Abstract

This study investigates the impact of a model's race on market outcomes using data from the multinational online shopping platform Shopee. By analyzing consumer preferences across 8 different countries/regions in Southeast Asia and Latin America, the research aims to uncover potential racial biases in Business-to-Consumer (B2C) e-commerce. I found that in Asian countries, in-group preference has the most significant positive impact on market outcomes, with Asian models leading to a 14.86% increase in the number of likes compared to White models (p < 0.001). Conversely, in Latin America, there is a notable negative bias towards products featuring Black models. Additionally, the results reveal a preference for White models for higher-priced products, which correlates with increased likes and sales in both Asia and Latin America. These findings offer critical insights into racial bias in B2C e-commerce platforms, highlighting the need for more inclusive marketing strategies.