Sustainability has become paramount in society and retail. Therefore, this study aims to compare the environmental sustainability of brick‐and‐mortar retail and e‐commerce. A literature review identifies various factors, such as buildings, shopping trips, order bundling, returns, packaging, transport and logistics, and environmentally conscious behavior, that determine the channel that is superior in terms of environmental sustainability. While these factors are context‐specific and depend on several actors (e.g., consumers, retailers, and logistics service providers), most studies consider e‐commerce to be more environmentally (...) friendly than purchases from brick‐and‐mortar stores. However, this review demonstrates that most previous studies have focused on objective criteria (e.g., CO2). Therefore, to reflect the importance of consumers' perspectives on channel choice, we conducted four empirical studies that provide insights into the perceived environmental sustainability of each channel. In contrast to experts' views, consumers perceive e‐commerce as less sustainable than brick‐and‐mortar retailing. Hence, online retailers should improve their communication strategies and highlight the potential environmental advantages of e‐commerce and omni‐channel retailing. Brick‐and‐mortar retailers are advised to reduce the environmental damage they cause and encourage their customers to act in an eco‐friendly manner. (shrink)

This research examines the impact of an online platform’s revenue model on consumers’ ethical inferences of the company. We demonstrate that consumers perceive online platforms that employ the advertising-based revenue model to be less ethical than platforms that employ the service-fee-based revenue model because platforms that adopt the advertising-based revenue model are thought to be less consumer-serving motivated. The unfavorable ethical inferences induced by the advertising-based revenue model further lower consumers’ intention to disclose personal information and the intention to generate (...) positive word of mouth for the company. We further find that allowing consumers to skip advertisements does not improve the less favorable ethical inferences while using resources for public-service advertisements does. These findings advance the understanding of consumers’ ethical inferences regarding business models and provide insights for managers to develop effective strategies to alleviate less favorable ethical inferences. (shrink)

The growing uses of algorithm-based decision-making in human resources management have drawn considerable attention from different stakeholders. While prior literature mainly focused on stakeholders directly related to HR decisions (e.g., employees), this paper pertained to a third-party observer perspective and investigated how consumers would respond to companies’ adoption of algorithm-based HR decision-making. Through five experimental studies, we showed that the adoption of algorithm-based (vs. human-based) HR decision-making could induce consumers’ unfavorable ethicality inferences of the company (study 1); because implementing a (...) calculative and data-driven approach (i.e. algorithm-based) to make employee-related decisions violates the deontological principles of respectful employee treatment (study 2). However, this effect was attenuated when consumers had high (vs. low) power distance beliefs (study 3); the algorithm served as assistance (vs. replacement) for human decisions (study 4); or the adoption was framed as employee-oriented (vs. company-oriented) motivated (study 5). Our findings suggested that consumers are aversive to algorithm-based HR decision-making because it is deontologically problematic regardless of its decision quality (i.e. accuracy). This paper contributes to the extant understanding of stakeholders’ responses to algorithm-based HR decision-making and consumers’ attitudes toward algorithm users. (shrink)