Do Environmental Consciousness and Theory of Reasoned Action Affect Green Purchase Satisfaction? A PLS-SEM Analysis

Received: 17th Sep 2021 Review: 11th May 2022 Accepted: 18th January 2023

Abstract

Purpose- The foremost goal of current study is to investigate the effect of environmental consciousness and variables of theory of reasoned action on green purchase satisfaction. With this, green purchase intention is also examined as mediator on the relationship between environmental consciousness and green purchase behaviour.

Methodology- To accomplish the research objective, primary data has been collected from consumers in Northern India. The sample size is 321. After data collection, PLS- SEM is applied in Smart PLS for analysis of the data.

Findings- Results revealed environmental consciousness positively influenced to green purchase intention and purchase behaviour as well. Green purchase intention is positively influenced by green purchase attitude and subjective norm. Green purchase intention has significant positive effect on purchase behaviour and consequently, green purchase behaviour also has positive influence on green purchase satisfaction. Results of mediation analysis revealed green purchase intention has partial mediation between environmental consciousness and green purchase behaviour.

Practical Implication- The subject matter of current study is environment and green purchase therefore, it is valuable for environment as well as for all who take benefits from the environmental resources presently and will take in future also. With this, it is fruitful for all marketers of green products because it would provide enlightenment about green purchase behaviour and satisfaction of consumers.

Originality/Value- The existing research improves the literature on the association among environmental consciousness, theory of reasoned action and green purchase satisfaction.

Keywords: Environmental Consciousness, Green Purchase Satisfaction, Green Purchase Attitude, Partial Least Square-Structural Equation Modelling, Subjective Norm, Theory of Reasoned Action

http://doi.org/10.53908/NMMR.310102

Introduction

Environmental issue is escalating promptly and it gives an alarm to people to wake up to think more and more about environment. Today, lifestyles of people are changing very speedily and this new lifestyle is full of materialistic things. To satisfy their ongoing changing demands, people use natural resources excessively which causes degradation in environmental quality. Doubtlessly, green products add a good proportion in environmental preservation. Household consumption has found to be a significant determinant in the emission of green-house gases, if this consumption becomes greener than it would contribute in environmental protection (Niemeyer, 2010). One option always exist between two extremes of life (satisfying materialistic lifestyle and achieving environmental preservation) i.e. buying green products instead of buying non-green products. If consumers take their buying decisions wisely which signifies thinking about probable environmental effects before buying a product then it would be a great input in the environmental quality up-gradation (Waris & Hameed, 2020). Environmental conservation is an approach to create a sustainable world, to create a healthy or pure environment. If consumers take buying decisions through environmental concern then household sector could play a better role in environmental conservation (Ali et al., 2019). A difference is observed in the environmental concern of people among developed and developing nations. In developed countries, consumers seem to be more conscious towards green products than before whereas in developing nations, human values are yet to be developed for the environment (Claudy et al., 2013). To build a cleaner environment it is the responsibility of every human being to maintain environmental quality. It doesn’t matter who you are and what is your background, what actually matters is, what you are doing for environment and buying green products is one of good contribution in environmental quality up-gradation.

Due to abundant environmental issues, the drive for the existing research is to inspect the impact of environmental consciousness and variables of theory of reasoned action on green purchase satisfaction. Green products have some characteristics in which reusability, recyclability, long life, refillability of packaging, degradability or compostability of material, energy-saving, minimal packaging, and substitutes for plastic packaging, recycled products and recycled packaging material etc. are included. Now-a-days, a large number of environmentally friendly practices have been initiated in numerous companies. Environmentally friendly choices give a better option to green consumers. Sometimes, it is observed that there are some hindrances exist in buying green products for consumers where trust deficit, green product’s Inferior quality and high prices are included (Sheth et al., 2011; Waris & Hameed, 2020). Green product marketers should ensure that influence of negative factors should be minimized as much as possible so that a large number of buyers could be captured by them.

Doubtlessly, green products show a vital role in the environmental protection. Indian government also displays a keen interest in the environmental conservation. To acquire attention of Indians, government is preparing various policies and focusing on various campaigns like, “Say NO to Plastic Bags”, “Ban on Single Use plastics” etc.

Under the current study environmental consciousness has also been measured. “Environmental consciousness refers a sense of environmental responsibility among people in which they support the efforts for environment protection and preservation as well as advise others to protect and preserve environment” (Alsmadi, 2007). Environmental consciousness can also be defined as specific psychological factors that depicts propensity of individuals towards the good environmental behaviour. Environmental quality Up-gradation is the foremost solution in solving environmental problems. Sometimes it has seen that environmental consciousness is not always converts into green buying. Therefore the current research would be insightful to check impact of environmental consciousness green purchase intention as well as on green purchase behaviour.

The current study is specifically focused on green products and under this, a conceptual model is framed/proposed to predict consumer green purchase satisfaction. Firstly, the influence of green purchase attitude, subjective norms, and environmental consciousness on green purchase intention is investigated. Afterwards, effect of green purchase intention is investigated on purchase behaviour. Finally, impact of green purchase behaviour is also investigated on green purchase satisfaction. Not only this, green purchase intention is also investigated as a mediating variable between environmental consciousness and green purchase behavior. The major aims of study are; (1) to examine the effect of variables (environmental consciousness, green purchase attitude, subjective norms) on green purchase intention; (2) to examine the effect of green purchase intention on the green purchase behaviour directly as well as indirectly through mediation between environmental consciousness and green purchase behaviour; (3) to scrutinize the influence of purchase behaviour on green purchase satisfaction.

Literature Review Theoretical Framework

Environmental issues are increasing continuously and it gives a disastrous impact on climate and life of all the species. This section would cover the previous studies that are related to our study model. According to Alsmadi (2007), Jordanian customers are very much worried for the environment but it was also shown that positive concern for environment does not necessarily mean it would convert in green purchase behaviour.

The

existing study has also shown that income has significant effect on environmental friendly purchase behaviour. A study conducted by Ergen, Baykan & Turan (2015) in Istanbul revealed that there is a big role of environmental knowledge and materialism in formation of environmental consciousness. According to Sharma & Bansal (2013), antecedents of environmental consciousness are demographic, psychographics, media and political views. There are some intervening or hindering variables that have some existence in the adoption of environmentally conscious purchase behaviour which includes low level of willingness to pay and inconvenience while purchasing environmentally friendly products (Sharma & Bansal, 2013). Consumer purchase behaviour is positively influenced by environmental consciousness. With this, a one more finding also revealed that female and young people are more interested in buying green product (Huang et al., 2014).

A previous research has shown “environmental knowledge, environmental consciousness and social norm have a positive effect on attitude formation of consumers and along with this consumer’s intention and their behaviour are also good towards consumption of green products” (Lin & Niu, 2018). Mishal et al. (2017) showed that environmental consciousness has positive influence on green purchase attitude. Green behaviour has significant positive influence on green purchase behaviour. According to Ritter et al. (2015), price has very low influence on green buying. Moreover, the study discovered green product consumption is influenced by environmental consciousness and environmental attitude (Ritter et al., 2015).

Akehurst et al. (2012) showed psychographic variables namely; perceived consumer effectiveness and altruism has affirmative influence on ecological conscious consumer buying. According to Straughan & Roberts (1999), psychographic variables are more useful as compared to demographic characteristics where perceived consumer effectiveness found to have more significant positive impact on ecological conscious consumer behaviour. “Understanding pro-environmental behaviour- A comparison of sustainable consumers and apathetic consumers” showed green product purchasers or sustainable consumers have upper levels of cognitive attitude, social norms and recycling intention (Park & Ha, 2012). According to Kaman Lee (2011), for young consumers, the highest influencing factor of green purchase behaviour is peer influence. Another research showed green purchase intention is strongly influenced by government Initiative and, eco-label did not find significant impact on green purchase behavour (Mei, Ling & Piew, 2012). Subjective norm is a positive stimulus for purchase intention and with this; green consumption intention is positively influenced by collectivism whereas there is negative influence of external locus of control on green consumption’s intention (Shih-Tse Wang, 2013). Previous literature provided a strong background to the current research.

Conceptual Framework

Based on previous literature, a conceptual model is proposed:

Green Purchase Attitude

Under the current research, a renowned theory is considered as base i.e. theory of reasoned action in which attitude, subjective norms, behavioural intention are considered. According to Ajzen et al. (1991), attitude means a psychological construct that has power to influence someone’s behaviour. Performance or non-Performance of a particular behaviour depends on favourable/unfavourable evaluative judgments of individuals and these evaluative judgements are known as attitude (Ha & Janda, 2012). If a person have positive attitude towards any product then there are more chances of their purchase intention would also be high. Therefore researchers hypothesize:

H1: Green purchase attitude has significant positive influence on green purchase intention.

Subjective Norm

“Subjective norm refers to the effect of one’s group on others behavior” (Ha & Janda, 2016). Subjective norm creates an eagerness to perform behaviour. According to Paul (2016) “the influence of others who are close/ important to the person/actor such as close friends, relatives, colleagues, or business partners is known as subjective norms”. Some researches revealed subjective norms positively influence to purchase intention (Ha & Janda, 2012; Khare, 2015) whereas others have found a negative influence on purchase intention (Paul et al., 2016). Therefore Researchers hypothesize:

H2: Subjective norms have significant positive influence on green purchase intention.

Environmental Consciousness

“Environmental consciousness refers a strong sense of environmental responsibility i.e., supporting efforts to protect and preserve the environment as well as advising others to behave accordingly” (Alsmadi, 2007). To eliminate or reduce the bad environmental effects from environment, an ability to reshape people’s habits is known as Environmental consciousness (Schlegelmilch et al., 1996). Mida (2009) defines consciousness of environment is effected by two factors which are intrinsic factors and second factor is extrinsic factors. Intrinsic factors include demographic and psychographic variables and; extrinsic factors include media, family and culture. Green purchase behaviour is strongly affected by environmental consciousness (Mainieri et al., 1997). Therefore researchers hypothesize:

H3: Environmental consciousness has significant positive influence on green purchase intention.

H4: Environmental consciousness has significant positive influence on green purchase behaviour.

Green Purchase Intention

After the above hypothesis mentioned, one relation is also examined where impact of green purchase intention is checked on buying behaviour. According to Bian & Forsythe (2012), “purchase intention means the likelihood that a person will purchase a product.” Therefore, researchers hypothesize:

H5: Green purchase intention has significant positive influence on green purchase behaviour.

Green Purchase Satisfaction

Green purchase satisfaction means how a person is satisfied after using green products. According to Flatters & Willmott (2009), buyers are progressively choosing a less wasteful life. This study has also shown consumers are doing this because of strong interest in green consumption and this activity derives personal satisfaction to them. After green buying behaviour, satisfaction of an individual is not only confined to good performance of a product rather a satisfaction of not harming the environment also inhale in an individual (Chen, 2010). According to Xiao and Li (2011), green purchase behaviour has positive role in satisfaction. Based on the above, researchers hypothesize:

H6: Green purchase behaviour has significant positive influence on green purchase satisfaction.

Mediation of green purchase intention

The current study investigated purchase intention as a mediator between environmental consciousness and purchase behaviour.

H7: Green Purchase Intention mediates environmental consciousness and green purchase behaviour.

Based on above mentioned variables, a conceptual model is framed and shown below under Figure 1.

Research Methodology

The present study is conducted in Northern India. A vast variety of green products are available e.g. substitute of plastic bags like jute bags and cloth bags etc.; green cosmetics

and personal care products, energy efficient appliances etc. Therefore, questionnaires are distributed to those who are using these products, but to cover the entire area is somewhat difficult therefore, snowball sampling technique is used to collect the data. For conducting the survey, questionnaire was developed and items of this questionnaire were adapted from previous literature. To analyze the data, PLS-SEM is applied in Smart PLS. Total 350 questionnaires were distributed but under sample size 321 respondent’s data is included because some data of respondent’s was discarded due to improper filling. Items of used questionnaire were measured on a Likert scale. The range of this scale was from strongly agree to strongly disagree. Scale consists of the following items; environmental consciousness comprised 10 statements, green purchase attitude included 3 statements, subjective norm is composed of 4 statements, green purchase intention included 3 statements, green purchase behaviour composed of 6 statements and green purchase satisfaction comprised 4 statements.

Statements of environmental consciousness are adapted from Alsmadi (2007), green purchase attitude is adapted from Chan (2001), subjective norms from Lobo & Greenland (2017), green purchase intention and green purchase behaviour from Mishal et al. (2017); lastly green purchase satisfaction is adapted from Leonidou et al. (2010).

RESULTS

Descriptive Analysis

Below is given the sample profile (see Table 1) where 52.2% respondents comes under the category of 18-25 years age group, 57.5 respondents are female, 50.8% are from service category, 67.4% respondents are unmarried, 50.2 % are from post graduate category and 69.8% comes under the category of 10,001-25,000 rupees household income group.

Assessment of Measurement Model

Under this part; loadings of items towards its construct and cronbach’s alpha is reported for reliability. For reporting the convergent validity, composite reliability (CR) and average variance extracted (AVE) has also been reported. To present the discriminant validity, Fornell and Larcker Criterion has shown. Results revealed there is high reliability of constructs because cronbach alpha values of all constructs are above 0.70(Shiva et al., 2020). Constructs have shown good convergent validity because value of composite reliability is above threshold limits i.e. 0.70 and AVE’s values are above threshold limit 0.50(Shiva et al., 2020 and Hair et al., 2019). Under Fornell and Larcker’s Criterion (1981) where diagonal values of the square root of AVE are higher than values of their inter-item correlation have also shown and the results are showing that it is matching the tune of discriminant validity (see Table 3).

Below mention Table 2 depicts the values of item loadings, Cronbach’s Alpha, CR and AVE.

Results of convergent validity and discriminant validity indicate that model is fit for the structural model assessment which is used for final analysis.

Structural Model Assessment

To check the influencing power of the constructs, researchers used bootstrapping process while taking recommended 5000 bootstraps (Shiva et al., 2020). This bootstrapping process generates p-values that revealed significant or insignificant influence of independent constructs on dependent constructs. Results revealed inner variance inflation factor (VIF) was less than 5 that is good indicator. Afterwards, p-values are checked for testing our hypothesis. The endogenous construct i.e. green purchase satisfaction found 45 per-cent coefficient of determination (r2). With this, coefficient of determination for green purchase intention is 70.4% (r2) through all three constructs; environmental consciousness, green purchase attitude and subjective norms. Green purchase behaviour is predicted 57.5% (r2) through environmental consciousness and green purchase intention. Outcomes of structural model assessment (Table 4) depicts the prominent impact on green purchase intention is derived from environmental consciousness (b=0.404, p<0.05) supporting H3, afterwards subjective norms (b=0.308, p <0.05) supporting H2, then green purchase attitude to purchase intention (b=0.224, p <0.05) supporting H1. Afterwards, influence of green purchase intention is high on green purchase behaviour i.e. (b=0.520, p<0.05) supporting H5 and then environmental consciousness to green purchase behaviour (b=0.282, p<0.05) supporting H4. Influence of purchase behaviour to purchase satisfaction is very high as compared to other constructs (b=0.671, p<0.05) supporting H6.

Apart from above, f2 (effect size) is also reported where green purchase behaviour to green purchase satisfaction is 0.818 showed strong effect size. Environmental consciousness to green purchase intention has 0.258 and green purchase intention to green purchase behaviour has 0.263 values that showed moderate effect size. Green purchase attitude to green purchase intention has 0.065, subjective norm to green purchase intention has 0.127 and environmental consciousness to green purchase behaviour has 0.077; all that showed weak effect size. Table 5 presents the data regarding r2 and q2 where q2 signifies the predictive relevance of model.

A value which is greater than zero for Q2 in SEM models has some predictive relevance for a specific reflective endogenous latent variable (Shiva et al., 2020) and all values of Q2 are above zero in the current model that means it showed good predictive relevance. Green purchase intention showed 0.477 value of Q2, green purchase behaviour showed 0.302 value for Q2 and green purchase satisfaction has

0.312 value of Q2. Afterwards, the mediation effect of green purchase intention is investigated between environmental consciousness and green purchase intention. Outcomes showed that green purchase intention has partial mediation between environmental consciousness and green purchase behaviour with significant p-value and VAF (Variance Accounted For) score is 0.426 which showed partial mediation exists between them by Green Purchase Intention. Table 6 presents the data of direct and indirect effects under mediation analysis.

Discussion

Now-a-days, environmental issues are at their upstream level and this worst problem is not facing solely by our country alone rather the whole world is suffering from it. This is the time when it needs to revive the human values for environment. If consumer wants environmental quality should not be deteriorated then they can buy green products because these products do not deteriorate the environmental quality. As a responsible consumer (in context of environment), they can perform their environmental duties by purchasing green products. Inculcating awareness among consumers is very necessary. Results revealed that environmental consciousness positively influence to green purchase intention that contradicted the earlier finding of Mishal et al. (2017). Green purchase attitude positively influence to green purchase intention that is similar to previous study of Sun & Wang (2019). Subjective norm positively influence to green purchase intention that is similar to earlier findings of Ha & Janda (2012). The results revealed green purchase intention positively influences to green purchase behaviour and this finding is similar to the earlier results of Lin & Niu (2018). With this, green purchase behaviour has also significant influence on green purchase satisfaction.

6. Conclusion and Policy Implication

This study is very helpful from the environmental perspective because it specifically focused on green purchase behaviour that is good for environmental quality up-liftment due to its feature of environmental friendliness. After run the whole conceptual model in Smart PLS, results revealed marketers should adopt those practices through which consumers’ positive attitude should be developed for green products. Marketers should pay its attention on those strategies through which they can build or gain positive attitude of consumers regarding green purchasing by this they can acquire a good position in the market. The current study focuses on green products i.e. excellent contributor in proper usage of natural resource and keeping the environment cleaner. With this, marketers should adopt those practices through which more customers should buy green products.

Limitations & Scope for Forthcoming Research

The existing research has certain limitations and in future, researchers further can

improve this study through their valuable contributions. They can improve the study through addition of new constructs for checking the influence of additional determinants. Sometimes there are some hindrances exist in the path of green purchase intention to green purchase behaviour. Researchers could study on these factors and should suggest ways to remove them so that word-deed gap should be reduced to maximum extent. This study is conducted only in one specific area of a nation, researchers can apply this study in other regions of India also. Along with this a comparative study between developed and developing nations could also be done in future.

Afsa Parveen, Research Scholar, Department of Commerce, Kurukshetra University, Kurukshetra, Email: afsaparveenphd@kuk.ac.in

ORCID ID- 0000-0002-9266-4239

Rashmi Chaudhary, Associate Professor, Department of Commerce, Kurukshetra University, Kurukshetra, Email: rashmi.chaudhary.kuk@gmail.com

ORCID ID- 0000-0002-5723-9421

NMIMS

Management Review

ISSN: 0971-1023

Volume XXXI

Issue-1 | January 2023

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Appendix:

Construct 1: Green Purchase AttitudeChan, 20015-Point Likert Scale
I like the idea of purchasing green products 
Green products buying is a good idea 
My attitude is positive for buying green products. 
Construct 2: Subjective NormsLobo & Greenland, 20175-Point Likert Scale
Key Individuals in my life think that I shouldbuy green products 
My associates generally suppose from me to pur-chase green products 
Chief People for me always backing me when-ever I purchase green products 
Important people for me could influence me forpurchasing green products 
Construct3: Environmental ConsciousnessAlsmadi, 2007;5-Point Likert Scale
It is always advisable to others from my side tokeep the environment clean 
It is very annoying for me when somebody pol-lute the environment 
I always respect to those pains which preservethe environment 
I always appreciate to live in a clean andhealthy surroundings 
I admire rules and regulations which maintainenvironment 
Those people are admiring personality for mewho rationalizes their consumption of energy 
I am very well aware about the effect of popula-tion explosion 
Natural resources are limited, they must be usedsensibly 
I believe for creating a balanced survival, har-mony between man and nature is must 
Environment is not only for us but also for our future generations, therefore it must be wellmaintained 
Construct 4: Green purchase IntentionMishal et al., 2017;5-Point Likert Scale
In coming future, I will consider to buy less pol-luting products 
In coming future, I will switch to Green brandsfrom non-green brands 
In coming future, I plan to shift towards greenproduct 
Construct 5: Green purchase BehaviourMishal et al., 2017;5-Point Likert Scale
If offered at the equal price I opt environmentally sustainable product rather than environmentallyharmful product 
I opt green products without considering theirprice 
I usually attempt to know environmental effectsof green products prior to purchase 
I carry my own bag to lessen the excessive use ofplastic for shopping 
If I recognize probable damage for environment,I don’t choose that product. 
I don’t purchase product from a company whichsells it, works environmentally irresponsible 
Green Purchase SatisfactionLeonidou et al., 2010
I took correct decision of buying green products 
I am satisfied after buying green product 
I am truly satisfied because I have got exactly thesame what I expected before buying 
My overall feeling is good for green products af-ter consuming them. 
AgeFrequencyPercent
18-25 Years16852.2
26-40 years12037.3
41-60 years319.6
Above 60 years20.6
 321100
Gender
Male13642.2
Female18557.5
 321100
   
Occupation
Student10031.2
Businessman / Businesswoman3711.5
Serviceman / Servicewoman16350.8
Home Maker216.5
 321100
Marital status
Married10432.3
Unmarried21767.4
 321100
Education
Post Graduate16150.2
Graduate4714.6
Upto 12th9329.0
Other206.2
 321100
Household Income(in Rupees)
Less than 10,00041.2
10,001-25,00022469.8
25,001-50,0006821.2
50,001-1,00,000103.1
More than 1,00,000154.7
 321100

Table 1: Demographics of Sample (N=321); Source: Author’s Calculations

Construct

Items

Loadings

Cronbach’s

Alpha

CR

AVE

Environmen- tal Con- sciousness

EC1

0.861

0.961

0.966

0.742

EC2

0.840

EC3

0.883

EC4

0.877

EC5

0.862

EC6

0.795

EC7

0.848

EC8

0.899

EC9

0.860

EC10

0.885

Green Pur- chase Atti-

tude

GPA1

0.891

0.740

0.850

0.661

GPA2

0.604

GPA3

0.908

Subjective Norms

SN1

0.867

0.884

0.920

0.741

SN2

0.851

SN3

0.874

SN4

0.852

Green Pur- chase Inten-

tion

GPI1

0.878

0.845

0.906

0.763

GPI2

0.873

GPI3

0.869

Green

Purchase Behaviour

GPB1

0.761

0.740

0.903

0.610

GPB2

0.694

GPB3

0.818

GPB4

0.823

GPB5

0.786

GPB6

0.795

Green

Purchase Satisfaction

GPS1

0.888

0.911

0.937

0.789

GPS2

0.906

GPS3

0.895

GPS4

0.863

Table 2: Loadings, Cronbach’s Alpha, CR & AVE; Source: Author’s Calculations

ConstructsEnviron- mental Conscious- nessGreen Purchase AttitudeGreen Pur- chase Behav- iourGreen Purchase IntentionGreen Pur- chase Satisfac- tionSub- jective Norm
Environmen- tal Con- sciousness0.861     
Green Pur- chase Atti- tude0.6880.813    
Green Pur- chase       Be- haviour0.6800.6250.781   
Green Pur- chase Inten- tion0.7660.7320.7360.873  
Green Pur- chase Satis- faction0.6750.7030.6710.7380.888 
Subjective Norm0.6720.7450.6910.7470.6880.861

Table 3: Discriminant Validity; Source: Author’s Calculations

HypothesisPath RelationshipsSample MeanT-statis- ticsP-valuesResults
H1GPA->GPI0.2243.5560.00Supported
H2SN->GPI0.3074.8780.00Supported
H3EC->GPI0.4065.5080.00Supported
H4EC->GPB0.2864.3210.00Supported
H5GPI->GPB0.5157.4880.00Supported
H6GPB->GPS0.67113.1210.00Supported
H7EC->GPI->GPB0.2075.7610.00Supported

Table 4: Structural Model Assessment; Source: Author’s Calculations

ConstructR2Adjusted R2Q2
Green Purchase Intention0.7040.7010.477
Green Purchase Behaviour0.5750.5720.302
Green Purchase Satisfaction0.4500.4480.312

Table 5: Results of R2 and Q2 values; Source: Author’s Calculations

Predecessor ConstructDirect Effects on Purchase BehaviourIndirect EffectTotal EffectSignificance of Total Effect
PI(Environmental Consciousness)0.2820.2100.492Yes

Table 6: Direct, Indirect and total effects; Source: Author’s Calculations