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Demand Factors in the Ethical Goods Market: The Role of Moral Choice

Student: Polina Zykova

Supervisor: Marina A. Shabanova

Faculty: Faculty of Economic Sciences

Educational Programme: Economics (Bachelor)

Year of Graduation: 2018

Nowadays, the phenomenon of ethical consumption is becoming more and more relevant – the number of its followers significantly growing, developing and spreading on new markets, a variety of actions and boycotts allow buyers to influence the policy of a brand. However, the nature of this phenomenon still remains controversial: researchers distinguish various factors, but the importance of moral factors still remains questionable. The purpose of this study is to evaluate the proportion of selfish and moral factors in the consumer’s choice structure and to determine the conditions under which the consumer makes the demand for ethical products. To meet the purpose of the study descriptive analysis and binary logit regression were used. It was found that the dominant group of consumers buy products of ethical brands, unaware of this; buying products of brands that respondents consider ethical, the impact of ethical factors proved to be quite strong. The study has prospects for further application.

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