Corporate social responsibility's impact on cross-border online shopping

A new study led by Assistant Professor Ha Kyung Lee from Chungnam National University in South Korea investigates how global companies can overcome these challenges by simplifying online shopping and highlighting their corporate social responsibility (CSR) efforts. 

The paper, titled ‘How do online sales channels affect global product purchases? The role of CSR and cross-country differences’, was published in the Journal of Retailing and Consumer Services in November 2024. 

The researchers analysed the behaviour of online shoppers from South Korea and Japan. They found that companies’ social contributions – such as supporting environmental or social initiatives – strengthen the positive effect of online ‘purchasability’ on purchasing frequency. 

“When consumers find it simple to shop online, they are more likely to purchase global products. In fact, CSR initiatives significantly strengthen this link between online purchasability and purchase frequency,” Professor Lee explains. 

One of the most surprising findings was the difference in consumer responses between South Korea and Japan. Japanese consumers, who are generally less active in online shopping than South Koreans, showed a stronger response to CSR. 

Influence of social contributions on purchasing behaviour 

“[For] Japanese consumers, CSR cues likely helped reconcile their positive perceptions of online shopping with their hesitancy to engage, making the influence of social contributions on purchasing behaviour stronger in Japan than in South Korea,” says Lee. 

This suggests that CSR can help build trust and overcome consumer hesitation to buy from foreign businesses, but that the effect of this might also be influenced by cultural predispositions. 

Businesses can apply these findings by improving usability and transparency while incorporating CSR messaging into their platform, the researchers believe. 

This approach is particularly important in markets where trust in foreign brands is still developing. For companies entering new markets, CSR can act as a strategic tool to boost consumer confidence and overcome cultural or digital barriers. 

Looking ahead, the study’s findings are likely to have long-term implications. CSR could act as a powerful tool when tailoring strategies to countries with lower online shopping adoption. 

“Over time, CSR could become a standard feature in global e-commerce, helping bridge the digital divide and making online shopping accessible to more people,” Lee concludes. 

You can find out more about the study here.