A Cross-National Investigation
on How Ethical Consumers Build Loyalty Toward Fair Trade Brands |
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Authors: | Gwang-Suk Kim Grace Y Lee Kiwan Park |
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Institution: | 1.Korea Energy Economics Institute (KEEI),Seoul,Korea;2.Seoul National University,Seoul,Korea |
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Abstract: | 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. |
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Keywords: | |
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