Luận văn thạc sĩ UEH critical factors affect consumers purchase intention towards greeen products in

UNIVERSITY OF ECONOMICS HO CHI MINH CITY

International School of Business

TRAN HUY BAO

CRITICAL FACTORS AFFECT CONSUMERS’ PURCHASE

INTENTION TOWARDS GREEN PRODUCTS

IN HO CHI MINH CITY

ID: 22120003

MASTER OF BUSINESS (HONOURS)

SUPERVISOR: Dr. Vo Xuan Vinh

Ho Chi Minh City – 2015

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ACKNOWLEDGEMENTS

I would like to express my greatly appreciation in thanking people who helped me to

complete this thesis. Firstly, I am very grateful to my advisor, Dr. Vo Xuan Vinh, for his

valuable advices. I especially appreciate his continual support in responding, reminding, and

assisting in all aspects of this endeavor.

On the other hand, I would like to thank my colleagues, friends and classmates for their

valuable encouragement during months that I was working on this thesis. Special thanks for

people who spent their precious time with me in both pilot and main surveys.

Finally, I would like to express my heartfelt thanks to my family for their support, their

encouragement, and their faith during the time I accomplish my thesis.

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ABSTRACT

One of the largest and the most urgent problems that the world is facing today is the

environmental pollution which both the government and civilians contribute to solve this issue.

In fact, the injurious smoke emitted by cars, buses, trucks, trains, and the wastes from factories,

namely sulphur dioxide, carbon monoxide or nitrogen oxides have been creating more bad effects

on environment. For this reason, corporations must find effective environmental solution in

reducing the pollution. Therefore, green product is one of the suitable solutions which are applied

in many countries over the world. There are also many researches about green product studies;

however, it is still rather new in Vietnam and green products have not yet approached to

Vietnamese consumers. Moreover, the corporations in Vietnam have not had a thorough grasp of

this kind of product and how consumers reach with green product. Thus, this research needs to be

profoundly supported. This paper is researched based on the theory and the foundation from the

study of Wilson King, Amran Harun, Rini Suryati Sulong and Jaratin Lily (2014). In that, there

are five factors including eco-label, green packaging, green corporate perception, green product

value and green advertisement which are considered in order to test influence on consumers’

purchase intention. This research aims to find out which and how factors of green product affect

purchase intention and from that, give recommendations.

By applying both qualitative and quantitative method, the data is collected through in-depth

surveys. Then, the collected data is analyzed by SPSS software. According to reliable results, this

paper proposes recommendations for corporations which want to develop green product line.

Keywords – Purchase intention, eco-label, green packaging, green corporate perception, green

product value, green advertisement.

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TABLE OF CONTENTS

LIST OF FIGURES ......................................................................................................................................... 6

LIST OF TABLES ........................................................................................................................................... 7

CHAPTER 1: INTRODUCTION................................................................................................................... 8

1.1Research Background................................................................................................................................. 8

1.2Research gap................................................................................................................................................ 9

1.3Research Objectives.................................................................................................................................. 10

1.4Research scope........................................................................................................................................... 10

1.5Research structure of thesis ..................................................................................................................... 11

CHAPTER 2: LITERATURE REVIEW..................................................................................................... 12

2.1 Green product .......................................................................................................................................... 12

2.2 Purchase intention.................................................................................................................................... 13

2.3 Eco - label.................................................................................................................................................. 15

2.4 Green packaging ...................................................................................................................................... 16

2.5 Green corporate perception .................................................................................................................... 17

2.6 Green product value ................................................................................................................................ 17

2.7 Green Advertisement............................................................................................................................... 18

2.8 Conceptual model..................................................................................................................................... 19

CHAPTER 3: RESEARCH METHODOLOGY......................................................................................... 20

3.1 Research approach................................................................................................................................... 20

3.2 Sampling ................................................................................................................................................... 20

3.3 Data collection methods........................................................................................................................... 21

3.4 Measurement scales ................................................................................................................................. 22

3.4 Data analysis methods ............................................................................................................................. 24

CHAPTER 4: DATA ANALYSIS AND RESULTS.................................................................................... 26

4.1 Respondents’ demographics.................................................................................................................... 26

4.2 Reliability Analysis .................................................................................................................................. 28

4.3 Exploratory Factor Analysis (EFA) ....................................................................................................... 31

4.3.1 EFA for independent variables............................................................................................................31

4.3.2 EFA for the dependent variable...........................................................................................................33

4.4 Correlation Testing.................................................................................................................................. 34

4.5 Multiple Regression Analysis.................................................................................................................. 35

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CHAPTER 5: CONCLUSION, IMPLICATIONS AND LIMITATIONS................................................ 40

5.1 Main findings............................................................................................................................................ 40

5.2 Managerial implications.......................................................................................................................... 43

5.3 Limitations and future research ............................................................................................................. 44

REFERENCES................................................................................................................................................. 46

APPENDIX A.................................................................................................................................................. 52

APPENDIX B .................................................................................................................................................. 58

APPENDIX C .................................................................................................................................................. 63

APPENDIX D.................................................................................................................................................. 65

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LIST OF FIGURES

Figure 2.1: A Research Model…………………………………………………………...… 19

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