UNDERSTANDING FACTORS THAT AFFECTING PURCHASE INTENTION TOWARDS GREEN PRODUCTS AMONG GENERATION Y CONSUMERS.
CHAPTER 1: INTRODUCTION
Nowadays, environmental concern has turned into prevailing phenomena around the world resulting from the deterioration of our environment. Human can’t deny that our surroundings have changed considerably worldwide due to factors such as global warming and natural disaster which affect not only living organisms but also the economic and social conditions of people around the world (Maichum et al. 2016). According to Malaysia Ministry of Foreign Affairs, the statistic of global condition has been rise because of greenhouse gases and carbon dioxide trap have affected the global climate. This issue has become a major issue among academics, governments, and organizations. According to Gupta (2013), environmental issues have earned a rapid pace in the corporate world and in general live as well.
Facing these environmental problems such as pollution and global warming, consumers are more aware of the environmental impacts of their consumption activities and are more willing to change their buying decisions and shopping behaviours for environmental reasons (Lyon ; Maxwell, 2014). These environmental impacts makes the consumers more concerned about the environment and awareness about the destruction of natural resources has become important for them (Pino et al., 2012; Prakash ; Pathak, 2017). Therefore, increasing the awareness of the severities of environmental issues has brought about the number of consumer’s attitude towards environmentally friendly products. This is a crucial start line to bring the consumers decide to purchase environmentally friendly products and lead sustainable development.
Eco-friendly products considered as an opportunity to enter wide range of market and being developed in many aspects (Ishaswini & Datta, 2011; Coleman et al., 2011). The trends of organic food, eco-friendly electronics or products, recyclable packaging, and even safe-materials-cosmetics are already spread out. Body Shop is one of the manufacturers that concern about using materials derived from nature and focusing on how the environmental damage can be minimized (Ling, 2013; Teng, 2011). Consumers tend to avoid products that are possibly contaminated by unsafe substances. They begin to make environmental consideration for the products they purchased (Karatu & Nik Mat, 2015; Barber et al., 2009). Environmentally friendly products is alternatively known as “ecological products”, “sustainable products” or “green products” (Kamonthip M. et al., 2017) and in this study referred to as green products. Kawitkar (2013) has been defined green product as “the products which are friendly to the environment or ecology”. The author further explained that green product is the product that would not bring any harmful effect to a healthy person. Production of green products considerably increased worldwide lately, which do not pollute the environment, can be recycled, decreasing the use of natural resources and reducing or eliminating the use of toxicity materials, pollution, and waste (Dangelico & Pujari, 2010; Maichum et al., 2016). Numerous studies have analysed the intentions of consumers to purchase green products in develop nations, for example, United States (N. A. Barber et al., 2014), United Kingdom (Tobler et al., 2011) and Italy (Gracia & de Magistris, 2013).”According to Manget et al. (2009), 59% of respondents were willing to paid premium to buy some green products”.
Beside that’s, Malaysia is one of the earliest countries in the world that have taken a serious consideration regarding the environment by enhancing the Environment Quality Act way back in 1974. Besides enacting acts about environmental protection, the government has also formed the Ministry of Energy, Green Technology and Water, recently to cater the rising need and importance of green technology towards sustainable advancement. The ministry has instituted the National Green Technology Policy directly after the formation of the ministry (Malaysia Green Forum, 2010). According to Grant (2009), increasing awareness of environmental problems by the public and business has led to a shift in consumer lifestyles as they’re adopting a sustainable and environmentally friendly livelihood. Beside that’s, Malaysia also has launched its own eco-labelling schemes under Standards and Industrial Research Institute of Malaysia (SIRIM). Any organizations in Malaysia can apply when they have intention to claim and certify their product as green product under SIRIM Eco-labelling Scheme which also known as National Eco-Labelling Programme of Malaysia. According to SIRIM (2011), product categories under this scheme include cleaning agents, construction or building, home appliances, home care products, lights, office supplies, package container, paper products or inks, personal care products, food and plants, adhesives and other product categories.
A study of green awareness on generation Y purchasing behaviour towards green products has become one of the major current research topics in Malaysia. However, there are still a gap existed on the awareness of generation Y towards purchasing green brand products in Malaysia. Young generation is the future of our society and country, which they seem to have the attitude and concept is different when compared with other generations (Kanchanapibul et al. 2014). Young consumers are the main potential of green consumer group because they’re ready with ideas, knowledge, attitude and green awareness. Other than that, they’re able to understand the complexity of the green market as well. Nevertheless, even though Asia country like Malaysia has sustained the environmentalism practice, the study involving green awareness on generation Y purchasing behaviour towards green products remain low. This statement can be supported by Adilah et al. (2016) state that although 40% of generation Y comprise Malaysia population, but only 4% of them are willing to buy into the green products. Therefore, it is essential to know the factors that affect purchase intention of green products among generation Y and I decided to do a survey in Malacca which in 3 district area that are in Melaka Tengah, Alor Gajah and Jasin.
1.1. Problem Statement
Global warming became a critical issue for every country and it affected the average temperature of a country. According to Wahid et al. (2013), Malaysia was rapidly showing that increasing of carbon emission in year 2003 which means Malaysia temperature was slightly increased from year 2009 to 2013. These data could be interpreted as Malaysia is experiencing the problem of global warming said Department of Statistic Malaysia (2013). Refer to Vaughan (1993), consumers are started to become more aware of those issues surrounding equitable trading. Moreover, Strong (1997) also mentioned equitable trading will be increased social concern towards environment and it will directly influence personal purchasing behaviour.
Going green in Malaysia also nowadays have expend widely in school, universities and workplace. Responsibility to reduce pollution problem and to protect environment are not only for government but also for individuals to mitigate the pollution problem. There are some obstacles that are found in terms of the factors that influence consumer purchase intention to buy the green product. Lack of information and marketing on green products makes green product less usable and less purchase in the market. Individuals can help by reducing their waste that can contaminate the environment by recycling, or by consuming the green products which usually more expensive compare to conventional product.
Nielsen’s (2011) stated Global Online Environment and Sustainability Survey in 51 nations which studied more than 25,000 respondents; it showed an upward trend for the concern of environmental issues. In the same report, it highlighted 90% of Malaysian’s consumers are concern about the environmental issues and about 2/3 of the consumers are intense to purchase products which are not harmful to our environment. Furthermore, the report also shows 76% of consumers are willing to pay more for environmentally friendly products. Hence, these data and information are hinting us which green purchase intention and environmental concern are closely related in Malaysia.
Beside that’s, there are many research studies on green purchasing behaviour are done by Kamal & Vinnie, 2007; Lee, 2008. However, most of the researches are less likely focusing on generation Y groups. The research is focuses on generation Y because they possessed important environmental concerns and responsibilities. Generation Y become the main focuses target audience in the research because recently generation Y people constitute a large part of the world’s population, due to their longer life expectancy and large demographic segment of consumers with high spending power. It is estimated the population of generation Y comprises of around 40% of Malaysia population group or in the circa of 11 million population as at 2010 (Department of Statistics Malaysia, 2011).
Although there are many researches done on examine the environmental and green purchase behaviour of consumers. However, they are less research focus on green purchasing intention of Generation Y consumers. Precisely, there are few researches conducted on Generation Y green purchasing intention as most of the Malaysian research are focus on all age group as concern. There are many available researches studies directed on green purchasing intention of antecedents group which aged from 12 to 18 years old by Lee, 2008; Kim ; Choi, 2014. Besides, there also many accessible researches studied based on examining the green purchase intention of respondents from all age group and focus more on demographic characteristic of respondents such as studies from D’ Souzaet al., 2007; Diamantopoulosaet al., 2003.
Lustigman (1994) also found generation Y people are more likely to purchase environmentally sensitive products. Mohd Rafi et al. (2003) do a research and found out the educated consumers in the East Coast of Peninsular Malaysia, has not or slightly awareness of green products. In addition, the reseach study by Alwitt &Berger’s additionally discovered that 70% of consumers did not buy green products or service even that they has shown their concern for the environment. Thus, Consumer’s response to green products is not consistent (Yam & Chan, 1998).
Furthermore, there are few previous researches have figured out that 70% of consumers have shown their concern about the environment but they did not engage in green purchasing (Wong et al., 2012). Therefore, it can be indicated that consumers’ intention is not reliable. This might be due to different consumers’ point of views toward green purchasing result in different purchase intention (Wong et al., 2012). Hence, problem statement has been built up in order to understand the underlying development of purchasing intention of consumers toward green product. Other than that, study conducted by Nik Abdul Rashid (2009) shows that consumers may not necessarily would purchase green products or services although they have plenty knowledge on green products and eco-labels. This means that they did not perform in green manner although they realized on the environmental degrading. Consequently, different countries have different point of view toward the green products idea thus they have different purchase intention. Meaning that the purchase intention and attitude of generation Y varies depend on country.
1.2. Research Objectives
1.2.1. To investigate the factors that affecting purchases intention towards green products.
1.2.2. To investigate the impact between environmental concern and purchase intention towards green products.
1.2.3. To investigate the impact between social influence and purchase intention towards green products.
1.2.4. To investigate the impact between self-image and purchase intention towards green products.
1.2.5. To investigate the impact between man-nature orientation and purchase intention towards green products.
1.2.6. To identify the factors which are most significantly influence purchase intention towards green products.
1.3. Research Questions
1.3.1. What are the factors that affecting purchase intention towards green products?
1.3.2. How environmental concern can be impact on purchase intention towards green products?
1.3.3. How social influence can be impact on purchase intention towards green products?
1.3.4. How self-image can be impact on purchase intention towards green products?
1.3.5. How man-nature orientation can be impact on purchase intention towards green products?
1.3.6. Among these factors, which factors have the most significantly effect on purchase intention towards green products?
1.4. Scope of the Study
In this research, the scope of study was focused on the perspective of generation Y consumers purchase intention towards green products especially in consumer goods in Malacca. The research was identifying the relationship of factors with the consumer purchase intention towards green products especially consumer goods like green foods, green cleaning products and durable goods like electronic products, cars, housing and others. This study covers for both male and female consumers that are using the green product in Malacca. Malacca has three district areas which are in Melaka Tengah, Alor Gajah and Jasin. In Malacca, there has their vision which is “Melaka Maju Negeriku Sayang Negeri Bandar Teknologi Hijau” in 2020. This theme and from this study, can determine how far Melaka residents attention to using the green product in their daily life. This study also focus on Generation Y where it comes from consumers that born between from 1978-1994 (Thompson, 2005).
1.5. Significance of the Study
1.5.3. Generation Y
This study is to identify the factors influence generation Y consumer perception of green product purchase intention in Malacca. This information was helpful in understanding the relationship between consumer perceptions on green product and how was their purchase intention to buy it. Understanding of variables such as environmental concern, social influences, self-image and man-nature orientation will be able to help further understand on how these variables affect the consumer purchase intentions of generation Y. Focus on generation Y is essential as this group of population will soon dominate the consumer market as the baby boomer aging that born from 1978-1994 which is now 24 years old until 40 years old. Better understanding on the purchase intentions of generation Y will assist the marketer to come up with the right product to fulfil their needs.
1.5.1. Manufacturing Firms
This study will significantly provide the contribution of better concept for the firms to understand better on the factor that affecting purchase intention towards green products amongst generation Y. Green firms such as Ikea, Unilever, Toyota, Body Shop and others may gain information about the factor that cause consumer to request a green products and understand the features of green products that request by generation Y. It also can help green firms well known on the consumers’ willingness to buy green products. To know what are the factors that have influenced their purchase intention, green firms in Malaysia can allude to this research to understanding more what generation Y in Malaysia think, how to trigger their purchase intention and increase the sales among generation Y in Malaysia. Therefore, it can improve the movement of motivation to adopt the green products amongst generation Y in Malaysia towards green products.
There also can refer to this research in order to develop green marketing strategy which involved advertisement, green packaging, promotion and green awareness program. According to the Soonthonsmai (2007), marketers can minimize environmental problems by engaging in ecological activities such as green marketing. Green marketing is a management process which responsible to determine, planning, providing the beneficial toward the society and customer in order to satisfy their requirement in a sustainable way (Chen ; Chai, 2010). Marketers who promote green marketing can satisfy customers’ needs and at the same time avoiding harmful effect on the environment.
1.5.2. Future researcher
This study provides an insight to future researchers the analysis of generation Y purchase intention towards green products and how all main factors affect their purchase intention, environmental concern, social influence, self-image and man-nature orientation. This research also will bring a great exposure towards certain issue about purchase intention amongst generation Y that need to take in consideration.
1.6. Research Limitation
Throughout the progress of conducting this study, there are several limitations that have been identified and important to be pointed out in order for the researchers to learn and acknowledge.
The first limitation in this study is geographic. Researchers only distribute survey question to generation Y in Malacca. Every state has own different culture. So, respondent may have diverse attitude toward intention to buy green products.
Secondly, researches just focus on generation Y which age group is between 24 years old to 40 years old. Due to different age group may have different perception towards green product, hence they will have different perceptions towards green product.
Thirdly, due to time constraint, the sampling technique used for this study is convenience sampling technique. The major problem of using convenience sampling is that may cause bias due to researchers’ selective behaviour during questionnaire distribution. Respondents only drawn from convenience sampling based on availability and convenience basis in order to overcome the limited time available.
1.7. Definition of Terms
1.7.1. Green Firms
Firms whose purpose, activities and its own material existence are in full harmony with the natural and cultural environment, and whose employees strictly follow ethical rules in relation and communication among themselves and with the company’s stakeholders (Biloslavo & Trnavcevic, 2009).
1.7.2. Green Consumer
Renfo, 2010 shows green consumers can be defined as the people who support business that trade in the environmental friendly or green manner. Not only organic product will be buy by green consumers, those products that have eco-label or eco-friendly packing will always being chosen by green consumers.
1.7.3. Green Products
Kawitkar (2013) defined green product as the products which are friendly to the environment or ecology. The author further explained that green product is the product that would not bring any harmful effect to a healthy person.
1.7.4. Purchase Intention
Integration of the interest of customers in purchasing a product as well as the possibility of purchasing (Wu et al., 2015)
1.7.5. Environmental Concern
Environmental concern can be characterized as a consumer’s view of a nation’s environment (Newton et al., 2015).
1.7.6. Social Influences
Wahid et al. (2012) stated that social influence is a proxy of subjective norm. In other words, social influence has the same meaning with subjective norm.
Werff (2013) stated self-image can be defined as how a person labels and describes him or herself. In addition, environmental self-image can be referred to the extent to which you see yourself as a type of a person who acts environmental-friendly (Werff et al., 2013).
1.7.8. Man-nature Orientation
Man-nature orientation can be referred to as the relationship that exists between man and his/her natural environment (Bina & Vaz, 2011). Churchail (1979) defined as the friendly performance of humans toward nature because of the love of nature and the performance of protecting nature behaviour.
1.7.9. Generation Y
Generation Y comes from consumers that born between from 1978 until 1994 (Thompson, 2005).
CHAPTER 2: LITERATURE REVIEW
This chapter focus on discussion of literature review, review of relevant theoretical model, conceptual framework and hypotheses development. The literature review consists of dependent variable which is purchase intention and independent variable which is environmental concern, social influence, self-image and man-nature orientation, which related to the research topic and research objectives. Following by reviewing of theoretical models that been studied previously as the foundation to develop new ideas for the conceptual framework. The conceptual framework is then formed based on the research objectives and research questions. In this section, we will explain the nature and directions of the relationship between dependent variable and independent variable. The last part is the formulation of hypothesis to test the validity of the theory formulated.
2.1. Purchase Intention
Purchase intention can be defined as an Integration of the interest of customers in purchasing a product as well as the possibility of purchasing (Wu et al., 2015) or an advance plan to purchase certain good or service in future, this plan may not always lead to implementation, because it affected by ability to perform (Warshaw & Davis, 1985). In other word, what the consumer think and will buy in their mind represents the purchase intention (Blackwell et al., 2001). Other than that, purchase intention can also determine the possibility of a consumer lead to buy action, through identify the intensity of purchase intention, there is a high probability to purchase particular item when the purchase intention is stronger (Dodds et al., 1991; Schiffman and Kanuk, 2000). Purchase intention has been an important concept in marketing literature and most companies are using purchase intention as the predictor of the sales of new products and the repeat purchases of existing products (Ali et al., 2011). According to Chan (2011), purchase intention has the great possibility to affect the purchase green product and green purchase intention as the predictor of green purchase behaviour.
Green purchasing intention is also examined as an indicator of a subsequent behaviour in response to the purchase of green products (Park & Ha, 2012). The idea of intention to purchase toward particular products or services is the final cognitive step in the decision making process of purchase intention, this statement agreed by most of the past researchers (Agarwal & Teas, 2002; Erevelles, 1993; Han, 1990). In additional, marketers are interested to purchase intention, because it can help them in market segmentation and support their decision making like where the product should be launch (Sewall, 1978; Silk & Urban, 1978). Last but not least, it still has been found that there are positive relationships between environmental concern, social influence, self-image and man-nature orientation with purchase intention.
2.1. Environmental Concerns
Environmental concern can be characterized as a consumer’s view of a nation’s environment (Newton et al., 2015) or it can refer as a consumer’s emotional reactions such as worries, dislikes and compassions toward the environmental problems (Milfont ; Gouveia, 2006). According to Alibeli ; Johnsons (2009) environmental concern indicates the extent to which people are aware of the environmental issues and the willingness of them to solve the environmental problems. Lee (2008) defined environmental concern as the “degree of emotional involvement in environmental issue”. The way consumers express environmental concerns based on product characteristics, exactness of eco-friendly product claims, information given on the products and the advantages (Luchs et al. 2000). Environmental concern can be as the emotional involvement of the consumers in environmental issues and they are aware and willing to solve those problems.
Aman et al. (2012) had been conducted to examine the influence of environmental knowledge and concern on green purchasing intention on 384 Sabahan consumers. The research finding also showed that environmental concern has significance influence on the green purchasing intention. The authors also figured out that the higher level of environment concern has positive impact on consumer’s attitude and hence this attitude will lead to the green purchase intention. According to Suki (2014); Karatu & Mat (2014) saying that people with more environmental knowledge and concern tend to have positive attitudes toward environmental products.
Consumers who are more aware on the environmental damage and have a high involvement on environment practices will be more willingly to purchase organic food products (Mgistis & Gracia, 2008). Consumers’ attitudes towards acting in environmentally concerned ways are a good predictor to measure the environment value of consumers (Minton and Rose, 1997). Besides, mostly Western consumers and also other developing countries belong to middle classes; have presented their concern towards environmental issues (Ali et al., 2015). In fact, they have done personal efforts to reduce the impact on the environment. Environmental issues correlates to an individual’s principal attitude, morals and opinions, environmental legislation and understanding.
Environmental concern indicates an individual’s habitual approach toward the environment and an individual’s extent of concern about environmental problems has been established to be a valuable forecast of eco-friendly behaviour, encompassing from recycling behaviour to green purchasing behaviour. An example of this is that customers, who have greater environmental concerns, are more inclined to buy products that impact less on the environment than customers who are less concerned with the environmental problems at hand (Smith, 2013:98). Consumers’ awareness in green products has led consumers’ behaviour to being concerned with green products, educate on green concepts, teach about environmentally sustainable products to others formally and informally and to make personal behaviour more environmentally friendly (Laroche et al, 2001).
2.2. Social influences
The research tries to enhance understanding of social influences on purchase intention within the context of the communities of virtual consumer. Virtual communities can be an important source of social influences on purchase intentions (Bickart & Schindler, 2001). They are based on interactions of social, where some relationships are built and interests are shared (Lin, 2008). Members within these communities seek and share information that is related to the product brand and stores. Because of this lack of insights within the area of virtual consumer communities, it enhanced a better knowledge regarding with social influence that effect on purchase intention within these customers. Wahid et al. (2012) stated that social influence is a proxy of subjective norm. In other words, social influence has the same meaning with subjective norm.
According to Farzana (2012), consumers are always influence by their social group in the decision making process and individual are more likely to seek the advice from those who are more expert in the area especially when purchase a high-involvement products. According to her research, in the purchasing green products process for generation Y, the social influence might come from peers (Farzana, 2012). Based on a research carried out by Osman (2012), 35.6% of 1814 Malaysian respondents think that the trend in society is the criteria that will influence on the green products purchase decision (Osman, 2012). Othman (2011) supported that social pressure has an influence toward the consumer with green purchase intention in performing the actual buying behaviour.
According to Adilah et al., (2016), previous studies conducted have been found that consumers like to discuss their environmentally friendly attitude with their friends and they would follow group norms in order to gain acceptance in groups. In addition, in Adilah et al., (2016), stated that family is an external factor which has a direct influence an individual in purchasing products. This is due to family is considered to be one of the most valuable sources in building individual norms and belief. Thus, family influence is able to be inspiration to generation Y in shaping their behaviour towards green awareness as they are the individual closer to young people. According to study by Lachance et al. (2003), compare to parental influence, peers have higher degree of influence toward a teenager in choosing a clothes brand (Lachance et al., 2003). From another research done by Yoh (2005), peers exert higher level of influence than parent in teenagers’ athletic shoe purchasing (Yoh, 2005). Similarly, Subramanian (1995) found peers have stronger influence on young adult in choosing fashion cloth (Subramanian 1995).
Social influence motives direct information processing by focusing people on a relevant set of information involving reality, relations with others, and the self. Social influence research has demonstrated these changes in meaning, especially by applying the values and ideologies shared with self-relevant social groups. In social influence settings, changes in meaning potentially emerge as people try to understand, relate to others, and be themselves. Thus, any one of the influence motives might yield changes in the meaning of an issue, product, or brand. However, most of the research on meaning change to date has focused on one particular motive, the desire to align with valued reference groups and differentiate from devalued ones.
Most of the times, consumers try to preserve, save, show care and try to improve the environment by altering their self-images through buying of green products and they also stick to the brands which in their eyes are eco-friendly and so in consistency with that individual’s self-image and in the same way they avoid those brands and companies, who are not environmentally friendly in their eyes (Schiffman & Kanuk, 1997). Self-image can be defined as the value of how a person perceived himself or herself (Goldsmith, 1999). Self-image can also be defined as how a person labels and describes him or herself (Werff et al., 2013). In addition, environmental self-image can be referred to “the extent to which you see yourself as a type of a person who acts environmental-friendly” (Werff et al., 2013). In this current study, self-image can be referred as the extent of an individual perceived him or her as person who acts environmental- friendly
Oliver and Lee (2010) was examined the relationship between self-image congruence and the purchase intention on hybrid car among 1,083 US drivers (individualist culture) and 783 Korean drivers (collectivist culture). The research finding indicated that consumers from US and Korea had a positive relationship between self-image congruence associated with hybrid car’s purchase intention. Lee (2008) also figured out that concern of self-image of the consumers implied the role of social function in green purchasing intention of younger consumers. Fielding et al. (2008) found out that green self-image is an independent predictor of organic purchase intention although self-image should influence consumers’ intention through attitudes theoretically. Thus, consumers who are environmental concern are more likely to purchase green products that are environmental friendly (Michaelidou & Hassan, 2008; Tan, 2013). This is supported by Werff et al (2013) which argued that individual with strong environmental self-image will be motivated to act in environmental-friendly manner because they will feel guilty when not act in what they ought to do. According to the identity theory, individual tend to categorized themselves in a meaningful socially group (Rise et al., 2010). People who view themselves as individuals who are environmentally-friendly are more likely to behave as environmentalists than the people who have weak self-image on environmental friendly (Werff et al., 2013).
Adolescent is specifically the phase when naturally individuals feel a bit insecure and seek to have some personal identity of their own-self (Kersting, 2004). ‘Self-concept’ is another word for ‘self-image’; and it covers the phenomenon as to what people think about themselves and how they think that other people around view them. Most of the times, people try to create their self-image which is acceptable to the reference group, to which they want to associate themselves with (Faust & Smardon, 2001). In addition to that, the image of someone as an environmentally-friendly will portray a good image about him/her in others’ eyes. Studies conducted by (Lee, 2008) on Hong Kong adolescents revealed that self-image related to concern for environmental preservation was at the 3rd spot in the list of determinants of intentions to buy eco-friendly products; social influence and environmental concern being at the 1st and 2nd spots respectively (Faust ; Smardon, 2001). This finding means that adolescents are really concerned about maintaining their self-image related to buying of eco-friendly products should be synchronized with their reference groups (Hosany ; Martin, 2012).
2.4. Man-nature Orientation
Man-nature orientation describes the relationship between human beings and natural environment. Chinese believe that the relationship between human being and nature should be guided by a win-win principle. Environment may ensure individuals a long-term survival, when utilized responsibly (Chan, 1963; Miles, 1992). Therefore, people should regard nature as a strategic partner that will help them continue their daily activities (Chan ; Lau, 2000). Man-nature orientation can be referred to as the relationship that exists between man and his/her natural environment (Bina ; Vaz, 2011). Churchail (1979) defined as the friendly performance of humans toward nature because of the love of nature and the performance of protecting nature behaviour. Many studies assert that there are three points that cover the vast topic of man-nature orientation which are subjugation to nature, harmony with nature and mastery over nature (Gleim er al., 2013).
Human beings must understand the ways of nature and then act in accordance with them (Ozaki ; Sevastyanova, 2011). It means human beings must live in complete submission to the nature and natural or super-natural forces (Polonsky, 2011).
Live in a semi-control or partial-controlling authority over the nature, thus compromising with the nature and natural or super-natural forces (Brécard et al., 2009). Human beings need to learn the ways to adapt to changes in nature in an attempt to reach harmony instead of ruling or mastering it. Man should try his or her level best to maintain the naturally ecological balance inherent in an environment (Kang et al., 2012). He or she must try to save and preserve the planet Earth and all the natural systems and resources, it contains in itself (Chairy, 2012). This involves taking initiatives by every individual based on his capacity to curb the impact of activities over the environment and thus bringing down the levels of carbon footprint, which otherwise may lead to inhabitation of our planet (Birgelen et al., 2011).
Live in a complete control over nature and natural or super-natural forces. Man is not entitled to deploy any of the natural resources, being the master of the nature; as they wish (Bina ; Vaz, 2011). As the concerns of society for nature and environment have increased, companies are now modifying their attitudes and behaviours in an effort to solve these contemporary concerns of society. Many businesses have swiftly adapted to the EMS (Environmental Management Systems), waste recycling and disposal management and minimization of waste materials hazardous and fatal for both man and environment (Attfield, 2011). They have well-integrated these environmental aspects into their overall business functions (Gärling, Fujii, Gärling, ; Jakobsson, 2003). Values refer to the basic principles, which direct the formulation of attitudes and acts (Han, Hsu, Lee, ; Sheu, 2011). It means that the attitudes of the people will have an effect over their thinking patterns and also their feelings ; emotions; which ultimately will determine their behaviours, say buying behaviours of consumers (Groot ; Steg, 2010).
These environmental values play a basic part in pro-environmental behaviour because value shave an effect over beliefs which in turn have an effect on the personal norms ultimately leading to consumers’ pro-environmental behaviour (Farcy & Devillez, 2005). American and European cultures are highly pragmatic knowledge base cultures and they follow mastery over nature, whereas the Indian, Japanese, Chinese, South African and South Korean cultures are moderately pragmatic and compromise with the nature (Feigenbaum, 2012). In addition to that, the people belonging to the Muslim cultures and tribes believe in myths and aesthetic knowledge system, so they entirely are subjugate to the nature (Cartmel, Loescher, & Villar-Werstler, 1992).
The Value Orientation Theory comprises of five basic aspects pertinent to human actions (Watkins & Gnoth, 2011). Man-nature orientation is one of the several domains value orientations. It is basically concerned with the interrelationship that exists between a man and his nature and environment surrounding him/her. The people belonging to the Western cultures think themselves as totally separate from nature. Contrasting to it, the people belonging to Asian culture tend to think themselves as living in harmony with the nature and environment (Mayer & Frantz, 2004). People belonging to the collectivist cultures were more eco-friendly in their behaviour as compared to those who belong to individualistic cultures (Hinds & Sparks, 2008). Chan (2000) found out in his study that the effect of man-nature orientation on emotions related to eco-system, environment and environment related knowledge provides valuable and rigorous insights into the manner in which cultural values actually determine consumers’ pro-environmental behaviour(Chan ; Lau, 2000). This eco-friendly behaviour is exhibited through consumers’ emotional responses towards environmental issues unconsciously rather than cognitively grappling environmental issues (Rehman and Bin Dost, 2013). Culture is a powerful influencer and is so automatic & spontaneous that the influence it exerts is perceived as for granted (Kongsompong, Green, & Patterson, 2009). This leads to the point that businesses today must well grapple the cultural values, beliefs and norms inherent in their target market before actually striving to bring a change in attitudes of their potential consumers. Only in this way, chances are highly probable that they can shape or change the purchase intentions and buying behaviours of their prospective consumers, in ways they want (Kilbourne & Polonsky, 2005)
2.5. Proposed Theoretical Framework
Proposed theoretical or conceptual framework is a diagram that shows the display of both dependent variable and independent variables and connects or links those variables to form a test on this study. The framework below are modified from the literature review, there are four independent variables (Environmental Concern, Social Influence, Self-Image and Man-Nature Orientation) that are developed to identify their relationship with dependent variable (Purchase Intention of green products among Generation Y).
(Independent Variable) (Dependent Variable)
Source: Adapted from Conceptualizing Green Purchase Intention in Emerging Markets: An Empirical Analysis on Pakistan by Zia-ur-Rehman, Muhammad Khyzer Dost (2013).
2.4. Hypotheses Development
The hypothesis is a tentative prediction or explanation of the relationship between two or more variables that has been expressed in the form of a testable statement (Bailey, 1978). It would show that the existence of a systematic relationship between independent variable and dependent variable in this research. Hypothesis used to test whether independent variable is applicable to factors that affecting purchase intention of green products among generation Y. thus, it has been hypothesized that:
2.4.1. H1 : There is a relationship between purchase intention and environmental concerns.
2.4.2. H2 : There is a relationship between purchase intention and social influences.
2.4.3. H3 : There is a relationship between purchase intention and self-image.
2.4.4. H4 : There is a relationship between purchase intention and man-nature orientations.
CHAPTER 3: RESEARCH METHODOLOGY
This chapter will discuss about the procedures followed in gathering the data necessary for the analysis to meet the research objective. It is quite critical because the procedures can easily invalidate the study. It must be consistent with the objective of the study. In this chapter consists of research design, target population, sample design such as sample size, sample technique and sample frame, research instruments and data collection method.
3.1. Research Design
Research design is a framework or blueprint for conducting the research paper. It specifies the details of the procedure that is necessary for obtaining the information needed to structured and or solve research problem. A research design lays the foundation for conducting the project. A good research design will ensure that the research project is conducted effectively and efficiently.
This research is a descriptive research. Descriptive research was used to gives researchers an opportunity to use quantitative data in order to find data and characteristics about the population or phenomenon that is being studied. Advantage of descriptive research is the unique data collection form of case studies. This data collection allows descriptive research to provide an insight into life experiences in a way that other research methods can’t (Swindells, 2004).
3.1.1. Purpose of Study
The purpose of this study is to examine the relationship of environmental concern, social influences, self-image and man-nature orientation towards green products.
3.1.2. Type of Investigation
The researcher applied correlational study in this research that also known as the descriptive research. The correlational study is a study that led to carry out main factors related with the variables of interest. Hence, this study was carried out to seek whether the main variables had significantly or did not significantly affect one another.
3.1.3. Unit of Analysis
The unit of analysis of this study is generation Y consumers in Malacca. Accordance to the subject of the research, it shows that the unit of analysis for this study is individuals. The researcher will observe the data collected from each consumer and treating it as individual data resources.
3.1.3. Study Setting
The study setting that applied by the researcher is non-contrived where the study was conducted in natural environment and it study proceeds normally.
3.1.3. Time Horizon
The researcher uses a cross sectional studies in this research since It were conducted and gathered only once at one time or one shot. The researcher use face to face interview to distribute questionnaire for the generation Y consumers. The distributions of questionnaire are done every week from 12 May 2018 until 3 June 2018 at 11.00 am to 6.00 pm and the respondents have completed the questionnaire at an appropriate time.
3.1.3. Population of Study
The target population in this research is generation Y in Malacca, who is born from 1978 until 1994 (Thompson, 2005). Othman (2011) stated the generation Y consumers as the likely new leaders of the modern-day green movement. According to Department of Statistic Malaysia (2017), Malacca Generation Y’s population is approximately around 200,000 people. The reason behind of target on this population is because there is high population of green product user are young adults (Edison, 2010). Moreover, in public area, we can meet many generations Y came from different district area in Malacca such as Melaka Tengah, Alor Gajah and Jasin, so there are high chances to survey with different people from different district area in Malacca. Thus, the researchers can collect suitable data for this research from them.
3.2. Sample Design
Sampling is defined as the process of selecting a smaller group of people who basically have the same characteristics and preferences as the total group from which it is drawn is called sampling (Wrenn et al., 2006). Sample is subset from population. A researcher need not select every item in a population because the results of a good sample should have the same characteristic as the population as a whole (Zikmund, 2009). It is very important for researcher to design their sampling framework, because it helps them to collect data in way of cost effective and work efficiency. Besides that, select the most appropriate sample from the population may provide more accurate answer while answering the questionnaire.
3.2.1. Sample Size
Table 3.1: Sample Size for a Given Population
N S N S N S
10 10 220 140 1200 291
15 14 230 144 1300 297
20 19 240 148 1400 302
25 24 250 152 1500 306
30 28 260 155 1600 310
35 32 270 159 1700 313
40 36 280 162 1800 317
45 40 290 165 1900 320
50 44 300 175 2000 322
55 48 320 181 2200 327
60 52 340 191 2400 331
65 56 360 196 2600 335
70 59 380 205 2800 338
75 63 400 210 3000 341
80 66 420 217 3500 346
85 70 440 226 4000 351
90 73 460 242 4500 354
95 76 480 248 5000 367
100 80 500 260 6000 361
110 86 550 265 7000 364
123 92 600 274 8000 367
130 97 650 278 9000 368
140 103 700 169 10000 370
150 108 750 186 15000 375
160 113 800 201 20000 379
170 118 850 214 30000 380
180 123 900 234 40000 380
190 127 950 254 50000 381
200 132 1000 269 75000 382
210 136 1100 285 1000000 384
Note: N is population; S is sample size
Source: Adopted from Sekaran, U. (2003). Research method for business: A skill building approaches (4th Ed.). New York: John Wiley & Sons, Inc.
Sample size is a number that used to represent the total target population. According to Sekaran (2003), the sample size decision is simplified by Krejcie & Morgan (1970) by creating the table 3.1 as guideline to determine the sample size. The total number of generation Y is around 200,000 peoples. According to table 3.1, the sampling size for this study should be approximately 382 respondents. Thus for this study, a total number of 382 sets of survey questionnaires are distributed to the target respondents as actual test.
3.2.2 Sample Technique
A sampling technique that has been used in this research is convenience sampling. Convenience sampling is a non-probability sampling technique that attempts to obtain a sample of convenient elements. The interviewers will be left primarily to the selection of sampling units (Malhotra, 1996). Convenience sample is nonprobability sampling techniques which have the advantages of relatively easy sample selection and data collection (Anderson, Sweeney, & Williams, 2008). In Convenience sampling, elements for the sample are selected based on the convenience of researcher (Black, 2011). Convenience sampling has allowed us to gain data in the way of least expensive and least time consuming. In this research, the researchers would distribute questionnaire to the targeted respondent which is the generation Y in public area.
3.2.3 Sampling Elements
The target respondents for our study were generation Y which ages between 24 years to 40 years and those have intention on purchased the green products. The sampling elements for the study included demographic information such as gender, race, age, residential area, marital status, level of education and monthly income.
3.2.4 Sampling Frame
The sampling frame is a listing of the members of the target population that can be used to create and/or draw the sample (E.Stevens, 2006). According to Hair et al. (2006), sampling frame is the list of all eligible sampling units.
Since target population for this research is generation Y, the researchers have focused respondents in public area. The researchers will distribute the questionnaire directly for respondent and interact through face-to-face. The method that we use for sampling is convenience sampling, which is non-probability sampling. Therefore, there is no sampling frame for the research.
3.3. Research Instrument
This section explains the details of instrument used to conduct this study. Survey method is used and hence, it involves distributing a set of questionnaire to respondents to collect primary data.
Questionnaire is a prepared set of questions used by researchers to record answers that are provided by respondents. In this study, questionnaire is distributes together primary data from respondents on the factors that triggers the purchase intention towards green products among generation Y in Malacca. Furthermore, this method is also used to determine whether there is a significant relationship between the independent variables and the dependent variable. To conduct this survey, 382 sets of questionnaires are distributed to the public area. The questionnaire is to be collected every week within 3 week.
3.3.2. Questionnaire design
The process of designing questionnaire is very important in order to obtain information effectively. Obtaining primary data can be expensive and time consuming. In this research the primary data can be obtain from an individuals which is students.
For this research, alternative questions are used in the questionnaire. Such questions are designed in such a way that useful and relevant information can be obtained, and at the same time it can save a respondent’s time in answering the questions. Practically, fixed-alternative questions are much easier to complete compared to open-ended response questions, which require the respondents to answer on their own and will certainly need longer time to complete. The questionnaire for the purposes of this study consists of section A, Section B and section C.
Section A – This section of the questionnaire contains eights questions about the background of individual respondent who takes part in this research. Typically the questions are used to ask gender, race, age, residential area, marital status, level of education and monthly income was asked in this section. The researcher use ordinal and nominal scale for section A of questionnaire.
Section B – However, in section B, includes 24 questions for surveying respondents on the factors that affect purchase intention towards green products amongst generation Y in Malacca. There are 4 paths in section B which are environmental concern, social influences, self-image and man-nature orientation that related to the topic discussed. Likert scale is used in this section which consists of five scales is applied to this part. Respondents are required to circle out their answer among the 5 scales which included strongly disagree (1), disagree (2), neutral (3), agree (4), and strongly agree (5).
Section C – In section C, there are 7 questions included for surveying respondents mainly on the dependent variable which is generation Y purchase intention. Likert scale is used in this section too which consists of five scales. Respondents are required to circle out their answer among the 5 scales which included strongly disagree (1), disagree (2), neutral (3), agree (4), and strongly agree(5).
Table 3.2: Sources of Questionnaire
Variables No. of items Sources
Demographic profile 7 Environmental Concern 7 Sinnappan ; Abd Rahman (2011)
Ting et al. (2014)
Social Influences 7 Sinnappan ; Abd Rahman (2011)
Self-Image 5 Zia-ur-Rehman ;Muhammad Khyzer Dost (2013)
Man-Nature Orientation 5 Zia-ur-Rehman ;Muhammad Khyzer Dost (2013)
Purchase Intention 7 Michaelidou ; Hassan (2008)
3.4. Data Collection Methods
Data usually can be gathered through one or more methods. Carefully select the method of gathering the data is a must by considering few perspectives like the outcome and result get from this method so that the research only can be carry out in valid and recognized. Generally, there have two types of data which is primary data and secondary data. Primary data consists of information gathered for some specific purposes and primary data is also collects through surveys and research. Secondary data is consists of information that already exists somewhere having being collected for some purposes. In order ensure that the valid and trusted of research, it normally will use both primary and secondary data.
3.4.1. Primary Data
Primary data refers to data observed or collected directly from first-hand experience. Primary data has collected for this research. We used the questionnaire to collect data from respondents to make research study on the factors that affecting the purchase intention towards green products amongst generation Y in Malacca. The questionnaires will be distributed to 382 target respondents in public area. Respondents are required to answer all the 38 questions stated in questionnaires. Initially, it used about 3 week to conduct the survey, 8 hours from Friday to Sunday. The survey was conducted daily from 11.00 a.m. 6.00 p.m. The surveys were carried out from 12 May 2018 until 3 June 2018.
3.5. Data Analysis
After the researcher has collected the quantitative data from a representative sample of population, the researcher carry on to the next stage which was to analyse the answer of the questions. However, before the researcher started to analyse the data, the researcher finished some initial steps to ensure that the data were accurate, completed and was suitable for further analysis. The researcher decided to use the Statiscal Package for the Social Science (SPSS) version 23 to create and recode the variables. The data that have been collected were keyed in and edited.
3.5.1. Data Transformation
Basically, data transformation is obliged when several questions were used to measure a single concept (Sekaran ; Bougie, 2013). Referred to the statement, this step was essential before proceeding to any data analysis. This can be done by detecting and correcting some of the inconsistent data that was given by the respondents. Usually this was a result of an outlier response. An outlier response happens when an observation was different from other observation (Sekaran ; Bougie, 2013). Due to the large impact on the results, this outlier was investigated and was made sure that the outlier was investigated and was made sure that the outliers were corrected.
3.5.2. Reliability Analysis
The researcher started by analysing the reliability of data which the measure was established by testing for both consistency and stability. The reason for consistency to be measure was because it indicates how well the items measuring a concept hang together as a set. Cronbach’s alpha is a reliability coefficient that indicates how well the items in a set are positively correlated to one and another. The alpha is computed in terms of the average inter correlations among the items measuring the concept. The closer Cronbach’s alpha is to 1, the higher the internal consistency reliability.
3.5.3. Descriptive Analysis
Descriptive analysis is used to describe the basic features of the data in researcher study. They provide simple summaries about the sample and measure which form the basis virtually every quantitative analysis of data. With descriptive analysis, researcher were able to simply describe what the data shows. It was also used to present quantitative description into manageable form due to having lots of data to be measured.it helped researcher to simplify large amounts of data in a sensible way which each descriptive data reduces lots of data into simpler summary.
Descriptive analysis is broken down into measures of central tendency and measure of variability or spread. The measures of central tendency include the mean, median and mode, while measure of variability includes the standard deviation or variance, the minimum and maximum variables. It helped researcher to describe and understand the features of a specific data set by giving short summaries about the sample and measures of the data. The researcher did descriptive analysis to turn large data size into smaller size descriptions.
3.5.4. Pearson correlations
The Pearson product-moment correlation coefficient is measure of the strength of a linear association between two variables and is denoted by r. Basically, a Pearson product-moment correlation attempts to draw a line of best fit through the data of two variables and the Pearson correlation coefficient, r, indicates how far away all these data points are to this line of best fit. The Pearson correlation coefficient, r, can take a range of values from +1 to -1. A value of 0 indicates that there is no association between the two variables. A value greater than 0 indicates a positive association; that is, as the value of one variable increases, so does the value of the other variable. A value less than 0 indicates a negative association; that is, as the value of one variable increases, the value of the other variable decreases.
The stronger the associations of the two variables, the closer the Pearson correlation coefficient, r, will be to either +1 or -1 depending on whether the relationship is positive or negative, respectively. Achieving a value of +1 or -1 means that all your data points are included on the line of best fit – there are no data points that show any variation away from this line. Values for r between +1 and -1 indicate that there variation around the line of best fit. The closer the value of r to 0 greater the variation around the line of best fit.
3.5.5. Multiple Regression Analysis
The multiple regression analysis is similar to simple regression analysis but in multiple regression analysis, we use more than one independent variable in order to explain variance in the dependent variable. It is a multivariate technique that is used very often in business research. The starting point of multiple regression analysis is the conceptual model that we have developed in an earlier stage of the research progress. Multiple regression analysis helped us by providing a means of objectively assessing the degree and the character of the relationship between the independent variables and dependent variable. The regression coefficient indicates the relative importance of each of the independent variables in the prediction of the dependent variable.
CHAPTER 4: RESULTS AND FINDINGS
In this chapter, data that obtained from survey was being collected and used with some level of sufficient precision to test the hypothesis as mentioned in chapter two. This chapter, researchers ‘interpreted and presented the information that obtained from the survey through analyses the information which is relevant to the research questions and hypotheses. Moreover, in this chapter consist of two parts, which are descriptive analysis and scale measurement. In descriptive analysis can be subset it into respondent demographic profile and central tendencies measurement of constructs. Respondent demographic profile is about their gender, race, age, residential area, marital status, level of education and monthly income. Central tendencies measurement of constructs that used to indicated the mean, mode and median. The second part is scale measurement; scale measurement is used to test the reliability and interpreted the inferential analysis.
4.1. Scale Measurement
4.1.1. Reliability Test
Table 4.1: Result of Reliability Test
VARIABLES CRONBACH’S ALPHA NUMBER OF ITEMS INTERPRETATION
Independent Variables: 2857501536700.911
Environmental Concerns Social Influences
Man-Nature Orientation Dependent Variables: Purchase intention 0.908 7 Excellent
According to Kuder-Richardson Formula 20 (KR20) Lee-Cronbach (1951), reliability coefficient 0.9 and above is excellent, 0.8 until 0.9 is Good, 0.7 until 0.8 is can be accepted, 0.6 until 0.7 is questionable, 0.5 until 0.6 is Poor and 0.5 and below is considered unacceptable. Based on the results in Table 4.1, environmental concerns, man-nature orientation and purchase intention of green products recorded excellent reliability with Cronbach’s Alpha of 0.911, 0.929 and 0.908 respectively. Social influence and self-image are recorded as good strength reliability with Cronbach’s Alpha of 0.897 and 0.867.
4.2. Descriptive Analysis
The purpose of descriptive analysis is a branch of analysis, which is focus on summarization and description data that collected from the survey. This part is to provide analysis on the demographic characteristics of the respondents that obtained from the survey and used the analysis to make general observations on the data, such as gender, race, age, residential area and so on.
4.2.1. Respondent Demographic Profile
Researchers had distributed 382 sets of survey questionnaires and had received 100 per cent responses from respondents. There is no data is outlier, thus the researchers fully utilized the 382 sets of survey questionnaires and analysed it.
Table 4.1 Background of Respondents
DEMOGRAPHIC CHARACTERISTIC FREQUENCY PERCENTAGE
Gender Male 174 45.5
Female 208 54.5
Race Malay 268 70.2
Indian 52 13.6
Chinese 58 15.2
Others 4 1.0
Age 24 – 29 224 58.7
30 – 35 100 26.2
36 – 40 58 15.3
Residential Area Melaka Tengah 199 52.1
Alor Gajah 82 21.5
Marital Status Single 281 73.6
Married 93 24.3
Divorce 8 2.1
Level of Education Doctorate (PHD) 3 0.8
Master Degree 35 9.2
Bachelor Degree 189 49.5
Diploma 109 28.5
Certificate 15 3.9
Secondary School 25 6.5
Primary School 6 1.6
Monthly Income RM 1,000 to RM 2,000 87 22.8
RM 2,001 to RM 3,000 124 32.5
RM 3,001 to RM 4,000 93 24.3
RM 4,001 to RM 5,000 51 13.4
RM 5,001 to RM 6,000 15 3.9
RM 6,001 to RM 8,000 8 2.1
RM 8,001 to RM 10,000 4 1.0
Table 4.1 show there is a total respondent of 382 participated in the survey questionnaire. The result of gender analysis consists of 174 male and 208 female. Percentage of male is 45.5%, whereas female is 54.5% and the difference is 9%.
The respondent comes from of 3 races which are Malay, Indian, Chinese and others. The results for Malay respondents is 70.2% (268 respondents) followed by Chinese, 15.2% (58 respondents) and Indian is 13.6% (52 respondents). The others race is 1% (4 respondents) which they are come from Kadazan and Iban.
The age of the respondents are being classified into 17 categories which are from 21 until 40. Most of the respondents are fall at the ages of 24, which is 20.2% (77 respondents). While the lower age of respondent is from age of 37, which is 2.4% (9 respondents).
The questionnaire distribute in 3 areas. The results from these 3 areas are Melaka Tengah, 52.1% (199 respondents) which is the most respondents, Jasin, 26.4% (101 respondents) and Alor Gajah, 21.5 (82 respondents) which is the lower respondents distribute.
There are 281 respondents (73.6%) are single followed by married is 93 respondents (24.3%) and divorce is 8 respondents (2.1%).
The respondents are majority came from bachelor degree, which is 189 respondents (49.5%). It followed by diploma with a frequency of 109 respondents (28.5%). The third highest are came from master degree, 35 respondents (9.2%), secondary school is 25 respondents (6.5%), while certificate is 15 respondents (3.9%) and primary school which constituted 1.6% or 6 respondents. There are only 3 respondents (0.8%) came from doctorate (PHD).
It also shows the monthly income level for every month RM 2,000 to RM 3,000 reported the highest frequency, which are a total of 124 respondents (32.5%). The second highest is in between RM 3,001 to RM 4,000 which has 24.3% or 93 respondents. The third highest is in between RM 1,000 to RM 2,000 which has 22.8% or 87 respondents. Then, RM 4,001 to RM 5,000 which has 3.9% or 15 respondents, followed by RM 6,001 to RM 8,000 which has 2.1% or 8 respondents. Monthly income more than RM 8,001 to RM 10,000 is recorded the lowest frequency, with only 4 respondents (1%).
4.2.2. Descriptive Statiscal Analysis
Descriptive statiscal was essentially utilized to describe the basic features of the data that were in the study. It basically gives simple summaries with regards t the sample and the measures. Descriptive statistics helps the researcher when in need to mention some wide observation facts derived from the information gathered.in brief, the mean assists in measuring the single value for the distribution of data. Basically, the interpretation of the mean value score was based in the Likert-scale done that ranges from 1 (Strongly Disagree), 2 (Disagree), 3 (Neutral), 4 (Agree) and 5 (Strongly Disagree). Also, the standard deviation would help to indicate how distant the value spread out from the mean. Hence, from table 4.2 below shows the descriptive statiscal analysis for each variable.
Table 4.2 Summary of Descriptive Analysis for Each Variable
VARIABLES TOTAL MEAN STANDARD DEVIATION
Environmental Concern 30.57 3.696
Social Influences 28.16 3.820
Self-Image 20.75 2.765
Man-nature Orientation 22.03 2.807
Purchase Intention 29.31 3.858
4.3. Correlation Analysis
Correlation analysis is a branch of analysis that goes beyond mere description, and based on sample data seeks to generalize from the sample to the population from which the sample was drawn (Weiers, 2008). Such analysis is used to provide the generation of conclusions regarding the characteristics of the population based on the sample data. Besides that, inferential analysis also aims to examine individual variables and its relationships with other.
4.3.1. Pearson Correlation Coefficient
Hair et al. (2007) noted that Pearson Correlation Coefficient indicates the direction, strength and significance of the bivariate relationships among all the variables that were measured on interval scale.
Table 4.3: Pearson Correlation
IMAGE MAN-NATURE ORIENTATION PURCHASE
CONCERN Pearson Correlation 1 Sig. (2-tailed) N 382 SOCIAL
INFLUENCES Pearson Correlation 0.621** 1 Sig. (2-tailed) 0.000 N 382 382 SELFIMAGE Pearson Correlation 0.558** 0.693** 1 Sig. (2-tailed) 0.000 0.000 N 382 382 382 MAN-NATURE
ORIENTATION Pearson Correlation 0.619** 0.548** 0.560** 1 Sig. (2-tailed) 0.000 0.000 0.000 N 382 382 382 382 PURCHASE
INTENTION Pearson Correlation 0.598** 0.714** 0.724** 0.561** 1
Sig. (2-tailed) 0.000 0.000 0.000 0.000 N 382 382 382 382 382
** Correlation is significant at the 0.01 level (2-tailed).
* Correlation is significant at the 0.05 level (2-tailed).
Table 4.3 shows that the correlations between independent variables which include environmental concern, social influences, self-image and man-nature orientation with dependent variable which is purchase intention of green products among generation Y in Melaka. Independent variables have positive linear relationship to dependent variable at significant level 0.05. All value in this probable is less than 0.9 which indicates that there is no multicollinearity problem. The correlation among independent variables is less than 0.9 which are between 0.598, 0.714, 0.724 and 0.561.
There is a significant relationship between self-image and purchase intention of green products among generation Y in Melaka. This is because the p-value equal to 0.000 and less than alpha value 0.05. Moreover, the value of the correlation coefficient, which is 0.724, falls under the coefficient range of ?± 0.70 to ±0.90. This indicates a high correlation and strong relationship between self-image and purchase intention of green products among generation Y in Melaka.
There is also association and positive relationship between social influences and purchase intention of green products among generation Y in Melaka. This is because the p-value equal to 0.000 and less than alpha value 0.05. Moreover, the value of the correlation coefficient, which is 0.714, falls under the coefficient range of ?± 0.70 to ±0.90. This indicates a high correlation and strong relationship between social influences and purchase intention of green products among generation Y in Melaka.
Besides that, environmental concern also has a significant relationship with purchase intention of green products among generation Y in Melaka. This is because the p-value equal to 0.000 and less than alpha value 0.05. Moreover, the value of the correlation coefficient, which is 0.598, falls under the coefficient range of ?± 0.40 to ±0.60. This indicates a moderate correlation relationship between environmental concern and purchase intention of green products among generation Y in Melaka.
Man-nature orientation and purchase intention of green products among generation Y in Melaka has shown a significant relationship. This is because the p-value equal to 0.000 and less than alpha value 0.05. Moreover, the value of the correlation coefficient, which is 0.561, falls under the coefficient range of ?± 0.40 to ±0.60. This indicates a moderate correlation relationship between man-nature orientation and purchase intention of green products among generation Y in Melaka.
4.3.2. Multiple Regression Analysis
With reference to Weiers (2008), a multiple regression analysis is an analysis which involves one dependent variable and two or more independent variables. In other words, it is an analysis of association in which the effects of two or more independent variables on a single, interval-scaled dependent variable are investigated.
Table 4.4: Model Summary
Independent Variable: Environmental Concern, Social Influences, Self Image and
Dependent Variable: Purchase Intention
Model R R Square Adjusted R Square Std. Error of the Estimate
1 0.795a 0.632 0.628 0.33627
Based on the table above, it shows that the value of correlation coefficient (R Square) is 0.632. Independent variables can explain 63.2% of the variation in dependent variable. However, it is still left 33.63% unexplained in this study.
Table 4.5: ANOVA
Independent Variable: Environmental Concern, Social Influences, Self Image and
Dependent Variable: Purchase Intention
ANOVAaModel Sum of Squares dfMean Square F Sig.
1 Regression 73.131 4 18.283 161.683 0.000b
Residual 42.630 377 0.113 Total 115.761 381 Table 4.5 shows that p-value (Sig 0.000) is less than alpha value 0.05. The alternative hypothesis as the two independent variables are significantly explains the variance in consumers’ level is supported by the data and will be accepted.
Table 4.6: Coefficients
DEPENDENT VARIABLE: PURCHASE INTENTION
Model Unstandardized Coefficients Sig.
Beta 1 (Constant) 0.328 0.044
ENVIRONMENTAL CONCERN 0.136 0.003
SOCIAL INFLUENCES 0.323 0.000
SELF-IMAGE 0.376 0.000
MAN-NATURE ORIENTATION 0.092 0.028
Based on table above, (Coefficients) show that environmental concern, social influences, self-image and man-nature orientation are significant to predict dependent variable (purchase intention of green products among generation Y Melaka), and this is because p-value is less than alpha value 0.05.
The relationship can be denoted as the following equation from the analysis from the table above:
Purchase intention = 0.328 + 0.376 (Self-Image) + 0.323 (Social Influences) + 0.136 (Environmental Concern) + 0.092 (Man-Nature Orientation)
According to Table 4.6, it also shows that self-image, social influence, environmental concern and man-nature orientation have significant positive influence on purchase intention which has the strongest impact (t = 8.329, p = 0.000, ? = 0.377), (t = 6.748, p = 0.000, ? = 0.320), t = 2.947, p = 0.000, ? = 0.131) and (t = 2.207, p = 0.208, ? = 0.094) as its p-value is less than 0.05. It can be explained by every one unit increase in Social Influence, Self-Image, Environmental Concern and environmental concern will lead to 0.376 units, 0.323 units, 0.136 units and 0.092 units increased in purchase intention.
4.3. Hypothesis Testing
In hypothesis testing, this study recommended a cut off p-value at 0.05 and the level must be below than 0.05 (Burns and Bush, 2003, Cohen 1988). If the standard significant level value for the independent variable is less than 0.05, therefore the variables are significantly related to the dependent variable and hypothesis will be supported. If the significant value is over 0.05, the hypothesis will be rejected. Based on the regression coefficients analysis, the result for each hypothesis will be further explained below.
4.3.2. Hypothesis 1
There is a significant relationship between environmental concern and purchase intention of green products among generation Y. Referring to the table 4.6 the results indicates that environmental concern have a significant relationship with purchase intention as the p-value = 0.003 which is less than standard significant level. Hence, hypothesis 1 is accepted.
4.3.2. Hypothesis 2
There is a significant relationship between social influences with purchase intentions. The results in Table 4.6 shows that the p-value for social influences is 0.000 which is less than the alpha value 0.05, while the Beta value = 0.323. Hence, shows that it has a significant relationship between social influences with purchase intention. Therefore, the result for social influences is significantly related to purchase intention. Hypothesis 2 is accepted.
4.3.2. Hypothesis 3
There is a significant relationship between self-image and purchase intention of green products among generation Y. Referring to the table 4.6 the results indicates that self-image have a significant relationship with purchase intention as the p-value = 0.000 which is less than standard significant level. Hence, hypothesis 3 is accepted.
4.3.2. Hypothesis 4
There is a significant relationship between man-nature orientations with purchase intentions. The results in Table 4.6 shows that the p-value for man-nature orientations is 0.029 which is less than the alpha value 0.05, while the Beta value = 0.092. Hence, shows that it has a significant relationship between man-nature orientations with purchase intention. Therefore, the result for man-nature orientations is significantly related to purchase intention. Hypothesis 4 is accepted.
4.3. Summary of Hypothesis
There is a significant relationship between environmental concern and purchase intention of green products among generation Y in Melaka.
H2 There is a significant relationship between social influences and purchase intention of green products among generation Y in Melaka.
H3 There is a significant relationship between self-image and purchase intention of green products among generation Y in Melaka.
H4 There is a significant relationship between man-nature orientation and purchase intention of green products among generation Y in Melaka.
The finding is according to hypothesis having been summarized in the table above. The results indicate that four independent variables are significantly related to employee. Therefore, hypothesis 1, 2, 3 and 4 was supported by the statiscal regression. Hence, Hypothesis 3 which is Self-Image is the most influence factors that contribute to the purchase intention of green products among generation Y in Melaka.
CHAPTER 5: CONCLUSON AND RECOMMENDATIONS
5.1. Recommendations for Future Research
The researcher noted that more in-depth follow-up investigations would be necessary to further advance understanding of the consumer. Further research in this area needs to address what influences consumers’ attitudes towards green purchases as this would provide the true decision-making criteria for manufacturers, businesses and marketers.
There are few recommendations for the researchers in the future. First of all, it is recommended to done the research in whole states if time is allowed because it is more accurate instead of just pick one state to do it, such as by including all the state in whole Malaysia. It is advisable to include all the states in the country when conducting the research because it tends to reduce the people in difference demographic will have difference thinking about the purchase intention about green product.
Besides that, this research just focuses on generation Y only. It recommend to future researcher to do a research on every age and not just a specific age. This is because people who are not generation Y also have their own perception about factor that affect purchase intention of green products.
Besides, it is important for the researcher to provide more detailed information about factors influence purchase intention green product in the questionnaires to ensure the respondents get clear understanding on the topic discussed. In addition, the researcher can also use alternative method such as survey instrument for distribution of the questionnaire online. This method is more cost saving and more efficient to gather the data or use the qualitative method. The data will be more accurate because a lot of supporting information for the research will be obtained.
In conclusion, “Going green” has become a slogan and being discussed by people from all walks of life. The current study shows that the key to raise green purchasing intention among generation Y lies on four factors, which are environmental concern, social influences, self-image and man-nature orientation. Based on the results, the study shows that generation Y consumers have quite positive intention of purchasing green products. Green marketers can consider this group of consumers as one of their potential target markets. Overall, the research project has met its objectives to test the relationship between environmental concern, social influences, self-image and man-nature orientation that relating to the generation Y attitude towards purchase intention of green products in Malacca.
It cannot be denied that the generation Y intentions to purchase green products play an important role especially in environmentally friendly industries in order to improve their existing business that will also benefit the customers. Rather than that, the green products can also reduce the harm, to the environment, human, and animals. Besides, this study has included several limitations that haven faced by the researchers. Nevertheless, these limitations have been supported by recommendations in order to enhance the environmental friendly industry as whole in the future. Hence, it also definitely helps to create generation Y awareness for the green product and environmental consciousness.
FACTORS AFFECTING PURCHASE INTENTION TOWARDS GREEN PRODUCTS AMONGST GENERATION Y CONSUMERS
I am undergraduate students a Universiti Teknologi Mara, Kampus Bandaraya Melaka (UiTM) presently pursuing Bachelor of International Business (Hons). I am currently conducting a research project entitled – Factors affecting purchase intention towards green products amongst generation Y consumers in Malacca. This research is to fulfill the partial requirements of Research Methodology (MGT648) course.
The purpose of this research is to study the factors that directly affect purchase intention of generation Y consumers towards green products. This research will help future researcher and green products firms to understand what factors trigger purchase intention of generation Y and help to increase sales and demand. Please answer the questionnaire sincerely and all information provided will be treated as confidential. Thank you for your participation and cooperation.
NUR ANIS BT NOR AZLAN 2016448382
SECTION A: Background of the respondent.
Please tick ( / ) to the appropriate answer.
Others (Please specify): _________
Age: _______ years old.
Level of Education
331470023685500RM 1,000 to RM 2000
331470024320500RM 2,001 to RM 3,000
331470023876000RM 3,001 to RM 4,000
330962023558500RM 4,001 to RM 5,000
330962023558500RM 5,001 to RM 6,000
330962023558500RM 6,001 to RM 8,000
330962023558500RM 8,001 to RM 10,000
Above RM 10,000
SECTION B: Factors that trigger purchase intention of green products
This section is seeking your opinion regarding the factors that trigger purchase intention of green products among generation Y. Please tick ( / ) an the appropriate answer.
1 (Strongly Disagree) 2 (Disagree) 3 (Neutral) 4 (Agree) 5 (Strongly Agree)
1 2 3 4 5
1. I am worried about the worsening of the quality of our environment. 2. My major concern is Malacca environment. 3. It frightens me to imagine that many of the products I have are disrupting the environment. 4. I am emotionally involved in environmental protection issue in Malacca. 5. I often think about how the environmental quality in Malacca can be improved. 6. I strongly agree that more environmental protection efforts are needed in Malacca. 7. I think if I carry out some pro-environmental behaviors in my everyday life, I would contribute a lot to our environment. SOCIAL INFLUENCES
1 (Strongly Disagree) 2 (Disagree) 3 (Neutral) 4 (Agree) 5 (Strongly Agree)
1 2 3 4 5
1. I learn so much about green products from my parents / friends. 2. I learn so much about environmental issues from my parents / friends. 3. I often buy green products with my parents / friends. 4. I trust my friends and family about their opinions and advices of green products. 5. I have read / seen news reports which say that purchasing green products contributes to a good environment. 6. Mass media reports have influenced me to try green products. 7. I often share information regarding green products with my friends. SELF IMAGE
1 (Strongly Disagree) 2 (Disagree) 3 (Neutral) 4 (Agree) 5 (Strongly Agree)
1 2 3 4 5
1. I think green products are useful for health. 2. I often buy green products. 3. Supporting environmental protection makes me more socially attractive. 4. Supporting environmental protection makes me special. 5. I will be perceived by others as ‘out dated’ if I don’t support environmental protection. MAN-NATURE ORIENTATION
1 (Strongly Disagree) 2 (Disagree) 3 (Neutral) 4 (Agree) 5 (Strongly Agree)
1 2 3 4 5
1. Human beings need to understand the way of nature and act accordingly. M
2. We should maintain harmony with nature. 3. Being the master of world, humans are not entitled deploy any of the natural resources as they like. 4. Human beings are only part of nature. 5. We should adapt instead of mastering the environment. SECTION C: Purchase intention of green products
This section is seeking your opinion regarding the factors that trigger purchase intention of green products among generation Y. Please tick ( / ) an the appropriate answer.
1 (Strongly Disagree) 2 (Disagree) 3 (Neutral) 4 (Agree) 5 (Strongly Agree)
1 2 3 4 5
1. I intend to purchase green products in the near future. 2. I search for information about green products from time to time. 3. I always talk about green products with my friends. 4. Purchasing of green products is beneficial for my daily life. 5. The probability that I will buy green products is high. 6. I will pay more for a product that has more environmental benefits. 7. I am willing to recommend my friends to buy a green product. THANK YOU VERY MUCH FOR YOUR PARTICIPATION IN THIS SURVEY.
YOU’RE TIME AND OPINIONS ARE DEEPLY APPRECIATED.