Consumer Response to Marketing Effect of Corporate Social Responsibility – An Experiment

Abstract

In the highly competitive market of consumer goods today companies are pressurized to differentiate their goods and services in every way possible The rapid expansion of corporates with worldwide outreach influence has resulted in larger responsibilities to meet public expectations making corporate social responsibility (CSR) an important issue today CSR benefits companies in several ways improving company reputation building brand image as well as generating revenue Using experimental design as methodology this study designs different scenarios to examine the influence of CSR on consumers’ purchase intention in Taiwan determine the moderating effect of frequent-buy experience and further explore the price difference tolerance Milk is used as an example with similar volume and appearance the CSR-related product is priced NT$15 higher Results indicate that display of CSR activities can indeed elevate the purchasing intention of CSR-related products even if it is priced higher than one of similar appearance This positive stimulation of purchase intention after perceiving CSR is not weakened if consumers have frequent-buy experience of other CSR non-related products but instead strengthened when consumers have frequent-buy experience of the CSR-related product In addition the public considers higher pricing of CSR-related products acceptable; as this price difference increases the toleration of acceptance is higher for consumers with frequent-buy experience of the CSR-related product as compared to those with frequent-buy experience of CSR non-related product

Date of Award	2015 Jun 24
Original language	English
Supervisor	Quey-Jen Yeh (Supervisor)