factors affecting consumersgreen product purchase intention

Key words: Theory of Planned Behavior ,Green purchase intention, Green attitude, Subjective norms, Percieved behavioral control Paper type : Reseach paper INTRODUTION 1.1.Reasearch Back

VIETNAM NATIONAL UNIVERSITY — HO CHI MINH CITY

INTERNATIONAL UNIVERSITY

Factors Affecting Consumers’Green Product Purchase Intention

BUSINESS RESEARCH AND METHOD

Lecturer: Dr Le Dinh Minh Tri

Student's Name: Lé Anh Quéc

Student's ID: BABAWE16332

Table of content ABTRACT

CHAPTER I :INTRODUTION

1.1.Reasearch Background

1.2.Problem Statement

1.3.Significance and Lmplications

1.4 Research Questions

1.5.Reseach Objective

CHAPTER I: LITERATURE REVIEW

2.1 Definition of Terms

2.1.1 Theory of Planned Behavior

2.1.2.Green purchase intention

2.1.3 Attitude toward green product

2.1.4 Subjective norms

2.1.5 Percieved behavioral control

2.2 Previous related studies

2.3 Conceptual Model

CHAPTER HI: METHODOLOGY

3.1.Research Process

3.2.Data collecction method

3.3.Sampling selection

3.4.Research design

3.5 Measurement Scale

Abtract:

Purpose: the primary objective of this paper is to study the factor affecting consumers’ green product purchase intention in Hochiminh city context

practical implications: The main goal of this topic is to discover the factors that influence people's intention to buy clean products and to change their mindsets so that they can break the bad habit of buying and using conventional product instead of green products made from organic materials that are better for the environment thereby contributing to creating the basis for the sustainable development of the economy

Design/methodology/approach : Quantitative approaches were used in the research, and the types of methodology that were used were identified, as well as how the research was conducted

To be more explicit, the procedure for gathering data with the desired sample size was clearly demonstrated This chapter featured a detailed presentation of the survey methodology Key words: Theory of Planned Behavior ,Green purchase intention, Green attitude, Subjective norms, Percieved behavioral control

Paper type : Reseach paper

INTRODUTION

1.1.Reasearch Background

Rapid economic growth has encouraged overconsumption and the exploitation of natural resources, resulting in environmental degradation Global warming, environmental degradation (soil, air, and water), ozone layer depletion, and life-threatening health problems are among the many repercussions Environmental issues have become a worldwide concern as a result of over

exploitation of natural resources (Chen, Huang, Wang, & Chen, 2020; Kumar, Luthra, Khandelwal,

Mehta, Chaudhary, & Bhatia, 2017).The literature is increasingly focusing on environmentally

responsible behavior(Catlin & Wang, 2013; Peloza, White, & Shang, 2013.In today's world, there

is a definite increase in the use of "green" or "eco friendly" items (Kodituwakku & Kanagasabai, 2011) Consumers that are ecologically concerned and informed have a beneficial role in resolving environmental issues, according to evidence from industrialized countries(Laroche,

Bergeron, & Barbaro-Forleo, 2001; Mustafa, 2006; Zelezny, Chua, & Aldrich, 2000; Milfont,

2012) Consumers are becoming increasingly aware of the negative effects of their consumption activities on the environment, and they are increasingly inclined to make green purchasing

decisions(Choi & Johnson, 2019; Kumar et al, 2017;Mostafa,2006) Private family consumption

patterns play a key role in environmental degradation Consumers are increasingly adjusting their attitudes, behaviors, and approaches to consuming as they become more aware of the severity of environmental degradation.Consumers are a critical driver of sustainable production since they account for more than 60% of final consumption in OECD nations(OECD, 2008, 2016) As a result, if consumers purchased ecologically friendly items and changed their behavior to support

environmental goals, they would have a significant impact on green growth(OECD, 2016) Consumers are becoming increasingly aware of the negative effects of their consumption activities on the environment, and they are increasingly inclined to make green purchasing

decisions(Choi & Johnson, 2019, Kumar et al, 2017;Mostafa,2006).The United Nation has

established and implemented 17 sustainable development objectives, one-third of which is connected

to the environment, just as it did in 2015 There have been recent studies on the consumption of ecologically friendly green products, particularly in developing countries (Koning et al., 2015).Hence, Vietnam cannot be an exception Vietnam is one of the countries that has both environmental and development concerns (Nguyen, Nguyen, Nguyen, & Vu, 2017).With a population of over 96.9 million people, there are environmental challenges in people's consumption (Worldometer, 2020) The amount of garbage emitted into the environment is increasing as a result of increasing consuming activities (Environment Administration, 2020) According to a report on household standard of living published by the General Statistics Office (GSO, 2012), meat and fuel consumption per capita climbed steadily from 2002 to 2012 According to data from the Vietnamese Energy Efficiency and Conservation Office, energy

demand has increased by 14% each year over the last 10 years (VNEEP, 2012) As a result, green

consumption and green procurement policies must be implemented and implemented in Vietnam

in order to encourage sustainable production and consumption It has been demonstrated that Vietnamese customers have begun to consider sustainability and the environment when making purchasing decisions

1.2.Problem Statement

However, Consumers’ adoption of green products, on the other hand, has not kept pace with their rising environmental worries.In recent years, the adoption rate of green products has been dropping (Clifford and Martin, 2011 Consumers are not buying green products as frequently as they should be,

despite their rising environmental concems(e.g Carrigan and Attalla, 2001;Carrington et al., 2010; Chatzidakis et al., 2004; Gleim et al., 2013;Gupta and Ogden, 2009) For example, a quarter of UK

customers claimed they would be ready to pay more for ethical, organic, and greener cleaning products in a recent survey (Butler2013) However, between 2008 and 2013, conventional products (.e., those that are not advertised as environmentally friendly) remained to dominate the home care market in the United Kingdom (Euromonitor International 2013) Likewise in Australia, for example, Nature's Organics, the largest brand to advertise its homecare goods based on its green image, only had a 4% value share of the entire homecare market in 2014(Euromonitor International, 2014).As a result despite consumers' good views about the environment and increasing environmental

awareness, (e.g CEAP 2007; Eurobarometer 2011) According to numerous research, there is a

disconnect between green attitudes and behavior (e.g Carrigan and Attalla2001; Chatzidakis et

al 2004; Pickett-Baker and Ozaki2008) As Carrington et al (2010)It's worth noting that many customers don't always "walk their talk." For example, despite their desire for greener choices, some customers continue to purchase environmentally dangerous products (e.g Strong 1996) Despite the fact that Vietnam has achieved progress in terms of green consumption, the shift from consumer awareness to green consumption action is influenced by a variety of objective and subjective factors In truth, green consumption in Vietnam is relatively limited, particularly in Ho Chi Minh City Hanoi is the capital of Vietnam, with a population of more than 8.2 million people and a GDP contribution of more than 16.5% However, the buying patterns of Vietnamese consumers

in general, as well as those in HCMC and Hanoi in particular, remain "easy to buy." Toad

markets and sidewalk stores are a rather regular occurrence They often choose where to shop, except for a tiny fraction of consumers with high spending levels, but they still don't have the correct consumption goals."The population's consumption habit is evolving according to the media of developed countries, using a lot of raw materials, energy, and producing a lot of hazardous waste damaging," according to the direction of Vietnam's sustainable development strategy As a result, despite the State's early concretization of a green consumption strategy, Vietnamese people in general, and Hanoi in particular, continue to consume in a "green" manner 1.3.Significance and Lmplications

Many studies have been conducted around the world to study the scope of factors that influence

green purchasing intention According to several surveys, a variety of factors influence green product purchase intention But this area is less studied in Vietnam context.Furthermore, no studies have been conducted to investigate the factors and intentions associated to green consumption behavior among various consumer groups based on psychological intention factors

As aresult, establishing effective communication messages for greener consumption in Vietnam

is now very tough to persuade The findings of the study can help green product marketers develop effective green marketing strategies that emphasize the personal relevance, social importance, and environmental significance of purchasing, using, and disposing of green products, resulting in increased customer satisfaction and influencing their decisions to buy green products From that protect the environment and society while achieving sustainable development

1.4 Research Questions

The researcher designed the following study questions in order to fill the gap identified in the available literature problem background and solve the statement of problem by identifying what factor influence customers’ green producct buying decisions in Vietnam

O What are the factors affecting consumers’ green products purchase intention in Vietnam?

O Does the level of impact of each factor affect green consumer intention ?

1.5.Reseach Objective

The overall goal of this research is to look at the factors that influence green product buying

decisions in Vietnam Based on the research questions discovered, the researcher next created

research objectives for each research question, in connection to the study's aim and research question

Ol To examine the factors affecting consumers’s green products purchase intention in Vietnam

O To examine the level of impact of each factor affect green consumer behavior

LITERATURE REVIEW

This study used a modified theoretical framework that combined consumers’ expectations and perceptions (Parasuraman et al 1985; Tseng and Hung 2013) with concepts from the theory of planned behavior, which explains how an individual's subjective norm, perceived behavioral control, and attitude lead to behavioral intention (Ajzen 1991) This modified paradigm was used

to investigate customers’ attitudes about green products and social norms, which refers to the societal pressure that people face when they engage in particular activities Using TPB as a theoretical framework, this article will explore the factors influencing green product purchasing intention in Vietnam

2.1 Definition of Terms:

2.1.1 Theory of Planned Behavior

The Theory of Planned Conduct (TPB) has been shown to be superior to other psychological models in predicting human behavior that is under one's control (Ajzen, 1991) and is one of the most important social psychology theories for predicting human behavior (Dean et al., 2012) The TPB is based on the idea of reasoned action and has been used to investigate behavioral

intentions and actual conduct (Ajzen, 1991; Wang et al., 2016; Sun et al., 2017; Shi et al,

2017).Scholars have also utilized the TPB model to investigate pro-environmental behaviour in recent years The TPB model, for example, was found by Chen and Tung (2010) to be a helpful framework for explaining consumers’ recycling intents The TPB model, according to Kléckner

et al (2013), is an adequate theory for forecasting customers’ readiness to embrace new energy vehicles The idea of planned behavior assumes that most human behavior is the consequence of

an individual's desire to engage in a certain behavior and his or her ability to make a conscious decision about it (volitional aspect) TPB was created as a follow-up to the idea of reasoned action According to the Theory of Reasoned Action (TRA), behavioral usage of a product is

generated from the intention to use it, which is obtained from the attitude toward it and subjective standards (Ajzen, I., & Fishbein, M., 1980) In addition to attitude and subjective

norms, TPB has one more construct to predict purchase intention: perceived behavioral control (Ajzen, 1991)

According to the theory of planned behavior, three factors, known as antecedents of intention,

directly influence the intention to engage in a particular behavior: personal attitude (the answer

to the question: Do I want to do that? ), subjective norms (the answer to the question: Do other people want me to do that?) and objective norms (the answer to the question: Do other people want me to do that?) and perceived behavioral control (the answer to the question:Do I have the necessary ability to do that?) These constructs, when considered together, determine an

individual's intention and, as a result, predict behavior The stronger the intention for

environmentally-oriented behavior, the more favorable attitudes and subjective norms combined with greater perceived behavioural control Apart from these inherent factors, research has confirmed the influence of socio-demographic variables (Phuah et al., 2012), health awareness

(First & Brozina, 2009; Michaelidou & Hassan, 2008; Salleh et al., 2010), and reference knowledge in the purchase of green food products (Amran & Nee, 2012; Saleki, Seydsaleki &

Rahimi, 2012)

2.1.2.Green purchase intention

Purchase intention is a core concept of consumer behavior that dedicates subjectively the probability that consumers will spend on a specific product (Dodds et al., 1991)presented that purchase intention occurs internally and is not expressed as a physical action; however, (Dodds

et al., 1991)presented that purchase intention is a core concept of consumer behavior that dedicates subjectively the probability that consumers will spend on a specific product Purchase intention, according to (Mehmood & Shafiq, 2015), is a situation in which a certain product appeals to customers and makes them inclined to buy after learning and experiencing required information about the product or service Furthermore, (Rossiter & Percy, 1997) define purchase intention as "the buyer's self-instruction to acquire the brand (or do another relevant purchase- related action)." Green purchasing intention is described as the desire to purchase a service or product that is less or not detrimental to society and the environment It can also be defined as people's internal desire, desire, and readiness to purchase a product that is less detrimental to the environment Technology is having some terrible and negative impacts on our environment, such

as water pollution, air pollution, and ozone layer destruction, among other things To prevent these detrimental effects, people are becoming more concerned and conscious of the problem, and they are embracing a new trend The public and society are becoming more aware of environmental concerns that are resulting in increased pollution in our environment as a result of

the manufacturing operations of the industrial sector (Chen, 2011; Rizwan et al., 2013) People are more aware of environmental issues, and many buyers have environmental values and are

prepared to purchase green items that have a lower environmental effect (Peattie, 1995)

Consumer behavior for environmentally friendly items has been the subject of much research

since the 1970s However, just a few research on green shopping habits have been done (Tanner

& Kast, 2003; Lee, 2008; Cheah, 2009 As a result, it's critical to comprehend green purchasing behavior, specifically buy intention, in the context of Vietnam customers Companies should

engage in marketing efforts that change customers' perceptions and encourage them to purchase green products It may be accomplished by focusing on normative beliefs and introducing new ones People's intentions to buy green items are influenced by a variety of factors that have been studied and proven to have an impact on green purchases intention The following are some of the elements that we have discovered to have a significant impact on green purchasing intention

2.1.3 Attitude toward green product

According to Eagly and Chaiken (2007), attitude is a psychological route that determines an individual's favor or disdain towards a certain item According to the theory of planned behavior,

the more favorable an individual's attitude toward a specific activity is, the more likely he or she

is to engage in that behavior (Ajzen, 1991) The intention to execute a specific behavior is influenced by the consumer's attitude According to Ajzen and Fishbein (1980, p 5)'s theory of reasoned action, "people evaluate the ramifications of their actions before deciding to participate

or not engage in a particular behavior Environmental attitude, as described by Lee (2008), is an individual's value judgment of environmental protection based on their cognitive appraisal of the importance of environmental protection Environmental attitude, according to Nik Abdul Rashid (2009), is "a acquired propensity to behave consistently in a favorable or unfavorable manner with respect to the environment." In contrast to knowledge and behavior, attitude is the most

important predictor of customers’ willingness to pay extra for environmentally friendly items

(Laroche et al., 2001) According to a research conducted in Egypt (Mostafa, 2007), consumer awareness of environmental issues is an essential element that impacts consumer attitudes toward becoming more ecologically conscious Previous study has discovered that customer attitudes play a significant influence in determining purchase intentions (Chen & Chang 2016) Chen and Chai (2010), Cowan and Kinley (2014), and Zheng and Chi (2015) found a substantial positive link between attitudes toward and purchase intentions for eco-friendly clothing Consumers’ intentions to buy green items are determined by their positive attitude toward green products (Vazifehdoust et al 2013) In the prior literature, general attitudes toward the environment and

particular attitudes toward eco-friendly items were used to study attitudes When there is a conflict between individual and community advantages, social norms can be used to estimate the

consumer's green purchasing intention (Biel and Thgersen, 2007) In fact, according to one study, social influence is the most crucial factor in determining whether or not to make a green purchase (Lee, 2008) We presented the following theory based on our past findings:

H1: There is a positive relationship between attitude toward green product and green purchase intention

2.1.4 Subjective norms

Subjective norms are perceived societal influences/pressures that drive a person to engage ina specific activity (O' Neal, 2007) When consumers are unsure about the implications of a specific

activity, they may seek assistance from others (Bratt, 1999) A subjective norm, or the perceived social force for doing a certain action, is a function of the referent's views, and it is examined

before an individual does a behavior It is social pressure imposed on customers by their family, relatives, or close friends (Ajzen 1991) Subjective norms can be defined as the felt social pressure to engage in a specific activity (Ajzen, 1991) As a result, while purchasing items, a subjective norm serves to represent a consumer's impression of his or her close relationships, such as whether or not their referents believe he or she should buy a product and their incentives

to comply to the referents (Noble et al 2009) It indicates how much an individual feels ethically responsible for others by purchasing green’s product and how essential a positive social image is

to him/her (Barber et al., 2014) Customers are more likely to alter their buy intention if their

referents have strong unfavorable sentiments about a product; similarly, a customer's purchasing intention would be increased if others more favourably reference the same thing (Kotler and

Keller 2006) A person may experience social pressure to participate in environmental actions, such as green product purchases, to comply to the expectations of external referents, if they are subject to a subjective standard Park and Ha (2012) discovered that those who bought green items had considerably higher subjective standards than those who did not Subjective norms can also explain intentions to engage in ecologically relevant activities, according to previous

research (Chan, 1998; Harland et al., 1999; Flannery and May, 2000) Subjective norm is a

significant variable that positively influences intentions to purchase organic food (Dean et al.,

2012; Ha and Janda, 2012), to visit green hotels (Teng et al., 2014; Chen and Tung, 2014), and to

engage in environmentally friendly consumption (Teng et al., 2014; Chen and Tung, 2014),

according to several studies (Khare, 2015; Sun et al., 2017; Javed et al., 2019) Based on these

inference, the following hypothesis is proposed:

H2:There is a positive relationship between subjective norms and green purchase intention

2.1.5 Percieved behavioral control

People's perceptions of how easy or difficult it 1s to perform a behavior are reflected in perceived behavioral control (PBC) (Ajzen 2002) It reflects the focal person's self-confidence in his or her

ability to carry out the behavior, as well as perceptions of access to resources and opportunities

required to complete the behavior (Ajzen 1991; Taylor and Todd 1995) The perceived ease or

difficulty of performing a specific behavior is referred to as perceived behavioral control (Ajzen,

1991) PBC has also been separated into internal and external PBC Individuals with a high

internal PBC believe they have more control over internal personnel resources such as required

skills, confidence, planning, and ability to perform a specific behavior (Armitage and Conner,

1999) External PBC describes an individual's perception of his or her ability to overcome

extemal constraints, such as time and money, that must be overcome in order to perform a

specific behavior (Kidwell and Jewell, 2003).Some external factors, such as time, price,

knowledge, and skills, may be out of an individual's control when purchasing green products

Individuals' perceived behavioral control will be stronger and their green purchase intentions will

be greater when they believe they have more resources and opportunities and expect fewer

obstacles Consumers are more likely to engage in green purchasing behaviors when they believe they have control over the factors, according to previous research (Wang, Lin and Li, 2018) Kim and Chung (2011) found that consumers’ PBC toward purchasing organic products has a positive impact on their purchase intention When consumers believe the cost of eco-friendly clothing is

too high, they are more likely to purchase traditional clothing instead (Joergens 2006) .PBC is

not only a powerful influencer of attitude and behavior change, but it is also linked to key beliefs that have been regarded as important decision-making resources (Armitage and Talibudeen 2010; Ajzen and Madden 1986) PBC, according to Roberts (1996), can positively influence

consumers' attitudes and purchase intentions When a consumer considers that significant others

may not agree to purchase a product, he or she may face psychological barriers to engaging in

this behavior, which can have a negative impact on one's PBC 2010 (Kim and Karpova) We

suggested the following hypothesis based on our past observations

H3:There is a positive relationship between PBC and green purchase intention

2.2 Previous related studies:

No | Research Title | Authors | Year Independent Dependent Findings

Variable Variable

1 Impact of Sreen, N., | 2018 | Attitude,Subjective Green -checks the impact of

behavior and behavioral control intention norms and PBC on gender on green

purchase

intention

green purchase

intention Using components from the Theory of Planned Behavior, this

study investigates the influence of individual behavior on green purchasing intention

(TPB)

2 | Understanding

consumers’

intentions to

products in the

social media

marketing

context

Ying Sun, Shanyong purchase green | Wang

2019

Attitude,Subjective Norms, Percieved behavioral control

Green

purchase

intention

Consumers’ intentions

to purchase green products are positively

influenced by attitudes, subjective

norms and perceived behavioral control

2.3 Conceptual Model

It was clear from prior research that the conceptual framework had a crucial role in the study

The model was encouraged and modified so that it could be used in the Vietnam context

Attitude toward

green product

Subjective social

norms

Percieved

behavioral

control

METHODOLOGY

3.1.Research Process

Green purchase dicision

Problem Statement

Research Objectives