Does customer empathy mediate between the environmental orientation of retail firms and customer purchase intentions?

The study reported in this paper investigates the mediation effect of customer empathy between an environmental orientation of retail firms and subsequent customer purchasing behaviour towards eco-friendly goods. The empirical study developed conceptual and operational measurement variables from prior research and collected data from retail firm customers in the Republic of Korea. Confirmatory factor analysis was used to verify reliability and validity of the collected data, and relationships between the variables were analysed using structural equation modelling. Two findings resulted as follows. First, a retail firm’s environmental orientation, manifested by a strategic approach to environmental issues and environmental capabilities, does positively affect customer empathy towards them. Second, positive customer empathy towards a retail firm’s environmental orientation positively affects customer purchasing behaviour towards the retail firm’s eco-friendly goods.