Impact of consumer perceptions of industry corruption on the choice to engage a financial advisor

Abstract

Consumer perceptions of industry corruption influences with whom and how they are willing to engage. This study explores the intersection of financial advisors’ gender and consumers’ industry corruption perceptions on the likelihood of using a female advisor as females are perceived as more trustworthy and less prone to corruption than their male counterparts. Analyses reveal individuals prefer female advisors when corruption is low, but these preferences wane as corruption perceptions heighten. This suggests the interpersonal characteristics of females being more trustworthy and ethi- cal do not carry as much weight for consumers when they perceive the industry as corrupt.