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2018 Management Decision
This study explores corporate strategic orientations as important drivers of firms’ philanthropic engagement. Specifically, the purpose of this paper is to empirically examine the relationship between two broad corporate strategic orientations – domain offense (DO) and domain abandonment (DA) strategies – and the level of philanthropic engagement.Design/methodology/approachThe authors propose that firms pursuing aggressive DO strategies are more likely to invest in corporate philanthropy as part of their market expansion efforts. On the contrary, firms pursuing DA strategies are less likely to invest in corporate philanthropy because of decreased slack resources, rather conservative external stakeholder expectations as well as a firm’s conscious decision to disengage with external stakeholders. Hierarchical multiple regression analysis was conducted using data from 122 publicly traded US corporations from 2008 to 2013.FindingsThe findings provided empirical support for a significant positive relationship between DO strategies (acquisition and strategic alliance intensity) and firms’ philanthropic engagement. However, the relationship between DA strategies (divestiture and plant/facility closing) and firms’ philanthropic engagement was not found to be significant. Overall, the findings indicated that philanthropic engagements along with carefully crafted DO strategies help firms expand their market presence.Practical implicationsOrganizational leaders that systematically target philanthropic causes that effectively converge with important corporate strategies do benefit in the long run by achieving better brand equity and overall enhanced corporate reputation.Originality/valueBy empirically investigating the relationship between corporate strategic orientations and philanthropic engagement, this study contributes to the on-going scholarly discussion on the link between corporate strategies and philanthropic engagements.
Lin, Yu-Cheng; Huang, Chiung-Yao; Wei, Yu-Shan
2018 Management Decision
The purpose of this paper is to examine the ethical investment willingness decision-making process to understand how investors evaluate corporate social responsibility (CSR) actions.Design/methodology/approachData were collected through a survey of 298 individual investors and analyzed using structural equation modeling.FindingsResults reveal that perfectionist decision-making style is positively related to perceived moral intensity, substitutability of financial returns, and ethical investment willingness. In addition, perceived moral intensity and substitutability of financial returns are positively related to ethical investment willingness. Finally, perceived moral intensity is positively related to substitutability of financial returns, and a two-factor causal mediation model is supported.Research limitations/implicationsThe limitation of this study was that the pre-tests and sampling methods required all participants to have investing experience; however, procurement of trading information for each investor was impossible; thus, actual investment behaviors were undetermined. This study shed light on the mediating roles of perceived moral intensity and the substitutability of financial returns. Future studies can further investigate the factors influencing perceived moral intensity and the substitutability of financial returns.Practical implicationsFuture ethical investment education can focus on cultivate the ability to distinguish ethical investments and change ethical investment willingness into actual investment behavior.Originality/valueUnderstanding the relationship between these variables can help understand why ethical investment willingness varies among investors and how the traditional financial theory investment decision model should be revised as, internationally, more people have begun to observe CSR and sustainable development.
Lin, Xue; Ho, Christabel Man-Fong; Shen, Geoffrey Qiping
2018 Management Decision
The purpose of this paper is to describe the development of a collaborative framework for balancing stakeholder power and social responsibilities in construction projects. To resolve the problems of unclear responsibility that is common in construction projects, the framework is designed to help stakeholders identify their roles in various issues and to facilitate collaborative endeavours by elucidating their responsibilities.Design/methodology/approachThe framework is designed using a scientific approach based on a problem-solution paradigm. It is developed as a model that would provide strategies for responding to various issues and that would also balance stakeholder responsibilities with power. A case study is conducted to validate the framework in an ongoing real estate project in China.FindingsThe effectiveness of the framework is validated from the case study, which found that the engagement of stakeholders is improved by adopting the framework. It is also found that use of the framework led to enhancement of communication and trust, and better collaboration through a collective form of responsibility.Originality/valueThe study provides valuable insights into stakeholder collaboration on social responsibility issues in construction projects. The dynamic nature of stakeholders is addressed, and an easy-to-follow framework is offered for use in construction projects.
Plewnia, Frederik; Guenther, Edeltraud
2018 Management Decision
In order to guide sustainability research on the sharing economy, the purpose of this paper is to develop a comprehensive framework that captures the wide range of activities and business models that are considered to be part of the sharing economy.Design/methodology/approachBased on a systematic literature review and a content analysis, existing typologies are identified and analyzed for their conceptual intersections. Finally, categorizations from 43 documents are integrated into one framework.FindingsFour main dimensions are identified as being used in different contexts to characterize sharing systems and were combined to form one comprehensive typology: shared good or service, market structure, market orientation, and industry sector.Originality/valueThe proposed typology is able to distinguish sharing activities based on their similarities and differences. Social, economic, and communicational avenues for the term “sharing” are merged into a conceptual foundation of the sharing economy. This enables researchers, practitioners, and policy makers to position their projects in the broad field of sharing. By discussing inherent tensions with regard to sustainability of the sharing economy, the offered categorizations can help to guide future research and policy intervention. Last but not least, professional managers should find valuable ideas for new business models.
Hasanzade, Vüsal; Osburg, Victoria-Sophie; Toporowski, Waldemar
2018 Management Decision
Despite the existence of various approaches for promoting ethical consumption, it remains a challenge to determine which ethical product features are actually decision relevant for consumers. Based on the assumption that values influence behavior across a range of situations, the purpose of this paper is to explore consumers preferences for product information items that address underlying motivators (i.e. concerns about the environment, animal welfare, other humans, price). Information preferences are also determined for different consumer segments separately, enabling one to target consumer groups with specific decision-relevant information.Design/methodology/approachA German online survey was conducted with mainly young consumers. The survey used a choice-based conjoint analysis (CBCA) with the relevant product information items chosen based on an analysis of the attributes of dairy products and the guidelines for eco- and fair trade labels. The identified items were assigned to the ethical criteria of animal welfare, environmental protection, and labor and human rights. These criteria, along with price and country of origin, represent the attributes of the CBCA.FindingsThe results indicate that information about animal welfare increases consumer choice the most, followed by information about labor and human rights, and environmental protection. Three identified segments differ with respect to their decision-relevant product information: ethically motivated consumers (53.8 percent), price oriented consumers (12 percent), and price-quality oriented consumers (34.2 percent).Originality/valueThis study contributes to a better understanding of how ethical product information can most effectively be communicated to consumers, particularly for dairy products. The results highlight the need to carefully select ethical product information based on the target consumer segment in order to promote ethical consumption.
Ibrahim, Hafedh; Al-Ajlouni, Mahmoud Mohammad Q.
2018 Management Decision
While there has been a great deal of research to distinguish the factors that promote the adoption of sustainable consumption, however there has been a very little attention given to the contribution of justice, coping appraisal, and psychological distance. The purpose of this paper is to explore the potential role of deontic justice, protection motivation, and construal level theories to elucidate the green purchase intention.Design/methodology/approachData were collected from 471 participants in a laboratory experiment. Then, structural equation modeling was carried out to analyze the data.FindingsProtection motivation theory is valuable to apply specifically since it introduces the concept of coping appraisal. The findings demonstrate that deontic justice theory (DJT) is a suitable framework that can be employed to shed more light on sustainable consumption. The study shows that consumer can conceptualize a green product at different levels of concreteness or abstraction.Originality/valueThis study is a pioneering effort to look at sustainable consumption within the context of DJT. It departs from the more traditional research by repositioning moral obligation as the primary driver of green purchase intention and by elucidating when green purchase intention is elevated in investigating the moderating role of mindset.
2018 Management Decision
The purpose of this paper is to examine the historical position of the ethical consumer as a driver of change within the Fair Trade movement. Fair Trade was originally envisaged as a model of South-North trade; however, with Fair Trade labels now available to consumers in India, Brazil, South Africa and Kenya, the geographies of production and consumption appear increasingly fluid and dynamic.Design/methodology/approachUsing a historical comparative case study approach this paper draws on the records and archives from eight leading Fair Trade organisations based in the UK.FindingsThe paper develops an exploratory framework based on an assessment of Fair Trade’s theory(ies) of change and the role of the ethical consumer as an agent of change. Four consumer narratives are identified: simpler living and moral action; co-operation and solidarity; consumer demand and choice; and citizen-consumers. The paper concludes by considering the implications for globalising the concept of the “citizen-consumer” and the (re)politicisation of Fair Trade consumption.Research limitations/implicationsPrimary data collection was mainly based on UK organisations. Additional comparative studies could develop an understanding of the context and geographies of Fair Trade practices.Practical implicationsNew and emerging Fair Trade markets may offer valuable areas of further study.Social implicationsIncreased understanding of the drivers of social change may lead to improved decision-making by Fair Trade organisations and policy-makers.Originality/valueThe paper contributes to the development and understanding of Fair Trade’s theory of change model by offering an historical dimension that is absent from the majority of existing studies.
Papaoikonomou, Eleni; Valor, Carmen; Ginieis, Matias
2018 Management Decision
Although the role of information has been previously studied in the ethical consumer literature, practices related to information searches and interpretation have not been fully examined in relation to ethical consumption. The purpose of this paper is to explore the search and use of information by ethically oriented consumers in order to understand the problems involved in this process, and how ethical consumers address them by adopting a number of practices.Design/methodology/approachUsing a qualitative approach and diaries, the paper explores how consumers carry out their informational search and interpretation over an 11-week period.FindingsFirst, insights are provided about the specifics of information search and the contexts, timing and use of information. Second, the information management practices used by participants to navigate the problems they encounter are identified. These practices are discussed in relation to the maximizing vs optimizing approach adopted by the participants.Practical implicationsNew technologies, such as mobile applications and geo-localization, could overcome some of the problems inherent to information searches identified in this study. The use of social networks may also prove particularly interesting for companies and NGOs that target ethically oriented consumers.Originality/valueInformation search and the use and interpretation of information are part of the efforts undertaken by ethical consumers, but they have not been the focus of past research. This study provides empirical evidence on consumer practices employed to circumvent the problems found in a context of information asymmetries, and the gradual development of consumer skills in relation to ethical information searches and management. It shows how information search and management shapes the practice of ethical consumption.
Sudbury-Riley, Lynn; Kohlbacher, Florian
2018 Management Decision
The purpose of this paper is to examine a form of anti-consumption termed moral avoidance.Design/methodology/approachThe study builds and tests a model of moral avoidance, using a sample (n=457) of adults aged 50-94 years.FindingsTwo distinct forms of this type of anti-consumption emerged, one based on exploitation of eco-systems and one on exploitation of humans. Ecology concerns and perceived consumer effectiveness are significant antecedents to both forms, while ethical ideology also impacts anti-consumption for social reasons. Greater numbers practice this form of anti-consumption for social reasons than for ecology reasons.Practical implicationsThe study uncovers new underlying reasons why people practice moral avoidance and in so doing guides managers in their targeting and decision making.Originality/valueThe study is the first to demonstrate that this form of anti-consumption has two different perspectives: planet and people. Moreover, older adults are important ethical consumers, but no previous study has explored them from an anti-consumption perspective.
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