AN IMPACT ANALYSIS OF INFORMATION GAP ON NEGATIVE RUMORS FOR ECO- AND NON-ECO-FRIENDLY GOODS

Abstract

 The negative rumors have damaged citizens' and companies' benefits for many years. The purpose of this study is to investigate the robustness of consumers' decision-making for eco-friendly goods under the conditions of some negative rumors. A hypothetical market method assuming a dishwashing liquid is employed for investigating the impacts of rumors. Willingness-to-pay (WTP) values are asked for respondents under information conditions 1) no information about negative rumors, 2) simple information about negative rumors, 3) more specific information. The median WTP values per a good on eco- and non-eco-friendly goods are found to range from 210 yen to 300 yen, and from 220 yen to 290 yen, respectively. The results of the study suggest that the value of environmental goods is robust to negative rumors, and that negative rumors with short content may cause more damage.