How does brand activism trigger consumers’ boycott? The mediating role of psychological contract violation

Purpose This study aims to empirically investigate how types of brand activism (financial vs non-financial commitment) affect consumers’ psychological contract violation and boycott intention and to determine how to repair this negative impact. Design/methodology/approach This study conducts three experimental studies using the scenario-based experimental design method. Findings Using data from Chinese consumers against the backdrop of the Israeli–Palestinian conflict, results of Study 1 show that financial commitments generate stronger psychological contract violation and boycott intention than non-financial commitments and that psychological contract violation fully mediates the effect of brand activism commitments on boycott intention. Results of Study 2 indicate that a higher relationship quality between consumers and the brand corresponds to a higher psychological contract violation when the financial commitments made by the brand are inconsistent with its own values. Results of Study 3 show a significant interaction between commitment type and repair strategy, with affective repair strategies being particularly effective for financial commitments. Originality/value In the context of boycott campaigns, the results of this study provide theoretical and managerial implications for how international brands respond to sociopolitical issues.