Consumer reactions to unsustainable luxury: a cross-country analysis

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Cesare Amatulli ◽  
Matteo De Angelis ◽  
Giovanni Pino ◽  
Sheetal Jain

PurposeThis paper investigates why and when messages regarding unsustainable luxury products lead to negative word-of-mouth (NWOM) through a focus on the role of guilt, need to warn others and consumers' cultural orientation.Design/methodology/approachThree experiments test whether messages describing unsustainable versus sustainable luxury manufacturing processes elicit guilt and a need to warn others and whether and how the need to warn others affects consumers' NWOM depending on their cultural orientation.FindingsConsumers experience guilt in response to messages emphasizing the unsustainable (vs sustainable) nature of luxury products. In turn, guilt triggers a need to warn other consumers, which leads to NWOM about the luxury company. Furthermore, the results suggest that two dimensions of Hofstede's model of national culture – namely individualism/collectivism and masculinity/femininity – moderate the effect of the need to warn others on NWOM.Practical implicationsLuxury managers should design appropriate strategies to cope with consumers' different reactions to information regarding luxury brands' unsustainability. Managers should be aware that the risk of NWOM diffusion may be higher in countries characterized by a collectivistic and feminine orientation rather than an individualistic and masculine orientation.Originality/valueConsumer reaction to unsustainable luxury, especially across different cultural groups, is a neglected area of investigation. This work contributes to this novel area of research by investigating NWOM stemming from unsustainable luxury manufacturing practices in different cultural contexts.

2019 ◽  
Vol 23 (1) ◽  
pp. 138-155 ◽  
Author(s):  
MdSanuwar Rashid ◽  
Veena Chattaraman

Purpose Perceived brand entitativity, or the extent to which a collection of brands signifies a group to consumers, differentiates luxury vs non-luxury brands such that luxury brands are perceived to be more entitative than non-luxury brands. Framed by the concept of brand entitativity and the implicit theory, the purpose of this paper is to examine whether this difference in the perceived brand entitativity of luxury and non-luxury brands impacts how consumers respond to sweatshop allegations in context to these brands. Design/methodology/approach Two separate experimental studies employing between-subjects designs were conducted among a total of 162 and 276 student consumers from a Southern university of the USA. The authors operationalized sweatshop allegations at two levels, brand-specific allegations (the stimulus brand itself is accused) and industry-specific allegations (other brands of the same industry are accused) to examine the role that brand entitativity plays in these two types of allegations. Findings Experiment 1 demonstrated that industry-specific allegations hurt consumer attitudes for luxury brands to a greater extent than non-luxury brands, whereas brand-specific allegations hurt non-luxury brands more so than luxury ones. In experiment 2, the authors find that the above results hold true only for consumers who are more prone to social perceptions of entitativity (entity theorists), but not those who represent an incremental mindset (incremental theorists). Practical implications The results can help brand managers understand the negative downstream consequences of brand- and industry-specific allegations for their brand type (luxury vs non-luxury). Originality/value This study fills an important gap in understanding consumer reaction to brands’ sweatshop allegations by addressing the role of consumers’ perceived brand entitativity and how it differs for consumers holding different implicit beliefs.


2016 ◽  
Vol 19 (4) ◽  
pp. 395-415 ◽  
Author(s):  
Beate Elizabeth Stiehler

Purpose The purpose of this paper is to explore consumer meaning-making and brand co-creation and the role of brand value and the consumption context of luxury goods in the emerging South African market. Design/methodology/approach An extant segmentation approach that classifies luxury brand consumers into four different segments was used to guide the identification of a total of 16 luxury consumers with whom in-depth interviews were conducted. Findings The findings identify differences between four consumer segments’ levels of brand knowledge and indicate how these differing levels produce interesting meanings assigned to luxury brands which in turn co-create the brands. A framework is also proposed that maps each of the four luxury segments according to the value they derive from luxury brands and the context in which luxury consumption holds the most meaning for each segment. Practical implications Managerial recommendations concerning the implications of consumers assigning meaning and value to luxury brands and recommendations pertaining to the managing and positioning of luxury brands to each of the four luxury segments in this market are proposed. Originality/value The study provides interesting insights with regards to how consumers assign meaning and value to luxury brands in the emerging South African market. The proposed framework also uniquely demonstrates underlying behaviours within each of the four luxury segments and contributes to a better understanding of how and why these segments consume luxury brands.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Minyoung Lee ◽  
Joonheui Bae ◽  
Dong-Mo Koo

PurposePrevious research on luxury consumption has focused on conspicuous consumption; however, research on consumers' self-conceptual mechanism in inconspicuous luxury consumption context is scarce. The present study aims to investigate various self-concepts and their mechanisms for inconspicuous and conspicuous luxury consumption.Design/methodology/approachAn experiment with 215 participants from online survey website was conducted, and the hypotheses were tested using PROCESS Macro 3.4.FindingsThe study findings are as follows. Materialistic consumers' preference between inconspicuous and conspicuous luxury products is dependent on distinctive self-conceptual mechanism. More specifically, materialistic consumers with independent self-construal prefer inconspicuous luxury brands because of high need for uniqueness, whereas non-materialistic consumers with interdependent self-construal prefer conspicuous luxury products because of high self-monitoring.Research limitations/implicationsThe present study uniquely shows conditions (moderated mediation) that the link between need for uniqueness (self-monitoring) and luxury consumption is stronger for those with independent (interdependent) self-construal than for those with interdependent (independent) self-construal. The present results extend and help better understanding of mechanisms and conditions of conspicuous and inconspicuous luxury consumption.Practical implicationsMarketers are advised to design and produce unique vs popular luxury brands depending on consumer's motives and different self-concepts.Originality/valueThis research contributes to extant literature by distinguishing between conspicuous and inconspicuous luxury consumption with two different mechanisms (need for uniqueness and self-monitoring). The present study further demonstrates that the two mechanisms are strongly sustained differently depending on consumer's levels of self-construal.


2020 ◽  
Vol 14 (1) ◽  
pp. 47-59 ◽  
Author(s):  
Wail Alhakimi ◽  
Mohammed Mahmoud

Purpose This study aims to investigate the impact of market orientation on small and medium-sizedenterprises (SMEs) innovativeness in Yemen. Design/methodology/approach The study uses empirical data collected from 206 managers, owners and operators of SME in Sana'a. By using exploratory and quantitative methods, the collected data was examined using descriptive, correlation and regression analyses. Findings The results indicated that market orientation, as a whole, has a significant impact on SME innovativeness. Specifically, while the two dimensions – customer orientation and supplier orientation – have a significant impact on SME innovativeness, the other two dimensions – competitor and inter-functional coordination – do not have a significant impact on SME innovativeness. Research limitations/implications The study focuses only on four factors that have an influence over SME innovativeness based on the perspective of managers. Practical implications SMEs represent the largest portion of businesses in Yemen’s private sector. It is anticipated that the findings of this study will help SMEs’ owners and managers to better understand market orientation and the significant impact it has on SME innovativeness. Originality/value The value of this research work is evident from the fact that the market orientation models have neglected the part of suppliers (upstream supply chain) in generating superior value for customers, even though they have concentrated on the role of customers (downstream supply chain) and competitors.


2014 ◽  
Vol 31 (4) ◽  
pp. 363-389 ◽  
Author(s):  
Mark Yi-Cheon Yim ◽  
Paul L. Sauer ◽  
Jerome Williams ◽  
Se-Jin Lee ◽  
Iain Macrury

Purpose – Limited attention has been paid to the cultural influences on the formation of consumer attitudes toward luxury brands (LUX). The purpose of this paper is to investigate this relationship by developing a model that additionally employs the constructs of susceptibility to normative interpersonal influence (SNII) and brand consciousness (BCO). Design/methodology/approach – Sample data were gathered through surveys administered to 383 college students in the UK and Taiwan. The model of cultural influences on attitudes toward luxury brands was empirically tested using multi-group structural equation modeling to evaluate its applicability across the two countries. Findings – Results are presented in two parts: first, the exogenous construct part of the model establishing the reliability and validity of the cultural dimension constructs (horizontal individualism, vertical individualism, horizontal collectivism, and vertical collectivism) that are antecedent to consumer SNII and 2) the endogenous part of the model in which consumer SNII affects LUX through the mediating role of BCO. Research limitations/implications – The findings in the current study are limited to a sample of college students in the UK and Taiwan, which, through representing western and Asian countries, each housing different cultures, do not span the greater number of cultures found across these countries, much less across the world. Furthermore it is assumed that there are a number of subcultures in both the UK and Taiwan that are not accounted for in this study. Practical implications – An individual level of cultural orientation (e.g. horizontalism and verticalism) rather than traditionally adopted regionally defined or nationally based (Hofstede, 1980) cultural criteria should be investigated to identify more accurate market demand patterns in order to best target consumers in these markets (Sharma, 2010). In addition, appealing, vertical ad messages would be more effective in stimulating consumer motivations for consumption of luxury brands. Conversely, horizontal ad messages would be effective in demarketing approaches. Originality/value – The current study is the first of its kind to explore the effect of cultural-orientation on the formation of LUX cross-nationally. As such it provides future cross-cultural researchers with valid and reliable culturally based constructs that can be used to predict consumer SNII in developing LUX. In addition, establishing the mediating role of BCO in the relationship between SNII and LUX helps marketers better understand the equity of their luxury brands, particularly in Asian countries.


2020 ◽  
Vol 54 (6) ◽  
pp. 1305-1323
Author(s):  
Felix Septianto ◽  
Yuri Seo ◽  
Billy Sung ◽  
Fang Zhao

Purpose This study aims to investigate how the effectiveness of luxury advertising can be improved by matching the emotional (promotion pride vs prevention pride) and luxury value (authenticity vs exclusivity) appeals within advertising messages. Design/methodology/approach Three experiments were conducted. Studies 1A and 1B establish the influence of incidental emotions and regulatory focus on consumer preferences for divergent luxury value appeals (exclusivity vs authenticity) within advertisements. Study 2 shows the match-up effects of congruent emotional and luxury value appeals on advertising effectiveness. Findings The authors offer causal evidence that promotion pride increases the preference for exclusivity appeals, whereas prevention pride increases the preference for authenticity appeals in luxury advertising. Research limitations/implications The study offers a novel perspective into the ways consumers evaluate different value appeals in luxury advertising and establishes the important role played by emotions within such evaluations. Practical implications Marketers of luxury products can increase the effectiveness of their advertising campaigns by considering the fit between emotional and luxury value appeals. Specifically, the authors show that the congruent matching of promotion pride with exclusivity appeals and of prevention pride with authenticity appeals within advertising messages can elicit more favorable consumer responses. Originality/value The study is the first to illustrate novel “match-up” effects: it shows when and how different luxury value appeals (exclusivity vs authenticity) and emotions (promotion pride vs prevention pride) influence the effectiveness of luxury advertising.


Author(s):  
Ana Sabino ◽  
Fernanda Nogueira ◽  
Francisco Cesário

Purpose Individuals’ intentional responses to declining job satisfaction have been associated with the EVLN model. Employees’ silence, as an independent construct, can be understood as an individual, intentional and deliberate decision to retain important information for the organization. The purpose of this paper is to analyze employees’ silence, which can be understood as a fifth individual response to job satisfaction declining, along with the remaining four responses proposed in the EVLN model. It is proposed as an extension to the original model through the introduction of employee silence; the model is referred to as the EVLNS model. Design/methodology/approach The present study is quantitative, hypothetical-deductive, correlational and transversal. The sample is composed of 756 professionals working in the higher education sector. The paper used structural equation modeling (SEM) analyses to test its hypotheses. Findings Results showed that employees’ silence has a dual factorial structure, which is composed of an adhesion dimension and a rejection dimension. The study also finds that these two dimensions can be integrated as an extension of the original EVLN model. It is found that, although they are related, these dimensions also capture a certain degree of independence, with different levels of influence of job satisfaction. Practical implications An important implication is that silence is a complex phenomenon, suggesting that this is more than the simple absence of voice and may have different motives. Additionally, it is important to emphasize that job satisfaction can contribute to different individual responses and managers must act accordingly. Originality/value The study contributes to a better understanding of the individuals’ potential responses to declining job satisfaction through the extension of the original EVLN model with the introduction of a fifth response – the employees’ silence.


2019 ◽  
Vol 24 (1) ◽  
pp. 15-31 ◽  
Author(s):  
Sony Kusumasondjaja

Purpose The purpose of this paper is to examine the strategic importance of visual aesthetics and presentation modality for consumer responses to fashion luxury brand content posted on Instagram. Design/methodology/approach A content analysis of 40,679 posts on the official Instagram accounts of 15 global luxury brands was conducted. Findings Brand posts using expressive aesthetic image received more likes and comments on Instagram than those with classical aesthetics. Brand video content received more likes and comments than static content. There was also a significant interaction between visual aesthetics and presentation modality in generating likes and comments. Brand content adopting expressive aesthetic and audio-visual modality generated more responses when using audio-visual modality, while content using classical aesthetics produced more responses in a visual-only format. Practical implications As visual aesthetics and modality resulted in different responses to Instagram ads, luxury marketers should consider using appropriate approaches when creating brand posts on Instagram. Originality/value This is one of the few studies examining the effectiveness of visual aesthetics and presentation modality in Instagram advertising, especially in luxury fashion brand context.


Author(s):  
Robert Douglas Hinshelwood ◽  
Luca Mingarelli ◽  
Simona Masnata

Purpose Many people in severe mentally disturbed states do not use language or other symbolic media well or coherently. Therefore, the non-verbal medium needs to be understood by workers with such people. The “Learning from Action” experiential workshop was developed in order to provide an opportunity to learn about hidden messages in the relationships and roles occurring in activities. In August 2017, a workshop was run for the first time in Japan. The purpose of this paper is to report the experience and dynamics observed by the three consultants, who are here the authors of this paper. Design/methodology/approach After the workshop all the staff and members, including interpreters, were invited to give feedback. Findings Analysis of the feedback data showed certain important dynamics, concerning especially dependence, cultural defences and the defensive role of activity in a multicultural context. Research limitations/implications This is an initial experience to be followed up by later feedback and further workshops. Practical implications Workers awareness of non-verbal communication within the roles of work activities is a training possibility. It faces various resistances including the mental health assumptions of meaninglessness of any communication outside the verbal. Originality/value This is a method of training not widely used even in European countries, and is the first in a country in the far east.


2019 ◽  
Vol 11 (3) ◽  
pp. 299-322 ◽  
Author(s):  
Alex Anlesinya ◽  
Oluwayemisi Ajoke Adepoju ◽  
Ulf Henning Richter

Purpose This purpose of this paper is to examine cultural orientations and intention of Ghanaian women to engage in entrepreneurship while assessing the role of perceived support system. The aim is to contribute to the literature in the sub-Saharan African context where women entrepreneurs are generally under-researched, despite their increasing significant roles in socio-economic development in the continent even in the face of huge cultural barriers. Design/methodology/approach The study uses a hierarchical regression analysis and Hay’s PROCESS moderation technique to analyze survey data from 190 female students from Ghana, Africa. Findings The results indicate that uncertainty avoidance and power distance cultural orientations have significant positive and negative effects, respectively, on women’s participation in formal entrepreneurship. However, collectivism and masculine cultural orientations do not have any effect on their intention to engage in formal entrepreneurial activity. The study further shows that perceived support system has a buffering effect on the destructive consequences of power distance culture on formal entrepreneurship intentions. On the contrary, perceived support does not moderate the relationship between uncertainty avoidance, collectivism and masculine cultural and formal entrepreneurial intention. Practical implications Given the fact that most African governments are making efforts to accelerate the growth and development of their economies via entrepreneurship and economic empowerment, this study’s findings encourage stakeholders to implement measures to leverage on the positive dimensions of cultures to facilitate the development of formal entrepreneurship among Ghanaian women while mitigating the negative consequences of cultural practices. The findings further highlight the need to evaluate the current level of support given to women in Ghana. The study suggests that provision of sufficient level of support can make women more willing to challenge the status quo in power distance cultures and take personal initiatives, thereby leading to more formal entrepreneurial actions. Originality/value This study is a significant addition to women entrepreneurship literature because the role of culture in females’ intention to participate in entrepreneurship is generally an under-researched area. Besides, our examination of national cultural variation at the individual level on formal entrepreneurship intention in a heterogeneous setting is novel. The study also highlights the buffering roles of perceived support on the destructive consequences of power distance cultural orientation on formal entrepreneurial development among women.


Sign in / Sign up

Export Citation Format

Share Document