World Views of Ethical Business

Nearly nine out of ten people (86%) in Brazil, but only half (50%) of Germans think that it is important for a company to act ethically, according to the latest figures from TGI's Global Barometer.

A significant proportion of the German population, however, base at least some of their purchasing decisions on such considerations. Over a quarter (28%) say that they only buy products from companies with whose ethics they agree and almost half (48%) say that 'would never buy toiletries and cosmetics that have been tested on animals'.

TGI examined consumer attitudes towards ethical business practice in 15 countries around the world, to discover where ethical consumerism is most established, reveal key trends and identify the implications for international marketers.

Norway, France, Mexico and Italy follow Brazil in their concern over corporate ethics. However, these beliefs do not always convert into action. In France for example, only 15% of consumers say that they only buy products from companies with whose ethics they agree.

TGI says that apart from a general growth in awareness of corporate ethics issues, interest in many countries is spreading across demographic and socio-economic ranges, losing some of its former concentration among older consumer groups and the professional classes. The only market where age still appears to be a key determinant is the US: just 56% of 18-24 year olds say that corporate ethics is important compared with 75% of people aged 55 plus.

The survey also notes increases in the proportions of consumers who 'buy Fair Trade products when available' (up to 31% in Britain), believe that 'all packaging should be recyclable' (78% of Poles) and are 'prepared to pay more for environmentally friendly products' (69% of Brazilians). It suggests that 'despite a clear demand for ethical corporate behaviour around the world, this is not translating into action for many consumers, largely due to barriers to purchase such as price, performance and availability' but suggests that, as rival brands become closer on price and quality, 'ethical marketing strategies do offer a positive means of differentiation to consumers'.

TGI can be found online at www.tgisurveys.com

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.