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Applying the Theory of Consumption Values to Choice Behavior Toward Green

Products

P. Lin1, Y. Huang2, J. Wang


1,2
Department of Transportation and Communication Management Science, National Cheng Kung University, Taiwan
3
Department of Logistics Management, National Kaohsiung First University of Science and Technology, Taiwan
(peichunl@mail.ncku.edu.tw)

importance of the attitude-behavior gap or values-action


Abstract –This study applies the theory of consumption gap. For example, 30% of UK consumers reported their
values as a theoretical basis to verify consumer choice concern about environmental issues [6], but struggled to
behavior toward green products. This study investigates translate that concern into green purchases. Evidence of
consumers’ consumption values and choice behaviors this gap is illustrated by Young et al. [6], who show that,
toward green products to provide promotion/sales advice for
despite generally favorable attitudes that consumers hold
governments, green groups, and the green industry. The
study result will help producers decrease the risk of green toward organic food (between 46% and 67% of the
product development, and strengthen its marketing population), actual purchase behavior forms only 4% to
competition, and eliminate the gap between consumption 10% of different product ranges. This is the values-action
values of green products and consumers’ choice behavior. gap. Rex and Baumann [3] argue that we cannot expect
high market shares for green products in general if
Keywords – Green products, Consumption value, marketers continue to rely only on eco-labels and already
Consumer choice existing green consumers. To achieve greener production
and consumption patterns, we need to address a wider
range of consumers than the deep green segment. We
I. INTRODUCTION recommend broadening green marketing and exploring
various areas of marketing theory, such as the analysis of
According to the Organization for Economic Co- consumer wants and promotion [3].
operation and Development (OECD), green products
measure, prevent, limit, reduce, and correct environmental Bei and Simpson [7] state that the total utility of a
impacts on water, air, and soil; they incorporate the purchase is the sum of acquisition utility and transaction
solution to resolve problems related to waste, noise, and utility. Acquisition utility can be estimated by the utility
ecology and to generate products and services. When of a purchased good minus the purchase price. The utility
scraps, harmful substances, or energy forms are of a purchased good is captured as a psychological benefit
discharged into the environment as pollution, it is a sign and perceived quality by the consumer. Transaction utility
that resources have been used incompletely, inefficiently, is a function of the difference between the purchase price
or ineffectively [1]. The emission speed of greenhouse and the expected price. During the purchase decision, the
gases is increasing rapidly and human behavior is one of price that consumers expect to pay acts as an internal
the reasons for global warning. Consumers buying reference price. Researchers can use this study as a
products should consider the assault on the ecological framework to examine the purchase utility of other green
environment from products and choose those that cause or environmentally friendly products [7]. Values serve to
less environmental damage or even benefit the guide actions, attitudes, judgments, and comparisons
environment [2]. Although a great deal of effort has been across specific objects and situations. Numerous
invested in making eco-labeled products more effective researchers have recognized the potential for personal
and efficient, their market share is still low [3]. Roper values to influence consumer decision making. The
Starch Worldwide investigates the consumption pattern in meaning and motivation underlying the consumption of
America [3] and found that 49% of consumers (Basic many products and services may depend on consumption
Browns and Grousers) don’t care about the environment values, and it is commonly believed that effective
and another 33% of consumers (Sprouts) care about it but marketing communications must recognize the
are willing to spend only a little more to buy green. relationship between consumers' values and their motives.
The values composition of consumers may predispose
Laroche, Bergeron and Barbaro-Forleo [4] find that them to interpret their relationship with service providers
13.1% of respondents (i.e., 119/907) were willing to pay a and marketing communications in different ways. The
higher price for green products; this represents a choice of values to emphasize would seem to be
significant market segment for producers and distributors especially important in situations where consumers may
of ecologically compatible products. Determining vary widely in their relationships with the service
consumers’ attitudes and behavioral intentions is provider [8]. The theory of consumer choice values is able
important in developing a marketing strategy for any type to (1) contribute to the general understanding of consumer
of product, and even more so for controversial products choice behavior and (2) assist practitioners, policy makers,
[5]. Young, Hwang, McDonald and Oates [6] state the and academic researchers in determining what motivates

978-1-4244-6567-5/10/$26.00 ©2010 IEEE 348


Proceedings of the 2010 IEEE ICMIT

specific choices [9]. Thus, the theory may be used to states that research trends also indicate a lack of
predict consumption behavior, as well as to describe and willingness to actually pay premium prices for green
explain it. products. Bei and Simpson [7] indicate that consumers
also consider the price and quality of recycled products.
This study applies the theory of consumption values Price effect derives from the perceived price difference
as a theoretical basis to verify consumer choice behavior between the recycled product and the ordinary one. This
toward green products. The theory is designed to facilitate perceived, but not actual, difference affects consumers'
understanding of consumer choice behavior and assist willingness to buy recycled products because the actual
practitioners, policy makers, and academic researchers in price is held constant in the study. The quality of recycled
determining what motivates specific choices. It may be products is another consideration to consumers. Recycled
applied to any consumer choice situation of interest, with baby wipes and toilet paper are low-priced items, but
the limitation that the context is one of individual decision consumers are not willing to buy these two products
making, systematic decision making, and voluntary because of their perceived poor quality. Therefore, this
decision making. Studies analyzing the green consumer study proposes the following hypotheses:
will continue to be attractive as environmental
consciousness evolves over time. The findings of previous Ǐ H1 ǐ The price of a green product will influence
studies will not necessarily be valid in the future. New consumer choice behavior toward green
research on green products should aim to identify possible products.
developments in consumer attitudes, intentions, and
behaviors [10]. The objectives of this study are to Ǐ H2 ǐ The quality of a green product will influence
investigate consumers’ consumption values and choice consumer choice behavior toward green
behaviors toward green products and to provide products.
promotion/sales advice for governments, green groups,
and the green industry. This study is also intended to help Social value is the perceived utility acquired from an
producers decrease the risk of green product development, alternative’s association with one or more specific social
and strengthen its marketing competition, and eliminate groups [9]. The subjective norm construct refers to
the gap between consumption values of green products perceived social pressure to perform or not to perform the
and consumers’ choice behavior. behavior [12]. Arvola et al. [13] suggest that while
subjective norms reflect external social pressure—a
person’s perceptions of what others think he or she should
II. THEORETICAL BACKGROUND do—personal norms and moral attitudes are internal moral
rules or values from which motivation arises due to
Three fundamental propositions are axiomatic to the
anticipated self-administered rewards or punishments. It is
theory of consumption values: (1) consumer choice is a
suggested that environmental-based marketing efforts
function of multiple consumption values; (2) consumption
should be explicitly linked to beneficial outcomes.
values make differential contributions in any given choice
Therefore, marketers must show how consumers who
situation, and (3) consumption values are independent.
choose green products are helping in the struggle to
Figure 1 shows the conceptual model for the theory of
preserve the environment. Straughan and Roberts [14]
consumption values.
also state that the relative importance of altruism in
predicting ECCB suggests that firms must not only be


 

 

 explicit in the link between their environmental strategies
and beneficial outcomes, but they must also show how
other people are better off as a result. Aqueveque [15]
      states that consumers are keen to use more information
sources when faced with social risk, as a means so as to
avoid negative outcomes. Expert opinion is seemingly a


  
 powerful way to reduce risk perceptions of consumers.
Therefore, this study proposes the following hypothesis:
Fig. 1. Conceptual framework of the theory of consumption values.
Ǐ H3 ǐ Social value will influence consumer choice
Sheth, Newman and Gross [9] indicate that functional behavior toward green products.
value is presumably the primary driver of consumer
choice. Perceived utility is acquired from an alternative’s Sheth, Newman and Gross [9] state that emotional
capacity for functional, utilitarian, or physical value is the perceived utility acquired from an
performance, such as reliability, durability, and price. If
alternative’s capacity to arouse feelings or affective states.
the price is considered too high, consumers may trade off Goods and services are frequently associated with
in making purchase decisions, as consumers consider
emotional responses. Sweeney and Soutar [16] state that
many factors other than price in their product selection unlike previous measures, their constructs include both
process [11]. D'Souzau, Taghian, and Peretiatko [11]

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Proceedings of the 2010 IEEE ICMIT

utilitarian and hedonic components. The importance of adopt it, since more product information irrelevant to
this combination can be seen in a comment by MacKay suitability for the situation may disturb consumers’
[17], who noted that a product’s or a service’s appeal is an willingness to adopt it [21]. Hirschman [22] states that
amalgam of rational and emotional factors and that novelty seeking serves as a means of self-preservation.
emotions play a part in every purchase decision (but) . . . The individual may find it useful to create a database of
very few purchases are entirely emotional. Bei and potentially useful knowledge. Because the future is
Simpson [7] find that most respondents (89.1 %) usually unknown, consumption problems are almost inevitable;
feel that they are saving the environment when they the consumer may wisely decide to seek information that
purchase recycled products. Therefore, this study is not "useful" now, but may assume great importance in
proposes the following hypothesis: the future. A second, complementary explanation for
novelty seeking is that it functions to improve problem-
ǏH4ǐEmotional value will influence consumer choice solving skills. Therefore, this study proposes the
behavior toward green products. following hypothesis:

Sheth, Newman and Gross [9] suggest that additional Ǐ H6 ǐ Epistemic value will influence consumer choice
value is the perceived utility acquired by an alternative as behavior toward green products.
the result of a specific situation or set of circumstances
facing the decision maker. Belk [18] defines this situation
as all those factors particular to a time and place which do III. METHODOLOGY
not follow knowledge of personal (intra-individual) and
stimulus (choice alternative) attributes and which have Based on the theoretical background, Figure 2 shows
demonstrable and systematic effects on current behavior. the research framework and hypotheses. Respondents
Nicholls, Roslow and Dublish [19] state that situational were contacted via green activities, at exhibitions and in
variables refer to the circumstances surrounding train stations and asked to complete the self-administered
individuals when they respond to stimuli pertinent to their questionnaire. The population targeted for this study is
needs and wants. When personal situations vary, that is, consumers, including green consumers and those who
consumer situational variables change, consumer may not yet have much ecological consciousness.
purchase behavior may be affected [20]. Studies of soft Participants in the experiment were asked to rate items
drinks, snack foods, beer, and breath fresheners have adapted from the following researches. Each response was
demonstrated that the consumption situation affects measured using a five-point Likert scale.
behavior and that products are frequently in response to
particular situations [21]. Therefore, this study proposes
the following hypothesis:

ǏH5ǐAdditional value will influence consumer choice


behavior toward green products.

Sheth, Newman and Gross [9] assert that epistemic


value is the perceived utility acquired from an
Fig. 2. Research framework and hypotheses.
alternative’s capacity to arouse curiosity, provide novelty,
or satisfy a desire for knowledge. Laroche, Bergeron and The questionnaire, administered in Taiwan, was
Barbaro-Forleo [4] state that knowledge is recognized in composed of 47 questions in total, including respondents’
consumer research as a characteristic that influences all personal information, their purchase experience of green
phases in the decision process. In addition to the needs products, their perception toward the choice of green
associated with the consumption situation, the consumer's products, and their concern for the environment. This
knowledge about the product also plays an important role study uses four questions respectively for functional
in determining new product adoption [21]. Lai [21] states value-price, functional value-quality, and social-value
that when consumers encounter a new product, they dimensions. The questions for the three dimensions are
evaluate the new product by prior knowledge of that proposed by Sweeney and Soutar [16]. The functional
product category and incoming information on new ones value-price dimension measures respondents’ price
to make an adoption decision. The adoption process of a perception of green products. The functional value-quality
new product requires that there be a matching elaboration dimension measures respondents’ opinion of the quality
between the buyer's perceived situational characteristics of green products. The social-value dimension measures
and product attributes. Product knowledge is also a the degree to which respondents care about others’
mediating factor for the intention to adopt two new opinions and behavior toward green products. The
products in this study and the interaction of different emtional-value dimension containes three questions
kinds of product information suggests that too much designed to measure consumers’ perception of green
knowledge of a new product may dilute the intention to products. Measurement for these questions is adopted

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Proceedings of the 2010 IEEE ICMIT

from Arvola et al. [13]. The epistemic-value dimension in high environmental concern feel about those dimensions
this study containes four questions designed to measure of green products is significantly higher. This means
the degree to which consumers acquire related respondents with high environmental concern express
information and seek novelty befor purchasing. The more support for green products than respondents with
measurement of these questions is adopted from Dholakia low environmental concern.
[23] and Hirschman [22]. Six questions related to
consumers’ choice behavior toward green products A multiple linear regression analysis is performed
scaling, measured by the green purchase behavior with choice behavior as the dependent variable and
proposed by Choi and Kim [24]. This dimension measures functional value-quality, functional value-price, social
respondents’ willingness to choose green products. The value, emotional value, additional value, and epistemic
environmental behavior index developed by Tarrant and value as independent variables. R2 is 0.458 and adjusted
Cordell [25] is used to measure the degree of concern for R2 is 0.432. The F value in the ANOVA test is 17.73 and
the environment. Respondents are separated into two is significant at the level of 0.001, which indicates that the
groups according to the sum of scores. In this dimension, model is suitable for the data. The Durbin-Watson statistic
respondents with high scores are more concern about the is 1.894 and does not indicate autocorrelation.
environment than those with low scores. The study
provides four measures in the additional-value construct Consumption values are independent of each other is
to measure respondents’ choice behavior in particular one of propositions for the theory of consumption values.
situations. The four measures are: worsening Variance inflation factors (VIF) of the six consumption
environmental conditions, a subsidy for green products, a values in the study are all less than 5 (see Table I) and
discount rate or activity for green products, and more does not indicate a multicollinearity problem. Therefore,
green product items. the fitted model is an adequate model for the collected
data. The results of the multiple linear regression analysis
(see Table I) show that emotional value, additional value,
IV. DISCUSSION and epistemic value positively influence respondents’
choice behavior toward green products. That is, if
From the valid sample of 147, 133 questionnaires consumers feel higher emotional value, additional value,
were valid, yielding a response rate of 90.5%. Almost two or epistemic value of green products, the possibility that
third (60.2%) of the respondents are females and the consumers will choose green products is higher.
remaining 39.8% are males. The majority of respondents, Consequently, H4, H5, and H6 are supported.
84.9%, are between 20 and 59 years of age. Only 9.8% of
respondents are under 19, and 5.3% are over the age of 60. TABEL I
Of the respondents, 79.7% have at least a college THE RESULT OF MULTIPLE LINEAR REGRESSION ANALYSIS
education. 78.2% have used green products and 66.9% Standardized
have purchased green products. The reasons for never Independent variables P value VIF
coefficients
buying green products are “not knowing if what I’ve Functional value-quality 0.063 0.801 1.856
bought is a green product” (48.28%), “not knowing about Functional value-price 0.080 0.377 1.907
Social value -0.002 0.886 1.551
green products” (24.14%), “not knowing where one can
Emotional value 0.234 0.013* 2.120
buy green products” (20.69%), and “no buying Additional value 0.283 0.001*** 1.662
willingness for green products” (6.9%). Reliability tests Epistemic value 0.265 0.000*** 1.232
are conducted on each factor. Only one item was deleted. Dependent variable: choice behavior of green products
Results show that the Cronbach’s alpha varied from 0.82 *p<0.05, **p<0.01, ***p<0.001
to 0.89 for all constructs. Therefore, the questionnaire has
high reliability.
V. CONCLUSION
A one-way analysis of variance (ANOVA) is
performed with environmental concern as the independent The study applies the theory of consumption values to
variable and functional value-quality, functional value- determine factors that influence consumers’ choice
price, social value, emotional value, additional value, behavior toward green products. Multiple linear
epistemic value, and choice behavior as dependent regression analysis is used for testing and verification.
variables. To sum the item scores for environmental Choice behavior toward green products is the dependent
concern, respondents with high environmental concern are variable and functional value-quality, functional value-
designed as those who have a total score of more than 24; price, social value, emotional value, additional value, and
respondents with low environmental concern are those epistemic value are independent variables. In addition,
who score 24 or less. Results show that there is a respondents are separated into those with high
significant difference between the two groups in environmental concern and those with low environmental
functional value-quality, functional value-price, social concern using one-way ANOVA to determine whether
value, epistemic value, and choice behavior. According to consumption values and choice behavior are significantly
the averages of those dimensions, what respondents with different between the two groups.

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Proceedings of the 2010 IEEE ICMIT

something new. Epistemic value of green products would


The reasons for never buying green products are “not change from actively providing knowledge to adding
knowing if what I’ve bought is a green product” (48.28%), design style. Thus, the probability that consumers will
“not knowing about green products” (24.14%), “not choose green products would rise.
knowing where one can buy green products” (20.69%),
and “no buying willingness for green products” (6.9%). Consumers’ choice behavior toward green products is
Based on the survey, 48% of the respondents do not also positively influenced by the emotional value of green
clearly understand the scope of green products and 24% products. When consumers experience positive emotions
do not understand the characteristics of green products. from purchasing green products, such as a feeling that
Although the government and green groups advocate they are helping to safeguard the environment or the
changing life habits to protect the environment, there is perception that buying green products is a good thing for
little promotion of green consumption except by society, they are more likely to buy green products. The
government institutions and enterprises. In addition, 20% government and green groups could advertise that green
of the respondents do not know where one can purchase consumption is a good thing and print a slogan on the
green products. Those who desire to participate in green packaging. Imperceptibly, consumers would increase their
consumption must pay a high non-money price to locate purchase of green products of the basis of environmental
the purchase channels, but they often express no interest protection due to the high emotional value of green
in consumers’ rational consideration at the end of their products.
search. Consequently, to achieve green consumption for
all people, the government and green groups must In the result of the multiple linear regression analysis,
advocate green consumption over a long period of time. quality and price do not show significant impact on
Fewer channels result in low visibility of green products consumers’ choice behavior toward green products. The
and inconvenience to consumers. Therefore, the reason may be that 22.8% of respondents have not used
government must play an important role to encourage green products and 33.1% have not bought them. So,
green consumption or subsidize firms to establish more there is a little measure bias because some respondents
distribution points. Solving purchase distribution is the answered the two constructs according to their image and
priority; otherwise, the efforts of government and green feelings, not actual experience. On the other hand, social
groups are in vain. value also does not have a significant impact on
consumers’ choice behavior toward green products. The
In previous green consumption research, no one to reason may be that some respondents do not agree
has applied the theory of consumption values. Additional using/buying green products will increase their social
value is one consumption value that influences consumer approval or make a good impression.
choice behavior, and it has an important connection to the
characteristics of green products. In this study, additional According to the results of one-way ANOVA,
value is found to have a positive influence on consumers’ respondents with high environmental concern perceive
choice of green products. Global warming and the higher functional value-quality, functional value-price,
threatened environment contribute to the additional value social value, and epistemic value in green product. Also,
of green products. Consequently, the government and respondents with high environmental concern are more
green groups must continue to emphasize that weather is likely to choose green products than respondents with low
changing and the environment is damaged. In addition, environmental concern. Obviously, respondents with high
the government, manufacturers, and sellers could provide environmental concern have more confidence in green
discounts or purchase activities for green products to products’ price and quality. Compared to respondents
create special situations designed to increase the with low environmental concern, respondents with high
additional value of green products. Under these environmental concern are more likely to care about
circumstances, consumers will think about the threatened others’ opinion toward green products and the social
planet when shopping and choose products that minimize approval associated with using green products.
damage to the environment. Furthermore, respondents with high environmental
concern are more aggressive in obtaining manufacturing
Consumers’ choice behavior toward green products is information and more likely to seek novelty. Thus, the
positively influenced by the epistemic value of green more consumers are concerned about the environment, the
products. This result means that consumers with curiosity more they support green products. Consequently, all
or a desire for knowledge, or who like novelty, are more parties should continue advocating the concept of
likely to choose green products. Hence, manufacturers environment protection and associated consumer
could not only note the characteristics of green products, behaviors to make consumers internalize the message and
but also emphasize design principles and the differences take action to use green products.
between green and non-green products to increase
consumers’ knowledge. In addition, manufacturers could In summary, there is still room for improvement in
add design style to the appearance of green products and green consumption. The success of green consumption
enhance consumers’ curiosity and make them want to try relies on the cooperation of the government, firms,

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Proceedings of the 2010 IEEE ICMIT

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