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Does corporate ESG, an essential factor for overcoming the climate crisis, affect sustainability: The effects of psychological distance and purchase intention

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  • Hyuck Jin Lee

Abstract

This study investigates the impact of Environmental, Social, and Governance (ESG) practices on consumer behavior, focusing on the role of psychological distance in shaping purchase intentions. Using construal level theory as the theoretical framework, primary survey data from South Korean consumers were analyzed. The findings reveal that social and governance activities within ESG positively influence consumers' psychological distance, enhancing purchase intentions. However, environmental activities do not show a similar effect. These results underscore the importance of clear and transparent communication regarding environmental efforts. This research expands the academic discourse on ESG by incorporating psychological distance and offers practical insights for businesses to develop effective ESG strategies tailored to consumer preferences.

Suggested Citation

  • Hyuck Jin Lee, 2024. "Does corporate ESG, an essential factor for overcoming the climate crisis, affect sustainability: The effects of psychological distance and purchase intention," Business Strategy and the Environment, Wiley Blackwell, vol. 33(8), pages 8747-8758, December.
    • Handle: RePEc:bla:bstrat:v:33:y:2024:i:8:p:8747-8758
    DOI: 10.1002/bse.3945
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    References listed on IDEAS

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