A Greater Price for a Greater Good? Evidence that Consumers Pay More for Charity-Linked Products
نویسندگان
چکیده
Consumers consistently express a willingness to favor socially responsible firms, but will they actually pay more for products linked to charitable donations, green production, and similar activities? To answer this question, we analyze a novel data set that matches identical products sold on eBay via charity and non-charity auctions. Items sold through charity auctions have prices that are 6% higher, on average, than those in non-charity auctions. Bidders appear to value charity auction revenue as a public good, as they submit bids relatively early within charity auctions, which stimulates other bidders to bid more aggressively.
منابع مشابه
Last-minute bidding in eBay charity auctions
Consumers are frequently presented opportunities to purchase products that are linked to charitable causes, green production, or fair trade practices. In Elfenbein and McManus (forthcoming) we demonstrate that consumers are willing to pay a premium for these items by analyzing a hand-matched data set of identical items sold in charity and non-charity auctions on eBay. This premium may occur bec...
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