. In the study’s proposed model, purchase intention is indirectly affected by perceived CA, negative publicity, and CSR via the mediation of trust and affective identification. At the same time, the influences of perceived negative publicity (...) on trust and affective identification are moderated by perceived CA and CSR, respectively. Empirical testing using a survey of car users from 477 working professionals confirms most of our hypothesized effects except the insignificant moderating effects of perceived CA. Finally, managerial implications and limitations of our findings are discussed. (shrink)

Research on corporate social responsibility (CSR) has tended to focus on external stakeholders and outcomes, revealing little about internal effects that might also help explain CSR-firm performance linkages and the impact that corporate marketing strategies can have on internal stakeholders such as employees. The two studies ( N = 1,116 and N = 2,422) presented in this article draw on theory from both corporate marketing and organizational behavior (OB) disciplines to test the general proposition that employee trust partially mediates the (...) relationship between CSR and employee attitudinal and behavioral outcomes. Both studies provide evidence in support of these general relationships. Theoretical and practical implications of these findings are discussed in the context of CSR and corporate marketing research. (shrink)

Despite the growing public awareness of social sustainability issues, little is known about what drives firms to emphasize social criteria in their supplier management practices and what the precise benefits of such efforts are. This is especially true for relationships with international suppliers from the world's emerging economies in Asia, Latin America, and Eastern Europe. Building on stakeholder theory, we address the issue by examining how pressures from customers, the government, and employees as primary constituencies of the firm determine the (...) extent to which firms consider social aspects in the selection of emerging economy suppliers. Further, we analyze how such socially sustainable supplier selection relates to the capabilities of the firm's suppliers, its market reputation, and the learning in its supply management organization. We test the developed research framework empirically using data from 244 U. S. and German corporations. Our findings, consistent with our hypothesized model, suggest that middle-level supply managers as internal stakeholders play a major driving role for firms' socially sustainable supplier selection, and that strong positive links exist between that selection and the investigated outcomes. (shrink)

To date, the primary focus of research in the field of corporate social responsibility (CSR) has been on the strategic implications of CSR for corporations and less on an evaluation of CSR from a wider political, economic and social perspective. In this paper, we aim to address this gap by critically engaging with marketing campaigns of so-called ‘ethical’ bottled water. We especially focus on a major CSR strategy of a range of different companies that promise to provide drinking water for (...) (what they name as) ‘poor African people’ by way of Western consumers purchasing bottled water. Following Fairclough's approach, we unfold a three-step critical discourse analysis of the marketing campaigns of 10 such ‘ethical’ brands. Our results show that bottled water companies try to influence consumers' tastes through the management of the cultural meaning of bottled water, producing a more ‘ethical’ and ‘socially responsible’ perception of their products/brands. Theoretically, we base our analysis on McCracken's model of the cultural meaning of consumer goods, which, we argue, offers a critical perspective of the recent emergence of CSR and business ethics initiatives. We discuss how these marketing campaigns can be framed as historical struggles associated with neo-liberal ideology and hegemony. Our analysis demonstrates how such CSR strategies are part of a general process of the reproduction of capitalist modes of accumulation and legitimation through the usage of cultural categories. (shrink)

This study examines to what extent perceived corporate social responsibility reduces employee cynicism, and whether trust plays a mediating role in the relationship between CSR and employee cynicism. Three distinct contributions beyond the existing literature are offered. First, the relationship between perceived CSR and employee cynicism is explored in greater detail than has previously been the case. Second, trust in the company leaders is positioned as a mediator of the relationship between CSR and employee cynicism. Third, we disaggregate the measure (...) of CSR and explore the links between this and with employee cynicism. Our findings illustrate that the four distinct dimensions of CSR of Carroll are indirectly linked to employee cynicism via organizational trust. In general terms, our findings will help company leaders to understand employees’ counterproductive reactions to an organization, the importance of CSR for internal stakeholders, and the need to engage in trust recovery. (shrink)

The current work examines how cues traditionally used to signal environmental friendliness, specifically the color green and eco-labels, and influence product efficacy perceptions and subsequent purchase intentions. Across three experiments, we find that environmental cues used in isolation reduce perceptions of product efficacy. We argue that this efficacy discounting effect occurs because the isolated use of an environmental cue introduces category ambiguity by activating competing functionality and environmentally friendly schemas during evaluation. We discuss the implications of our findings for research (...) on environmental consumption as well as offer insight into the effective use of environmental cues on product packaging. (shrink)

Fair trade (FT) is of growing interest to those carrying out research into ethical decision making. In this paper, we report findings from a recent survey of FT purchasing among 688 retail shoppers in the United Kingdom. We examined the relationship between individual differences, in terms of gender and age, and three outcome measures: purchasing, word of mouth (WOM) recommendation and social advocacy. Though age appeared to have no significant effects, we found evidence of gender difference in each outcome measure. (...) Females in our sample were more likely to purchase FT goods, to recommend them by WOM, and to advocate FT purchasing to friends and family. We discuss the implications of these findings in terms of the literature on ethical decision making and gender difference. (shrink)

The sustainability labeling on the front of a package featured in a print advertisement may influence consumers’ product evaluations and purchase decisions. The findings of this exploratory study suggest that consumers seem to evaluate the sustainability claim more favorably if the advertisement highlights the personal impact on them. Moreover, environmental involvement appears to further moderate the effects of sustainability claims and environmental impact framing. The interactions that emerged in this study suggest that sustainability labeling effects constitute a complex phenomenon that (...) warrants future research. (shrink)

In this study, we examine the determinants of corporate environmental responsibility, as well as the relationship between legal systems and CER as measured by a unique set of global environmental cost data. Results of our analyses show that firms’ legal origins affect CER, which requires a long-term management perspective. Specifically, our results indicate that civil law firms exhibit significantly higher levels of CER than common law firms. In addition, results of an auxiliary test suggest that manager shareholding has a significant, (...) nonlinear relationship with CER. The association between a firm’s legal origin and its CER performance remains robust after controlling for the effects of managerial ownership and issues related to endogeneity. Our findings imply that although the majority of corporate law studies in the past few decades provide support for the common law system emphasizing the maximization of shareholder value and investor protection, the civil law system stressing the maximization of stakeholder wealth and the importance of CER may become more influential in the coming decades as CER becomes central to firms’ operations. (shrink)

This article examines quantitatively the determinants of purchase decisions based on corporate social responsibility, adopting a hierarchical conceptual model of decision making where the key factors are personal concern, information availability and financial considerations. We use best–worst methods to assess consumer priorities for CSR activities in milk production; and elicit consumer interpretation of four labels in terms of CSR and other outcomes. We then elicit willingness to pay for the labels, and estimate regression models to determine how predictive each label (...) perceptual profile is of WTP for milk. Animal welfare and sustainable agricultural practices are the most important activities, and milk labels do convey CSR-related messages. With the exception of the pair animal welfare-Validus, the link between CSR messages and WTP is tenuous. The discussion emphasizes the central role of each label’s perceptual profile in triggering product differentiation among consumers. (shrink)

In the literature, Fair Trade (FT) goods are usually associated with other products differentiated by process attributes such as organic food, genetically modified (GM) food or child labour-free clothing. All of these products are regarded as credence goods. This classification refers to the simplified definition of credence goods, which describes product attributes which consumers cannot evaluate, even after having consumed the good. Focusing on the characteristics of FT goods, this article proposes a reassessment of the link between FT goods and (...) credence properties as defined by Darby and Kami. We first demonstrate that (1) the usual classification masks important particularities of FT goods compared to other goods with process attributes and (2) the full definition of credence goods may even provide a better description of the quality of FT goods. However - and this is our second theoretical contribution - the lack of consensus among experts concerning FT standards and their level of efficiency encourage us to consider FT goods as indeterminate goods as defined by Lupton. This result leads us to suggest a new typology of product attributes summarized in an innovative diagram. It sheds light on how competition between the different FT approaches works and why the FT market is still confined to a niche, if not threatened with collapse. We mainly illustrate our theoretical analysis with observations relating to the French FT market and institutions. (shrink)