Reward Or Punish: Willingness to Pay For Ethically-Produced Goods

Two experimental studies reveal a strong relationship between ethical behavior and willingness to pay. Participants were willing to pay substantially more for an ethically produced good than they were willing to pay for an unethically produced good, suggesting that there may be financial reward for socially responsible behavior. In addition, the relationship is consistent with asymmetry of information effects that posit greater influences of negative versus positive information.


Remi Trudel and June Cotte (2008) ,"Reward Or Punish: Willingness to Pay For Ethically-Produced Goods", in NA - Advances in Consumer Research Volume 35, eds. Angela Y. Lee and Dilip Soman, Duluth, MN : Association for Consumer Research, Pages: 229-232.


Remi Trudel, University of Western Ontario, Canada
June Cotte, University of Western Ontario, Canada


NA - Advances in Consumer Research Volume 35 | 2008

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