What Drives Consumer Willingness to Pay for Environmental, Social, and Governance Initiatives? A Choice Experiment

Abstract

This study explores consumer preferences for Environmental, Social, and Governance (ESG) initiatives, utilizing a choice experiment within the context of sports organizations. This research aims to identify how each ESG dimension influences consumer decision-making and the economic implications for organizations implementing these practices. By examining gender differences in preferences for ESG practices, this study provides nuanced insights into consumer attitudes toward diverse sustainability initiatives. Results indicate consumer willingness to pay for improved ESG practices, with distinctive variations across demographic segments. These findings suggest that consumers prioritize sustainability and ethical considerations in their choices, offering valuable implications for sports organizations seeking to enhance their ESG performance. This study contributes to the expanding body of literature on consumer behavior toward ESG, highlighting the economic benefits of aligning corporate strategies with consumer values. Our research underscores the importance of ESG initiatives in driving consumer engagement and promoting sustainable business practices.