factor influencing purchase intention of electric vehicles of fpt student

Therefore, it is important to understand and grasp the factors that influence consumers'''' intention to use electric vehicles, with Vietnam being one ofthe countries with electric vehicle

INTRODUCING THE RESEARCH TOPIC:

Factor influencing purchase intention of electric vehicles of

FPT student (Group assignment 3)

(Fall 2023)

Members of group:

Trần Thị Huyền Anh - HA150107 Phạm Quỳnh Anh - HS150671 Trương Thị Khanh - HS150606 Nguyễn Thành Nam - HE150399 Nguyễn Lê Trang Linh - HS150394

ABSTRACT

I INTRODUCTION

1.1 Research background

1.2 Research objectives

1.3 Research question

1.4 Research contributions

1.5 Structure of your research paper

II LITERATURE REVIEW

1 Literature review

2 Hypothesis development

2.1 Environmental concern(EC)

2.2 Financial incentives(FI)

2.3 Price(P)

2.4 Facilitating conditions (FC)

2.5 Social influence(SI)

2.6 Proposed Research Model

III RESEARCH METHODOLOGY

1 Research design

2 Survey form

3 Survey distribution

IV RESULTS AND DISCUSSION

1 Participants overview and sample size

2 Pearson Correlation Analysis

3 Anova

4 Hypothesis Testing

4.5 Result table

5 Discussion

5.1 Environmental concern(EC)

5.2 Financial incentives(FI)

5.3 Price(P) - Reduced price of electric vehicles

5.4 Facilitating conditions (FC)

5.5 Social influence(SI)

V CONCLUSIONS

V REFERENCES

ABSTRACT

NAM

Currently, the global electric vehicle industry is extremely developing, contributing significantly to economic growth Therefore, it is important to understand and grasp the factors that influence consumers' intention to use electric vehicles, with Vietnam being one ofthe countries with electric vehicle manufacturing companies And this study explores the factors that influence consumers' intention to buy electric vehicles in Vietnam The quantitative research was surveyed by questionnaire to all students of FPT University Hanoi, obtaining 105 valid responses, conducted from October 30 to November 4, 2023 The study focused on financial factors, environmental concerns, performance expectations, convenienceand demographic influences with Descriptive Statistics and Inferential Statistics techniques The results show that environmental concerns, financial incentives, favourable conditions, and social influence have a positive impact while price has a negative impact on consumers' intention to buy electric vehicles Ultimately, this research on consumer behaviour is important because it can inform the development of appropriate policies and strategies for theelectric vehicle industry.

The rate of urbanisation in our nation is currently at 3% per year, and individuals arebeginning to see the need of prioritising a better personal life Our nation is attempting tocreate smart cities using cutting-edge technology In addition to meeting these smart cityrequirements, "green lifestyle" advertising efforts are intensifying and educating people aboutenvironmental protection vehicles (1)

According to a survey conducted by the Vietnam Association of MotorcycleManufacturers (VAMM), approximately 500,000 electric motorbikes and electric bicycleswere sold in Vietnam overall in 2017, a 30% increase from the previous year Growth rate in

2018 was around 40% The introduction of the VinFast Klara electric vehicle at the tail end

of 2018 had a significant impact on the Vietnamese market for electric motorbikes Over 3million electric bicycles and electric motorcycles are currently in use nationwide, according

to the most recent statistics from the Market Management Department (Ministry of Industryand Trade) Vietnamese consumers use between 250,000 and 300,000 electric automobilesannually

Users under the age of 18 make up 8% of users, while users between the ages of 18 and

22 make up the majority (80.4%) Most high school, high school, university, and collegestudents use electric bicycles The usage percentage is incredibly low (1%), especially among

the elderly and retired 90% of electric bicycle users are students, with office workers,workers, and housewives following closely behind (3% each) (2)

Students are the group of people that utilise electric vehicles the most, as the reportmentioned above demonstrates My team's research focused on the elements influencing FPTstudents' intention to buy electric automobiles in order to determine whether this finding isfavourable or not

1.2 Research objectives

QUỲNH ANH

- Outline the factors that influence FPT students' intention to use electric vehicles

- Evaluate the level of factors affecting FPT students' intention to purchase electric vehicles

- Provide some solutions to overcome factors to promote car purchasing by FPT students1.3 Research question

HUYỀN ANH

● Research questions about FPT student demographics

For example: Age, gender, income, degree status, ever owned an electric vehicle,

● The research question aims to find out the factors that determine FPT students' use of electric vehicles

- What factors affect students' needs and willingness to use electricity?

(factors such as awareness of the benefits and risks of electric vehicles, the cost of owning an electric vehicle, and the ease and convenience of electric vehicles compared to other vehicles.)

- What factors affect student satisfaction and loyalty to electric vehicles?

(factors such as the quality and performance of the electric vehicle, the price and maintenancecosts of the electric vehicle, the warranty service of the electric vehicle supplier, the safety and security of the electric vehicle, the variety and variety of electric vehicle models, environmental and social friendliness of electric vehicles, infrastructure and support equipment for electric vehicles, regulations and policies related to electric vehicles.)1.4 Research contributions

Practical side :

● Policy orientation: The results of this study can provide important information for government managers and related organisations in guiding policies and strategies for electric vehicle development A better understanding of FPT university students' intention to purchase electric vehicles can help identify incentives and support

measures, as well as develop appropriate policies to promote the use of electric

vehicles among the population this consumption

● Marketing and product development: This research can assist electric vehicle

manufacturers in better understanding the needs and expectations of FPT university

students regarding electric vehicles Research results can play an important role in the

design, development and marketing of electric vehicle products, from creating

attractive features and amenities to identifying market segments and suitable

marketing strategy

● Encouraging the use of electric vehicles: Researching the intention to buy electric

vehicles of FPT university students can contribute to promoting the conversion to

using electric vehicles The research results can help government agencies and NGOs

identify incentives, supports and discounts to create attractiveness and promote the

use of electric vehicles in the living community of university students

1.5 Structure of your research paper

QUỲNH ANH(5) + NAM(5)

imply if the hy

is accepted or r

1050/11/14/3863

www.mdpi.com/2071-Factors influencing thepurchase of electric vehicles in China

1 Theory of Planned Behavior

2 Technology Acceptance Model

3 Innovation Diffusion Theory

Hypothesis 1 Consumers’ attoward electricvehicles has a significantly pimpact on theirpurchase intenHypothesis 2 Consumers’ sunorm regardingvehicles has a

significantly pimpact on theirpurchase intenHypothesis 3 Consumers’ secontrol ability regarding electvehicles has a significantly pimpact on theirpurchase intenHypothesis 4 Consumers’ peusefulness of evehicles has a significantly pimpact on theirtoward behavioHypothesis 5 Consumers’ peease of use of vehicles has a significantly pimpact on theirtoward behavioHypothesis 6 Consumers’ compatibility regarding electvehicles has a significantly pimpact on theirtoward behavioHypothesis 7 Consumers’ peinnovativenessregarding electvehicles has a significantly pimpact on theirtoward behavioHypothesis 8 Interpersonal ihas a significanpositive impacconsumers’ sub

norm.Hypothesis 9 influence has asignificantly pimpact on conssubjective norm

pdfs.semanticscholar.org/

f103/5c1c05a0f7fcd2a6ad2e6015fe74d08f9fbd.pdf

Factors on consumer’s intention towards purchasing hybrid cars from Arab Buyers

1 Problem recognition2.Information search3.Alternatives Evaluation4.Purchase Decision5.Post-purchase Behaviour

H1: Price has positively imptowards buyerspurchase intenelectric cars.H2: Reputationpositively imptowards buyerspurchase intenelectric cars.H3: Brand Imapositively imptowards buyerspurchase intenelectric cars.H4: Fuel Econpositively imptowards buyerspurchase intenelectric cars.H5: Safety Ratpositively imptowards buyerspurchase intenelectric cars

purchase intention towards E-vehicles among thePotential Indian consumers

1.Review of Theoretical Framework2.Purchase intention inthe context of Utility Theory

3.Theory of Planned Behavior

4.Technology Acceptance Model (TAM)

H1 Awarenestowards EVs acontribution toenvironment hsignificant posrelationship wipurchase intenEVsH2 Performanfeatures have asignificant andrelationship wipurchase inten

EVsH3 Financial fhave a significpositive relatiowith purchase intension for EH4 The ecosysupport positivinfluence the pintension for EH5 Pro-envirobehavior has asignificant posrelationship wipurchase intenfor EVsH6 Concern toenvironment mthe relation betperformance anpurchaseintention for EH7 Concern toenvironment mthe relation betproduct awarenpurchase intenEVs

Vehicles: Empirical evidence from Vietnam

Consumption value theory

Rational choice theoryTheory of planned behaviour

H1 The willingpay is positiverelated to the in

of consumers tpurchase EVsH2a The resistchange is positrelated to the willingness to consumers for H2b Resistancchange is positrelated to the in

of consumers tpurchase EVs.H3a Need for uniqueness is positively relat

the willingness

of consumers fH3b Need for uniqueness is positively relatthe intention oconsumers to pEVs.H4a The environmental

of consumers ipositively relattheir willingnemore for EVs.H4b The environmental

of consumers ipositively relattheir intention purchase EVs.H5a The percetrust in EVs ofconsumers is prelated to theirwillingness to EVs.H5b The percetrust in EVs ofconsumers is prelated to theirintention to puEVs.H6 The personnorms are posirelated to the in

of consumers tpurchase EVs.H7a The percevalue is positivrelated to the willingness to consumers for H7b The percevalue is positivrelated to the in

of consumers t

purchase EVs.

1050/13/10/5523

www.mdpi.com/2071-Electric vehicle purchase intention of the public in Pakistan

Theory of reasoned action

Standard activation theory

Theory of planned behaviourUnified theory

Hypothesis 1 (Environmentalconcerns positaffect individubehavioral inte

to purchase EVHypothesis 2 (Performance expectancy (PEpositively affeindividuals’ beintentions to puEVs.Hypothesis 3 (Effort expectanpositively affeindividuals’ beintentions to puEVs.Hypothesis 4 (Facilitating con(FC) positivelyindividuals’ beintentions to puEVs.Hypothesis 5 (Social influencpositively affeindividuals’ beintentions to puEVs

koreascience.kr/

article/

JAKO202209156909998.pdf

Find implications for revitalising the spread

of electric vehicles by analysing important factors in purchasing electric vehicles for consumers who actually operate electric vehicles

- Theory of Planned Behavior – TPB

H1: The imporvalues of electvehicle purchafactors will vargender H2: The imporvalues of electvehicle purchafactors will vardepending on a H3: The impovalues of electvehicle purcha

factors will vardepending on tincome level H4: The imporvalues of electvehicle purchafactors will vardepending on tdegree of impo

of performance

iopscience.iop.org/

899X/1289/1/012053/

article/10.1088/1757-pdf

Identify factors that positively and negatively affect the use of electric motorbikes based on measurement standardsand recommendations and solutions proposed

by the Government and businesses to develop the electric motorbike market in Vietnam

Technology acceptance model (TAM)

H1: Perceived usefulness posaffects users' a

of EMs H2: Perceived use positively users' adoptionEMs.H3: Perceived use positively perceived usefH4: Perceived negatively affeusers' adoptionEMs

(EMs: Electricmotorbikes)

1050/7/9/12564

www.mdpi.com/2071-Analyse the psychological factors with the situational factors that impact the consumer acceptance

of full electric vehicles, and test the relationships among these factors

-Confirmatory factor analysis (CFA)-The structural equation modelling (SEM)r

-H1.A user’s

environmental has a positive

on the user’s perception of environmental

H2 A user’s

environmental has a positive

on the user’s perception of economic bene

H3.A user’s

environmental has a positive

on the user’s perception of f electric vehicle

H4 A user’s

environmental has a positive

on the user’s behavioural in towards full el vehicles.

H5 A user’s

perception of environmental has a positive

on the user’s perception of economic bene

H6: A user’s

perception of environmental has a positive

on the user’s perception of f electric vehicle

H7 A user’s

perception of economic bene positive impac user’s percepti full electric veh

H8 A user’s

perception of economic bene positive impac user’s behavio intention towa electric vehicle

H9.A user’s

perception of f electric vehicle positive impac user’s behavio intention towa

9 https://

6653/13/2/26

www.mdpi.com/2032-i) to identify the factors influencing the adoption of electric vehicles in India

(ii) to investigate the demographic factors influencing electric vehicle adoption

-Confirmatory Factor Analysis- CFAStructural Equation Modelling- SEM

Hypothesis 1 (There is a signassociation betfinancial incenelectric vehicleadoption Hypothesis 2 (

There is a sign association be charging infrastructure electric vehicle adoption.

Hypothesis 3 (

There is a sign association be social reinforc and electric ve adoption.

Hypothesis 4

(H4):There is

significant ass between environmental and electric ve adoption.

Hypothesis 5 (

There is a sign association be price and elect vehicle adoptio

that influence the intention to use electricvehicles in Malaysia

Theory of Planned Behavior (TPB)

Hypothesis 1 (H1):There is astatistical signirelationship anbetween EnvironmentalConcern (EC) Usage IntentioHypothesis 2 (H2):There is astatistical signi

relationship anbetween ConsuKnowledge (CUsage IntentioHypothesis 3 (There is a statisignificant relaand impact betPsychological (PB) and UsagIntention (INTHypothesis 4 (H4):There is astatistical signirelationship anbetween InfrasReadiness (IR)Usage IntentioHypothesis 5 (H5):There is astatistical signirelationship anbetween Demo(DG) and UsagIntention (INT

2

Hypothesis development

2.1 Environmental concern(EC)

KHANH

Environmental concern is considered to be the level of understanding and awareness

of people regarding the environmental knowledge, awareness and support they are willing to

provide to protect the environment and solve problems related to the environment

Environmental issues are the top priority of governments, customers and international

organisations today Many studies have demonstrated that environmental concerns influence

customers' decisions to purchase electric vehicles Customers are willing to use electric

vehicles as environmental concerns continue to increase at an alarming rate (Pierre et al.,

2011) (1) Many customer surveys conducted around the world confirm that environmental

concerns are an important factor in deciding whether to purchase an electric vehicle (2014)

(2 ) Additionally, people who care about the environment are more likely to purchase hybrid

electric vehicles (Khan, 2007)(3) A study from Hong Kong examined the influence of

environmental concerns along with perceived value, trust in electric vehicles, performance

response, and willingness to pay on companies' intention to purchase electric vehicles them

(Ng et al., 2018)(4) However, the EC was not found to contribute to the public's intention to

adopt electric vehicles in the study In contrast, Degirmenci and Breitner (Kenan Degirmenci

a et al., 2017) (5)suggest that EC is a stronger predictor of attitude toward electric vehicle purchase intention than price value and reliability within range From the studies mentioned above, it is clear that EC is an important factor affecting the public's intention to purchase electric vehicles Because of this, we propose the following hypothesis

Hypothesis 1: Consumers' environmental concerns are positively related to their electric vehicle purchase intention

2.2 Financial incentives(FI)

KHANH

Financial incentives are the promotion and support of positive financial activities within an individual, organisation or financial system The goal of financial incentives is to create a favourable environment for people and organisations to participate in financial activities through the provision of information, education and support tools

Government policy has a significant impact on electric vehicle adoption By formulating customer-friendly policies and providing financial incentives for production and consumption, the government stimulates product usage In Vietnam, the Ministry of Finance has also issued a draft Decree halving registration fees for electric vehicles (VinFast, 2022)(6)

Customers are motivated to buy electric vehicles due to the availability of financial incentives Many studies have confirmed that electric vehicle adoption is a result of government financial incentives The Indian government has accelerated the adoption and production of hybrid and electric vehicles (FAME) in the country To increase electric vehicle adoption in India, the government has introduced both financial and non-financial incentives Financial incentives are an important factor in determining electric vehicle adoption Financial incentives come in various forms (Siddiqui et al., 1970)(7)

In addition, electric vehicles are also environmentally friendly and contribute to environmental protection Therefore, the government offers financial incentives to encourage rapid adoption of electric vehicles to conserve resources and protect the environment (Ning Wang et al., 2018)(8) Therefore, it is believed that financial incentives are indirect drivers that play an important role in electric vehicle adoption The following hypothesis can be stated

Hypothesis 2: Financial incentives positively influence electric vehicle purchasing behaviour

2.3 Price(P)

KHANH

Price is the quantity of one thing that is exchanged or demanded in exchange or sold for another thing Price can also be defined as the value or amount expected to be paid in exchange for a product or service

The price of electric vehicles is considered to be the main factor negatively influencing consumers to purchase electric vehicles because the higher cost of Li-ion batteries today forces potential buyers to shy away from the purchase decision The high purchase price of electric vehicles is considered a major limitation in many consumer survey studies (Sanya Carley a et al., 2012 ; Zhen-Yu She et al., 2017)(9)(10) The technology used

in the production of electric vehicles is expensive and this will increase the value of the vehicle (Lance Noel PhD a b et al., 2020)(11) As continued efforts are made and newer technologies are introduced to increase the range of electric vehicles, the complexity of the battery materials (Lithium-ion batteries) used will increase (Mehmet Efe Biresselioglu a et al., 2018)(12) Therefore, replacing such batteries in the future will be very expensive Poor understanding of fuel costs and vehicle maintenance also contributes to this barrier.Hypothesis 3: Price has a negative impact on customers' intention to purchase electric vehicles.

2.4 Facilitating conditions (FC)

TRANG LINH

Facilitating conditions (FC) means the degree to which an individual believes that the organisational and technical infrastructure is in place to support the use of the system In the context of electric vehicles, enabling conditions refer to the future availability of institutions and infrastructure necessary for the smooth use of electric vehicles for daily commuting activities

Charging infrastructure:

Charging infrastructure is important for electric vehicle owners Customers are more confident when buying electric vehicles thanks to charging infrastructure (Adedamola Adepetu a et al., 2015) (13) Every customer does not have the ability to install charging infrastructure at their home Therefore, improving public charging infrastructure for electric vehicles is important Unlike traditional vehicles that often only refuel at gas stations, electricvehicles can recharge at many locations in many ways such as home, work, public places and

on the highway for long distance trips (Engel et al., 2018) (14) Cities with high land prices and larger populations need robust charging infrastructure Deploying public charging infrastructure in anticipation of growth in electric vehicle sales is critical for widespread adoption of electric vehicles For example, in Norway, there were approximately 1.3 light battery electric vehicles per public charging point in 2011, which has supported continued adoption (Iea) (15) When customers consider purchasing an electric vehicle, they consider charging infrastructure, charging point interoperability, and charging station availability (Scott Hardman et al., 2018) (16) For example, in rural municipalities, public charging pointsshould be located mainly along roads with heavy traffic to reduce distance anxiety Charging infrastructure has begun to have a positive relationship with electric vehicle adoption Therefore, good charging infrastructure plays a huge role in consumer adoption of electric vehicles

Presence of electric vehicle repair shops:

The presence of repair shops equipped to service electric vehicles can also influence consumers' decisions to purchase electric vehicles A large number of independent repair shops have begun servicing battery electric vehicles (BEVs) and hybrid electric vehicles (HEVs) On average, for every 100 vehicles maintained, 3-4 are BEVs and about 6% are HEVs (Staff, 2021) (17) Many repair shops have invested in tools, equipment, and training

of their technicians to service BEVs and HEVs (Bill, 2022) (18) This investment not only equips stores to solve specific problems related to electric vehicles, but also signals to potential buyers that post-purchase maintenance and servicing will not be a problem.However, it is important to note that the impact of favourable conditions on electric vehicle adoption may vary depending on the specific context and region For example, one