The slippery relationship between brand ethic and profit

For the past two decades the concept of ethics has become increasingly connected to the notion of brands, branding, consumers (consumers' decision making & choice) and consumption both within academia and the business world. The relevance-making of ethics within the marketing sphere seems to be connected to a widespread idea that consumers nowadays, to a larger extent than before, include ethical considerations when evaluating and choosing between different brands. Several marketing studies have (consequently) been performed in order to identify and reveal the preferences, attitudes, values and behaviors of typically 'ethical consumers' (see e.g. Prothero, 1990; Shrum, McCarty and Lowry, 1995; Schlegelmilch, Bohlen and Diamantopoulos, 1996; Strong, 1996). Simultaneously, and in light of this recognition, marketers have realized that ethics or ethicalness may constitute a viable and important dimension for the differentiation and positioning of the brand on the market in a way that provides the consumers with added benefits and awards the brand with a competitive edge over its rivals. Ben & Jerry's and Body Shop (now owned by the global giant L’Oréal) are illustrative examples of firms that have been successful in employing ethical branding. The branding potential identified in ethics has therefore according to Caruana (2007) prompted a commercialization of 'fair trade' (The Day Chocolate Company), a production and distribution of 'ethical' and 'sustainable' products (Ecover), in addition to a 'greening' of notorious brands such as BP and Honda. However, as will be illustrated later on, using ethics as a tool for branding and differentiation is a slippery business.