Consumers’ evaluation toward tobacco companies: implications for social marketing

Abstract

Purpose – Given the well-documented outcomes of corporate social responsibility (CSR) activities, tobacco companies that exhibit CSR may be trusted and consumers may hold positive attitudes towards tobacco companies further contributing to and reinforcing smoking behaviours, which is a highly undesired and addictive behaviour. Thus, the purpose of this paper is to understand smokers and non-smokers views of CSR activities by Indonesian tobacco companies. Design/methodology/approach – Data were collected from a large private university in Surabaya, Indonesia. There were 191 usable questionnaires with 91.7 per cent male and 8.3 per cent female. The number of smokers and non-smokers were evenly split, 49 per cent smokers and 51 per cent non-smokers which is slightly lower than the 67 per cent of male smokers in Indonesia. Of the 94 smokers in the sample, 69 per cent reported smoking on a daily basis. Findings – The results of this study suggest that CSR activities are able to cultivate favourable images of the tobacco companies especially for those who are currently smoking. CSR in the domain of the tobacco industry increases people’s favourable association with the company. Moreover, the findings show that consumer-company identification does not affect company evaluation (CE) and consumer sensitivity towards corporate social performance becomes a motivator which positively affects CE among smokers. Practical implications – This study has important implications for social marketing practice and research where the dominant focus remains on the downstream. In the case of smoking in Indonesia social marketing efforts directed towards mid and upstream may be more effective than downstream social marketing interventions which have to compete with global tobacco corporations. Originality/value – This is one of the first studies to explore the impact of CSR and one of the first studies to examine Indonesia, the world’s fourth most populous country which exhibits a very high male smoking rate.

The Impacts of Philanthropy Responsibility and Ethical Responsibility Toward Customer Purchase Behavior and Customer Loyalty

“…The reward will have an impact on increasing sales while punishment may encourage consumers to boycott products. Arli, Rundle-Thiele, & Lasmono (2015), reveals the fact that companies that practice ethical behavior in the business impact of positive consumer evaluation of the company. This study supports the theory Creyer (1997), which consumers expect companies to behave ethically in order to become a reference in buying the company's products.…”

“…Rahmatullah & Kurniati (2011), which says the impact of CSR reinforces or CSR initiatives have grown into a strategy for the company to form a positive image and become a sort of "legitimacy" to cover up the truth about the harmful effects of the products produced. This theory is supported by research conducted by Arli, Rundle-Thiele, & Lasmono (2015), which explores the impact of CSR on public acceptance of smoking among smokers and nonsmokers. Although smoking is a different product from fast food, both are considered equally as products that are not good for health.…”

“…Research conducted by Arli, Rundle-Thiele, & Lasmono (2015) explored the impact of the cigarette company's CSR on public acceptance among smokers and non-smokers, which resulted in a consumers' evaluation of the cigarette company in Indonesia. The study presents evidence that cigarette companies that have CSR activities affect the respondent positively.…”

“…In the study conducted by Arli, Rundle-Thiele, & Lasmono (2015), reveals the fact that the tobacco companies that practice ethical behavior in doing business impacted positively on consumer evaluations (smokers) of the company. This study supports Creyer (1997) …”

“…The reward will have an impact on increasing sales while punishment may encourage consumers to boycott products. (Arli, Rundle-Thiele, & Lasmono, 2015), explains that the behavior exhibited by the company reflects the ideal characteristics which became the standard for the consumer to itself. While Abdeen, Rajah, & Gaur (2016) research stated that the ethical aspects of a product produced by the company have a significant impact on consumers.…”