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Influence of Luxury Companies' Corporate Social Responsibility Activities on Consumer Purchase Intention: Development of a Theoretical Framework

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  • Květa Olšanová
  • Gina Gook
  • Marija Zlatić

Abstract

The topics of sustainability and strategic corporate social responsibility are currently being discussed by different stakeholders on academic, industry and various activist levels; however, the level to which they are incorporated into organizations' strategy varies significantly by industry. The needs of the customers as well as the requirements from state governance may challenge the currently relatively "CSR silent" luxury industry to become more active in its contribution to social responsibility. This paper investigates the topic of corporate social responsibility within the context of the luxury industry, the extent to which customers are aware of CSR and the significance of the role it plays in their customer journey. The authors provide a literature review focused on exploring CSR variables that impact customer purchase intention in general and specifically in the luxury segment, from which they identify key CSR measures and conduct qualitative research to develop a theoretical framework. It suggests that purchase intention in the luxury segment is dependent on the luxury values, individual sustainable dimension and awareness of the brand's CSR, the last two relationships being potentially moderated by certain conditions such as demographics and general positive attitudes towards CSR and sustainability. The model's output is in the formulation of several propositions for further research. Overall, the qualitative interviews indicate that while knowledge of the specific CSR activities of particular luxury brands was low, luxury buyers in this research tend to express quite positive attitudes towards CSR in general, were rational, and very open to considering CSR as an added value to their luxury shopping.

Suggested Citation

  • Květa Olšanová & Gina Gook & Marija Zlatić, 2018. "Influence of Luxury Companies' Corporate Social Responsibility Activities on Consumer Purchase Intention: Development of a Theoretical Framework," Central European Business Review, Prague University of Economics and Business, vol. 2018(3), pages 1-25.
    • Handle: RePEc:prg:jnlcbr:v:2018:y:2018:i:3:id:200:p:1-25
    DOI: 10.18267/j.cebr.200
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    References listed on IDEAS

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    Cited by:

    1. Luming Zhao & Jiaxi Peng & Shubin Yu, 2023. "Sustainable Luxury and Consumer Purchase Intention: A Systematic Literature Review," SAGE Open, , vol. 13(4), pages 21582440231, December.
    2. Mohamed Akli Achabou, 2021. "Is animal welfare a central issue for consumers of luxury goods?," Natural Resources Forum, Blackwell Publishing, vol. 45(1), pages 18-36, February.
    3. Eva Daniela Cvik & Radka MacGregor Pelikánová, 2021. "The Significance of CSR During COVID-19 Pandemic in the Luxury Fashion Industry - A Front-Line Case Study," European Journal of Business Science and Technology, Mendel University in Brno, Faculty of Business and Economics, vol. 7(1), pages 109-126.
    4. Adam P. Balcerzak & Radka MacGregor Pelikánová, 2020. "Projection of SDGs in Codes of Ethics—Case Study about Lost in Translation," Administrative Sciences, MDPI, vol. 10(4), pages 1-18, November.
    5. Eloy Gil-Cordero & Pablo Ledesma-Chaves & Sunghoon Yoo & Heesup Han, 2023. "Luxury tourism and purchase intention factors: a mixed approach applied to luxury goods," Palgrave Communications, Palgrave Macmillan, vol. 10(1), pages 1-20, December.
    6. Jennifer Kunz & Stephanie May & Holger J. Schmidt, 2020. "Sustainable luxury: current status and perspectives for future research," Business Research, Springer;German Academic Association for Business Research, vol. 13(2), pages 541-601, July.
    7. Mbaye Fall Diallo & Norchène Ben Dahmane Mouelhi & Mahesh Gadekar & Marie Schill, 2021. "CSR Actions, Brand Value, and Willingness to Pay a Premium Price for Luxury Brands: Does Long-Term Orientation Matter?," Journal of Business Ethics, Springer, vol. 169(2), pages 241-260, March.
    8. Radka MacGregor Pelikánová & Tereza Němečková & Robert K. MacGregor, 2021. "CSR Statements in International and Czech Luxury Fashion Industry at the Onset and during the COVID-19 Pandemic—Slowing Down the Fast Fashion Business?," Sustainability, MDPI, vol. 13(7), pages 1-19, March.

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    More about this item

    Keywords

    CSR; luxury industry; purchase intention; purchase intention for luxury brands;
    All these keywords.

    JEL classification:

    • M31 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - Marketing

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