Giving Locally or Globally? How the Destination of Corporate Charitable Donations Shapes Consumer Brand Preferences

Abstract

We investigate how the geographic destination of charitable corporate donations influences brand preferences. We predict and find that consumers demonstrate a stronger preference for brands that engage in domestic donations as opposed to those that contribute to foreign causes. Additionally, we find that the preference for domestic donations is more pronounced among consumers exhibiting higher levels of nationalism and lower levels of residential mobility. Our research findings offer managerial implications for tailoring CSR strategies to resonate with specific consumer segments. We provide insights for companies aiming to optimize the impact of their philanthropic endeavors.