This article explores how neutralisation can explain people's lack of commitment to buying Fair Trade products, even when they identify FT as an ethical concern. It examines the theoretical tenets of neutralisation theory and critically assesses its applicability to the purchase of FT products. Exploratory research provides illustrative examples of neutralisation techniques being used in the FT consumer context. A conceptual framework and research propositions delineate the role of neutralisation in explaining the attitude-behaviour discrepancies evident in relation to consumers' FT (...) purchase behaviour, providing direction for further research that will generate new knowledge of consumers' FT purchase behaviour and other aspects of ethical consumer behaviour. (shrink)

In a sample of 615 Belgians a model for fair trade buying behaviour was developed. The impact of fair trade knowledge, general attitudes towards fair trade, attitudes towards fair trade products, and the perception of the quality and quantity of fair trade information on the reported amount of money spent on fair trade products were assessed. Fair trade knowledge, overall concern and scepticism towards fair trade, and the perception of the perceived quantity and quality of fair trade information, influence buying (...) behaviour directly and indirectly through product attitudes. Interest in fair trade products, price acceptability and product liking have a significant impact on fair trade buying behaviour. Product interest is the most important variable influencing buying behaviour. Implications for the campaigns of governments and for the marketing strategy of fair trade organisations are offered. (shrink)

Although Fair Trade has been in existence for more than 40 years, discussion in the business and business ethics literature of this unique trading and campaigning movement between Southern producers and Northern buyers and consumers has been limited. This paper seeks to redress this deficit by providing a description of the characteristics of Fair Trade, including definitional issues, market size and segmentation and the key organizations. It discusses Fair Trade from Southern producer and Northern trader and consumer perspectives and highlights (...) the key issues that currently face the Fair Trade movement. It then identifies an initial research agenda to be followed up in subsequent papers. (shrink)

This article presents an impact assessment framework that allows for the evaluation of positive and negative local-level impacts that have resulted from "responsible trade" interventions such as fair trade and ethical trade. The framework investigates impact relating to (1) livelihood impacts on primary stakeholders; (2) socio-economic impacts on communities; (3) organizational impacts; (4) environmental impacts; (5) policies and institutional impacts; and (6) future prospects. It identifies relevant local-level stakeholders and facilitates the analysis of conflicting interests. The framework was developed in (...) the context of, and is applied in this article to, the fair trade coffee industry in northern Nicaragua. It was designed, however, so that it can be applied across commodity sectors and responsible trade initiatives. It is able to do this by accommodating for differences in the social, environmental, political and institutional contexts of different areas, and by taking into account the distinct nature of an initiative's overall objectives, different levels of intervention, and the full range of stakeholders involved. (shrink)

After nearly 20 years of work by activists, fair trade, a movement establishing alternative trading organizations to ensure minimal returns, safe working conditions, and environmentally sustainable production, is now gaining steam, with increasing awareness and availability across a variety of products. However, this article addresses several major remaining challenges: (a) a lack of agreement about what fair trade really means and how it should be certified; (b) uneven awareness and availability across different areas, with marked differences between some parts of (...) Europe and North America that reflect more fundamental debates about distribution; (c) larger questions about the extent of the potential contribution of fair trade to development under the current system, including limitations on the number and types of workers affected and the fair trade focus on commodity goods. (shrink)

There has been tremendous growth in the sales of certified fair trade products since the introduction of the first of these goods in the Netherlands in 1988. Many would argue that this rapid growth has been due in large part to the increasing involvement of corporations. Still, participation by corporations in fair trade has not been welcomed by all. The basic point of contention is that, while corporate participation has the potential to rapidly extend the market for fair trade goods, (...) it threatens key aspects of what many see as the original vision of fair trade – most notably a primary concern for the plight of small producers and the goal of developing an alternative approach to trade and development – and may even be undermining its long-term survival. The primary purpose of this article is to explore the normative issues involved in corporate participation in fair trade. In order to do that, however, it first provides a positive analysis of how corporations are actually involved in fair trade. In order to achieve both of these ends, the article draws upon global value chain analysis. (shrink)

This paper focuses on the environmental and ethical attributes of food products and their production processes. These two aspects have been recently recognized and are becoming increasingly important in terms of signaling and of consumer perception. There are two relevant thematic domains: environmental and social. Within each domain there are two movements. Hence the paper first presents the four movements that have brought to the fore new aspects of food product quality, to wit: (1) aspects of environmental ethics (organic agriculture (...) and integrated agriculture), and (2) social ethics (fair trade and ethical trade). Next, it describes how the actors in the movements (producers, retailers, NGOs, and governments) are organized and how consumers perceive each of the movements. From the perspective of the actors in the movements themselves, the movements are grouped into two “actors’ philosophies.” The first is a “radical” philosophy (the organic production and fair trade movements that arose in radical opposition to conventional agriculture or unfair trade relations), and the second is a “reformist” philosophy (the integrated agriculture and ethical trade movements that arose as efforts to modify but not radically change conventional agriculture). From the point of view of consumers, the classification of the movements is based on perceptions of the “domain” of the movements. That is, consumers tend to perceive the organic production movement and the integrated agricultural movement as a single group because they both deal with the environment. By contrast, consumers tend to group the fair trade movement and the ethical trade movement together because they both deal essentially with social ethics. Recently, key players such as large retailers and agribusinesses have adopted as part of their overall quality assurance programs both environmental and ethical attributes. Their involvement in and adoption of the goals of the movements have, however, generated tensions and conflicts. This is particularly true within the radical movements, because of concerns of cooptation. Finally, the paper identifies challenges faced by those promoting food products with environmental and social/ethical attributes as they attempt to communicate coherent signals to consumers at this crucial moment in the emergence of a mass market for these products. (shrink)

This article analyses the Fair Trade sector as a “mixed-form market,” i.e., a market in which different types of players (in this case, nonprofit, co-operative and for-profit organizations) coexist and compete. The purposes of this article are (1) to understand the factors that have led Fair Trade to become a mixed-form market and (2) to propose some trails to understand the market dynamics that result from the interactions between the different types of players. We start by defining briefly Fair Trade, (...) its different dimensions (including the “fair” quality of the products) and its organizational landscape, focusing on the distinction between the pioneer “Alternative Trading Organizations” and the second-mover companies. Then, we recall the theoretical emergence factors for each type of organization (nonprofit, co-operative and for-profit) and apply these emergence factors to the context of Fair Trade. This analysis allows us to capture the specificities of each type of operator with regard to Fair Trade and, thus, to have a better understanding of the dynamics in the sector. Such dynamics includes competition, but also conflict and partnership. Our analysis includes elements on ethical imitation, consumers’ behaviors, effects on welfare and the role of the government. (shrink)

In a sample of 615 Belgians a model for fair trade buying behaviour was developed. The impact of fair trade knowledge, general attitudes towards fair trade, attitudes towards fair trade products, and the perception of the quality and quantity of fair trade information on the reported amount of money spent on fair trade products were assessed. Fair trade knowledge, overall concern and scepticism towards fair trade, and the perception of the perceived quantity and quality of fair trade information, influence buying (...) behaviour directly and indirectly through product attitudes. Interest in fair trade products, price acceptability and product liking have a significant impact on fair trade buying behaviour. Product interest is the most important variable influencing buying behaviour. Implications for the campaigns of governments and for the marketing strategy of fair trade organisations are offered. (shrink)