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09-12-2019 | Issue 1/2020

Asian Journal of Business Ethics 1/2020

How consumer perceived ethicality influence repurchase intentions and word-of-mouth? A mediated moderation model

Journal:
Asian Journal of Business Ethics > Issue 1/2020
Authors:
Syed Hamad Hassan Shah, Shen Lei, Syed Talib Hussain, Syeda Mariam
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Abstract

Ethical consumerism has been dramatically increasing in recent decades, but in service sector, fewer research has been conducted especially in the fast-food industry. In this paper, we determined empirically the consumer perceived ethicality effects on repurchase intentions as well as on word of mouth through brand image partial mediation and customer expertise moderation in fast-food sector. The data were collected from 307 consumers of the fast-food restaurants (e.g., KFC, Subway, and Pizza Hut) through self-administered questionnaires. Common method variance and social desirability bias were measured before testing hypotheses, and the data were investigated by SPSS and AMOS 21st version. The empirical results demonstrated that consumer perceived ethicality effects on repurchase intentions directly and through brand image partial mediation indirectly. Moreover, the direct and positive effects of repurchase intentions on word of mouth were experienced. This study generalized the results of previous studies of consumer perceived ethicality conducted in western culture in Pakistani fast-food sector. This study also proposed that firms should tackle ethical concerns at corporate and operational strategy levels to improve consumers’ behavioral intentions.

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