Share:


Model of environmental perceptions on value of recyclable products and its effects on consumers behaviour

    Viktor Koval Affiliation
    ; Dwi Suhartanto Affiliation
    ; Halyna Kryshtal Affiliation
    ; Fatya Alty Amalia Affiliation
    ; Viktoriia Udovychenko Affiliation
    ; I Wayan Edi Arsawan Affiliation

Abstract

The massive consumption of conventional recyclable products causes environmental pollution, so it is very important to raise public awareness about the use of green plastics. This study assessed a comprehensive understanding of the behavioural intention model of green plastic products from the perspective of the new generation. This study uses data collected from 551 new-generation customers of environmentally friendly recyclable plastic products in Indonesia. Data analysis employing partial least squares reveals that the behavioural intention model, including perceived quality, perceived value, trust, and satisfaction as determinants, is a fit across these generation cohorts. Further, this study claims that customer satisfaction is the main driver of behavioural intention, while trust is the main determinant of satisfaction with green plastic products for both generations. Finally, this study shows that millennial satisfaction is driven by perceived value, whereas new-generation satisfaction is determined by perceived quality. The study only considered behavioural intention, including quality, value, trust, and satisfaction as the drivers, meanwhile, other potential factors could influence the intention significantly as well. These findings specifically apply to green plastic products but not to other kinds of green products. In addition, the government can devise better policies supporting green products by offering tax incentives for recyclable products.

Keyword : behavioural intention, satisfaction, green plastic, perceived quality, perceived value, trust, environmental consumption

How to Cite
Koval, V., Suhartanto, D., Kryshtal, H., Amalia, F. A., Udovychenko, V., & Arsawan, I. W. E. (2024). Model of environmental perceptions on value of recyclable products and its effects on consumers behaviour. Journal of Business Economics and Management, 25(4), 665–684. https://doi.org/10.3846/jbem.2024.21994
Published in Issue
Aug 29, 2024
Abstract Views
430
PDF Downloads
353
Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.

References

Acharya, A. (2019). Factors behind dissuasion to green products among young consumers: A qualitative study. The Qualitative Report, 24(12), 3197–3214. https://doi.org/10.46743/2160-3715/2019.3968

Ajzen, I. (1991). The theory of planned behaviour. Organizational Behaviour and Human Decision Processes, 50(2), 179–211. https://doi.org/10.1016/0749-5978(91)90020-T

Ajzen, I. (2005). Attitude, personality, and behaviour (2nd ed.). Open University Press.

Allen, M. W., & Spialek, M. L. (2018). Young millennials, environmental orientation, food company sustainability, and green word-of-mouth recommendations. Journal of Food Products Marketing, 24(7), 803–829. https://doi.org/10.1080/10454446.2017.1415827

Amalia, F. A., Sosianika, A., & Suhartanto, D. (2020). Indonesian Millennials’ Halal food purchasing: Merely a habit? British Food Journal, 122(4), 1185–1198. https://doi.org/10.1108/BFJ-10-2019-0748

Anya, A. (2019). Finnish start-ups eye Indonesia as market for green products. The Jakarta Post. https://www.thejakartapost.com/news/2019/06/13/finnish-start-ups-eye-indonesia-market-green-products.html

Arsawan, I. W. E., Koval, V., Suhartanto, D., Harbar, Z., & Maslennikov, Y. (2022). Employee-driven innovation capability: The role of knowledge, creativity, and time sufficiency. Intellectual Economics, 16(2), 138–165. https://doi.org/10.13165/IE-22-16-2-08

Arsawan, I. W. E., Koval, V., Suhartanto, D., Hariyanti, N. K. D., Polishchuk, N., & Bondar, V. (2024). Circular economy practices in SMEs: Aligning model of green economic incentives and environmental commitment. International Journal of Productivity and Performance Management, 73(3), 775–793. https://doi.org/10.1108/IJPPM-03-2022-0144

Bilgihan, A. (2016). Gen Y customer loyalty in online shopping: An integrated model of trust, user experience and branding. Computers in Human Behaviour, 61, 103–113. https://doi.org/10.1016/j.chb.2016.03.014

Burak, P., Khadzhynova, O., Gonchar, V., & Kalinin, O. (2019). Mechanisms of investment marketing support of the state economic security system. Intellectual Economics, 13(2), 161–171.

Chandra, T., Hafni, L., Chandra, S., Purwati, A. A., & Chandra, J. (2019). The influence of service quality, university image on student satisfaction and student loyalty. Benchmarking: An International Journal, 26(5), 1533–1549. https://doi.org/10.1108/BIJ-07-2018-0212

Chaudhary, R., & Bisai, S. (2018). Factors influencing green purchase behaviour of millennials in India. Management of Environmental Quality, 29(5), 798–812. https://doi.org/10.1108/MEQ-02-2018-0023

Chen, Y. S., & Chan, C. H. (2013). Towards green trust: The influences of green perceived quality, green perceived risk, and green satisfaction. Management Decision, 51(1), 63–82. https://doi.org/10.1108/00251741311291319

Chen, Y.-S. (2010). Towards green loyalty: Driving from green perceived value, green satisfaction, and green trust. Sustainable Development, 21(5), 294–308. https://doi.org/10.1002/sd.500

Cheung, R., Lam, A. Y. C., & Lau, M. M. (2015). Drivers of green product adoption: the role of green perceived value, green trust and perceived quality. Journal of Global Scholars of Marketing Science, 25(3), 232–245. https://doi.org/10.1080/21639159.2015.1041781

Chin, W. W., Peterson, R. A., & Brown, S. P. (2008). Structural equation modeling in marketing: Some practical reminders. Journal of Marketing Theory and Practice, 16(4), 287–298. https://doi.org/10.2753/MTP1069-6679160402

Cronin, J. J., Brady, M. K., & Hult, G. T. M. (2000). Assessing the effects of quality, value, and customer satisfaction on consumer behavioural intentions in service environments. Journal of Retailing, 76(2), 193–218. https://doi.org/10.1016/S0022-4359(00)00028-2

de Vargas Mores, G., Finocchio, C. P. S., Barichello, R., & Pedrozo, E. A. (2018). Sustainability and innovation in the Brazilian supply chain of green plastic. Journal of Cleaner Production, 177, 12–18. https://doi.org/10.1016/j.jclepro.2017.12.138

Dean, D., & Suhartanto, D. (2019). The formation of visitor behavioural intention to creative tourism: the role of push–Pull motivation. Asia Pacific Journal of Tourism Research, 24(5), 393–403. https://doi.org/10.1080/10941665.2019.1572631

Dean, D., Suhartanto, D., & Pujianti, F. N. (2022). Millennial behavioural intention in Islamic banks: the role of social media influencers. Journal of Islamic Marketing, 13(12), 2798–2814. https://doi.org/10.1108/JIMA-02-2021-0042

Dvigun, A. O., Datsii, O. І., Levchenko, N. M., Shyshkanova, G. A., & Dmytrenko, R. М. (2022a). Rational use of fresh water as a guarantee of agribusiness development in the context of the exacerbated climate crisis. Science and Innovation, 18(2), 85–99 https://doi.org/10.15407/scine18.02.085

Dvigun, A., Datsii, O., Levchenko, N., Shyshkanova, G., Platonov, O., & Zalizniuk, V. (2022b). Increasing ambition to reduce the carbon trace of multimodal transportation in the conditions of Ukraine’s economy transformation towards climate neutrality. Science and Innovation, 18(1), 96–111. https://doi.org/10.15407/scine18.01.096

Fishbein, M., & Ajzen, I. (2010). Predicting and changing behaviour: The reasoned action approach. Psychology Press. https://doi.org/10.4324/9780203838020

Gelderman, C. J., Schijns, J., Lambrechts, W., & Vijgen, S. (2021). Green marketing as an environmental practice: The impact on green satisfaction and green loyalty in a business-to-business context. Business Strategy and Environment, 30(4), 2061–2076. https://doi.org/10.1002/bse.2732

Geyer, R., Jambeck, J. R., & Law, K. L. (2017). Production, use, and fate of all plastics ever made. Science Advances, 3(7), 1–5. https://doi.org/10.1126/sciadv.1700782

Guo, R., Berkshire, S. D., Fulton, L. V., & Hermanson, P. M. (2019). Predicting intention to use evidence-based management among U.S. healthcare administrators: Application of the theory of planned behaviour and structural equation modeling. International Journal of Healthcare Management, 12(1), 25–32. https://doi.org/10.1080/20479700.2017.1336856

Gupta, A., Dash, S., & Mishra, A. (2019). All that glitters is not green: Creating trustworthy ecofriendly services at green hotels. Tourism Management, 70, 155–169. https://doi.org/10.1016/j.tourman.2018.08.015

Haddouche, H., & Salomone, C. (2018). Generation Z and the tourist experience: Tourist stories and use of social networks. Journal of Tourism Futures, 4. https://doi.org/10.1108/JTF-12-2017-0059

Hair, J. E., Hult, G. T., Ringle, C. M., & Sarstedt, M. (2017). A primer on partial least squares structural equation modeling (PLS-SEM) (2 ed.). Sage.

Hao, Y., Liu, H., Chen, H., Sha, Y., Ji, H., & Fan, J. (2019). What affect consumers’ willingness to pay for green packaging? Evidence from China. Resources, Conservation and Recycling, 141, 21–29. https://doi.org/10.1016/j.resconrec.2018.10.001

Henseler, J., Ringle, C. M., & Sarstedt, M. (2015). A new criterion for assessing discriminant validity in variance-based structural equation modeling. Journal of the Academy of Marketing Science, 43(1), 115–135. https://doi.org/10.1007/s11747-014-0403-8

Herrando, C., Jimenez-Martinez, J., & Martin-De Hoyos, M. J. (2019). Tell me your age and I tell you what you trust: The moderating effect of generations. Internet Research, 29(4), 799–817. https://doi.org/10.1108/IntR-03-2017-0135

Hoxha, V., & Zeqiraj, E. (2019). The impact of Generation Z in the intention to purchase real estate in Kosovo. Property Management, 38(1), 1–24. https://doi.org/10.1108/PM-12-2018-0060

Inglehart, R. (1977). The silent revolution: Changing values and political styles among Western publics. Princeton University Press.

Kautish, P., & Sharma, R. (2019). Value orientation, green attitude and green behavioural intentions: An empirical investigation among young consumers. Young Consumers, 20(4), 338–358. https://doi.org/10.1108/YC-11-2018-0881

Kharazishvili, Y., Lyashenko, V., Bugayko, D., Ustinova, I., Shevchenko, O., & Kalinin, O. (2023). Justification of the identification of threats and problematic components of sustainable regional development in the security dimension. E3S Web of Conferences, 408, Article 01028. https://doi.org/10.1051/e3sconf/202340801028

Konuk, F. A. (2018). The role of store image, perceived quality, trust and perceived value in predicting consumers’ purchase intentions towards organic private label food. Journal of Retailing and Consumer Services, 43, 304–310. https://doi.org/10.1016/j.jretconser.2018.04.011

Konuk, F. A., Rahman, S. U., & Salo, J. (2015). Antecedents of green behavioural intentions: a cross-country study of Turkey, Finland and Pakistan. International Journal of Consumer Studies, 39, 586–596. https://doi.org/10.1111/ijcs.12209

Koval, V., Arsawan, I., Suryantini, N. P. S., Kovbasenko, S., Fisunenko, N., & Aloshyna, T. (2023). Circular economy and sustainability-oriented innovation: Conceptual framework and energy future avenue. Energies, 16(1), Article 243. https://doi.org/10.3390/en16010243

Laktionova, O., Kovalenko, Y., Myhovych, T., & Zharikova, O. (2022). Transforming financial outsourcing services for sustainable business development: A review on green finance. Economics Ecology Socium, 6(4), 37–50. https://doi.org/10.31520/2616-7107/2022.6.4-4

Lambert, S., & Wagner, M. (2017). Environmental performance of bio-based and biodegradable plastics: The road ahead. Chemical Society Reviews, 46(22), 6855–6871. https://doi.org/10.1039/C7CS00149E

Leal Filho, W., Saari, U., Fedoruk, M., Iital, A., Moora, H., Klöga, M., & Voronova, V. (2019). An overview of the problems posed by plastic products and the role of extended producer responsibility in Europe. Journal of Cleaner Production, 214, 550–558. https://doi.org/10.1016/j.jclepro.2018.12.256

Lestari, P., & Trihadiningrum, Y. (2019). The impact of improper solid waste management to plastic pollution in Indonesian coast and marine environment. Marine Pollution Bulletin, 149, Article 110505. https://doi.org/10.1016/j.marpolbul.2019.110505

Marakanon, L., & Panjakajornsak, V. (2017). Perceived quality, perceived risk and customer trust affecting customer loyalty of environmentally friendly electronics products. Kasetsart Journal of Social Sciences, 38(1), 24–30. https://doi.org/10.1016/j.kjss.2016.08.012

Nguyen, T. N., Lobo, A., & Nguyen, B. K. (2018). Young consumers’ green purchase behaviour in an emerging market. Journal of Strategic Marketing, 26(7), 583–600. https://doi.org/10.1080/0965254X.2017.1318946

Pahlevi, M. R., & Suhartanto, D. (2020). The integrated model of green loyalty: Evidence from eco-friendly plastic products. Journal of Cleaner Production, 257, 1–10. https://doi.org/10.1016/j.jclepro.2020.120844

Priporas, C.-V., Stylos, N., & Fotiadis, A. K. (2017). Generation Z consumers’ expectations of interactions in smart retailing: A future agenda. Computers in Human Behaviour, 77, 374–381. https://doi.org/10.1016/j.chb.2017.01.058

Robinson, V. M., & Schänzel, H. A. (2019). A tourism inflex: Generation Z travel experiences. Journal of Tourism Futures, 5(2), 127–141. https://doi.org/10.1108/JTF-01-2019-0014

Shapoval, V., Murphy, K. S., & Severt, D. (2018). Does service quality really matter at Green restaurants for Millennial consumers? The moderating effects of gender between loyalty and satisfaction. Journal of Foodservice Business Research, 21(6), 591–609. https://doi.org/10.1080/15378020.2018.1483698

Shukla, S. (2019). A study on millennial purchase intention of green products in India: Applying extended theory of planned behaviour model. Journal of Asia-Pacific Business, 20(4), 322–350. https://doi.org/10.1080/10599231.2019.1684171

Soloviova, O., Krasnyak, O., Cherkaska, V., & Revkova, A. (2022). Strategic development of international corporate social responsibility in agribusiness. Economics Ecology Socium, 6(4), 51–64. https://doi.org/10.31520/2616-7107/2022.6.4-5

Statistics, I. (2020). Penduduk Indonesia menurut provinsi. Badan Pusat Statistik, Jakarta. https://perpustakaan.bappenas.go.id/e-library/file_upload/koleksi/migrasi-data-publikasi/file/Policy_Paper/Proyeksi_Penduduk_Indonesia_2010-2035.pdf

Stupnytskyi, V., Filipishyna, L., Chumak, O., Gonchar, V., Komandrovska, V., & Iefimova, G. (2023). Environmental compliance and business strategies practices of entrepreneurial ventures. E3S Web of Conferences, 408, Article 01025. https://doi.org/10.1051/e3sconf/202340801025

Suhartanto, D., Dean, D., Leo, G., & Triyuni, N. N. (2019). Millennial experience with online food home delivery: A lesson from Indonesia. Interdisciplinary Journal of Information, Knowledge, and Management, 14, 277–294. https://doi.org/10.28945/4386

Suhartanto, D., Dean, D., Sosianika, A., & Suhaeni, T. (2018). Food souvenirs and their influence on tourist satisfaction and behavioural intentions. European Journal of Tourism Research, 18, 133–145. https://doi.org/10.54055/ejtr.v18i.317

Suhartanto, D., Kartikasari, A., Arsawan, I. W. E., Suhaeni, T., & Anggraeni, T. (2022). Driving youngsters to be green: The case of plant-based food consumption in Indonesia. Journal of Cleaner Production, 380, Article 135061. https://doi.org/10.1016/j.jclepro.2022.135061

Suhartanto, D., Kartikasari, A., Hapsari, R., Budianto, B. S., Najib, M., & Astor, Y. (2021a). Predicting young customers’ intention to repurchase green plastic products: Incorporating trust model into purchase intention model. Journal of Asia Business Studies, 15(3), 441–456. https://doi.org/10.1108/JABS-04-2020-0150

Suhartanto, D., Kartikasari, A., Najib, M., & Leo, G. (2021b). COVID-19: Pre-purchase trust and health risk impact on m-commerce experience – Young customers experience on food purchasing. Journal of International Food & Agribusiness Marketing, 1–20. https://doi.org/10.1080/08974438.2021.1880514

Suki, N. M. (2015). Customer environmental satisfaction and loyalty in the consumption of green products. International Journal of Sustainable Development & World Ecology, 22(4), 292–301. https://doi.org/10.1080/13504509.2015.1054328

Suki, N. M., & Suki, N. M. (2015). Consumption values and consumer environmental concern regarding green products. International Journal of Sustainable Development & World Ecology, 22(3), 269–278. https://doi.org/10.1080/13504509.2015.1013074

Sumets, A., Tyrkalo, Y., Popovych, N., Poliakova, J., & Krupin, V. (2022). Modeling of the environmental risk management system of agroholdings considering the sustainable development values. Agricultural and Resource Economics, 8(4), 244–265. https://doi.org/10.51599/are.2022.08.04.11

Sun, H., Teh, P.-L., & Linton, J. D. (2018). Impact of environmental knowledge and product quality on student attitude toward products with recycled/remanufactured content: Implications for environmental education and green manufacturing. Business Strategy and the Environment, 27, 935–945. https://doi.org/10.1002/bse.2043

Tan, C. N. L., Ojo, A. O., & Thurasamy, R. (2019). Determinants of green product buying decision among young consumers in Malaysia. Young Consumers, 20(2). https://doi.org/10.1108/YC-12-2018-0898

Tilford, C. (2018). The millennial moment – in charts. Financial Times. https://www.ft.com/content/f81ac17a-68ae-11e8-b6eb-4acfcfb08c11

Uner, M. M., Guven, F., & Cavusgil, S. T. (2020). Churn and loyalty behaviour of Turkish digital natives: Empirical insights and managerial implications. Telecommunications Policy, 44(4). https://doi.org/10.1016/j.telpol.2019.101901

Utomo, W. P. (2019). Indonesia Millennial Report 2019. IDN Reserach Institute, Jakarta.

Van Rensburg, M. L., Nkomo, S. p. L., & Dube, T. (2020). The ‘plastic waste era’; social perceptions towards single-use plastic consumption and impacts on the marine environment in Durban, South Africa. Applied Geography, 114, Article 102132. https://doi.org/10.1016/j.apgeog.2019.102132

Wang, H.-J. (2017). Determinants of consumers’ purchase behaviour towards green brands. The Service Industries Journal, 37(13–14), 896–918. https://doi.org/10.1080/02642069.2017.1365140

Wang, J., Wang, S., Xue, H., Wang, Y., & Li, J. (2018). Green image and consumers’ word-of-mouth intention in the green hotel industry: The moderating effect of Millennials. Journal of Cleaner Production, 181, 426–436. https://doi.org/10.1016/j.jclepro.2018.01.250

Woo, E., & Kim, Y. G. (2019). Consumer attitudes and buying behaviour for green food products: From the aspect of green perceived value (GPV). British Food Journal, 121(2), 320–332. https://doi.org/10.1108/BFJ-01-2018-0027

Wu, J.-H., Wu, C.-W., Lee, C.-T., & Lee, H.-J. (2015). Green purchase intentions: An exploratory study of the Taiwanese electric motorcycle market. Journal of Business Research, 68(4), 829–833. https://doi.org/10.1016/j.jbusres.2014.11.036

Zhang, Y., Xiao, S., & Zhou, G. (2020). User continuance of a green behaviour mobile application in China: An empirical study of Ant Forest. Journal of Cleaner Production, 242, Article 118497. https://doi.org/10.1016/j.jclepro.2019.118497