The Effect of Corporate ESG Management on Brand Equity and Purchase Intention: Focusing on Starbucks in Shandong Province, China

Abstract

Purpose – The purpose of this study is to understand the relationship among Starbucks' ESG management, brand equity, and purchase intention using Starbucks in Shandong Province, China. We also investigate the moderating effects of digital transformation and the mediating effect of brand equity. Design/Methodology/Approach – In this study, a research model was built based on existing studies and demonstrated using multiple regression analysis. Findings – First, except for 'energy efficiency', the remaining independent variables were found to have a significant impact on brand equity. Second, except for 'eco-friendly management', it was confirmed that the rest of all independent variables had a significant effect on purchase intention. Third, the moderating effects of digital transformation and the mediating effect of brand equity were confirmed. Research Implications – Starbucks' strategy of combining “ESG management” and “digital transformation” had a positive significant effect on brand assets and purchase intentions. In addition, although Starbucks is a multinational company, it must comply with Chinese laws in the Chinese market, and this must be noted when dealing with consumers in the Chinese market.