From ESG Signals to Sustainable Relationships: A Strategic Perspective on Perceived Sustainability Awareness, Dual-Path Value, and Long-Term Trust

This study examines how consumers’ perceptions of corporate environmental, social, and governance (ESG) performance are statistically associated with sustainable relational outcomes within a structured cognitive and relational framework. Drawing on signaling theory and perceived value theory, we propose and empirically test a sequential mediation model in which perceived ESG performance is positively associated with perceived sustainability awareness (PSA), PSA subsequently is associated with dual-path value perceptions (cognitive and socio-emotional value), and these value perceptions are positively related to long-term trust (LTT) and value co-creation (VCC). In addition, the moderating role of signal credibility on the ESG–PSA relationship is examined. Using survey data from 278 South Korean consumers and structural equation modeling, the results indicate that perceived ESG performance is significantly positively associated with PSA, which in turn is positively associated with both cognitive and socio-emotional value. These value dimensions independently and positively relate to long-term trust, which is in turn associated with value co-creation. Contrary to expectations derived from signaling theory, signal credibility does not significantly moderate the ESG–PSA relationship, suggesting that ESG signals may function as baseline legitimacy cues within the South Korean institutional context, where sustainability norms are relatively institutionalized. Overall, the findings suggest that ESG effectiveness does not operate through direct persuasion but is consistent with a multi-stage cognitive and relational framework. By distinguishing sustainability awareness from ESG perception and decomposing value perceptions into dual paths, this study advances theoretical understanding of how ESG signals may be internalized and statistically linked to sustainable firm–consumer relationships. From a managerial perspective, the results highlight the strategic importance of designing ESG initiatives and communications that enhance sustainability awareness and support long-term trust as foundations for engagement and co-creation. Given the cross-sectional design, the proposed sequential structure should be interpreted as associative rather than definitive causal evidence.