Do Transparent Business Practices Pay? Exploration of Transparency and Consumer Purchase Intention

Abstract

Information transparency has mostly been associated with financial institutions, and little is known about its application in the apparel supply chain. The aim of this study was to gain an in-depth understanding of the factors that may influence consumer attitude and purchase intention with respect to apparel products from businesses that are transparent about their supply chain. An interpretive analysis, through interviews with consumers, revealed that attitude and intention seemed to be affected by prior knowledge about the apparel industry, distrust on the business’ efforts, values (hedonic and social responsibility value) gained by consumers by consuming transparent products, as well as price and quality of the product. The study uses the theory of reasoned action to explain the relation between attitude and intention and combines with the concepts of consumer value and price and quality. Implications, limitations and scope of further research are also discussed.