Research Article
The Effect of Fair Trade on Consumer Behavior from an Ethical Consumerism Perspective
1 Chungnam National University, 2 Seoul National University
Published: January 2009 · Vol. 38, No. 1 · pp. 295-315
Full Text
Abstract
As consumption levels rise and the number of conscious consumers increases, Fair Trade has been introduced and expanded worldwide. Along with this trend, research on the marketing approach of Fair Trade and its impact on consumer behavior has been actively conducted, primarily in Europe and the United States. Although Fair Trade has been introduced in Korea, there is virtually no research approaching it from a business administration perspective domestically. This study seeks to find managerial insights reflecting this trend of Fair Trade and to examine how it influences consumer behavior in Korea. It investigates Korean consumers' purchase intentions toward Fair Trade products and their level of ethical consumption, with a primary focus on discussing the relationship between the two. A total of 564 randomly selected participants responded to the survey. The results confirmed that consumers' level of ethical consumerism positively influences purchase intention for Fair Trade products, and that the level of purchase intention for Fair Trade products positively influences repurchase intention, brand loyalty, and brand commitment toward Fair Trade products. This study represents the first Fair Trade research targeting Korean consumers, and its academic contribution lies in suggesting various directions for future research. From a practical standpoint, it provides an understanding of the emerging market where Fair Trade is expanding, and proposes a new method through which the introduction of Fair Trade products can simultaneously enhance corporate profits and consumer satisfaction.
