Investigating the role of individualism/collectivism as underlying motives and status consumption as a behavioral outcome of LOHAS: Focusing on the moderating effect of materialism

Materialism has been given great attention in the consumer behavior literature. How materialistic tendencies are shaped by advertising has also been documented. Yet, the impact of consumers’ materialism on their perceptions of ads is not clearly understood. The goal of this research is to examine the relationship between an individual’s materialism and his/her perceptions of various kinds of advertising. Using four specific advertising appeals (i.e., interpersonal, prestige/status, achievement, and appearance-related), attitudes toward the ad, and thoughts elicited by the advertisement were measured and compared across high and low materialism groups. Significant differences were found between respondents from the two groups with respect to the evaluation of each type of appeal. When prestige/status, achievement, and appearance-related appeals were used in advertising, they were evaluated more favorably by consumers with high levels of materialism than by consumers with low levels of materialism. In contrast, advertising that used an interpersonal appeal was viewed more favorably by consumers with low levels of materialism. The results of this research provide implications for marketers on three perspectives: the furthering of our conceptualization of the materialism construct, the design of promotional communication for specific target markets, and the public policy dimension of targeting consumers more vulnerable to certain appeals.

The risk of virus contracting during the COVID-19 pandemic has changed consumer preference for online shopping to meet their daily needs than shopping in brick-and-mortar stores. Online shopping presents a different environment, atmosphere, and experience. The possibility of ethical violations is higher during online than face-to-face transactions. Therefore, this study was conducted to investigate the influence of perceived health risk and customer perception of online retail ethics on consumer online shopping behavior during the COVID-19 pandemic, involving seven variables, namely perceived health risk, security, privacy, non-deception, reliability fulfillment, service recovery, and online shopping behavior. The data were collected through an online survey by employing the purposive sampling technique to a consumer who has shopped online during the COVID-19 pandemic in Indonesia. 315 valid responses were obtained and analyzed through quantitative method using SEM-Amos. The results showed that perceived health risk and four variables of online retail ethics including security, privacy, reliability fulfillment, and service recovery affected online shopping behavior. Meanwhile, non-deception was found to have an insignificant effect. The coefficient value proved perceived health risk to be more dominant in influencing online shopping behavior than the variables of online retail ethics. Thus, consumers pay more concern for their health during online shopping. However, positive consumer perceptions of the behavior of online retail websites in providing services also can encourage consumers to shop online during this pandemic.

In the current conditions of the Ukrainian economy, which is characterized by crisis phenomena and frequent changes in legislation, the insurance organizations are facing a number of difficulties in maintaining their financial sustainability. Moreover, these processes take place under the increased requirements for solvency of insurers. However, a significant part of domestic insurance companies is financially unstable, which is conditioned not only by the lack of funds, but also by the low level of management. This situation hinders the further development of the insurance market in Ukraine and has a negative impact on all areas of the domestic financial system and prevents it from successful integration into the European financial field. In order to address this problem, it is necessary to distinguish the key groups of risks that affect the financial sustainability of insurance organizations, among which there are the following: insurance, strategic, market risk, risk of inefficient capital structure, risk of limiting the insurance company’s liquidity, tax risk, investment risk, operational risk, the risk of ineffective organizational structure of the enterprise, and information risk. It should be noted that under conditions of changing environment, the impact of these risks only increases, and therefore the task of minimizing the impact of these risks on the activities of insurance companies is highly important. Accordingly, the authors of the article proposed a four-stage strategy to manage the financial sustainability of the insurance company, the purpose of which is to identify the risks of limiting the insurer’s financial sustainability, their qualitative and quantitative assessment, as well as the development and implementation of appropriate measures to minimize and eliminate unacceptable consequences.