When will price increases associated with company donations to charity be perceived as fair?

Nicole Koschate-Fischer (), Isabel V. Huber (née Stefan) () and Wayne D. Hoyer ()
Additional contact information
Nicole Koschate-Fischer: University of Erlangen-Nuremberg
Isabel V. Huber (née Stefan): University of Erlangen-Nuremberg
Wayne D. Hoyer: University of Texas at Austin

Journal of the Academy of Marketing Science, 2016, vol. 44, issue 5, No 6, 608-626

Abstract: Abstract When implementing cause-related marketing campaigns, companies sometimes increase prices to partially cover some of the costs of the campaign. However, our knowledge regarding the conditions under which consumers perceive these increases as fair and are willing to bear some of the costs is lacking. Using a framework based on attribution theory principles, we show in four studies that the company donation amount positively affects consumers’ perceived price fairness and purchase intentions. More importantly, our study highlights a positive moderating impact of the company’s corporate social responsibility (CSR) reputation and a negative moderating effect of company–cause fit on the donation amount–perceived price fairness relationship. The timing of the price increase also plays a key moderating role on this link. All four studies also provide insights into the underlying process of these moderating effects in terms of attributed company motives.

Keywords: Cause-related marketing; Donation amount; Price fairness; Motive attribution (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (21)

Downloads: (external link)
http://link.springer.com/10.1007/s11747-015-0454-5 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:joamsc:v:44:y:2016:i:5:d:10.1007_s11747-015-0454-5

Ordering information: This journal article can be ordered from
https://www.springer ... gement/journal/11747

DOI: 10.1007/s11747-015-0454-5

Access Statistics for this article

Journal of the Academy of Marketing Science is currently edited by John Hulland, Anne Hoekman and Mark Houston

More articles in Journal of the Academy of Marketing Science from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().