 The impact of knowledge on labeling schemes promoting sustainable investingJeanette Carlsson Hauff Business Strategy and the Environment, 2022, vol. 31, issue 7, 2839-2853 Abstract: Sustainable labeling schemes are frequently used to simplify decisions for consumers, for example, in financial contexts, and to subsequently promote sustainable investments. The purpose of this research is to, against the backdrop of dual processing theories, outline consumer reactions to sustainability‐oriented investment labels. Experimental results from a representative sample show that objective labels are perceived more favorably by financially knowledgeable individuals. Three developed and validated scales, measuring general and specific financial knowledge as well as environmental knowledge, further suggest that this evaluation is domain contingent, with only knowledge that aligns with choice domain interacting significantly with label format. The importance of the choice domain prevails with regard to the interaction between knowledge and the perceived effectiveness of an investment. We are able to verify retail investor reactions to sustainable labeling, which are of major importance for fund both companies and legislators considering an introduction of mandatory sustainability labeling. Date: 2022 Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:bla:bstrat:v:31:y:2022:i:7:p:2839-2853 Ordering information: This journal article can be ordered from Access Statistics for this article Business Strategy and the Environment is currently edited by Richard Welford More articles in Business Strategy and the Environment from Wiley Blackwell |
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