Merchandising/Marketing/Retailing: Branding

Perceived Corporate Hypocrisy: Impact on Moral Emotions and Brand Loyalty

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Abstract

Corporate moral responsibility (CMR) explains brands’ normative core obligations towards stakeholders and focus on stakeholder relationships (Hormio, 2017). While some brands undertake CMR initiatives and do a good job at communicating such to their consumers, others are often in the forefront of news-media about their immoral actions or actions inconsistent to their CMR promises. Such inconsistencies generate negative reactions among consumers. This study focused on understanding how such inconsistencies between CMR claims and media reports impacts consumers’ moral emotions, and how they form relations with the brand. Adult U.S. retail consumers (n = 650) were recruited for a 2 (inconsistency: present/absent) online experiment. Results indicated that any inconsistency between CMR promises and actions led consumers to perceive higher corporate hypocrisy which led consumers to experience higher other-condemning emotions, higher self-conscious emotions, and lower other-praising emotions towards the brand. Finally, consumers’ self-conscious and other praising emotions positively impacted brand loyalty.

How to Cite:

Bhaduri, G. & Goswami, S., (2022) “Perceived Corporate Hypocrisy: Impact on Moral Emotions and Brand Loyalty”, International Textile and Apparel Association Annual Conference Proceedings 79(1). doi: https://doi.org/10.31274/itaa.15960