Amazon

Amazon has encountered various ethical and legal challenges that have significantly impacted how consumers view the brand. These challenges include labor practices, environmental concerns, and data privacy issues, which have created a complex relationship between consumers and the brand. Research shows that ethical concerns can impact consumer trust and purchase intentions when there is a disconnect between a brand’s claims and its practices (Kim et al., 2015).

In today’s market, consumers expect brands to uphold corporate social responsibility and exhibit ethical behavior in order to maintain trust and loyalty (Clark, 2024). When Amazon’s actions do not align with its stated values, it can result in decreased brand equity and consumer engagement (RevityMarketing, 2024). Negative perceptions have the potential to diminish consumer engagement and harm the brand’s reputation, particularly on social media (G, 2024). Amazon needs to effectively address these perceptions and rebuild trust by employing transparent communication strategies (Vestil, 2024).

To tackle these challenges, Amazon should consider being more transparent and engaging in authentic brand activism that resonates with consumer values. By committing to ethical practices and effectively communicating these efforts, Amazon could improve its brand image and cultivate stronger consumer loyalty.

References

Clark, S. (2024, April 30). CSR secrets that Forge Unbreakable Customer Bonds. CMSWire.com. https://www.cmswire.com/customer-experience/using-social-initiatives-to-build-trusted-customer-relationships/

G, V. (2024, September 23). How to prevent and mitigate reputation damage. NetReputation. https://www.netreputation.com/reputation-damage/

Kim, H., Hur, W., & Yeo, J. (2015). Corporate brand trust as a mediator in the relationship between consumer perception of csr, corporate hypocrisy, and corporate reputation. Sustainability, 7(4), 3683-3694. https://doi.org/10.3390/su7043683

RevityMarketing. (2024, August 1). Building Trust: The importance of transparency in brand marketing. REVITY Marketing. https://gorevity.com/building-trust-the-importance-of-transparency-in-brand-marketing/#:~:text=There%20is%20an%20increasing%20emphasis,competitive%20edge%20in%20the%20market.

Vestil, M. (2024, September 26). Brand reputation in focus: Why it matters, what factors impact it, how to measure it-and how it drives success. Agility PR Solutions. https://www.agilitypr.com/pr-news/public-relations/brand-reputation-in-focus-why-it-matters-what-factors-impact-it-how-to-measure-it-and-how-it-drives-success/#:~:text=To%20repair%20a%20damaged%20brand,to%20rebuild%20trust%20with%20customers.