The Impact of the Motivation for Status on Consumers’ Perceptions of Retailer Sustainability: The Moderating Impact of Collectivism and Materialism

Purpose The purpose of the study is to investigate consumers’ perceptions of status motivations on retailers’ sustainability efforts and whether collectivism and materialism moderate this relationship. Design/methodology/approach A quantitative research methodology using survey data was used. Data were collected by administering questionnaires from millennial respondents (n = 386) from the USA and Turkey. Findings The results show that cultural value (collectivism) and materialism can serve as moderators of the effects of status motivation and sustainability. The findings indicate that the link between status motivation and sustainability perceptions (both environmental and social sustainability) is stronger for more collectivist consumers. In terms of materialism, while it did not moderate the relationship between status motivation and perceptions of environmental sustainability, it did moderate the relationship between status motivation and perceptions of social sustainability, particularly the uniqueness aspect of materialism. Research limitations/implications The stronger link between status motivation and both environmental and social sustainability for collectivists suggests that the bandwagon effect may be impacting their need for status. The stronger link between status motivation and social sustainability for those more materialistic suggests that their need for status may be more impacted by a snob effect as they want to appear unique. The use of college students is a limitation of this study, and future research needs to explore a wider range of age groups to determine if there are generational differences. Additionally, future research could examine other cultural dimensions such as power distance and masculinity versus femininity. Practical implications Findings from this research provide insights for retailers, especially those targeting the status and luxury market when developing their sustainability plans. An interest in sustainability may aid consumers in meeting their need for status, particularly for those status consumers who are more collectivist, as a means to fit in with their group. For more materialistic consumers, retailers may want to focus more on unique social sustainability efforts that are more publicly noticeable. Social implications Social sustainability, a topic not studied as frequently as environmental sustainability, has significant implications for consumers. The findings suggest that the link between status motivation and social sustainability is stronger for collectivists, suggesting a bandwagon effect. Additionally, the authors find that the link between status motivation and social sustainability is stronger for materialists, particularly the uniqueness dimension of materialism, suggesting a snob effect. Originality/value The originality of this study lies in the exploration of how status motivation impacts consumers’ perceptions of retailers’ environmental and social sustainability efforts and if these relationships are moderated by collectivism and materialism. Few studies have examined social sustainability, especially in terms of culture

Consumers’ Sustainability Perceptions: A Focus Downstream In The Supply Chain

Paper presented at AIB US Southeast 2015 Conference Link to Abstracts:http://www.aibse.org/wp-content/uploads/2015/11/2015-AIBSE-Proceedings-November-11.pdf This paper aims to focus downstream in the supply chain by exploring consumers’ perceptions towards sustainability practices. The moderator effect of price and the effect of price in different cultural contexts are also investigated. A quantitative research methodology using scenario-based experiments was employed. Two experiments were conducted using research participants from the US and Turkey. The results reveal that high prices negatively moderate the effect of sustainability on consumer behavior and high sustainability and a low price strategy will lead to an increase in consumers’ commitment, satisfaction, and loyalty levels

The Impact of Retailers’ Sustainability and Price on Consumers’ Responses in Different Cultural Contexts

Consumers want sustainability, but at what price? With growing demands for environmental and social sustainability, retailers aim to understand how consumers might react to adaptations in retail practices. This research examines consumers’ perceptions towards retailers’ environmental and social sustainability practices and the moderating effect of price in different cultural contexts. Quantitative research methodology using scenario-based experiments was employed. Two experiments were conducted using research participants from the US (a more individualist country) and Turkey (a more collectivist country) and measured one dimension of culture, individualism versus collectivism. The results reveal that high prices negatively moderate consumers’ response to retailers’ sustainability efforts. Even though there is no significant interaction between either type of sustainability and price on purchase intention, high sustainability along with a low-price strategy leads to an increase in consumers’ commitment, satisfaction, and loyalty. Furthermore, the results demonstrate that high prices have a more negative effect on consumers’ responses in a collectivist country. This study highlights the importance of price in both individualist and collectivist cultures and provides a better understanding of a neglected dimension of sustainability, social sustainability. Managers need to be aware of the increasing demand from consumers for environmentally and socially sustainable practices but need to recognize that consumers may not be willing to pay more for these products. Companies need to formulate business strategies based on low priced-sustainable products and the cultural context of the country in which they operate