Ethically Minded Consumer Behavior, Retailers’ Commitment to Sustainable Development, and Store Equity in Hypermarkets

Abstract

The present paper analyzed the influence of ethically minded consumer behavior on retailer’s commitment to sustainable development as perceived by the consumer, and their contribution to the chain of relationships “store equity–loyalty–word of mouth communication”, in the context of retailing. Responses from 317 hypermarket customers in Ecuador were analyzed. The model was estimated using the partial least squares technique. The results show the sustainable development actions implemented by retailers, together with perceived value, contribute significantly to store equity creation, which explains customer loyalty and, ultimately, positive word-of-mouth communication. However, the most concerned consumers of ethical aspects value the retailer’s efforts towards sustainability to a lesser extent. The findings of this research allow developing a series of implications for the managers of these establishments.

Does sustainability drive to create store equity? A proposal through image, quality and loyalty

“…, 2015). Consumers show an emotional connection that is translated into positive attitudes; consumers' purchase, repeat purchase and intention to recommend (Cacho-Elizondo and Loussaïef, 2010), thus supporting the effect of sustainability on store equity (Marín-García et al. , 2019; Sánchez-González et al.…”

“…Sustainable development emerges as an issue of global interest (Jin-Myong et al. , 2017; Chang and Chou, 2018; IISD, 2019), which involves social, economic and environmental sectors (Sánchez-González et al. , 2020a, b).…”

“…, 2019). However, the panorama is different in developing countries such as Ecuador (April-Lalonde et al. , 2020; Ortega-Vivanco, 2020; Sánchez-González et al.…”

“…These countries are culturally different from the Ecuadorian market, though, and the dearth of RCSD research in the retail sector is most notable in Latin America. Even if innovations in hypermarkets in Ecuador began in the 1950s (Corporación Favorita, 2020), their progress has been gradual throughout these last decades, gaining space in meters of surface, coverage and market share about the more traditional formats such as markets and neighbourhood stores, but sustainable practices were only recently introduced by retailers, and there is a call for research on the impact of these actions on consumer behaviour (Sánchez-González et al. , 2020a, b).…”

A Review of Antecedents and Effects of Loyalty on Food Retailers toward Sustainability

“…Some researchers categorize loyalty into food brand loyalty, namely, the sustainable products offered by retailers, such as organic food. The analyzed studies suggested that this type of loyalty may be facilitated by attitudinal measures since the purchase of ethical and sustainable products reflected a strong attitude toward those brands that represented consumers' individual values [121][122][123][124]. This motivated consumers to buy more organic food than others [125][126][127].…”