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Sustainability and Branding in Retail: A Model of Chain of Effects

Author

Listed:
  • Alfredo Flores-Hernández

    (Faculty of Business & Economics, University of Lima, Lima 15023, Peru)

  • Ana Olavarría-Jaraba

    (Faculty of Business, University Pablo de Olavide, Ctra. de Utrera, km 1, 41013 Sevilla, Spain)

  • Guadalupe Valera-Blanes

    (Faculty of Business, University Pablo de Olavide, Ctra. de Utrera, km 1, 41013 Sevilla, Spain)

  • Rosario Vázquez-Carrasco

    (Faculty of Business, University Pablo de Olavide, Ctra. de Utrera, km 1, 41013 Sevilla, Spain)

Abstract

The main objective of this study is to analyse the impact of sustainable practices on companies’ corporate reputation and brand image in the retail sector as perceived by consumers. In addition, we evaluate how those practices affect consumers’ perceived satisfaction levels and their predisposition to engage in positive Word of Mouth (WOM). For the purpose of this study, the context of an emerging economy, Peru, is taken as reference. To do this, we propose a structural equation model based on a representative sample of 403 consumers. The data analysis—using the PLS software package—confirms that corporate social responsibility (CSR) positively influences both corporate reputation and brand image. These two factors jointly have an impact on consumers’ perceived satisfaction levels, which in turn help to explain the flow of positive WOM. This work is a pioneering study of the relationship between the aforementioned factors in the context of emerging economies. The final part of the article discusses the main theoretical implications and recommendations for business practice.

Suggested Citation

  • Alfredo Flores-Hernández & Ana Olavarría-Jaraba & Guadalupe Valera-Blanes & Rosario Vázquez-Carrasco, 2020. "Sustainability and Branding in Retail: A Model of Chain of Effects," Sustainability, MDPI, vol. 12(14), pages 1-15, July.
    • Handle: RePEc:gam:jsusta:v:12:y:2020:i:14:p:5800-:d:386593
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    1. Wang, Xing-Xin & He, Ai-Zhong, 2022. "The impact of retailers’ sustainable development on consumer advocacy: A chain mediation model investigation," Journal of Retailing and Consumer Services, Elsevier, vol. 64(C).
    2. Antonio Marín-García & Irene Gil-Saura & María Eugenia Ruiz-Molina & Gloria Berenguer-Contrí, 2021. "Sustainability, Store Equity, and Satisfaction: The Moderating Effect of Gender in Retailing," Sustainability, MDPI, vol. 13(2), pages 1-20, January.

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