The link between advertising and CSR leads
to our next two hypotheses.
Hypothesis 2: Because consumers rely more on firm reputation when purchasing experience goods than when purchasing search goods, CSR attributes are more likely to be associated with experience than with search goods.
Hypothesis 3: Because consumers must
be made aware of the existence of CSR attributes, there will be a positive correlation between the intensity of advertising in an industry (a proxy for which is the ratio of advertising to
sales) and the provision of CSR.