The interaction between values and self-identity on fairtrade consumption: The Value-Identity-Behavior Model.

Abstract

The interplay between egoistic and altruistic values, self-identity, and ethical behaviors remains underexplored, despite its significance in ethical consumption. This study investigates these dynamics by developing and testing the Value-Identity-Behavior model using a robust dataset of 3,023 participants from three leading fairtrade markets in Europe: the U.K., France, and Germany. Our findings reveal that self-identity positively influences willingness to pay (WTP) for fairtrade products, as consumers are more inclined to pay a premium when these products align with their self-concept. Both altruistic and egoistic values shape self-identity, although their impacts differ. Specifically, egoistic values such as monetary, visual, and functional considerations negatively affect WTP, while sensory and altruistic values enhance it. Additionally, egoistic values uniformly moderate the relationship between self-identity and ethical behaviors. Interestingly, altruistic values exert a negative moderating effect, suggesting that when altruistic values are dominant, self-identity expression becomes less critical for ethical purchasing decisions. The study concludes with theoretical insights and practical recommendations for promoting fairtrade products.