So I'm reading this article, and the author states that:
"In order to better measure consumers’ willingness to pay, it is argued that the more consumers understand about the ethical dimensions of the product, the more likely they are to purchase the product. Therefore, the higher the degree of favourableness on purchase intention of ethical products would increase their willingness to pay a higher price for it (Barber, 2012; Shenetal., 2012). Consumers are increasingly aware of ethical implications of the products that they buy and consume, hence they are adapting their behaviours as a result (Davies et al., 2012).
Due to the increasing concerns surrounding issues about ethical consumption such as the issue of sweatshops, consumers are becoming more conscious about the products they buy (Barber, 2012, Deanetal., 2012; Sweetin et al., 2013). This means that, they tend to respond to these concerns by purchasing products that would minimise social impact (Sweetin et al., 2013). According to McGoldrick and Freestone (2008), consumers are willing to pay more in order to appease their moral values. In their study, it was found that consumers are willing to pay a premium of at least 6 percent for garments that are “ethically assured”. It was also stated that willingness to pay more is considered as an appropriate indicator of consumers choosing a more expensive options when they believe that the product is considered to meet ethical standards. Self-identity refers to how individuals represent themselves in different social settings (e.g. a person would think of himself as someone who concern about the environment if he is surrounded by peers who are green consumers) (Dean et al., 2012).
Consumers’ purchase intentions are the signal of actual purchasing. Therefore, it is important to take into consideration how purchase intention affects actual buying behaviour, thus, the importance of understanding consumers’ perception towards a product. On the other hand, willingness to pay for a product takes place when there is assurance about what the product can offer, hence, paying a price for the product shows the value of the product. In addition to that, willingness to pay more occurs when the value of the product exceeds the consumers’ perceived value towards the product (Dean et al., 2012; Kehand Xie, 2009). It can be postulated that (Figure 1):
H9. Intention not to purchase luxury fashion apparel made in sweatshops will have a positive influence towards the willingness to pay more for luxury branded apparel not made in sweatshops."
Essentially, he/she is saying that people are willing to pay more to purchase products that are not made in sweatshops, either due to a moral concern or perceived value. I'm noticing that a number of the survey responses state that people are willing to pay more for products that are "Made in the U.S.A." Is this decision to pay more based on a moral concern or perceived value? Not knowing whether or not a particular product is manufactured in a sweatshop, is basing the decision to buy or not buy that particular product (and potentially pay more) solely on the country of origin the only way to avoid products that are made in sweatshops?