Impact of Consumer Awareness on Purchase Intentions: An Ethical View

Abstract

An increasing number of people make their consumption decisions on the basis of ethical values, such as environmentally friendly products and production methods, labour standards (wage rates and working conditions), and human rights. Ethical consumerism is a growing phenomenon that underpins ethical trade activities. The purpose of this study is to examine consumers’ awareness of both environmental and Fair Trade issues and to examine their associated purchase behaviors.  In addition, the study compares the relationship between ethical awareness and ethical purchase behavior across these two ethical issues in a sample of Iranians consumers.  The sample was composed of undergraduate students at Islamic Azad University. One-hundred five respondents completed a self-administered survey which assessed their awareness and purchase behaviors.  A comparison between environmental and Fair Trade issues on both awareness and purchase behavior was conducted.  T-tests revealed a significant difference between awareness of Fair Trade and environmental issues (means = 2.63 and 3.01 respectively, t = -4.52, p <.0001).  However, there were no significant differences between green purchase behavior and Fair Trade purchase behavior (means = 2.73 and 2.79 respectively, t = -.442, p = .44).

Keywords: consumer Awareness, purchase intentions, environmental issues, Trade issues