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)

In this paper, we examine the relationship between various Christian denominations and attitude and behavior regarding consumption of socially responsible products. Literature on the relationship between religiosity and pro-social behavior has shown that religiosity strengthens positive attitudes towards pro-social behavior, but does not affect social behavior itself. This seems to contradict the theory of planned behavior that predicts that attitude fosters behavior. One would therefore expect that if religiosity encourages attitude towards SR products, it would also increase the demand for (...) them. We test this hypothesis for four affiliations on a sample of 997 Dutch consumers, using structural equation modeling. We find that Christian religiosity, indeed, increases positive attitude towards SR products, except for the Orthodox Protestant affiliation. In accordance with the theory of planned behavior, attitude is found to increase the demand for SR products. We find no evidence of hypocrisy for any of the Christian denominations. (shrink)

The terminology employed to explore consumption ethics, the counterpart to business ethics, is increasingly varied not least because consumption has become a central discourse and area of investigation across disciplines. Rather than assuming interchangeability, we argue that these differences signify divergent understandings and contextual nuances and should, therefore, inform future writing and understanding in this area. Accordingly, this article advances consumer ethics scholarship through a systematic review of the current literature that identifies key areas of convergence and contradiction. We then (...) present the articles in this Journal of Business Ethics Symposium and analyse how these articles fit within the interdisciplinary themes. Subsequently, we develop a transdisciplinary theoretical framework that encapsulates the complexity and contextual nature of consumption ethics. We conclude by outlining how genuinely transdisciplinary research into the intersection of ethics with consumption may develop. (shrink)

Responsible sustainable consumer behavior involves a complex pattern of environmental and social issues, in line with the view of sustainability as a construct with both environmental and social pillar. So far, environmental dimension was far more researched than social dimension. In this article, we investigate the antecedents of both environmentally and socially RSCB and willingness to behave in environmentally/socially responsible way. We include measures of concern, perceived consumer control/effectiveness, personal/social norms and ethical ideologies/obligation to better explain and extend the traditional (...) theory of planned behavior. Additionally, we test the impact of information availability about environmental or social impact on RSCB. Our findings on a representative sample of 426 respondents show that in general, antecedents of environmentally and socially responsible sustainable consumption are similar in their effect on consumer behavior, with personal norms, concern and ethical ideologies having the strongest impact on RSCB. When comparing both types of behavior, socially responsible behavior is more influenced by perceived behavioral control and possibly social norms than environmentally responsible behavior, while information availability plays its role for both behaviors. Sustainable responsible consumption can be achieved by embracing both dimensions of sustainability and consumers need to have a sense for both social and environmental issues. The complexity and struggles between doing what is good for environment and society could be the reason why consumers have difficulties achieving sustainable responsible consumption. (shrink)

Providing people with information is considered an important first step in encouraging them to behave sustainably as it influences their consumption beliefs, attitudes and intentions. However, too much information can also complicate these processes and negatively affect behaviour. This is exacerbated when people have accepted the need to live a more sustainable lifestyle and attempt to enact its principles. Drawing on interview data with people committed to sustainability, we identify the contentious role of knowledge in further disrupting sustainable consumption ideals. (...) Here, knowledge is more than just information; it is familiarity and expertise or how information is acted upon. We find that more knowledge represents a source of dilemma, tension and paralysis. Our data reveal a dark side to people’s knowledge, leading to a ‘self-inflicted sustainable consumption paradox’ in their attempts to lead a sustainable consumption lifestyle. Implications for policy interventions are discussed. (shrink)

Communicating the process quality of ethically produced food effectively is of highest interest to policy makers, organizations, retailers and producers in order to enhance ethical food production and increase ethical label use. The objective of this paper is to unveil the effectiveness of different communication treatments in regard to changing purchase behavior of different consumer groups. Different communication material for beef produced according to consumer expectations was compiled and applied in a consumer survey—incorporating a choice experiment and a questionnaire—with 676 (...) respondents in three cities of Germany. A Latent Class Mixed Logit Model was basis to identify different consumer segments and their response to the different communication treatments. The effects of different communication treatments unveil the importance to address information in an objective manner. Target groups could be enlarged through the assessment of clear, objective information. Moreover, most consumers were more likely to refrain from choosing a cheap beef product from conventional, barn-based rearing. Hence, consumers might be interested in reducing their overall consumption of beef and prefer the consumption of high value ethical beef with less frequency. Producers, market actors and policy makers should realize that a high share of consumers, not only smaller target groups, value ethical food and may be ready to change their consumption habits, if they are adequately informed. (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)

Sustainable labels are considered the best way for consumers to identify brands with environmental or social attributes on the shelves, and therefore promoted as a means to develop the so-called “ethical markets”. However, little is known about how consumers use these brands. This paper tries to offer complementary theoretical insights on the determinants of sustainable label use by drawing on the economic model of information search; in particular, it examines the influence of two factors on the purchase of such labels: (...) motivation and knowledge. Information was gathered through a structured questionnaire in personal interviews with 289 primary buyers. The study found that education influences directly knowledge, while Motivation influences Label use both directly and indirectly, via Label knowledge. This study concludes that Motivation is the most powerful factor to explain Label use; knowledge is a necessary but not sufficient condition. Even more, consumers may not have a good understanding of sustainable labels and still use them in their purchasing decisions. This suggests that there is a dual processing mode of sustainable labels, both systematic and heuristic. (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)

An overview and assessment of the current state of research on individual consumption of Fair Trade (FT) products is given on the basis of 51 journal publications. Arranging this field of ethical consumption research according to key research objectives, theoretical approaches, methods, and study population, the review suggests that most studies apply social psychological approaches focusing mainly on consumer attitudes. Fewer studies draw on economic approaches focusing on consumers’ willingness to pay ethical premia for FT products or sociological approaches relying (...) on the concept of consumer identity. Experimental, qualitative and conventional survey methods are used approximately equally often. Almost all studies draw on convenience or purposive samples and most studies are conducted in the USA or the United Kingdom. Several problems in current research are identified: amongst others, studies’ rather narrow theoretical focus, potential hypothetical and social desirability bias of conventional survey data, and a lack of generalizability of empirical findings. In turn, we suggest that research would benefit from both a multiple-motives and a multiple-methods perspective. Considering competing theories can help to single out key behavioral determinants of individual FT consumption. The combination of different methods such as conventional surveys and field experiments contributes to uncovering respondents’ truthful answers and improves generalizability of results. Scholars in the field of ethical consumption research should use experiments to detect causal relations proposed by theories and conduct cross-country surveys to gather insights as to how differences in market structures, cultural traits, and other path dependencies affect patterns of individual FT consumption. (shrink)

Although Fair Trade has recently experienced rapid growth around the world, there is lack of consumer research that investigates what determines consumers' loyalty toward Fair Trade brands. In this research, we investigate how ethical consumption values (ECV) and two mediating variables, Fair Trade product beliefs (FTPB) and Fair Trade corporate evaluation, (FTCE) determine Fair Trade brand loyalty (FTBL). On the basis of two empirical studies that use samples from the U.S. and Korea, we provide evidence demonstrating that the manner in (...) which ECV influence FTBL differs in the U.S. and Korea. In the U.S., ECV determine FTBL only indirectly via FTPB, whereas in Korea they determine FTBL directly as well as indirectly via FTCE. We discuss theoretical and managerial implications of these findings. (shrink)

Customer orientation and the development of long-term relationships with customers are known conditions for growth and profit sustainability. Businesses use special treatments, inducements, and personal gestures to show their appreciation to customers. However, there are concerns about whether these inducements really create the right perceptions in customer’s mind. This study suggests that when customers believe that the firm is ethical, the inducements and special treatments received are seen in a positive light and can help develop loyalty. The hypotheses were tested (...) with responses from 299 customers of financial institutions in Chile. Results support the hypotheses that firm’s ethical reputation helps in retaining customers. Managerial implications are provided. (shrink)

Consumer surveys repeatedly suggest that corporate social responsibility and products’ social, environmental, or ethical attributes enhance consumers’ purchase intentions. The realization that CSR still has only a minor impact on consumers’ actual purchase decisions thus represents a puzzling paradox. Whereas prior literature on consumer decision making provides valuable insights into the factors that impede or facilitate consumers’ socially responsible consumption decisions, such elements may be only the tip of the iceberg. To gain a fuller understanding of the CSR–consumer paradox, this (...) study proposes investigating the phenomenon through additional theoretical lenses, namely, a clinical psychology, an evolutionary psychology/biology, a social psychology, and an economic and economic psychology lens. From these four unique theoretical lenses, the authors derive an integrative framework and draw several propositions for further research. (shrink)

Although consumers are increasingly engaged with ethical factors when forming opinions about products and making purchase decisions, recent studies have highlighted significant differences between consumers' intentions to consume ethically, and their actual purchase behaviour. This article contributes to an understanding of this 'Ethical Purchasing Gap' through a review of existing literature, and the inductive analysis of focus group discussions. A model is suggested which includes exogenous variables such as moral maturity and age which have been well covered in the literature, (...) together with further impeding factors identified from the focus group discussions. For some consumers, inertia in purchasing behaviour was such that the decision-making process was devoid of ethical considerations. Several consumers manifested their ethical views through post-purchase dissonance and retrospective feelings of guilt. Others displayed a reluctance to consume ethically due to personal constraints, a perceived negative impact on image or quality, or an outright negation of responsibility. Those who expressed a desire to consume ethically often seemed deterred by cynicism, which caused them to question the impact they, as an individual, could achieve. These findings enhance the understanding of ethical consumption decisions and provide a platform for future research in this area. (shrink)

Research on fair trade has flourished over the past decade as fair trade food products have gained popularity amongst consumers in many developed economies. This study examines the effects of recessionary economic conditions on fair trade consumers’ purchasing behaviour. An online survey was administered to 306 fair trade consumers from Canada, the United Kingdom and the United States of America. The results reveal a discrepancy among fair trade consumers as only consumers that purchase fair trade on an occasional basis adhered (...) to established consumer behaviour norms, i.e. decreasing their purchases of fair trade products and becoming significantly more price aware. Respondents who actively consume fair trade generally remained loyal to their purchase. While some active consumers altered their purchasing behaviour, this phenomenon was not common amongst this group as no statistically significant changes were observed. Differences were also noted among the three countries as the Canadian and US fair trade consumers significantly decreased their consumption of fair trade as a result of the recession, whereas the UK consumers did not. In addition to the research results, theoretical and managerial implications will be discussed along with future research directions. (shrink)

In the context of the growing popularity of the ethical consumer movement and the appearance of different types of ethical collective communities, the current article explores the meanings drawn from the participation in Responsible Consumption Cooperatives. In existing research, the overriding focus has been on examining individual ethical consumer behaviour at the expense of advancing our understanding of how ethical consumers behave collectively. Hence, this article examines the meanings derived from participating in ethical consumer groups. A qualitative multi-method approach is (...) adopted to increase the validity of findings. This includes focus groups, in-depth interviews, observation and document analysis. Results show that ethical consumption in a group project offers a greater sense of effectiveness and control when compared to individual actions. Furthermore, these groups facilitate the creation of a social circle and encourage new learning as a result of the social interaction that takes place in the ethical community of the cooperative. (shrink)

The concept of ?ethical consumer behavior? has gained significant attention among practitioners and academic researchers, generating increasing but disjointed knowledge on the topic. By analyzing the empirical research on ethical consumer behavior, this article provides researchers with a map to guide future research. In total, we review 80 studies. The main contributions of the article include the identification of the main trends in the ethical consumer literature and the conceptualization of ethical consumer behavior. In addition, several areas for future research (...) are proposed and discussed. (shrink)

Little is known on the appraisal of ethically questionable not- for-profit actions such as social marketing advertising campaigns. The present study evaluates the ethical acceptance by adults of anti-obesity threat appeals targeting children, depending on the claimed effectiveness of the campaign. An experiment conducted among 176 Belgian participants by means of an online survey shows that individuals’ acceptance of social marketing practices increases along with the claimed effectiveness of the campaign. As such it demonstrates that the audience adopts a pragmatic (...) perspective, challenging the non-consequentialist stance of social marketers who refrain themselves from using these ‘questionable’ techniques although highly effective. The trade-off between ethical judgment and claimed effectiveness varies depending on whether the threats focus on the child’s physical integrity or social life. Individual characteristics such as parenthood and age also influence the relationship. All in all, it seems that people with stronger connections to the issue such as parents are more ready to compromise. These findings enrich our insights into consequentialism in social marketing campaigns, how people respond to controversial messages targeted at vulnerable group, and open new venues to social managers and public policy makers. Managerial implications and concrete advice on how to communicate with the various audiences are proposed, as well as suggestions for future studies. (shrink)

This research investigates the potential for a “fair” co-branding operation. A major corporate brand is fictitiously allied with a Fair Trade labelling organization brand. The sample for the study is composed of 540 respondents, representative of the French population. By considering commercial brands and Fair Trade labels as dissimilar in terms of customers’ perceived Fair Trade orientations, this article studies how this lack of similarity impacts perceived congruence between both entities and how prior brand attitudes and congruence influence customers’ evaluation (...) of the co-branded product. The results of this research demonstrate that: Consumer prior brand attitudes toward the partner brands influence very little customers’ evaluation. Perceived similarity of the partner brands has a strong influence toward congruence of the co-branding operation. Results also indicate that congruence has a strong influence upon customers’ evaluation. An inverted U-shaped relationship exists between perceived similarity and relevancy of the alliance, and between expectancy and customers’ evaluation. The results obtained through the test of a partial least square model, and inverted U-shaped hypothesis, represent a new insight into co-branding theory. The high discursive power of fair co-branding is a key issue: the corporate brand provides the alliance with its leading position, while the Fair Trade brand provides the ethical attribute. (shrink)

This study aims to analyze what drives and prevents the purchasing of eco-friendly products across different consumer groups and develops a conceptual model embracing the positive altruistic, positive ego-centric, and negative ego-centric antecedents of eco-friendly product purchase intention and behavior. We empirically validate the conceptual model for green and non-green consumers. Data are analyzed using structural equation modeling and multi-group analysis of the two groups. The results confirm the relevance of the determining factors in the model and show significant differences (...) in eco-friendly product purchasing patterns between green and non-green consumers. Altruistic motives are more important for green than for non-green consumers. Negative ego-centric motives affect the purchase intentions of non-green consumers more than the intentions of green consumers, whereas the impact of negative motives on behavior is stronger for green than for non-green consumers. The first contribution of this paper is the development and testing of a parsimonious model of eco-friendly products purchasing that embraces both positive and negative antecedents, which have been theoretically suggested in the past but have rarely been empirically tested together. The second contribution of this study is that it develops insight into the specific antecedents of eco-friendly products purchasing for green and non-green consumers to assess potential similarities and differences in eco-friendly products purchasing process, the hypothesized antecedents, their impact on eco-friendly products purchase intention and behavior, and the intention–behavior relation. (shrink)

The marketplace has seen significant growth in the demand for ‘ethical’ behavior, and banks are seeking to leverage customers’ perception in order to build a sustainable competitive advantage. In consequence, the concepts of corporate social responsibility and corporate reputation are of vital concern for academics and managers in terms of their potential impact on customers. This study seeks to contribute to the literature by examining the mediating role of corporate reputation on the relationship between perceived corporate social responsibility and customer (...) loyalty. The study also takes into consideration the role played by bank type in the mediation effect. To achieve this aim, a study was performed comprising 572 personal surveys in the Basque Country. The results showed that corporate reputation partially mediated the relation between corporate social responsibility and customer loyalty. On the other hand, bank type is shown not to moderate the mediation effect. The results have important implications for practitioners wishing to manage their relations with customers. (shrink)

This paper examines the question of why consumers engage in ethical consumption. The authors draw on self-affirmation theory to propose that the choice of an ethical product serves a self-restorative function. Four experiments provide support for this assertion: a self-threat increases consumers’ choice of an ethical option, even when the alternative choice is objectively superior in quantity (Study 1) and product quality (Study 2). Further, restoring self-esteem through positive feedback eliminates this increase in ethical choice (Studies 2 and 3). As (...) an additional test of the robustness of our results, a final study examined the effect of self-threat on choice in a field setting (Study 4). The findings indicate that ethical purchases are not just altruistic. They hold purposeful individual value and can help in the self-restorative process. Implications for managers making decisions regarding investment in ethical product features are discussed. (shrink)

Certification schemes and labels such as the Forest Stewardship Council, Fairtrade, and Rainforest Alliance are market-based mechanisms designed to harness consumer power in economically developed countries to influence companies to improve the economic, social and environmental welfare of producers, workers and communities in economically developing countries. However, consumers are largely not convinced that certification schemes are acting in the interests of developing countries, because consumers have different understandings of the ethics of global trade. Drawing on the results of six semi-structured (...) focus groups comprising 58 consumers and an online panel-based survey of 1014 respondents, this study tests the central assumption underlying these schemes that consumers are motivated to hold companies responsible for unethical behaviour. Most consumers hold sceptical, and at times, conflicting views in terms of how they perceive the root causes of the problems, possible solutions and ethical trade beneficiaries. This study contributes to the nascent literature on political consumerism, by highlighting an under-theorised and contradictory challenge for certification schemes. Political consumers are required to recognise the complexities of ethical trade while believing that the simple act of purchasing their labelled products is effective. Consumers also envisage a role for government regulation. (shrink)

Interest in ethical aspects associated to product acquisition and consumption is a growing trend among consumers. In this context, the concept of “product with ethical attributes” has arisen to refer to products with explicit social and environmental characteristics. However, one of the factors that most hinders the purchasing of these products is certainly price. Given the difficulty of reducing price, the question that arises is the extent to which other product attributes can attenuate the negative impact of price on perceived (...) value. We assume that the special benefits associated to this type of products are, at a different level, attenuators of the relationship between price and perceived value. Focusing on Fair Trade organic coffee, hypotheses are tested regarding survey data from 407 customers. They were interviewed in an actual purchasing scenario. The models are tested using conventional Structural Equation Models and the Latent Moderated Structural Equation method. The results obtained shed some light on a highly generalised belief that the marketing of these products can only be improved by reducing their price. However, although a price reduction could be desirable, albeit complicated in this product category, its effects could be reduced by acting on other variables such as the ethical aspects, quality and healthiness of this product category. (shrink)

Normative and historical arguments support the idea that religion potentially shapes decisions to support fair trade products. That said, the question of how religion influences organizational decision-makers to purchase fair trade products in a business-to-business context has remained largely unaddressed. This research examines the interactive effect of individual religious commitment and contextual religious salience on an individual’s willingness to pay a price premium for a fair trade product, when buying on behalf of an organization. Findings from two experimental studies reveal (...) that the effect of a decision-maker’s religious commitment on his or her willingness to pay a price premium, for the purchase of a fair trade product on behalf of an organization, is moderated by the contextual salience of religion. Specifically, when religion is highly salient in the organizational context, religious commitment is positively related to the decision-maker’s willingness to pay a premium for the fair trade product; when contextual religious salience is low, religious commitment and willingness to pay a premium are unrelated. Implications for theory and practice are presented. (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)

Fair trade has been researched extensively. However, our understanding of why consumers might be reluctant to purchase fair trade goods, and the associated potential barriers to the wider adoption of fair trade products, is incomplete. Based on data from 409 USA participants, our study demonstrates some of the psychological processes that underlie the rejection of fair trade products by conservatives. Our findings show that political conservatism affects fair trade perspective-taking and fair trade identity, and these latter two subsequently affect fair (...) trade purchase intention. The decrease in fair trade perspective-taking and fair trade identity are two psychological features that potentially shield conservatives from the appeals of fair trade products. We extend prior research on the effects of political ideology on consumption not only by demonstrating the predisposition of highly conservative consumers towards prosocial consumption, but also by showing the internal functioning of the conservative decision-making process. We further demonstrate that the effect of conservatism on fair trade purchase deliberation is moderated by age and income. Age reduces the negative effect of conservatism on fair trade perspective-taking, whereas income heightens the negative effect of conservatism on fair trade perspective-taking. Our results suggest that fair trade initiatives can target the conservative consumer segment in high-income countries with a greater chance of success when applying marketing strategies that make perspective-taking redundant and that aim at younger consumers with lower incomes. (shrink)

This article reports the results of research aimed at developing and validating a multi-item scale to measure consumers' agreement with three main justifications for not engaging in socially responsible consumption behaviours, namely the 'economic rationalist argument' founded on the idea that the costs of SRC are greater than its benefits, the 'economic development reality argument' based on the idea that ethical and moral aspirations are less important than the economic development of countries, and the 'government dependency argument' grounded in the (...) premise that government inaction demonstrates the legal character and the banality of unethical consumption behaviours. The scale items were generated on the basis of a multi-country qualitative study of consumers. The content validity of the scale was assessed in the first study. The second study was a survey of 157 Canadian adult consumers in which the threedimensional scale and other scales measuring relevant concepts were administered. The survey results showed that the 28-item resulting scale is reliable and generally behaves as one would theoretically expect. Implications for consumption ethics researchers and policy makers are proposed. (shrink)

This article is a within- and cross-country examination of the impact of fair trade certification on consumers’ evaluations and attitudes toward ethically certified products. Across three experimental studies, the authors analyze how different levels of brand familiarity and fair trade expertise impact consumer decisions. The authors study this phenomenon across markets with different social orientation cultures to analyze potential dissimilarities in the way consumers evaluate and behave toward ethically certified products. Findings suggest that fair trade certifications enhance product valuations. However, (...) this effect is especially observed for low familiar brands, once the level of fair trade expertise increases. Findings also suggest that there are individual cultural differences with respect to social and environmental labeling expertise that may account for some of the unexplained variation in choice behaviors observed across countries. Results indicate that especially in more (mature) individualistic markets (vs. collectivistic) consumer ethical behavior seems to be greatly influenced by consumers’ perceptions about the eligibility of brands using (or not) fair trade. This effect is strengthened by the significant mediating role of consumers’ ethicality perceptions on the relationship between fair trade and the willingness to pay for brands. (shrink)

Despite growing interest in ethical consumer behaviour research, ambiguity remains regarding what motivates consumers to purchase ethical products. While researchers largely attribute the growth of ethical consumerism to an increase in ethical consumer concerns and motivations, widened distribution of ethical products, such as fairtrade, questions these assumptions. A model that integrates both individual and societal values into the theory of planned behaviour is presented and empirically tested to challenge the assumption that ethical consumption is driven by ethical considerations alone. Using (...) data sourced from fairtrade shoppers across the UK, structural equation modelling suggests that fairtrade purchase intention is driven by both societal and self-interest values. This dual value pathway helps address conceptual limitations inherent in the underlying assumptions of existing ethical purchasing behaviour models and helps advance understanding of consumers’ motivation to purchase ethical products. (shrink)

This article examines student peer reporting by extending the findings from the business ethics and higher education literature. In the conceptual model we propose that reflective moral attentiveness, subjective knowledge of the code of ethics, and academic dishonesty beliefs antecede ethical judgment of peer reporting, which impacts intentions to report peers’ unethical behavior. The relationships are tested using structural equation modeling. The findings indicate that moral attentiveness significantly influences ethical judgment, which in turn affects intention. The relationship between beliefs about (...) academic dishonesty and ethical judgment is partially supported. Based on these results, suggestions for higher education institutions are provided. (shrink)

Selling fair-trade products can be problematic because of their higher price when compared with conventional alternatives. We propose that one way to solve this problem is to make consumers aware of the benefits of fair-trade. To this end, we perform three experimental studies to show that partitioned pricing (PP), which explicitly displays fair-trade as a separate price component, increases consumers’ purchase intention toward the fair-trade product. This effect can be explained by increased perceptions of price fairness, which itself is mediated (...) through transparency (but only if an additional verbal justification of the fair-trade price component is present). In the absence of such a verbal justification, recalled prices instead of transparency explain the positive effect of PP on consumers’ purchase intentions. Interestingly, boundary conditions of this effect barely exist. Our incentive-aligned study illustrates that PP is associated with a 20% increase in purchases of fair-trade products. The results demonstrate an opportunity to increase the market share of fair-trade products, which increases social welfare and sustainability. (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)

Social innovation has a great chance to overcome problems in complex environments. Individuals’ concern for environmental, social, and ethical issues has gradually grown, prompting the rise of new types of consumers, who shift their environmental concerns into action. Social entrepreneurship participants mostly act as beneficiaries and initiators in the process of social innovation. Social exchange theory explains the linkage between individual psychological factors and personal social cognitive perceptions that inspire social innovation intention. The current research framework is constructed to inspect (...) the individual mental process of psychological motivation associated with social innovation intention. The purpose is to understand the relationships between the psychological level of moral idealism, ecological concern, and prior experience on cognitive perceptions of social worth; subsequently, social worth, prosocial motivation, perspective-taking, and positive feelings are examined to discover their influence on social innovation behavioral intention. The transmitting role of social worth exercises a transformative function between participants’ psychological motivation, social cognition, and social innovation intention. The research is conducted using partial least squares analysis software. The research results reinforce our understanding of theories of individual psychological motivations on social innovation. The findings also offer some suggestions for sustainability education to social enterprise practitioners with respect to recruiting young people and continuing to generate new ideas. (shrink)