The palette that stands out: Color compositions of online curated visual UGC that attracts higher consumer interaction

Photos posted by consumers on social media, like Instagram, often include brands. Despite the substantial increase in such photos, there have been few investigations into how prospective consumers respond to this visual UGC. We begin to address this gap by investigating the role of the color compositions of visual UGC in consumer response. Consumer response is operationalized as the click-rate for a photo by a consumer when it is curated on the online site of the brand that it includes. This is the proportion of visitors who click on it for an enlarged view. Composition is operationalized as the specific combination of levels of the photo’s color attributes: hue, chroma, and brightness. Our goal is to identify the color compositions of photos, ceteris paribus, which get more clicks when they are curated. Data for our investigation comes from clicks over a one-year period on photos posted on Instagram curated by fifteen brands in six product categories on their sites. We assume Beta distributed proportions and calibrate a Beta regression using MCMC methods for our investigation.We find that click-rates are higher for photos that include higher proportions of green and lower proportions of red and cyan. We also find that chroma of red and blue are higher in photos with higher click-rates. Findings from our research led the sponsoring firm to modify its proprietary curation algorithm for client brands. The firm informed us that, post-modification, there has been a substantial increase in click-rates of curated photos for brands in several categories.     

Who Buys Overpackaged Grocery Products and Why? Understanding Consumers’ Reactions to Overpackaging in the Food Sector

While most studies dealing with waste reduction at the consumer level focus on recycling, this paper rather concentrates on precycling strategies and purchasing behaviors in order to understand how to promote waste reduction at the source. More specifically, the purpose of this work is to grasp consumers’ perceptions of overpackaging and understand the mechanisms underlying their choice of overpackaged versus non-overpackaged food products. Based on the different themes that emerged from a qualitative study (study 1, n = 11), a quantitative research was conducted among French interviewees (study 2, n = 327) in order to identify relevant groups of consumers. Five profiles emerged from the cluster analysis: the supporters, the self-sacrificing, the detractors, the indifferent, and the self-centered. Finally, an experiment was conducted (study 3, n = 808) that highlights the influence of range positioning and salience of non-overpackaging on consumer choice. Implications for public policy makers and companies are discussed.     

A Temporary Federal Discount Program to Stimulate Consumer Spending

In this paper, we evaluate a new proposal to stimulate recovery from the current recession: a temporary federal price discount on consumer goods. An attractive feature of the temporary federal discount program is that it gives consumers a price incentive to purchase more rather than simply giving consumers more disposable income, which they might choose to either spend or to save. According to our simulations with the Fair macro-econometric model, a temporary 20 percent federal discount on all consumer goods in a severe recession would significantly reduce the unemployment rate while causing only a small increase in federal debt as a percentage of GDP.     

An Investigation of the Yield Shift Theory of Satisfaction Using Field Data from the United States and the Netherlands

Yield shift theory (YST) is a relatively new theory that offers logic to predict and explain satisfaction effects for which prior theories could not fully account. We investigate the degree to which the propositions of YST are consistent with observed outcomes in a study of satisfaction with technology-supported collaboration among 322 knowledge workers from the Netherlands and 300 from the USA. Participants worked in natural groups on real tasks assigned in the course of their professional duties. All organizations used professional facilitators to guide the groups through complex collaborative tasks. Facilitators distributed a brief survey to measure the dependent variables satisfaction-with-outcome and satisfaction-with-process and the independent variables changes-in-utility and changes-in-likelihood. We validated the instrument in Dutch and English. Findings were consistent with the YST proposition that satisfaction responses are a function in shifts-in-yield for an individual’s set of active goals. We also observed that satisfaction responses also varied by national culture—on average, Netherlanders reported satisfaction responses of lower magnitude than did US participants. We discuss implications of YST for researchers and practitioners, and use its logic to reason why, in context of workplace collaboration, there may be differences in satisfaction responses by national culture.     

On the Credibility Determinants of a Quality Label: a Quasi-Natural Experiment Using the Example of <Emphasis Type="Italic">Stiftung Warentest</Emphasis>

In 2013, Stiftung Warentest, which is one of the most important consumer organizations in Germany, tested hazelnut chocolate for their leading magazine called test. The hazelnut chocolate of Ritter Sport, which is a high-quality producer of chocolate in Germany, failed the test and received the grade “unsatisfactory.” Stiftung Warentest accused Ritter Sport of labelling an artificial flavouring as a natural flavouring. Ritter Sport rejected the accusation, went to court, and won the trial. Stiftung Warentest had to withdraw the issue in question of test magazine. The affair received broad media coverage from December 2013 to September 2014. Using the case Ritter Sport versus Stiftung Warentest, it is analysed whether negative headlines really undermine the credibility of a quality label by examining Stiftung Warentest and their quality label called test. In addition, it is examined what can be done to restore or, more generally, increase the credibility of a quality label. Based on a quasi-natural experiment, it is found that the negative headlines regarding Stiftung Warentest have undermined the credibility of the test label. It is also found that the credibility of the test label can be increased by providing reference values to the tests, strengthening the independence of Stiftung Warentest, and using laboratory methods for the tests. For the most part, the same holds true for any quality label. High-quality producers, quality-conscious consumers, and the awarding organization of the quality label can benefit from an increased credibility of a quality label.     

The timing of version releases: A dynamic duopoly model

In many R&D-intensive consumer product categories, firms deliver value to consumers through the quality enhancements provided by new and improved versions of existing products. Therefore, important marketing decisions relate to a firm’s strategy for developing quality enhancements and releasing new versions. This paper explores this type of product development using a dynamic duopoly model that endogenizes each firm’s decisions over how much to invest in R&D and when to release new versions. Specifically, I explore how two key industry fundamentals—the degree of horizontal differentiation and the cost of releasing a new version—affect firms’ product development strategies and, accordingly, the evolution of industry structure. I find that varying the degree of horizontal differentiation gives rise to three distinctly different types of competitive dynamics: preemption races when the degree of horizontal differentiation is low; phases of accommodation when it is moderate; and asymmetric R&D wars when it is high. Furthermore, I find that an increase in the cost of releasing a new version can induce firms to compete more aggressively for the lead and, in doing so, release new versions more frequently despite the higher cost.     

Supply Chain Transparency as a Consumer or Corporate Tool: The Case of Nudie Jeans Co

Outsourcing has led both to the embedding of questionable sustainability practices in opaque supply chains and to anti-sweatshop challenges demanding more transparent supply chains. Previous research has argued that supply chain transparency can be both a consumer tool empowering consumers to pressure disclosing firms to improve sustainability conditions and a corporate tool for increasing revenues. Based on a study of the transparency project of Swedish company Nudie Jeans, the authors demonstrate that consumers do not leverage transparency but that transparency improves consumer willingness to buy. In doing this, the authors contribute to the literature in two important ways. First, the authors provide one of the first, if not the first, studies of whether consumers in practice leverage increased supply chain transparency, challenging the previous research claim that supply chain transparency is a useful consumer tool. Second, the authors move beyond studies of purchasing intentions and willingness to buy in experimental settings and confirm that supply chain transparency is a useful corporate tool in practice. The authors conclude by discussing the policy implications of companies being able to use transparency to increase sales without subjecting themselves to increased consumer pressure.     

The time-harried shopper: Exploring the differences between maximizers and satisficers

Schwartz and his colleagues have proposed individual differences in consumer decision goals. Maximizers are those who always strive to make the best possible decision, whereas satisficers are those who are usually willing to settle for a “good enough” option. In this study, we explore the influence of the maximizing trait in situations where consumers have to make quick purchase decisions. The context for our empirical study is online gift purchases made under a time constraint. The results support our predictions that maximizers (vs. satisficers) engage in more prepurchase browsing behavior and also perceive more decision time pressure. Furthermore, these effects are moderated by the size of the available choice assortment. The results also show that maximizers are more likely to change their initial time-constrained choices if given the opportunity to do so. We discuss the implications of the research for the study of individual differences in consumer behavior and also for customizing retail sales and Internet marketing tactics based on buyer segmentation.     

Determinants of Consumer Attributions of Corporate Social Responsibility

Prior research has found attributions to mediate the relationship between the elements of corporate social responsibility (CSR) activities and consumer responses to firms; however, the question of what variables determine consumer attributions of CSR remains partially unaddressed. This article analyzes why consumers make attributions of CSR that are either positive (values-driven or strategic motives), or negative (stakeholder-driven or egoistic motives). The results obtained from two empirical studies (n = 197, n = 222) indicate that company–cause fit, corporate ability, and interpersonal trust have a positive influence on the motives that consumers attribute to CSR, whereas corporate hypocrisy has a negative effect. This research contributes to our understanding of the psychological mechanisms underlying impactful consumer judgments and provides guidance for organizations in responding to such evaluations.     

When the decision ball keeps rolling: An investigation of the Sisyphus effect among maximizing consumers

Maximizing and satisficing consumers are distinguished by the quest for perfection (the former) versus the acceptance of good-enough options (the latter). The emerging literature in this field leans toward a view of maximizers as consumers who take into account as much information as possible in order to achieve the best purchase outcome. Our article explores the paradoxical phenomenon that maximizers minimize the value of information resulting from their past experiences; i.e., their previous purchase decisions. As a modern Sisyphus rolling his boulder back up the hill after every decision, a maximizer starts anew for each decision that is undertaken even if a similar process has been undertaken in the past; the very quest for perfection makes a maximizer minimize the value of past decisions. Furthermore, the generalizability of this finding is examined for different levels of purchase involvement. Results from two studies, including a probabilistic sample drawn from the general US population, show that past retail store performance becomes a weaker predictor of repurchase intention as maximization tendencies increase among consumers. In the same vein, regret has less negative impact on maximizers?? behavioral intention than on satisficers??. In addition, when involvement increases through price, satisficers start to behave like maximizers as past service experiences becomes less strongly related to their intention. The support found for the Sisyphus Effect is discussed in light of the current theorization of Schwartz and colleagues regarding maximizing consumers. Finally, suggestions for further research are developed.     

Consumer Protection Law in Ethiopia: The Normative Regime and the Way Forward

The 1960 Civil Code of Ethiopia and other laws have been providing a certain level of protection to consumers until the enactment of laws – in 2010 and 2014 – that expressly deal with consumer protection. This article examines consumer protection in Ethiopia with prime attention to the Trade Competition and Consumer Protection Proclamation No. 813/2013 (enacted in 2014). The social context which prompted the enactment of specific consumer laws in Ethiopia, sources that have influenced Ethiopia’s consumer law regime, rights of consumers, obligations of business persons, regulatory enforcement schemes and some features of consumer protection in digitalized services are highlighted. Moreover, the article briefly deals with the way forward regarding consumer enablement as a path to the effective implementation of consumer rights to choice, safety, information and redress. It is argued that the articulation of specific consumer laws can hardly be implemented unless consumers are adequately empowered to secure their rights and entitlements through effective redress which should include public interest litigation, class action and enhanced civil society engagement.     

Understanding the Interplay Among Regulatory Self-Efficacy,Moral Disengagement,and Academic Cheating Behaviour During Vocational Education: A Three-Wave Study

This study uses a quasi-experimental design to investigate what happens to individual socially responsible attitudes when they are exposed to group dynamics. Findings show that group engagement increases individual attitudes toward social responsibility. We also found that individuals with low attitudes toward social responsibility are more likely to change their opinions when group members show more positive attitudes toward social responsibility. Conversely, individuals with high attitudes do not change much, independent of group characteristics. To better analyze the effect of group dynamics, the study proposes to split social responsibility into relative and absolute components. Findings show that relative social responsibility is correlated with but different from absolute social responsibility although the latter is more susceptible than the former to group dynamics.     

South African Complaint Forums in the Retail Industry: a Survey of Literature and Some Lessons from the EU

South African consumers receiving poor service in the retail industry want to complain, but have limited or no knowledge of the available consumer complaint forums. The consumer complaint forums in the retail industry can generally be divided into those established in terms of the Consumer Protection Act 68 of 2008 and other complaint forums. Before consumers can decide which forum they want to lodge their complaint with, they first need to identify possible complaint forums and then measure each forum according to certain factors. This study made a unique contribution by identifying possible factors which a consumer can refer to in this regard. In developing these factors, guidance was taken from the EU Consumer ADR Directive and the ODR Regulation. The factors suggested in this study included the following: the cost of and time spent on lodging a complaint, the effective functioning of the complaint forum, transparency in the operation of the complaint forum, the relief that a consumer may obtain from the complaint forum, and the user-friendliness of the complaint process. The National Consumer Tribunal, the National Consumer Commission, the Consumer Goods and Services Ombud, and ordinary civil courts were assessed using the above factors. A limitation of this study was that not all complaint forums could be assessed in terms of these factors, due to the lack of publicly available information. This study found that even though South Africans now have more complaint forums at their disposal, this does not translate into positive outcomes for aggrieved consumers. The strength of these forums lies in the buy-in received from both consumers and retailers. True consumer power arises through collective action after careful investigation, and resolving individual complaints may not result in the change of consumer policy which is actually what is required in the long run.     

A Falling of the Veils: Turning Points and Momentous Turning Points in Leadership and the Creation of CSR

Contemporary organizations often reciprocate to society for using resources and for affecting stakeholders by engaging in corporate social responsibility (CSR). It has been shown that CSR has a positive impact on employee attitudes. However, not all employees may react equally strongly to CSR practices. Based on socio-emotional selectivity theory (Carstensen in Science 312:1913–1915, 2006), we contend that the effect of CSR on employee satisfaction will be more pronounced for older than for younger employees, because CSR practices address those emotional needs and goals that are prioritized when people’s future time perspective decreases. In one multi-source field study (N = 143) and one experimental study (N = 500), we demonstrate that CSR indeed has a stronger positive effect on employee satisfaction for older relative to younger employees. Accordingly, engaging in CSR can be an attractive tool for organizations that aim to keep their aging workforce satisfied with their job.     

Decision-Making Strategies for the Choice of Energy-friendly Products

Although energy efficiency of many products has been improving constantly, residential energy consumption is not decreasing as much as desired. Therefore, the goal of the European Union (EU) and many other countries is to promote energy-friendly product choices (i.e., choice of products with low energy consumption). In a purchase situation, consumers are confronted with a wide range of energy-related information that can influence the decision-making process. Understanding how consumers reach a decision based on the information provided and identifying decision-making strategies that are beneficial or destructive in terms of energy friendliness is crucial for the improvement of existing energy-policy measures and, consequently, for the successful achievement of target energy saving goals. This paper provides insights from an exploratory eye-tracking study (N?=?59) investigating consumers’ decision-making process. Participants were required to identify the most energy-friendly television (i.e., the television with lowest energy consumption). Cluster analysis revealed three consumer segments with different decision-making strategies: the energy-directed lexicographic, unsystematic lexicographic, and unsystematic exhaustive strategies. The energy-directed lexicographic strategy resulted in 60% optimal choices in terms of energy friendliness, unsystematic lexicographic in 33%, and unsystematic exhaustive in 38%. No decision-making strategy resulted in 100% optimal choices in terms of energy friendliness. Findings emphasize that lexicographic strategies can successfully identify energy-friendly products when the correct information (i.e., actual energy consumption) is used. However, a lexicographic strategy can be very misleading and result in non-optimal choices in terms of energy friendliness when it is based on ambiguous information (i.e., energy efficiency information) that does not enable a conclusive decision. Further, this paper discusses implications for policy-makers and marketers for the promotion of energy-friendly consumer behaviour.     

Flirting with the enemy: online competitor referral and entry-deterrence

Internet retailers often compete fiercely for consumers through expensive marketing efforts like search engine advertising, online coupons and a variety of special deals. Against this background, it is somewhat puzzling that many online retailers have recently begun referring their website visitors to their direct competitors. In this paper, using an analytical model, we examine this counterintuitive practice and posit that an entry deterrence motive can potentially explain this marketplace puzzle. Specifically, we develop a model where two incumbents compete for consumers” business while facing a potential entrant who is deciding whether to enter the market. In addition to setting the price, each incumbent firm could potentially display a referral link to its direct competitor. Our analysis reveals that when confronted with a potential entry, an incumbent may refer consumers to its competitor, intensifying the market competition that could result in shutting off the entrant. Furthermore, we show that when referral efficiency is exogenous, it is possible that in equilibrium only one incumbent refers its customers to competitor (i.e., one-way referral) or both incumbents refer their customers to each other (i.e, two-way referral). When referral efficiency is endogenous, the ex-ante symmetric incumbents may choose asymmetric referral efficiencies ex-post. We extend the model in a number of directions including making the entrant share endogenous and allowing incumbents to be asymmetric. Overall, our results indicate that firms may be motivated by entry deterrence to voluntarily refer consumers to their direct competitors even when they are paid nothing for the referral.     

From Bounded Morality to Consumer Social Responsibility: A Transdisciplinary Approach to Socially Responsible Consumption and Its Obstacles

Corporate social responsibility has been intensively discussed in business ethics literature, whereas the social responsibility of private consumers appears to be less researched. However, there is also a growing interest from business ethicists and other scholars in the field of consumer social responsibility (ConSR). Nevertheless, previous discussions of ConSR reveal the need for a viable conceptual basis for understanding the social responsibility of consumers in an increasingly globalized market economy. Moreover, evolutionary aspects of human morality seem to have been neglected despite the fact that private consumers are undoubtedly human beings. In addition to that, empirical studies suggest that many consumers believe themselves to be responsible but do not act according to their alleged values or attitudes. This raises the question of what deters them from doing so. Therefore, the contribution of this conceptual paper is threefold: we (i) (re-)conceptualize ConSR in terms of a combination of a Max Weber-inspired approach (social action and the ethic of responsibility) with the social connection approach to shared responsibility proposed by Iris Marion Young; (ii) shed light on the previously neglected implications of an evolutionarily induced bounded morality for ConSR, and (iii) identify potential obstacles to socially responsible consumption, particularly against the backdrop of shared social responsibility and bounded morality. In this latter respect, the paper focuses specifically on the obstacles of low moral intensity, moral stupefaction, informational complexity, and the lack of perceived consumer effectiveness. In sum, the paper advances knowledge in the field of ConSR by using a transdisciplinary, literature-based approach.     

Age and entrepreneurship: nuances from entrepreneur types and generation effects

The literature on the relationship between age and entrepreneurship has been inconclusive. This study for the first time examines this relationship by extending the occupational choice literature to eight entrepreneur types and four generational modification effects in the USA. Multilevel mixed-effect logistic regression models are estimated to examine the age effects in entrepreneur type propensities. Generational modification effects are compared for the same ages across neighboring generations by hierarchical age-period-cohort (HAPC) models. We find that entrepreneurial propensity rises with age until around 80. The propensity of novice (versus non-novice) and unincorporated (versus incorporated) entrepreneurs has a U-shaped age trend dipping around age 60, while the propensity of full-time (versus part-time) declines since age 30s. The propensity of incorporated (versus unincorporated) entrepreneurs declines from ages 44 to 51 for Gen-Xers, but not for Boomers; this propensity also declines faster for Boomers than for Traditionalists from ages 63 to 70.     

Guanxi with Supervisor and Counterproductive Work Behavior: The Mediating Role of Job Satisfaction

This study aims to explore the role of informal leader–member interactions in managing counterproductive work behavior (CWB) in a non-Western context. We propose that under the Chinese background, guanxi with supervisor increases employees’ job satisfaction, which further reduces their CWB. Partial least square structural equation modeling with a sample of 272 Chinese employees confirms this mediating effect of job satisfaction. However, we also find that job satisfaction passes the effect of guanxi with supervisor on to CWB targeting people, but not to CWB targeting the organization. Implications for research on CWB and guanxi with supervisor are discussed.