FOREIGN TRADE UNIVERSITY

FACULTY OF BUSINESS ENGLISH

--------***--------

GRADUATION THESIS
Major: Business English

AN ANALYSIS OF THE GREEN CONSUMPTION

TREND IN VIETNAM’S FOOD
AND BEVERAGE INDUSTRY

Student full name : Hồ Thị Hương Trà

Student ID : 1717710175
Class : English 3
Intake : 56
Supervisor : Assoc. Prof. Dr Trần Thị Ngọc Quyên

Hanoi, June 2021

 FOREIGN TRADE UNIVERSITY
FACULTY OF BUSINESS ENGLISH
--------***--------

GRADUATION THESIS
Major: Business English

AN ANALYSIS OF THE GREEN CONSUMPTION

TREND IN VIETNAM’S FOOD
AND BEVERAGE INDUSTRY
SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE
DEGREE OF BACHELOR OF ARTS IN BUSINESS ENGLISH

Student full name : Hồ Thị Hương Trà

Student ID : 1717710175
Class : English 3
Intake : 56
Supervisor : Assoc. Prof. Dr Trần Thị Ngọc Quyên

Hanoi, June 2021

 TABLES OF CONTENTS
ACKNOWLEDGEMENTS ........................................................................................ i
ABSTRACT ............................................................................................................... ii
LIST OF ABBREVIATIONS ................................................................................... iii
LIST OF TABLES .................................................................................................... iv
LIST OF FIGURES.....................................................................................................v
INTRODUCTION .......................................................................................................1
CHAPTER 1: THEORETICAL BACKGROUND.....................................................8
1.1. Overview of consumption trend........................................................................8
1.1.1. Definitions of consumption trend ..............................................................8
1.1.1. Forming conditions of consumption trend...............................................10
1.1.2. Influencing factors of consumption trend ................................................10
1.2. Overview of green consumption trend ...........................................................15
1.2.1. Concepts of green consumption trend .....................................................15
1.2.2. Origins of green consumption trend ........................................................20
1.2.3. Roles of green consumption trend ...........................................................21
1.2.4. Characteristics of green consumption trend ............................................22
1.3. Green consumption trend in some countries ..................................................23
1.3.1. China ........................................................................................................23
1.3.2. Japan ........................................................................................................24
1.3.3. Korea ........................................................................................................25
1.3.4. The other countries ..................................................................................26
CHAPTER 2: ANALYZING OF THE GREEN CONSUMPTION TREND IN
VIETNAM’S FOOD AND BEVERAGE INDUSTRY............................................28
2.1. Overview of Vietnam’s Food and Beverage Industry ...................................28
2.1.1. The growth of Vietnam’s Food and Beverage industry ..........................28
2.1.2. Vietnam’s typical food and beverage products .......................................30
2.1.3. The contaminated food and beverage problem in Vietnam .....................32
2.2. Reality of the green consumption trend in Vietnam’s Food and Beverage
industry ......................................................................................................................33
2.2.1. Consumers’ interest in green food ...........................................................33
2.2.2. Consumers’ green food awareness ..........................................................34
 2.2.3. Green food and beverage supply .............................................................35
2.2.4. Government policies on green consumption ...........................................38
2.3. Common green consumption characteristics in Vietnam’s Food and Beverage
industry ......................................................................................................................40
2.3.1. The green food purchasing trend .............................................................40
2.3.2. The green packaging usage trend ............................................................42
2.3.3. The food waste usage trend .....................................................................44
2.3.4. Some typical green consumption cases of Vietnam’s Food and Beverage
industry ...............................................................................................................45
2.4. Evaluation of the current state of the green consumption trend in Vietnam’s
Food and Beverage industry......................................................................................48
2.4.1. Achievements ..........................................................................................48
2.4.2. Limitations ...............................................................................................50
CHAPTER 3: PROSPECTS AND RECOMMENDATIONS TO PROMOTE THE
GREEN CONSUMPTION TREND FOR VIETNAM’S FOOD AND BEVERAGE
INDUSTRY...............................................................................................................53
3.1. Forecast of consumption trends in Vietnam to 2030 .....................................53
3.1.1. Forecast of Vietnam’s economy ..............................................................53
3.1.2. Forecast of Vietnam’s consumption trends .............................................53
3.1.3. Forecast of consumption trends in Vietnam’s Food and Beverage
industry ...............................................................................................................57
3.2. Prospects to promote the green consumption trend in Vietnam’s Food and
Beverage industry ......................................................................................................59
3.2.1. Advantages ..............................................................................................59
3.2.2. Disadvantages ..........................................................................................61
3.3. Recommendations to promote the green consumption trend for Vietnam’s
F&B industry .............................................................................................................61
3.3.1. Strengthen propaganda to increase awareness of green consumption
among organizations and individuals in society. ...............................................62
3.3.2. Increase the availability of organic food in the country to satisfy market
demand. ..............................................................................................................65
3.3.3. Implement and encourage green consumption policies in Vietnam ........70
CONCLUSION .........................................................................................................75
REFERENCES ..........................................................................................................77
 i
ACKNOWLEDGEMENTS

My graduation thesis would not have been successfully carried out without the
valuable contributions of lots of important people around me.
First and foremost, I would like to express my sincere appreciation to my
dedicated supervisor, Assoc. Prof. Dr Tran Thi Ngoc Quyen, for her thoughtful
support during the period of my thesis. Throughout the writing process, she assisted
me in determining the best approach to present my issue in writing by providing a
substantial guideline for each main chapter. Furthermore, it was her support that
motivated me whenever I encountered difficulties while conducting the research. It
may have been difficult for me to accomplish this graduation thesis without her
clear directions and helpful feedback.
Secondly, I would want to express my heartfelt gratitude to all of the lecturers
in the Faculty of Business English at Foreign Trade University. I would not have a
strong foundation to explore my potential and achieve my ambitions if it hadn't
been for their four years of imparting information and skills.
Last but not least, I'd want to thank my family and friends, especially my
fellows at the Faculty of Business English, for their support during the writing
process. They not only assist me expand my understanding of the topic, but they
also encourage me to complete my task on time.

Hanoi, June 2020

Ho Thi Huong Tra

 ii
ABSTRACT

Purpose - Because of its positive effects on the environment, human health,

and economic growth, green consumption is rapidly becoming more popular in
Vietnam, particularly in the F&B industry. However, the green consumption trend
in Vietnam in general and in the F&B industry in particular, remains limited. This
thesis aims to investigate the current state of the green consumption trend in
Vietnam’s F&B industry and provides recommendations to promote the green
consumption trend in this industry.
Design/Methodology/Approach - The qualitative method is suitably applied
in the thesis. Secondary data would be mainly collected from reliable channels such
as Nielsen, Vietnam Report, Asia Plus, and official information from articles,
journals, and research from credible sources, university textbooks, and books of
experts in the field, etc.
Findings - The green consumption trend has made numerous notable
achievements; however, there are still some following limitations:
• Consumers have difficulty in choosing organic food in the market
• We lack the specific organic food inspection and supervision procedures
• A portion of customers was unconcerned and unable to alter.
Limitations - Although collecting secondary data and statistics from reputable
sources, lacking primary data can still be a limitation of the thesis.
Practical implications - Education to raise consumer awareness, particularly
among young people, is critical for developing long-term green consumption trend.
Simultaneously, green consumption policies should be implemented, especially to
increase consumer confidence in domestic foods and beverages.
Key words – green consumption, green consumerism, green consumer, green
product, organic food
 iii
LIST OF ABBREVIATIONS

Abbreviation Explanation
BBGV British Business Group Vietnam
BMI Body Mass Index
EU European Union
F&B Food and Beverage
FAO Food and Agriculture Organization of the United Nations
PGS Participatory Guarantee Systems
FMCG Fast-Moving Consumer Goods
GPP Green public procurement
IFNC InTrust Financial Corporation Business
IFOAM International Federation of Organic Agriculture Movements
KEITI Korea Environmental Industry & Technology Institute
LCA Life Cycle Assessment
TFP Total Factor Productivity
VietGAP Vietnamese Good Agricultural Practices
WB World Bank
 iv
LIST OF TABLES
Table 2.1. Top 10 Rice Consuming Countries in 2020 .............................................30
Table 2.2. Vietnam’s food poisoning situation in 2019 and 2020 ............................32
Table 3.1. Documents governing public sector green procurement .........................72
 v
LIST OF FIGURES
Figure 1.1. A generic model of consumer behavior ....................................................9
Figure 1.2. Maslow's Hierarchy of Needs .................................................................13
Figure 1.3. The influence of beliefs and effect on behavioral intentions .................15
Figure 1.4. The green consumer purchasing model. .................................................17
Figure 1.5. Life Cycle Assessment ...........................................................................19
Figure 2.1. Vietnam’s average annual growth and GDP per capita .................. Error!
Bookmark not defined.
Figure 2.2. Vietnamese consumers’ average monthly spending ...............................29
Figure 2.3. Major concerns of Vietnamese consumers Q4 2019 and Q1 2020 ............33
Figure 2.4. Consumers’ awareness of organic food ..................................................35
Figure 2.5. Frequency of organic food usage in Vietnam .........................................41
Figure 2.6. Vietnamese consumers’ expectations to use organic food more
frequently ..................................................................................................................42
Figure 3.1. Consumer expenditure growth forecast 2019-2030 (%) ........................54
Figure 3.2. Drivers of Vietnamese consumer confidence index Q1-2020 (%) ............55
Figure 3.3. Average shopping frequency at different trade channels of Vietnamese
shopper in a month…………………………………………………………..……..58
 1
INTRODUCTION
1. Research rationale
Climate change and environmental pollution are becoming increasingly
serious issues, and they are the significant challenges confronting many countries
around the world (Amsalu, 2017). They not only have a detrimental effect on
biodiversity, creating ecosystem imbalance, but they also negatively impact human
wellbeing and impose a considerable economic burden.
According to Ayantunji Gbadamosi (2016), green consumption refers to
consumer behaviours that satisfy human needs while both being environmentally
sustainable and not negatively impacting future generations’ needs. Green
consumption is regarded as a sustainable and frugal consumption pattern that can
become a consumption trend in the future due to its many environmental and
societal benefits.
Vietnam’s economy is increasing with many promising signs; however, it is
beset by complex environmental issues, including rapid depletion of natural
resources, the rise of different forms of natural hazards, severe weather, and
increased pollution in many major cities (Nguyen Van Thang, 2010). Faced with
this situation, both the Vietnamese government and the citizens have increased their
focus on green consumption. In the F&B industry, especially in light of infected,
unknown origin food problem, Vietnamese consumers place a premium on selecting
healthy foods that are good for their health and do not harm the environment. Many
companies in this sector have taken advantage of this ability to boost their
productivity by emphasizing “greening” in their branding.
On the other hand, “green consumption would need more constructive and
encouraging policies from the government and the enterprises’ willingness to
innovate and the correct view of customers to really foster productivity in the sector
and eventually improve people’s quality of life” (Nguyen Gia Tho, 2019).
Realizing the importance of green consumption trend; as a result, for my
thesis, I chose the subject “An analysis of the green consumption trend in the
Vietnamese Food and Beverage industry”. This thesis was conducted with aim to
have an analytical perspective of the green consumption trend in Vietnam's Food
 2
and Beverage market and made recommendations to encourage and spread this
trend to become a truly advanced commodity trend in the future.
2. Previous study
2.1. Researches in the world
There have been many studies on green consumption around the world.
Typically, in 2001, the American Marketing Association created a model to
represent the overall behavior of environmentally conscious consumers.
Alternatively, the book “Green Consumerism: Perspectives, Sustainability, and
Behavior” by Ruchika Singh Malyan and Punita Duhan (2018) presents a complete
assessment on the importance of purchasing green products, including consumer
intentions and decisions to buy green items. The authors consider consumer
behavior theory in the context of green or ecologically friendly products from both
the academic and business perspectives.
Another book that might be mentioned includes “Green Consumerism: An A-
to-Z Guide” by Juliana Mansvelt (2011), which provides numerous perspectives on
green consumption, predicts its future growth path, and raises the meaning of green
consumption for the environment and society. Contributing authors also provide
insights into the social and spacial constitution of green consumerism, its
multifaceted and sometimes contested contours, and the ways it is embedded and
shaped in relation to wider cultural, economic, political and environmental
processes.
In the study “Green consumerism: overview and future research directions” by
Aasha Sharma and Seema Joshi (2017), the authors analyse the current research on
green consumerism and considers several factors on green purchasing behavior. The
study delves into understudied variables, primarily the significance of
environmental concern and green product features on actual behavior. The
suggested model is based on the premise that environmental knowledge,
environmental attitude, and perceived consumer effectiveness contribute to green
purchasing intention, which is adapted from Theory of planned behavior.
According to the research “Policy Instruments to Promote Sustainable
Consumption” by the ASCEE team (2008), current government intervention
 3
priorities aimed at sustainable development only address the supply side, requiring
additional measures on the demand side. In addition to eco-labeling solutions and
consumer awareness campaigns, the team analyzed and made many
recommendations to develop and supplement sustainable consumption policies,
including: (1) Designing a search engine that regulates public consciousness, social
feedback, and solution practices; (2) Developing a solid evidence base for policy
design that connects lifecycle and market trends and (3) Creating a search engine
that regulates public consciousness, social feedback, and solution practices. Its
empirical basis consists of about 80 interviews and nine case studies of which the
core features of four (Green Funds Scheme, Red/Green Calculator, “We‘re in this
together” and “One Tonne Less”) are presented.
2.2. Researches in Vietnam
Recently, numerous writers in Vietnam have expressed an interest in
investigating green consumption and thoroughly researching this trend. “Green
consumption trends in the world and implications for Vietnam” by Hoang Thi Bao
Thoa (2015), which analyzed the situation of green consumption in the world,
focusing on countries such as China, Japan, Korea, the United States, and the
European Union from which to draw lessons from experience and several policies
that can be implemented to many promote green consumption in Vietnam.
The article “Developing a Hypothetical Model of Elements Influencing Green
Consumption Behavior” by Vu Anh Dung et al. (2012) explains the concepts of
green consumption and analyzes the factors influencing green consumption
behavior based on Ajen's theory of planned behavior (1991). The authors conducted
a survey with consumers in Hanoi to test the correctness of the model and show the
degree and direction of correlation between the variables. The ultimate goal is to
make appropriate recommendations to promote green consumption in Vietnam.
A doctoral thesis, “Study on factors influencing the relationship between green
consumption intention and behavior of Vietnamese consumers,” by Hoang Thi Bao
Thoa (2017), aims to answer the question of why consumers have the intention but
do not engage in actual green consumption behavior, or why intention strongly
influences green consumption behavior. A survey was carried out in Hanoi and Ho
 4
Chi Minh, two large cities of Vietnam, to study green product purchasing behavior
in energy-saving product categories (refrigerator/air conditioner/light bulb) and
nylon bags. The study suggest to policymakers and companies programs and
policies to enable Vietnamese consumers transform their preferences into actual
green consumption behavior by identifying the elements that might encourage or
impede the relationship between their intention and green consumption behavior.
The study “The present situation and evaluation of green public procurement
policy in Vietnam,” written by Luong Thi Ngoc Ha (2017), examines the present
state of green public procurement in Vietnam and makes recommendations for
boosting green public procurement in our country. In the research “Orientation and
some policy solutions to implement green public procurement and green supply
chain” by Minh Nguyen (2016), the author evaluates the status of the application of
green public procurement in Vietnam, proposes orientations and solutions to
promote green procurement based on the experience of green public procurement in
the United States, Europe, Canada, Bhutan, Mongolia, China, Korea, and Thailand.
The reseach “Assessment of the impact of green consumption on sustainable
development in Vietnam today”, written by Tran Ngoc Ngoan (2015), investigates
the theoretical basis for green consumption policy as well as the experience of some
countries around the world in developing green consumption policies. On this
premise, the author examines the current state of green consumption in Vietnam and
recommends strategies to encourage green consumption in Vietnam. He developes
concepts such as green products, green technology, green public procurement, and
green public procurement using the theoretical model of consumer behavior and
planned behavior. At the same time, the author highlights the following elements
that influence green consumption: financial considerations, institutional features,
market aspects, technology considerations, organizational factors, information, and
propaganda.
2.3. Research gap
Domestic and international green consumption research has created a
framework for analyzing green consumption, the inevitable trend of transitioning
from a “brown” economy to a “green” economy, including the process of changing
 5
people’s consumption behavior from traditional consumption to eco-friendly
consumption patterns. The current research works on green consumption are
complete and provide an analytical model of green consumption behavior to show
the factors influencing green consumption habits. If we want consumer behaviors to
be modified, the public policy system, particularly economic policies, must be
adjusted, consequently affecting manufacturers' production and business strategies
and the government and people’s purchasing habits.
The aforementioned study findings will be an essential theoretical background
for the author to develop a theoretical framework for the thesis; nevertheless, the
above studies have limits that must be investigated further, namely:
- Most domestic and international studies examine green consumption in the
context of the economy as a whole, rather than focusing on research on green
consumption in a specific field or industry, particularly in the food and beverage
industry.
- There is no specific research work on particular green consumption patterns
and policies; instead, the studies primarily focus on the theoretical research on green
consumption or analysis on the influence of green consumption on the
environment to highlight the implementation's challenges
- The interaction between the government, businesses, and consumers in
promoting green consumption in the public sector has not been thoroughly
examined. A thorough analysis of this connection will allow a fair assessment of the
current trend, the quality of solutions, policies, and their influence on practice.
As a result, domestic and international studies have not had thorough and
comprehensive research on the subject of green consumption trend in Vietnam in
general and the green consumption trend in Vietnam’s F&B industry in particular,
up to the present moment.
Based on the limitations mentioned above, it is required to pursue an in-depth
study on green consumption by focusing on the following discussions:
- Examine and compare green consumption trend in some developed nations
throughout the world, with the goal of drawing lessons for Vietnam in general and
the Vietnam’s F&B industry in particular.
 6
- Investigate the primary elements influencing customers’ green consumption
behavior in Vietnam’s F&B industry.
- Evaluate typical green consumption cases in Vietnam’s F&B business to
identify advantages, disadvantages, and reasons.
- Make recommendations to boost the green consumption trend in Vietnam's
food and beverage industry.
3. Research objectives/ Research questions
Recognizing the role of green consumption in economic growth and
environmental conservation, the author wishes to find ways to encourage the green
consumption trend, especially in the Vietnam’s F&B industry. To provide a solution
to this issue, the author proceeds to address the three major concerns:
To begin, what is the reasoning behind the green consumption trend?
The first significant issue involves a series of smaller ones: What exactly is
green consumption trend? What roles does green consumption play? What
characteristics of green consumption trend? What is the current state of green
consumption in certain countries worldwide, and what lessons can be drawn for
Vietnam?
Secondly, what is the current state of the green consumption trend in the
Vietnam’s F&B industry?
The second major issue is split into mini questions about Vietnam’s F&B
market summary including the green food purchasing trend, the green packaging
usage trend, and the food waste usage trend, and some typical cases are discussed.
And at last, what are the recommendations for Vietnam’s F&B industry to
enhance the green consumption trend?
This study will address several minor issues, including forecasting Vietnam's
consumption levels to 2030? What are the benefits and threats to the growth of
green consumption trend in Vietnam’s F&B industry? What are the
recommendations to promote the green consumption trend in the Vietnam’s F&B
industry?
4. Research subject and scope of the study
The research subject is the green consumption trend in Vietnam’s Food and
Beverage industry.
 7
The research scope includes theoretical and realistic concerns related to the
green consumption trend in Vietnam’s Food and Beverage industry. In terms of
time, the research was conducted out between 2015 and 2020. However, since the
term “green consumption” is also built from the core principles of consumption
trend, which has been studied by global scholars for a long time, findings of
supporting researches in previous years are still taken into account.
5. Research method
Since this study explores the lessons learned from the application and success
of the green consumption trend from developed countries and typical green
consumption cases in Vietnam’s F&B industry, the qualitative method is
appropriately applied in this thesis.
Secondary data collection: from reputable channels about green consumption
or organic argriculture such as Vietnam Report, Nielsen Inc., Asia Plus; official
information from articles, journals, and research from credible sources; university
textbooks, and books of experts in the field; etc. Moreover, annual reports and
marketing campaign reports of Sai Gon Co.op company and LaVie Vietnam Ltd.
are used in the thesis.
Comparison and synthetic method: Comparing data from business results,
market parameters based on the time, space, economic content, calculation method
and measurement units.
Statistics method by tables and graphs: Find statistical tendency and popular
characteristics of the factor analysis.
6. Research structure
Excluding Acknowledgements, List of Tables, List of Figures, List of
Abbreviations, Abstract, Introduction, Conclusion, and References, this thesis is
built from three main chapters as follows:
Chapter 1: Theoretical backgroud
Chapter 2: Analyzing of the green consumption trend in Vietnam’s Food and
Beverage industry
Chapter 3: Prospects and recommendations to promote the green consumption
trend in Vietnam’s Food and Beverage industry.
 8
CHAPTER 1: THEORETICAL BACKGROUND
1.1. Overview of consumption trend
1.1. Definitions of consumption trend
Consumption trend, in general, is shopping practice or activity that is currently
common among the majority of product and service buyers. Consumption trend
includes product search, selection, buying decision, usage, and disposal. In other
words, consumption trend indicates consumers’ tendency to engage in particular
consumer activity. To properly understand the definition of consumption trend, we
must first examine consumer behavior theory since the two are inextricably linked.
In a given case, “behavior refers to a person’s overt response and behaviors.
Human behavior research aims to learn about all measurable behaviors affected by
various influences, including internal factors (personality, genetics) and external
ones (economy, culture, politics)” (Colman, 2006). According to John Black et al.
(2009), a consumer is described as “any unit that consumer demands for products
and services in the end, ordinary consumers are regarded as individuals, but in fact,
consumers may be agencies or groups of individuals.”
Using the two concepts above, we may conclude that consumer behaviors are
the external embodiments of people wishing to purchase final products or services.
However, this understanding is still limited and does not encompass the entire issue.
David L. Loudon and Albert J. Della Bitta (1993) defined that “Consumer
behaviour may be defined as decision process and physical activity individuals
engage in when evaluating, acquiring, using or disposing of goods and services.”
Schiffman, L.G., and L.L. Kanuk (1994) stated that; “The term consumer behaviour
refers to the behaviour that consumer display in searching for purchasing, using
evaluating and disposing of product and services that they expect will satisfy their
needs.” Solomon, J., (2007) defined, “It is study of the processes involved when
individuals or group select, purchase, use, or dispose of products, services, ideas, or
experiences to satisfy needs and desires.” Hawkins et al. (2001) said “Consumer
behaviour is the study of individuals, groups, or organizations and the processes
they use to select, secure, use, and dispose of products, services, experiences, or
ideas to satisfy needs and the impacts that these processes have on the consumer
 9
and society.” Instead of limiting consumer behaviour to the external measurable
manifestations of consumers, the above definitions apply to their reasoning and
evaluation processes while purchasing the product.

Figure 1.1. A generic model of consumer behavior

Source: Philip Kolter, 2004
According to Philip Kotler (2004), consumer behavior analysis is the study of
how, what type of product, where, and why people make buying decisions. The
study of consumer behavior is based on a combination of many variables, including
psychology, sociology, ethnography and, most importantly, behavioral economics.
It examines how emotions, attitudes, and preferences affect the buying behavior of
consumers. “Consumer behavior studies include consumer characteristics such as
lifestyle, personality, and behavioral variables such as usage rate, usage occasion,
loyalty, etc. Furthermore, factors from family, friends, or brand sales marketing
practices to customers are used for analysis.” (McCort, D.J. and Malhotra,
N.K.,1993)
In terms of consumption trend, the word “trend” was first used as a verb in the
16th century to mean “to run or bend in a particular direction.” The expression
comes from the old English word “Trendan,” which means “to rotate or repeat.” By
the 18th century, the trend was used as a noun to describe how something is
bending. The term “trend” was first used by scientists to describe natural
phenomena such as a coast or mountain range, but it eventually gained popularity in
the nineteenth century to refer to how things changed.
The author approaches the idea of trend as a noun in this thesis, suggesting a
shift in a general direction in consumption. A new customer behaviour, attitude,
outlook, or expectation can all serve as the foundation for developing a
 10
consumption trend. “Consumption trend demonstrates how customers’ attitudes and
behaviors are changing” (Tomasin et al., 2013). Scientists use consumption trend to
evaluate and forecast how consumers will behave in the future. Changes in their
attitudes and actions, on the other hand, take time to become widespread. Small
changes in a short period do not constitute a new consumption trend but rather a
fad. In other words, consumption trend is only formed when there is a long-term
shift in consumer attitudes and behaviour.
1.1.1. Forming conditions of consumption trend
Consumers’ thoughts and behaviour are influenced by what happens around
them. Hoon Ang, S. et al. (2001) in his work dicussed that as environmental change
disrupts consumers’ normal perceptions and habits and makes them aware of their
new needs, consumption trend emerges. If they need safer, more practical, or more
modern products, for example, they will seek out new products that satisfy their
requirements. When a number of customers have new expectations for goods and
services, the supplier can use this information to generate, invent, design, or even
manufacture a new product to meet those expectations. Alternatively, consumers can
discover a product on the market that better satisfies their interests at a lower price.
Consumption trend emerges only when many people are interested in and
willing to spend money on the same product or a particular group of products. “
Consumers will share a common consumption habit as trends emerge: the tendency
to prefer product A over product B” (Valette-Florence, P., & Jolibert, A., 1990).
Consumer attitudes and behaviours are the most critical factors in determining
whether this change in consumption becomes a trend.
When market conditions are favourable and customers are ready to embrace
them, consumption trends emerge (Flatters and Willmott, 2009). As the number of
customers changes with a growing trend, the consumption trend graph will take the
shape of an upward curve (inverted U-shape). When the number of trend followers
reaches its peak, the trendline will begin to fall as a new trend takes its place. In
another case, if the trend is high and stable, the graph would run horizontally
instead of down.
1.1.2. Influencing factors of consumption trend
 11
• Environmental factors
According to Ramya N. and Dr. SA Mohamed Ali (2016), economic status,
social class, culture, and reference groups are the environmental factors that have
the greatest impact on the consumption trend. “A country’s economic status heavily
influences consumers’ purchasing decisions” (Matilla A. S. and Jochen Wirtz,
2008). People will be more willing to pay and increase purchasing power in a
thriving economy with growth signs rather than in a weak economy. Changes in the
market environment have an immediate effect on people's purchase behaviour.
Consumers tend to buy more or prefer high-end goods and services that better suit
their needs as the economy grows.
In general, social stratification exists in all nations and people of the same social
class also hold similar values, beliefs, and behaviours because social groups are
relatively stable and homogeneous. Social stratification is based on various factors,
including income, occupation, level of knowledge, and the others. The primary
stratification method divides society into three major classes: upper, middle, and
lower. People from the same social class are more likely to behave differently from
those from other social groups. Matilla A. S. and Jochen Wirtz (2008) in their work
demonstrated that the middle class prefers to buy expensive goods to preserve and
affirm their social position. Before making a buying decision, middle-class
consumers will compare, collect details, and consider deeply. The lower classes
consume less and are only concerned with necessities. As a result, consumer
preferences and purchasing habits differ greatly depending on social class.
Kotler and Armstrong (2012) states that culture is another environmental
factor that affects consumption trends. Customers from various cultures with
distinct cultural beliefs tend to consume differently. Customers from various
cultures with distinct cultural beliefs tend to consume differently. For example,
people in Japan and China often choose goods and services based on popular
opinion, while consumers in Western nations, such as the United Kingdom and the
United States, primarily based on personal tastes.
According to Kotler and Armstrong (2012), human behaviour is influenced by
many reference groups. They are groups of people who directly influence an
 12
individual’s attitudes and behaviours. We always seek the approval and support of
those around us because we are afraid of breaking the common rules. Reference
groups influence individuals’ thoughts and actions in three ways:
• They guide individuals to new habits and lifestyles.
• They influence an individual’s life views and attitudes.
• They create pressures to adhere to common standards, thus determining how
individuals select products.
Aside from reference groups, family members or close relationships, such as
friends and colleagues, have a significant influence on everyone's consumption
habits. Factors such as family traditions and older members’ behavioural patterns
gradually shape the next generation’s thinking and consumption.
• Motivation
Motivation is the factor that drives consumers to engage in purchasing
behaviours to meet their individual needs. Motivation can stem from physiological
issues (such as hunger, thirst, fatigue, etc.) or psychological issues (such as sadness,
anger, lack of confidence, etc.). When problems reach a certain threshold,
consumers will take action to solve them, such as finding products or using services
to satisfy their needs.
The level of motivation will be determined by the significance and urgency of
the need. Abraham Maslow, a human psychologist, proposed Maslow's Hierarchy
of Needs in 1943, which classified people's needs into different levels ranging from
basic to higher-order needs.
 13

Figure 1.2. Maslow's Hierarchy of Needs

Source: Maslow, 1943
Maslow’s hierarchy of needs has five levels: physiological needs (eating,
sleeping, relaxing, etc.); need to be safety (safety for yourself, job, family, etc.);
social needs (relationships such as friends, family, colleagues, etc.); esteem
(achievement, respect, etc.) and self-actualization. The basic needs would be
prioritized to be fulfilled first because people cannot survive without these basic
needs, and the higher needs listed above cannot appear. When the lower level of
need has been met, and the customer is no longer driven, the consumer will move
on to the next level of need.
• Lifestyle
Albert J. Della Bitta and David L. Loudon (1993) introduced the word
“lifestyle” in 1929 to describe how a person exists in society. A person’s way of life
manifests by his or her actions, beliefs, desires, or behaviours. In terms of
consumption, lifestyle has a significant impact on an individual’s attitude and
consumption behaviour. People with the same social class or culture will have
different lifestyles. People’s preferences in how they respond to their environment,
 14
or in consumption, how they spend their time and resources, are reflected in their
lifestyle. Some individuals, for example, tend to buy high-end products to
demonstrate their wealth, while others prefer to purchase high-quality, long-lasting,
and reasonably priced items. The AIO model was developed by market analysts
based on a study of consumer lifestyle characteristics. This model is based on three
major factors: actions, interests, and opinions. When combined with demographic
characteristics, AIO provides an analysis of each segment's consumption trends.
• Perception
Consumer perception of goods and services has a substantial impact on their
purchase decisions. Consumers tend to synthesize information about products:
through advertisements, through the exchange of experiences with people that have
used them as a guide for deciding whether to purchase the product. Consumers have
a complete understanding of a good or service only when they have used it. If they
are pleased with the product after using it, they are more likely to purchase it again
in the future. When buyers are not seeking alternative goods or shopping for higher-
end ones, their judgment and purchasing proclivity is entirely based on previous
experiences.
Consumers have different impressions about the same goods or services
because of separate cognitive processes such as selective attention, selective
distortion, and selective memory.
Every day, each person is bombarded with hundreds of advertisements from a
variety of marketing channels. Consumers would only pay attention to exceptional
items that meet their needs due to the vast volume of knowledge that causes
discomfort and the desire to avoid advertisements (Lasn, 1999). Particular interest is
the first step in shaping an individual’s view of a specific product. The next stage of
the cognitive process, selective distortion, reflects the tendency to alter and change
acquired information based on the consumer's general perception (Kotler and
Armstrong, 2012). This thing can lead to consumers having preconceived notions of
what the company has to offer. The propensity to remember knowledge that
supports one's point of view is referred to as selective memory. In general, people
 15
often remember only knowledge appealing to them and is consistent with their
values and beliefs.
• Attitudes and beliefs.

Figure 1. 3. The influence of beliefs and effect on behavioral intentions

Source: Del L Hawkins, RogerJ Best and Kenneth A Coney, 1998
Consumers’ purchasing decisions are heavily influenced by their beliefs and
attitudes. Beliefs represent an individual's favourable or unfavourable attitude
toward something. For example, some people believe that drinking tea is good for
their health because it helps them wake up and relieve stress, while others believe
that it causes insomnia and has a negative impact on their mental health.
Everyone's beliefs may or may not be correct, and they can change depending on
the situation. Attitudes, like beliefs, reflect consumers' feelings and thoughts about
a particular product or service, but they are frequently emotional thoughts and
difficult to change (Hornik J. and Giulia Miniero, 2009). Consequently, analysis
of consumer beliefs and attitudes is a necessary basis for forecast consumption
trends in the future.
1.2. Overview of green consumption trend
1.2.1. Concepts of green consumption trend
1.2.1.1. Green consumption
Green consumption was first introduced in 1980, referring to a new means of
consuming goods and services without negatively impacting the environment.
Gradually, this term has evolved into “green consumption is the practice of using
environmentally friendly products, which do not pose risks to human health, do not
 16
threaten functions and diversity of natural ecosystems” (Haliza Abdul Rahman,
2018). Consumers have a huge effect on market supply and demand. As a result,
green consumerism originated from an urge to save energy for future generations
while still improving people's living standards.
Green consumption is a potential consumption trend in which consumers are
aware of their needs for more appropriate, healthier, and environmentally
sustainable goods. Until now, there have been several concepts of green
consumption, each with its approaches. According to Kollmuss & Agyeman (2002),
green consumption is conscious consumption behavior to minimize negative
impacts on the natural world and society. Alfredsson (2004) said that “green
consumption is related to scientific indicators of energy usage and CO2 emissions”.
According to by Juliana Mansvelt and Paul Robbins (2011), green consumption is a
method that involves a number of activities such as purchasing and reusing,
recycling environmentally sustainable goods and services. The definition of green
consumption is still relatively recent in Vietnam, but some authors have made a
reasonably comprehensive observation on the topic. Green consumption, according
to Nguyen Thi Huyen & Nguyen Thi Ngoc Anh (2012), begins with the purchase of
green items, their use in a “green” way (thriftiness, recycling, waste classification,
etc.), and the dissemination of the activities as mentioned above to the community.
This argument is like the viewpoint of by Juliana Mansvelt and Paul Robbins
(2011), but it is expanded to include the spread and effect of green consuming
activity in society.
In conclusion, although there is no universal definition of green consumption,
most viewpoints refer to purchasing green goods and services and increasing usage
efficiency. Optimizing usage performance entails using materials in a cost-effective,
environmentally sustainable, and human-health-safe manner. The author presents
the idea of green consumption in this study as a series of behaviours that include
buying green goods, using green (saving, recycling, reusing), and disposing of
green waste to minimize negative impacts on the environment and human health.
 17

Figure 1.4. The green consumer purchasing model

Source: Young et al., 2010
1.2.1.2. Green Consumer
According to the book Green Consumerism: An A - to - Z Guide by Juliana
Mansvelt & Paul Robbins (2011), a green customer is someone who recognizes his
or her responsibility to protect the environment by buying green goods or services
selectively. They always try to maintain a healthy and safe lifestyle that does not
harm the environment or humanity's future. Green customers are those who
understand the environmental effect of buying goods and services and can make
changes in their purchasing habits (John Thogersen & Folke Olander, 2006).
Euromonitor (2008) defined green consumers are those who are constantly
purchasing the product, which brings less impact to the environment consistently.
These consumers may focus on brand products that are eco-friendly packaging and
corporate who is practicing the fair trade or environmental practices as well.
Furthermore, Nik Abdul Rashid et al. (2009) explained that green purchase
intention is conceptualized as the probability and willingness of a person who
prefers to purchase products that have eco-friendly features over other non-green
products in their purchase considerations.
 18
In the broadest sense, green customers avoid using goods that are potentially
harmful to their health or the health of others, as well as products that cause
significant environmental damage. Moreover, they stop using goods that consume a
disproportionate number of resources, produce excessive waste, or use materials
derived from uncommon plant and animal species, which influence the natural
environment (Ayantunji Gbadamosi, 2016).
1.2.1.3. Green Product
In general, a green product is designed or manufactured in a manner to
minimize the environmental impact involved in its production, distribution, and
consumption (Tomasin et al., 2013). This could involve the use of recyclable
materials, biodegradable elements, and components (Blengini et al., 2012). In fact,
there are several characteristics that a product must have to be regarded as a "green"
product (Tseng & Hung, 2013). Several conditions are easily reused, made using
natural and/or renewable resources, contains recycled content, readily recycled,
biodegradable, energy efficient and durable with low maintenance requirements.
To summarize, green goods have a lower environmental effect and are less
harmful to human health than their alternatives (Shrum et al., 1995). The words
“green product” and “environmental product” are widely used in the business world
to describe products that aim to protect or improve the natural environment by
conserving energy and/or resources and minimizing or removing chemical agents,
emissions, and waste (J. Ottman, 2006). This concept emphasizes the importance of
energy, resources, pollution, and waste in the production of green products.
1.2.1.4. Life Cycle Analysis – LCA
 19

Figure 1.5. Life Cycle Assessment

Source: ISO 14040, 1995
According to ISO 14040 (1995), life cycle assessment (LCA) is a methodology
for quantitatively estimating the potential impact of a product or process on the
environment over its lifetime. LCA usually relies on tracking uses of resources and
emissions of substances throughout the product's life cycle by tracing the processes
involved in producing, using, and disposing of the product. The LCA's results are
used to enhance production processes and policies and design more environmentally
sustainable goods and services.
LCA is considered an appropriate and objective appraisal support method for
green consumption, as consumers must consider the environmental friendliness of
goods. Businesses will depend on LCA to choose how to enforce the agreement in
light of customers' growing interest in product development and delivery processes
and their ability to evaluate their effect on the environment. The LCA is now widely
used in environmental policies such as green public procurement policies, eco-
friendly schemes, and eco-design.
1.2.1.5. Ecolabel
Ecolabels inform consumers about the environmental quality of products and
services, enabling consumers to make better choices (Thogersen et al., 2010). It is
widely understood that people rely heavily on information provided by labels in
 20
making their consumption decisions. After considering the pros and cons of a
product, a customer who uses ecolabels as a decision support tool can reject that
product (Thogersen & Olander, 2006). Eco-label is seen as a positive step toward
encouraging greener, more prosperous consumers.
In the interest of increasing the clarity and transparency of the ecolabeling
process, the International Standard Organization has undertaken efforts to
standardize ecolabelling principles. Specifically, it distinguishes between three
types of environmental product labels, classified as ISO Type I, II, and III (Lathrop
and Centner, 1998). These three types of labels can be described as follows:
1. Type I (ISO 14024) labels are based on a set of criteria defined by private
or public environmental labelling programs and are issued and controlled by
third-party certifiers.
2. Type II labels are self-declared claims adopted by manufacturers, retailers,
or anyone else likely to benefit from such claims. These claims can be factual
(e.g., indicating the percentage of a product that is composed of recycled
materials) or more unsubstantiated (e.g., simply “eco-friendly”).
3. Type III labels consist of quantitative product information based on life
cycle impacts.
1.2.2. Origins of green consumption trend
Concerns about the environmental effects of both development and use have
sparked discussions about minimizing emissions and resource depletion. Green
consumption assumes that consumers are responsible or co-responsible with
producers in resolving environmental issues by adopting an environmentally
friendly lifestyle. However, some psychologists argue that assigning responsibility
to customers reduces demand and allows people to consume less, which is an
inefficient way to ensure changes toward a more environmentally sustainable
society (Buttel, 2003). At this point, green consumption is characterized as
consuming more petite than usual.
Gradually, with a new and more accurate approach, green consumption is no
longer perceived in the context of reducing consumption and thus emphasizing
product sustainability and individual social responsibility. People are becoming
 21
more connected and aware of global environmental issues due to globalization,
especially in Western countries. Many major forums have brought green
consumption into the discussion and given specific directions to governments of
countries such as the World Conservation Strategy of the International Union for
Conservation of Nature (IUCN) in 1980, World Commission on Environment and
Development in 1983 and 1987, Conference on Sustainable Cities and European
Union Environmental Action Plan.
Consumers are dramatically changing their consumption habits, creating green
consumption patterns in many countries around the world, in response to
government and company calls, as well as self-awareness of the importance of
solving today's environmental problems. Recognizing the development of this trend,
companies and manufacturing units strive to provide greener and more
environmentally friendly goods and services to adapt quickly to consumer changes.
1.2.3. Roles of green consumption trend
• For the environment
The most significant advantage of green consumerism is the environmental
value. Rapid economic development puts a lot of pressure on natural ecosystems.
Degradation of natural resources and contamination of the atmosphere are
becoming major issues in most countries. Peattie, K. (2010) claim that green
consumption would be an essential solution for developing the demand for green
products and services, even though it cannot reduce the effects of consumption on
the living environment. Furthermore, Pagiaslis, A., & Krontalis, A. K. (2014) said
that green consumerism also contributes to raising the awareness of each individual
about the rational use and exploitation of resources and the protection of
biodiversity.
• For economic development
“The adoption of green consumption habits would accelerate the process of
"greening" the economy and moving it toward long-term sustainability” (Tran Ngoc
Ngoan, 2015). In the face of new demands for cleaner, greener goods in an
environment where consumers are becoming increasingly concerned, consumerism
creates many opportunities for companies (Ruchika Singh Malyan and Punita
Duhan, 2018). With an emphasis on environmental protection, businesses must
 22
gradually adapt their production models to improve the efficiency of utilizing input
capital, resulting in long-term stability and prosperity.
• For each individual
Aside from reducing harmful environmental effects, we are also creating a
safer, healthier world for ourselves, our communities, and future generations by
applying green consumption. The environment’s health has a significant impact on
food safety, air quality, clean water, and, eventually, human health. Green
consumption, on the other hand, encourages us to live a more active, healthier, and
happier life by encouraging us to take environmentally friendly actions.
1.2.4. Characteristics of green consumption trend
The development of the green consumption trend is heavily influenced by four
factors:
Firstly, consumers’ interest in green products is an significant element
influencing the growth of green consumption trend. Consumers expect products and
services to meet their needs. “Consumers’ priorities can change in accordance with
general societal trends and expectations” (McCort, D.J. and Malhotra, N.K., 1993).
Customers’ interest in green products might fluctuate based on the importance of
concerns in their life. Therefore, if people are concerned about their health or the
environment, the interest in green products will rise.
Secondly, in order for green consumption patterns to grow, consumers'
awareness of green products must be precise. “The entire process of customer
perception starts when a consumer sees or gets information about a particular
product. This process continues until the consumer starts to build an opinion about
the product” (Ramya N. and Dr. SA Mohamed Ali, 2016). As a result, when
consumers have a thorough understanding of green products, they will make more
informed green purchasing decisions.
Thirdly, the availability and quality of green product supply is critical to the
success of the green consumption trend. “If the supply does not meet consumers’
demand, they may shift their consumption patterns over time” (Schiffman, L.G.,
and L.L. Kanuk, 1994) . Thus, consumption patterns may shift correspondingly. In
other words, the supply of green products will have a significant influence on green
consumer spending. A lack supply or a shortage of confidence in the quality of
 23
green products might force potential green consumers to shift their purchasing
habits to other goods.
Last but not least, the role of the government in encouraging and expanding
the green consumption trend is undeniable. Nguyen Gia Tho (2019) dicussed in his
research that the government promotes greening the economy and sustainable
consumption by building the legislative framework and building suitable
institutions and policies. The state’s management and supervision are crucial for
regulating unsustainable and environmentally hazardous behaviors by establishing
minimum standards oroutright prohibiting particular activities.
1.3. Green consumption trend in some countries
Many nations have introduced green consumption, which is quickly becoming
an inevitable trend in the world's quest for sustainable development. Green
consumerism is already widespread in wealthy nations, and it has seen early success
in developing countries as personal incomes and consumer awareness rise. The
practice of choosing and utilizing green products has progressively developed
among consumers. They are willing to spend a greater premium on products that are
eco-friendly and health-safe. Many companies have made attempts to reduce the
negative impact of the manufacturing process on the environment while still
building buyer confidence. Governments have gradually established policies to
encourage green consumption as a means of achieving long-term economic growth.
1.3.1. China
The economy’s rapid growth and lack of environmental impact monitoring has
substantially influenced the Chinese natural ecosystem. As a result of this
circumstance, Chinese consumers are concerned about health and safety issues
created by pollution. Consequently, China’s government has created a set of
environmental protection guidelines to make the country’s enviroment become
greener.
Despite its late start, China has achieved significant progress in green
consumerism, which is worth learning. Consumers in this nation increasingly prefer
green products such as organic food, energy-saving appliances, chemical-free and
biodegradable items. Green goods in this nation range from household items to
clothing and food and are created from recycled or recyclable materials and energy-
 24
efficient or environmentally friendly. China ranks tops among green economies as
the result of extra green expenditures.
China has also attempted to eliminate waste in product packaging. The
proposed requirements aim to decrease waste by compelling producers to minimize
packing materials, with noncompliance punishable by up to 50,000 yuan (USD
7,323). Furthermore, in June 2008, China prohibited the use of plastic bags in all
retail outlets, encouraging people to use reusable bags. According to the Chinese
National Development and Reform Commission (NDRC), the restriction in June
2009 reduced the usage of plastic bags by two-thirds and might save 2.4 million
tons of oil per year (Hoang Thi Bao Thoa, 2015).
1.3.2. Japan
Japan is a pioneer in the environmental protection movement in general and
green consumption, particularly in the F&B industry. The Eco Mark program was
established in 1989. Following that is the Green Purchasing Network, a non-profit
organization founded in 1996 to encourage green purchasing operations throughout
Japan. Furthermore, Japan also has recycling rules for packaging and packaging
materials. The ministry Packaging Reuse law “Containers/Packaging Recycling
Act” was created in 1995 to promote the recycling of containers and packaging
materials, covering approximately 60% of the volume of household garbage in
Japan. According to this regulation, customers must classify the material, after
which the city authorities will collect it and return it to the organizations authorised
to execute recycling. These regulations aim to encourage green public procurement
and provide information on green products and services, resulting in a more
sustainable society and environmental friendliness.
The Green Procurement Law compels local governments to make attempts to
comply with this policy; yet, in practice, many local governments actively support
green procurement. For example, in 2000, the Tokyo Metropolitan Government
issued the “Guide to Procurement of Environmentally Friendly Goods.” In 1999,
the Shiga Prefectural Government developed the “Basic Principles for Prefectural
Green Purchasing in Shiga” and supported the green purchasing network in this
prefecture.
 25
Green procurement or emphasizing ecologically friendly inputs has also grown
popular in the business community, particularly among major Japanese
corporations. Suntory Holdings, Asahi Holdings, Coca-Cola Bottlers, Japan
Holdings, and Yakult are some of the well-known businesses in the Japanese food
and beverage industry that have implemented green procurement rules and
encouraged green supply chain management as part of a company-wide effort. The
group has implemented green procurement for all production processes, including
raw materials, additional materials, supplies, and equipment, based on these
requirements.
Positive actions by the Japanese government, local authorities, and
manufacturing companies have had a significant impact on people's awareness and
purchase behavior. Particularly in the aftermath of the Fukushima nuclear power
plant catastrophe in 2011, which had far-reaching effects on the environment, Japan
is more interested in establishing a green economy, encouraging “green
consumption,” and utilizing renewable energy sources in manufacturing. In recent
years, there has been a considerable surge in green shopping activities in Japan.
1.3.3. Korea
Korea, like Japan, is a forerunner in the development of green consumption.
With the accelerating rate of modernization, the economy has showed signs of
success; nonetheless, Korea is confronted with several environmental issues. In
response to this issue, the Korean government has implemented timely adjustments
to enable economic progress while also protecting the environment.
In F&B industry, two sorts of certifications have adopted to encourage
consumers to make an informed decision and develop eco-friendly consumption
pattern. Firstly, “The Korea Eco-label is applied to items to signify comparatively
low levels of environmental pollutants or higher resource conservation throughout
the product's lifecycle as compared to other products in the same category” (KEITI,
2014). Secondly, “Green Store Certification is a program that identifies green
retailers that facilitate the distribution of green products to consumers and try to
enhance the businesses' environmental management” (KEITI, 2014). It aims to
engage retail businesses to conserve energy and reduce GHG emissions, as well as
to provide consumers with simple access to green items.
 26
The Korean government encourages customers to buy eco-labeled green items
by providing a Green Credit Card in January 2011. When Green Credit Card
members purchase green products, take public transportation, transact online, and
conserve electricity, water, and gas, they will gain Reward points that may be
redeemed for cash or given to environmental funds. The Green Credit Card is the
first national project using a credit card platform to provide various economic
incentives for environmentally responsible behavior.
In addition, the Korean government is making affords to provide Korean
consumers with a more accurate and complete understanding of green consumption
and improve public awareness. Korea has now developed a Green Consumption
Collaboration Center to teach and inform consumers about green consumption.
1.3.4. The other countries
Green procurement is developed and executed through various Federal green
procurement programs in which regulatory agencies are obligated to evaluate
environmental impacts, cost, and other factors before making a purchase decision.
All government agencies are required by federal procurement laws and Government
Greening Ordinance 13101 to acquire items containing recycled materials.
In addition, the Rainforest Alliance - a nonprofit organization in the United
States, is influencing consumer choice with product labeling and sustainability
practices, conservation biodiversity, and ensure sustainable livelihoods. The
Rainforest Alliance certifies agricultural products, including coffee, chocolate chips,
bananas, orange juice, nuts, and hundreds of other items from farms in protected
rainforests.
The European Commission has made several efforts and activities in the EU to
encourage the adoption of Green Public Procurement (GPP) in the Member States,
including implementing research and projects, the promulgation of legislation, and
the development of standards. Although GPP remains a voluntary system, several
member nations are rapidly incorporating national action plans and green
procurement guidelines.
The EU action plan on sustainable consumption, sustainable production, and
sustainable industrial policy was released in July 2008 to build a unique sponsorship
policy and program concentrating on sustainable consumption. The EU
 27
Commission develops technologies such as eco-labeling and EU energy efficiency
labels to inform customers about the environmental implications of products and
increase consumer awareness. Other EU projects include the "Retail Forum" and the
"European Food Roundtable," which were established to examine ways to achieve
sustainability in the European food retail industry. Moreover, other initiatives, such
as the Eco-Management and Audit Scheme (EMAS), the Green Public Procurement
(GPP), and the European Technologies Action Plan (ETAP) aim to encourage small
firms and government agencies to engage in green procurement.
 28
CHAPTER 2 : ANALYZING OF THE GREEN
CONSUMPTION TREND IN VIETNAM’S FOOD AND
BEVERAGE INDUSTRY
2.1. Overview of Vietnam’s Food and Beverage Industry
2.1.1. The growth of Vietnam’s Food and Beverage industry
It is obvious that the degree of expenditure on the F&B business is decidedly
identified with the development bearing of the economy. When the economy gives
indications of positive development, individuals' spending on the results of this
industry will likewise increment.

Figure 2.1. Vietnam’s average annual growth and GDP per capita
for the period 2015-2020
Source: General Statistics Office of Vietnam,2020
In terms of the whole economy, the rate of economic growth is kept
reasonably high. In the period 2016-2019, the average annual growth rate is 6.8%,
while in 2020, due to the Covid-19 outbreak, it is over 2%. The average annual
growth rate in the period 2016-2020 is about 5.9%. According to U.S. News &
World Report (2019), Vietnam ranked eighth (up 15 levels from 23rd place in 2018)
in the ranking of the world's best economies to invest in 2019; Vietnam has positive
political and macroeconomic stability, progress in maintaining a high GDP growth
rate (both 2018 and 2019 increased by over 7%), controlling inflation, and reducing
the budget deficit.
 29
With stable economic growth, GDP per capita has steadily risen over the
years, resulting in a significant increase in food and beverage demand. The F&B
industry in Vietnam is one of the most appealing and has an opportunity for
development. According to Ministry of Industry and Trade, food and beverage
account for the largest proportion of Vietnamese consumers’ monthly spending
structure, accounting for approximately 35%. Vietnam's annual food and beverage
consumption is estimated to be 15% of GDP, and it is projected to increase more in
the future.

Food & Drinks

7%
9%
Entertainment & Education
[VALUE] Utility
[VALUE]
Clothes & Footwear
11%
Transport & communication

13% 16% Gadgets & household items

Health

Figure 2.1. Vietnamese consumers’ average monthly spending

Source:Vietnam Report, 2018
Aside from economic development, the attractiveness of a broad market with
nearly 100 million consumers and a young demographic makes the F&B industry
more appealing. Against this backdrop, more and more convenience stores like
Circle K, Vinmart, and Family Mart and retail chains like LOTTE Mart, Emart, Big
C, and Co.opmart have dramatically invested in expanding their size and market
share. According to BMI (2019), the Vietnam’s F&B industry will continue to
expand rapidly in 2020, averaging around 10.9 percent per year. With higher
income levels, Vietnamese food consumption demand will change in all segments
and shift toward higher-value food groups in the future. It is an excellent
opportunity to enhance green, environmentally sustainable, and organic food
consumption in Vietnam.
 30
2.1.2. Vietnam’s typical food and beverage products
• Rice
Rice is a staple food in many Asian nations, including Vietnam. Rice
consumption in Vietnam is still strong and relatively steady. However, before
market reforms, people’s income rises, and they have more options besides regular
meals, resulting in a decline in average domestic rice consumption. People in rural
areas eat more rice than people in urban areas because they have few options.
Vietnam’s total rice consumption remains high, placing fifth among the top ten rice-
consuming countries in the world.
Rank Country Rice consumption (in 1000 metric tons)
1 China 149000
2 India 106500
3 Bangladesh 35900
4 Indonesia 35800
5 Vietnam 21250
6 Philippines 14400
7 Thailand 12500
8 Burma 10400
9 Japan 8250
10 Brazil 7350
Table 2.1. Top 10 Rice Consuming Countries in 2020
Source: Statista.com, 2020
• Milk
The dairy industry is one of the fastest-growing industries in the FMCG
industry. Factors such as the country's huge population, rising per capita income,
and living standards serve as the foundation for forecasting the dairy industry's
prospects. The dairy industry in Vietnam has grown at a rate of 15% per year on
average over the last five years. In addition, this sector's sales increased positively.
According to IFCN (2020), the sector's revenue is estimated to $135,000 billion in
2020, up 8,3% from 2019. Each year, Vietnam spends about 2.7 million dollars on
dairy and dairy products imports. The most considerable dairy export turnover to
 31
Vietnam is New Zealand, Singapore, the United States, and Germany. Milk
consumption in our country will continue to grow in the coming years because
people's living standards rise, followed by the rise of modern distribution chains.
• Noodles
For many years, the habit of eating instant noodles for breakfast has become
widespread in Vietnam, especially in rural areas. Robert Hanson et al. (2020) stated
that about 90% of Vietnamese households will be using instant noodles and in 2019,
Vietnam consumed 5.2 billion packets of instant noodles, up 2.8 percent from the
previous year, and placed fifth among the ten countries that eat the most instant
noodles in the world.
In addition to solid demand, brands competing in the instant noodle business
must constantly diversify product ranges and understand new consumer trends such
as packaging, beautiful designs, and health protection to keep pace. Consumer
wellbeing issues are another roadblock for the instant noodle sector. Furthermore,
apart from the convenience and low price, many consumers are concerned about the
negative health consequences of consuming too many instant noodles.
• Beer
In Vietnam, beer is the most popular alcoholic beverage. Vietnam’s beer
consumption is much higher than that of other countries in the region, according to
WHO. According to BBGV (2020), people’s beer intake has steadily increased over
time, reaching 4.1 billion liters in 2020. Vietnamese people consume about 43 liters
of beer each year, more than the Chinese and four times the amount consumed by
Singaporeans.
The beer industry in Vietnam has bright prospects, but the economic costs and
harms caused by beer and alcohol should be factored into the benefit and loss issue.
It is a significant obstacle to Vietnam's commitment to sustainable development
goals. In Vietnam, beer and tobacco were among the top three sources of road
injuries. Beer and tobacco, in particular, are a significant economic burden on
people, households, and society due to their negative impact on health, decreased
labor production, and costs associated with dealing with the consequences. The
 32
government also faces a severe problem of balancing these deficits with the
economic value of the drink.
2.1.3. The contaminated food and beverage problem in Vietnam
Consumers’ top concern is food quality and safety, which presents the
government with several challenges. “Food malnutrition costs Vietnam $740
million per year” (WB, 2019). This figure is particularly worrying that the issue of
contaminated food results in financial costs and has a negative impact on people’s
health.
The leading cause of the dirty food issue in Vietnam is that food production,
manufacturing, and trade institutions do not adhere to food hygiene and safety
regulations. Food manufacturers and retailers can use various techniques to hide and
common counterfeit goods on the market and sell them to customers to make a
profit. The use of banned chemicals in animal husbandry, stale or moldy food
production and the arrival of drugs of unknown origin into the market are all
becoming more popular.
Year Poisoning cases Poisoned people Death rate
2019 63 1724 9
2020 90 2245 22
Table 2.2. Vietnam’s food poisoning situation in 2019 and 2020
Source: General Statistics Office of Vietnam, 2020
Many cases of polluted food processing have been reported by authorities over
the years, causing concern among the community. According to General Statistics
Office (2020), about 68,000 facilities violated food hygiene and safety in the first
eleven months of 2020, resulting in 90 cases of food poisoning, 2,254 people
poisoned, and 22 deaths. Moreover, Cancer Prevention and Control (2020) in a
report shows that Vietnam has an estimated 94,000 cancer deaths per year, putting it
in 78th place out of 172 countries monitored. Furthermore, the alarming concern is
that the number of cancer patients in Vietnam is exponentially growing. As a result,
Vietnam had 150,000 new cancer cases in 2015, and it is estimated that by 2020, the
country will have 200,000 new cancer cases. The statistics sound alarm bells about
contaminated food, which is one of the leading causes of cancer.
 33
The issue of contaminated food is not a new one in Vietnam. Many solutions
to resolve this problem have been suggested, but none have yet yielded realistic
results. Many people believe that legal sanctions against contaminated food
manufacturing and business institutions have many limitations and lack deterrence
due to mostly leaning toward administrative sanctions. In the presence of the dirty
food complex, the cooperation of the whole community, combined with a tight and
strict law enforcement regime, is both necessary and adequate to repel this problem.
Because many Vietnamese consumers are worried about contaminated food, they
are showing an interest in green products to protect their own and their family’s
health.
2.2. Reality of the green consumption trend in Vietnam’s Food and Beverage
industry
2.2.1. Consumers’ interest in green food
Health, along with job security and work/life balance, is one of the top
concerns of Vietnamese citizens, according to Nielsen’s survey on the Vietnamese
Consumer Confidence Index for the first quarter of 2020.
In Vietnam, the number of cancer cases and other serious diseases is rising,
causing customers to be worried about their health. 4 out of 5 Vietnamese
consumers are worried about the long-term impact of chemical additives in food
and want to know the food ingredients they eat daily.

Increasing Food Prices 9%

10%
Parent's Welfare and 10%
Happiness 9%
21%
The Economy 20%
22%
Work/Life Balance 27%

Job Security 40%

37%

Health 49%
45%

0% 10%Q1 20%
-2020 30%
Q4 - 40%
2019 50% 60%

Figure 2. 2. Major concerns of Vietnamese consumers Q4 2019 and Q1 2020

 34
Source: The Conference Board Global Consumer Confidence and Nielsen, 2020
It is unavoidable that consumers become more cautious when selecting foods,
and growing demand for green and organic foods has emerged. They encourage the
use of ingredients without preservatives, colors, and having a clear origin. As a result,
people's interest in green, organic, and nutritious foods is growing significantly,
signaling the beginning of a new pattern - the green consumption trend.
2.2.2. Consumers’ green food awareness
Consumers' understanding of green or organic food is a critical foundation for
the growth of green consumption. When consumers have a thorough understanding
of organic food, they will make more informed green purchasing decisions.
According to the Department of the Environment, Food and Rural Affairs
(DEFRA), organic food is the product of a farming system that does not use
chemicals, growth hormones, pesticides, and genetically modified organisms
(GMO). Organic food has a clear origin and is produced entirely organically,
ensuring food protection and hygiene. Organic food includes green vegetables and
various other items such as eggs, meat, milk, beer, etc. In order to show that food
follows organic requirements according to European standards, the whole
manufacturing chain of that product must be tightly regulated from planting,
refining, distribution, and selling.
Though information and guidelines for evaluating organic food have become
popular in Western countries, consumers in Vietnam have recently been introduced
to this term. The level of concern about this kind of food is increasing rapidly, as
the issue of contaminated food becomes uncontrolled.
According to an Asia Plus Inc. (2019), most Vietnamese consumers recognize
that organic foods are safe for health, eco-friendly, and have no conservatives.
 35

100%
90%
80% 92%
70% 79%
60%
50%
40% 46%
30% 41%
34%
20%
10% 18% 0%
0%

Figure 2.3. Consumers’ awareness of organic food

Source: Asia Plus Inc., 2019
Figure 2.4 shows that up to 92 percent of participants consider organic foods
safe for health. Consumers want to find healthy ingredients, as health is a primary
concern today. Then, environmental friendliness is now one of the ways Vietnamese
consumers perceive organic food (accounting for 79 percent). Environmental
pollution is becoming a severe problem in Vietnam, as well as around the world.
According to customers, the method of cultivating, manufacturing, packaging, and
selling organic produce is environmentally sustainable because toxic substances
such as chemicals, growth stimulants, drugs, and plant protection are not used.
Other distinguishing features of organic food include no conservatives, high cost,
delicious taste, and no poisoning. In general, we discovered through the survey that
consumers do not understand organic food accurately and adequately, but they do
have an initial understanding and visualization of this kind of food.
2.2.3. Green food and beverage supply
With the growing trend of healthy eating, the organic food industry is
becoming increasingly appealing, opening new business prospects for domestic and
international investors.
2.2.3.1. Domestic supply
According to the Ministry of Agriculture and Rural Development, the organic
farming area in Vietnam has grown from 53,350 hectares in 2016 to approximately
 36
237,693 hectares in 2019. Organic agriculture campaigns are being implemented in
46/63 provinces in Vietnam, including organic vegetables, organic mushrooms,
organic rice, organic seafood, and organic coffee. There are 17,168 farmers
involved in organic cultivation.
Some typical examples of organic agricultural production models:
• Organic rice products from Vien Phu Farm
With an area of 320 hectares, situated next to the U Minh Ha forest belt, Vien
Phu organic farm has all of the prerequisites for rice cultivation that match US
USDA standards. Under the Hoa Sua Foods brand, the farm's organic food chain
offers products such as organic white rice, organic red rice, organic germinated
black rice, and organic germinated black rice, all of which are grown in a closed
system. The entire manufacturing process, from planting to processing, packaging,
and delivery, is evaluated to ensure that it meets organic standards, is suitable for
customers' wellbeing, and is environmentally sustainable. In addition to satisfying
the domestic economy, the Hoa Sua Foods brand has been exported to several
discerning countries, including the Netherlands, France, Germany, Belgium,
Singapore, etc.
• Organic milk from TH Group
Ms. Thai Huong - Founder of TH Group - continued to choose a separate path
for TH in developing organic fresh milk with the mindset of manufacturing truly
pure, nutritious, and environmentally sustainable fresh milk products rather than
importing them from abroad to label Vietnamese products.
As a result, TH Group does not import international standard organic dairy
cows from foreign farms to Vietnam; instead, they are determined to "organize" the
fresh milk available in Vietnam's fields with their cows. It is regarded as a
sustainable process, both in terms of quantity and efficiency; however, this is a
more sophisticated and time-consuming method.
TH farm explicitly implements the method of transforming cows to organic
requirements, from hay, breeding facilities, healthcare for cows. “TH's food crop
and pasture areas do not use genetically modified seeds, pesticides, or artificial
 37
fertilizers; the grazing area is 0.5 ha per cow, and cows are guaranteed at least 25%
of their feed consumption from the farm” (Duteurtre G, et al., 2019) .
According to Vietnam Report (2018), Control Union has granted a European
organic certificate to TH for the whole supply chain, from the TH organic dairy
farm to organic milk production and distribution lines in May 2017.
• The VietGap procedure
VietGAP stands for Vietnamese Good Agricultural Practices, which means
Good Agricultural Practices in Vietnam. It is issued by the Ministry of Agriculture
and Rural Development and applied to each type and group of the product of the
three areas: agriculture, aquaculture, and animal husbandry. Therefore, they are
often called VietGap breeding, VietGap cultivation, VietGap fishery. VietGAP is
the principles, order, and procedures to guide organizations and individuals to
produce, harvest and handle after harvesting to ensure safety and social welfare,
improve product quality, producers and consumers health, simultaneously protect
the environment and traceability of production.
The application of the VietGap method in farming has many advantages.
Manufacturers can easily control the process, resulting in high-quality goods that
follow standards; consumers can easily trace the origin of food and feel secure
while using it. Furthermore, VietGap standards would help strengthen Vietnamese
agricultural products' brand name by satisfying the stringent requirements of
international export markets.
Many major corporations are now planning to join the sustainable food
industry. Green food chains are being developed in tandem with new manufacturing
practices. VinEco, a Vingroup's agricultural commodity brand, usually provides
everyone with clean, nutritious, and organic agricultural products. VinEco currently
operates 14 high-tech farms that comply with VietGap standards and are sold to
customers through the Vinmart retail system and the Vinmart + convenience store
chain (Vietnam Report, 2019).
Masan Nutri-Science Joint Stock Company (MNS) inaugurated the Ha Nam
Meat MNS Meat Processing Complex Project at Dong Van IV Industrial Park, Dai
Cuong Commune, Kim Bang District, Ha Nam Province. Masan Nutri-Science has
 38
completed a closed breeding system with a high-quality feed factory, a meat
processing facility, and a frozen delivery system in order to provide clean meat
ingredients, value, and reasonable prices. Meat processed under the 3F model and
highly productive platform- “from farm to food” has met Vietnamese consumers'
demand for clean and tasty meat today.
Many other well-known companies, including Vinamilk, TH True Milk,
Saigon Co.op, and others, have taken up the trend and are investing in the green and
sustainable food industry.
2.2.3.2. Imported supply
Organic products that have been legally imported from another country
provide customers with peace of mind since the records have been thoroughly
inspected and tested. Furthermore, those items must adhere to a strict inspection
structure at all stages of the product chains, especially in European countries, before
they can be consumed or exported to other countries. Moreover, the psychology of
international buyers is also driving up demand for imported organic food among
Vietnamese consumers.
In reality, due to procedural and cost barriers, the official source of organic
food imports into Vietnam is minimal. Organic food grown in the United States is
not affordable, and when exported to Vietnam, the prices are raised, making it
difficult to gain market share.
Consumers also have access to portable organic goods for sale on online sites
in addition to officially purchased organic products. Most portable organic sales
establishments can only confirm their roots by using procurement invoices from
other countries that lack applicable certifications or sub-labels in Vietnamese,
making it hard to track down the source. However, in response to the domestic
demand, shops selling handcrafted organic products from other countries are
becoming increasingly popular.
2.2.4. Government policies on green consumption
While there are no clear green consumption laws in Vietnam, problems related
to green consumption have been incorporated and included in the substance of
policies and regulations in many Party and State documents.
 39
The importance of transforming consumption habits towards sustainability has
been highlighted in Vietnam's socio-economic development strategy for the period
2011-2020, in conjunction with the aim of protecting and improving quality and
proactively responding to climate change: Raise environmental consciousness, link
environmental conservation tasks and priorities to socio-economic development;
focus on developing a green and environmentally friendly economy; implement
sustainable production and consumption; gradually improve renewable energy,
clean production, and clean consumption.
The implementation of sustainable production and consumption is one of the
priority economic orientations, according to the government’s sustainable
development strategy for the period 2011-2020. It is essential to encourage cleaner
production associated with productive resource usage, minimize pollution, pay
attention to environmental sustainability, customer welfare, and ensure long-term
growth to complete this mission. Furthermore, it is important to develop a civilized,
harmonious consumption culture and avoid waste.
To encourage the greening of the economy, the Prime Minister issued Decision
No. 1393, “Approval of the Green Growth Strategy for the period 2011-2020 and a
vision to 2030,” which specifies two tasks related to green consumption, namely
“greening production” and “greening consumption”. Greening production is the
process of adopting a clean industrialization policy by updating and modifying
current sector plans, using resources economically and effectively, and promoting
the growth of green technology and the green agricultural industry. Greening a
lifestyle by mixing traditional, beautiful lifestyles with new civilized means to build
a comfortable life is known as “consumption greening.”
The issue of contaminated food in the food industry, laws, and sanctions was
set to protect domestic customers. Deputy Prime Minister Vu Duc Dam said in 2018
that manufacturing clean and safe food is a critical task. Simultaneously, the organic
agriculture policy is encouraged to invest and grow under the national standard
TCVN 11041: 2015 on guidelines for the development, processing, labeling, and
promotion of organic foods, which has been evaluated by the Directorate for
 40
Standards, Metrology, and Quality and announced by the Ministry of Science and
Technology.
Organic goods in the domestic market also have a PGS (Participatory
Guarantee System) certificate provided to people who produce foods following
organic processes and regulations. PGS is built based on organic agricultural
production standards 10TCN 602-2006 issued by the Ministry of Agriculture and
Rural Development. PGS's mission is to provide a dependable guaranteed scheme
for organic food customers. Furthermore, PGS certification is essential in allowing
smallholder farmers in the organic production sector to participate and apply for
certification at a low cost.
2.3. Common green consumption characteristics in Vietnam’s Food and
Beverage industry
2.3.1. The green food purchasing trend
In response to the surrounding environment and market self-perception,
Vietnamese people are increasing their spending on green food. Consumption of
green food or organic food is becoming a recent trend that is rapidly gaining
popularity in Vietnam due to the health benefits. According to Nielsen (2017), 86
percent of Vietnamese consumers polled said they would prioritize organic food if
possible, because of its safety, quality, and high nutrition. Seventy-seven percent of
consumers choose to buy health-related products, 62 percent tend to buy
environmentally friendly goods/services, and 61 percent prefer environmentally
friendly products.
According to Ministry of Agriculture and Rural Development (2019), the
overall annual spending on organic food by our country's customers in the future is
forecast at VND 500 billion, with Ho Chi Minh and Hanoi accounting for
approximately 400 billion dongs/year. Ho Chi Minh City has the largest organic
food consumption market in Vietnam, with a growth rate of about 30% per year.
 41

Figure 2.4. Frequency of organic food usage in Vietnam

Source: Asia Plus Inc., 2019
According to Asia Plus Inc (2019), 39% of Vietnamese customers use organic
food in their daily meals regularly, 9% use it infrequently, and the remaining 52%
do not. In Ho Chi Minh City, the households with the highest average income are
the ones that use the most. Consumers prefer organic food for three reasons: it is
good for their bodies (90%), has a high nutritious value (81%), and is
environmentally sustainable (56%).
In reality, there is a segment of customers who now have a desire for organic
products, but the demand has not been fulfilled due to financial restrictions and
difficulties in locating a reliable supply. A survey of consumers' preferences
obviously shows it in order for them to consume organic food more often.
 42

Figure 2.5. Vietnamese consumers’ expectations to use organic food more

frequently
Source: Asia Plus Inc., 2019
As can be seen, the most significant obstacle to customers’ access to organic
food is price. Most people who consume this kind of food on a daily basis have a
higher income than the average citizen. Organic foods are challenging to obtain for
individuals who live in rural areas or have a low, middle income. The majority of
buyers are able and eager to pay 10-20% more for organic foods than for traditional
food. Furthermore, the delivery network and insufficient availability are an
impediment for consumers when it comes to consuming green.
2.3.2. The green packaging usage trend
Consumers are increasingly shifting their shopping habits to minimize
detrimental effects on the environment and the trend of consuming green, safe, and
organic food. Both factors combine to generate an optimistic, new, and civilized
shopping trend from the “Say no to plastic bags” movement to the prioritization of
eco-friendly packaging materials.
• The “Say no to plastic bags” campain
In today’s fast-paced world, the convenience of reusable bags and discarded
plastic goods like straws, foam boxes, and plastic bottles are undeniable. Plastic
bags have been increasingly common in Vietnam for shopping and trading products.
From urban to rural areas, shopping centers to conventional markets, plastic bags
can be seen everywhere. Plastic bags are being misused, with harmful effects on the
 43
climate and human wellbeings. The “white contamination” tragedy in Vietnam
caused by plastic waste is a wake-up call emphasizing the urgency of changing
traditional purchase behavior.
The Prime Minister's Decision 582 /QD - TTg on approving the Project to
strengthen the control of environmental pollution caused by the use of non-
biodegradable plastic bags in daily life by 2020 has set the following goals: reduce
the volume of non-biodegradable plastic bags used in supermarkets and trade
centers by 65 percent compared to 2010; reduce the volume of non-biodegradable
plastic bags by 50 percent. As a result, many different solutions have been adopted
to minimize the number of plastic bags discharged into the world, such as
organizing communication campaigns to raise people's consciousness, especially
housewives, about the importance of reducing the use of plastic bags or taxing
plastic bags by volume.
Positive improvements in the buying patterns of individuals and groups have
formed and are beginning to spread. The “Say no to plastic bags” is one of the
campaigns that have a significant impact and is well received by a large number of
people. It is a typical example of the green consumption trend by subtle changes in
shopping patterns. The “Say no to plastic bags” began as a campaign started by a
group of young people who wanted to transition to green resources. The campaign's
message clearly encourages consumers to avoid using plastic bags and instead store
products in individual paper bags, glass boxes, or plastic bags. The reforms seem
minor, but they will have far-reaching environmental consequences.
After nearly three years, the “Say no to plastic bags” campaign has seen some
achievement, beginning with shifting Vietnamese people’s perceptions of a society
that cares, supports, and works for the environment. Moreover, several
municipalities have now initiated this campaign to encourage residents to use fewer
plastic bags in their daily lives. Furthermore, a significant portion of consumers,
especially the young generation, favor “green lifestyle,” “green consumption,” and
modifying their own behaviors. Instead of using cotton bags, straws, and empty
plastic bottles, they use paper bags, metal straws, and glass cups.
• Consuming products with environmentally friendly packaging
 44
Consumers not only just “say no to plastic bags,” but they also prioritize using
products with environmentally friendly packaging. According to the General
Statistics Office (2019), Ho Chi Minh City uses about 120 tons of packaging every
day, with about 60% plastic. Food packaging, including plastic bags, is one of the
most significant sources of plastic waste in our country. Many companies are
actively moving to eco and environmentally sustainable packaging to satisfy and
attract more green consumers' demand.
Natural ingredients or recyclable items used in ordinary food packaging and
storage are examples of green packaging. The use of big and broad natural leaves
such as banana leaves and lotus leaves to wrap foods like sticky rice and nuggets are
widespread. Paper packaging, biodegradable plastic bags, and bagasse are also
instances of eco packaging. Green packaging is not only eco-friendly, but it is also
healthier for consumers’ wellbeing as it replaces popular plastic and styrofoam food
containers.
Many major supermarkets and modern retail chains, such as Saigon Co.op,
Lotte Mart, Co.op Food, and Big C, Vinmart, used banana leaves to wrap food in
response to customer demand for eco-friendly packaging. Customers were ecstatic
about the change and reacted positively. Furthermore, paper or recycled and reused
materials are used for packaging. It is an example of how companies demonstrate
social responsibility for the environment while still providing consumers with the
opportunity to purchase environmentally sustainable goods.
In terms of eating areas, several coffee shops and restaurants have responded
to the green consumption trend by using grass straws, metal straws instead of plastic
straws; and packing takeaways with paper cups, paper bags instead of plastic cups,
and plastic bags. Many supermarkets have exclusive discounts when shoppers carry
their own bags. The change in business units is a positive sign and creates an
opportune atmosphere for spreading the green consumption trend in the community.
Green consumption is no longer a passing fad among youngsters; it really has
evolved into a civilized consumption culture that must be repeated in society in
order to protect the environment and our health.
2.3.3. The food waste usage trend
 45
The final stage of green consumption is food waste disposal. However, before
we allow waste disposal, we must first make reasonable calculations to prevent
unnecessary consumption, especially for food. Consumption in balance and saving
are critical aspects of green consumption. Food waste has emerged as a significant
source of resource depletion in recent years, negatively impacting the ecosystem.
According to FAO (2020), we lose approximately 1.3 billion tons of food per year,
equating to one-third of global output. Consequently, we must focus on responsible
consumption and the proper disposal of food waste.
Households in rural areas have a habit of using leftovers as animal feed and
organic fertilizer. This solution has addressed the issue of a shortage of organic
fertilizers in agricultural production, as well as reduced environmental emissions
generated by food waste, and provided healthier goods for clean and sustainable
agriculture.
Consumers in major cities are now searching for the right way to dispose of
food waste. Many homemakers have made a flexible, natural, and cost-effective
cleaner out of leftover fruit peels in the kitchen. This eco-friendly cleaning solution
is antioxidant water fermented from lemon peels, grapefruit peels, and soapberries.
Enzyme water may be used to supplement dishwashing soap, floor cleaner, and
spray vegetables and fruits when combined with clean water, etc. With these
numerous advantages, many intelligent customers have shared how to make enzyme
water on online sites to spread the community’s green living trend.
While the use of food waste is not widely practiced, it has shown positive
signs of progress and shown each individual's role in developing green and
environmentally sustainable consumption trends.
2.3.4. Some typical green consumption cases of Vietnam’s Food and
Beverage industry
2.3.4.1. Sai Gon Co.op Green Consumption Campain
Saigon Co.op is a typical Vietnamese company that pioneers in leading
customers to a green lifestyle. The Green Consumption campaign of Saigon Co.op,
which has been running for many years, is a meaningful and realistic initiative that
encourages the community to use green goods, spreading the trend of green
 46
consumption in order to bring positive consequences for the environment and
society.
For several years, the green consumption trend has adhered to the slogan “
increasing awareness of green goods, thus mobilizing the community to consume
green products.” The initiative does not only encourage green consumption; it also
provides and thoroughly equips customers with the necessary knowledge, assisting
them in identifying environmentally sustainable goods. Saigon Coop also promotes
environmental conservation measures that consumers can take right away and
provides them information about products from environmentally conscious
companies.
The green consumption campaign serves as an important connection between
companies and consumers, encouraging green production and consumption in
tandem. Typically, volunteers can assist in guiding the community to separate waste
at the root while also mobilizing residents to prioritize using renewable and
environmentally sustainable goods. On the market side, Saigon Coop has
successfully assisted companies in updating infrastructure, scientific solutions, and
changes in consumption trends so that they can keep up with the trend. Saigon
Co.op always prioritizes the central role, providing all conditions for product
promotion, particularly with suppliers that are green businesses. As a result, during
the month of green consumption, the companies' sales volume involved in the
initiative rose by 50% and 60%, respectively.
Furthermore, Saigon Coop’s step-by-step blueprint to reduce single-use plastic
items by mass substitution of plastic bags with eco-friendly bags, food packaging
with banana leaves, and replacement of plastic straws with paper straws are well
received by customers. In addition, though consumers must carry their own bags
and paper bags to use while purchasing products at Saigon Co.op for the "Day
without Plastic Bags," the initiative has almost one million customers involved.
Faced with the difficult situation of the COVID-19 outbreak, the green
consumption campaign of Sai Gon Co.op in 2020 would flexibly convert most
forms of activities to online mode. Volunteers do not need to attend large
gatherings, but they can use social media to exchange and spread awareness to help
 47
the campaign accomplish its objectives. As a result, the Organizing Committee will
choose Co.opmart supermarkets scattered around the country to create a network of
50 green destinations and organize a volunteer force to assist consumers in
identifying green brands and products by purchasing products from participating
businesses, taking photographs of those products, and sharing them on Facebook.
According to Saigon Co.op’s management, the green consumption trend has
emerged in recent years, as shown by customers’ demand for organic goods of
natural origin and products that follow safety standards. Simultaneously, customers
have begun to reject goods from companies that harm the environment as they are
denounced by the public or reported by officials. These are promising signs that the
green consumption trend will continue to gain traction in the coming years,
especially in the food and beverage industry.
2.3.4.2. LaVie’s recycled plastic bottle campaign
LaVie is the first company in Vietnam to pioneer various activities to recycle
plastic bottles toward a circular economy.
According to Asia Plus Inc. (2020), before the launch of LaVie 700ml – 50
percent rPET bottle that is the first mineral water product bottled in food-grade
recycled plastic in Vietnam, we have done many activities, including the removal of
plastic cap seal starting with LaVie 350 ml bottles from 2018, which we then
expanded to other bottle sizes. La Vie, on the other hand, had spent several years
planning to carry out this strategy, from concept to final product.
LaVie is also a founding member of the Packaging Recycling Organisation
Vietnam (PRO Vietnam), which consists of many other international companies
operating in Vietnam. At PRO Vietnam, we are promoting the collecting and
recycling progress. LaVie is aware that they cannot resolve the plastic problem
alone because even if La Vie collects and recycles all of its products, it only
occupies 1 percent of the total market for all types of water. Therefore, LaVie needs
to cooperate with other manufacturers, and so PRO Vietnam was born. Together
with non-members, PRO Vietnam is doing great efforts to collect used bottles and
recycle them.
 48
rPET is a type of plastic manufactured from used PET bottles through a
closely-monitored recycling process that meets food and beverage packaging safety
and hygiene requirements. It also involves some control over the source material
through a collection, sorting, and recycling system for plastic bottles. The initiative
to use rPET packaging contributes to reducing the use of plastic but also provides
the opportunity to regenerate each bottle collected, motivating collection and
recycling projects in Vietnam.
This will also promote a circular economy for plastics bottles and turn waste
into resources instead of being discharged into the environment, step by step,
helping consumers formulate a new mindset on solutions to the current waste
problem. In LaVie’s vision for a waste-free future, three areas are prioritized:
designing sustainable packaging, defining a zero-waste future, and pushing new
behaviors and awareness. As a result, consumer awareness of green consumption is
improving, and green consumption trends are becoming more prevalent in the food
and beverage industry.
2.4. Evaluation of the current state of the green consumption trend in
Vietnam’s Food and Beverage industry
2.4.1. Achievements
Firstly, on the consumer side:
Vietnam is in the process of industrialization and modernization; the economy
has shown signs of prosperity, increasing people's income per capita and increased
consumption perception. Consequently, green goods that follow protection and
quality standards have become a realistic requirement for Vietnamese customers.
Consumers today have paid attention and have some ideas about green food
and green consumption. Taking into consideration health issues and environmental
pollution, Vietnamese people have become more conscious of the value of eating
green food and consuming it in a more sustainable manner.
The problem of contaminated food has many repercussions and has a
significant impact on Vietnamese people's desire for green food. They place their
interest in products with an exact origin, preferring organic foods. A large number
 49
of participants are willing to pay more for goods that do not contain harmful
additives.
Vietnamese people are able to grasp the trend quickly, and green consumption
is already a global trend. In addition, the new era's advancement makes it possible
for users to view knowledge and communicate more. Several environmental
communities have developed on social networking sites, pioneering in
implementing and spreading green lifestyles. Behaviors who are unaware of their
surroundings or harm the environment will be harshly condemned, forcing each
person and company to show their social responsibility.
Secondly, on the business side:
Recognizing the wave of green consumption, many domestic companies, such
as Vingroup, Saigon Co.op, AEON, Vinamilk, have boldly invested in the area of
green foods. These businesses distributed good quality foods and engaged in
research, manufacturing, and production of green products to satisfy consumer
demands. Businesses aim to supply healthier and nutritious food for their
customers, as well as fulfill their social obligations. In reality, during our country's
current era of international economic integration, companies have become acutely
aware of the importance of greening production, developing an environmentally
sustainable distribution system, and enhancing the enterprises' reputation.
Many typical companies, such as Saigon Co.op, have led the way in raising
customer consciousness and inspiring them to consume green. The act of spreading
a green lifestyle in the society shows businesses' and the government's deep
commitment to developing a sustainable economy, beneficial to the company itself
and the overall growth of the social community.
Thirdly, on the side of State & Government agencies:
The government has also released Decree No.109/2018/ND-CP for organic
agriculture, which outlines a slew of new policies to increase organic food
production. This Decree states that institutions manufacturing and selling organic
products or providing inputs for organic production would be given preference to
benefit from one of the policies to promote investment in agriculture and rural
 50
areas, such as policies to support small and medium-sized businesses, agricultural
cooperatives for production associated with product consumption, and so on.
Furthermore, the government will finance 100% of the work to define regions
and areas that are suitable for organic cultivation for small enterprises, cooperatives,
farms, and households. In addition, the government offers a one-time grant of 100%
of the cost of certifying goods that follow Vietnamese requirements for organic
agriculture, as well as funding for organic production training and the creation and
replication of the organic production model under Vietnamese standards.
As a result, the government influences companies to produce a more plentiful
supply of green goods, especially organic food, by enacting policies to encourage
their production, thus better satisfying the demands of consumers.
2.4.2. Limitations
• Choosing organic products can be challenging for consumers.
It can be seen that the majority of today's customers still know about organic
food in the broadest sense but do not appreciate the word “organic” enough to pick
the best commodity for their needs. Many people think of organic food as
nutritious, environmentally conscious food that is described as opposed to
contaminated food rather than knowing the essence that makes organic food
considered hygienic and environmentally friendly.
Consumer sensory preferences create many challenges when it comes to
selecting organic food. In addition to large-scale delivery chains, stores and
restaurants selling organic food are gradually appearing on the market, with signs
bearing “Organic,” “100% organic foods”, and “specializing in supplying organic
food” to attract customers. They can pay higher prices for safer food, but most of
them purchase with their trust and the sellers’ quality assurance.
According to Nielsen (2020), there are approximately 70,000 hectares of
organic production in Vietnam. Except for major companies such as TH, Vinamilk
with organic certification from foreign organizations, the remaining production
facilities are mostly “self-styled.” With the “matrix” of organic food in the
consumer industry, it was difficult to understand and monitor the origin and
 51
consistency of the goods since certain sales units did not define which entities or
organizations certify on the packaging.
• Lack of specific organic food inspection and supervision procedures.
The consumer confusion in front of the organic food matrix stems from the
fact that we still do not have a specific policy on the inspection and supervision of
the organic food market. Organic products in developed countries must be legally
registered and inspected before being distributed to the market. In Vietnam, the
products do not have a clear origin and are not certified by anyone, but they are
clearly labeled organic food.
Producers and distributors of organic food in the United States must present a
certificate issued by the United States Department of Agriculture (USDA). Any
product that meets organic criteria can be stamped with the USDA label, allowing
buyers to quickly recognize the origin, and increasing the product's commercial
value. The issuing of organic certificates for businesses is based on the findings of
extensive research, assessment, and monitoring using a variety of requirements.
Other organic products that do not bear the USDA stamp would be considered
illegal. The minimum penalty for this behavior is up to $11,000.
The lack of a national organic food standard scheme and a quality control
system in Vietnam has resulted in several shortcomings in the organic food
industry. We also lack our own mechanism and testing agency; therefore,
companies requiring organic certification for their goods must go through
international organizations such as Control Union, IMO, JAS, etc., at a high
expense.
This problem has resulted in the current pattern of businesses self-certifying
product quality. As a result of lax management, customers cannot purchase genuine
organic food even though they pay more money than before and many enterprises
who exclusively follow the procedure have a tough time obtaining certification on
their goods.
According to manufacturing facilities that have obtained international organic
certification, current organic agricultural production faces numerous challenges
ranging from technology to climate to human resources. As a result, the number of
 52
products on the market that entirely follow organic requirements is also minimal.
Because of high production prices, organic food is not affordable. The high cost of
organic food becomes a massive barrier to customers’ access to it. Although
accredited organic food stores struggle to find inputs, “self-styled” organic food
suppliers offer a wide range of products such as vegetables, fruit, meat, and seafood
at prices 1.5 - 2 times higher than average. As a result, the organic food industry
will struggle to grow without stringent management and increased customer trust.
• A portion of customers were unconcerned and unable to alter.
While green consumption has become increasingly common in Vietnam, the
shift has not been coordinated. Many consumers are unaware of the negative
impacts of pollution on their health and wellbeing; therefore, they have no intention
of changing their consuming habits. Because of their simplicity and durability, it is
easy to see that the use of plastic bags is still a common habit of many people. For
example, buying and selling food at most traditional markets still requires the use of
plastic bags. Packaging with banana leaves and lotus leaves is, in fact, only applied
by some supermarkets.
Food waste remains a concern due to the difficulty of implementing a
management system. Food waste is common in restaurants, ranging from fast-food
chains to fine dining restaurants and daily life. There are many explanations given
for the issue of food waste, including being vigilant when consuming, being
unreasonable in portion control, and the attitude of not having to consume old food,
which often contributes to food not being recycled.
While being fully conscious of the negative consequences of inefficient and
excessive consumption habits, many people are nevertheless hesitant to alter them.
According to crowd consumer culture, they always behave out of habit, making it
impossible to approach green consumption trends. Only when a large number of
people recognize and resolve to improve, will they influence society to change in a
more positive direction as a whole.
 53
CHAPTER 3: PROSPECTS AND RECOMMENDATIONS TO
PROMOTE THE GREEN CONSUMPTION TREND FOR
VIETNAM'S FOOD AND BEVERAGE INDUSTRY
3.1. Forecast of consumption trends in Vietnam to 2030
3.1.1. Forecast of Vietnam’s economy
According to World Bank (2020), in terms of the global economy as a whole,
global economic growth is expected to be about 3.5 percent for the period 2021-
2025 and 3 percent between 2026 and 2030. The trade war between the United
States and China will begin to calm, but it is supposed to continue for a long time.
Free trade agreements between countries will be the driving force behind global
trade.
Vietnam’s economic growth is expected to stay strong over the next ten years
but to decrease slightly. According to the Center for Information on the National
Economic and Social Forecast (2019), Vietnam’s economy will face both
advantages and obstacles between 2021 and 2030.
By capitalizing on the positive impact of globalization and the digital
economy, Vietnam’s macro-economy is essentially stable, with the growth rate in
the 2021-2025 period staying at 7%, and the average GDP per capita is expected to
reach 4,500 USD by 2025 (WB, 2020). Furthermore, WB (2020) also shows that
the structure of GDP by the economic sector is changing at a faster rate and labor
productivity rose from 6% to 6.3 % on average, capital use efficiency and TFP
contribution improved. The economy's size, potential, and productivity have
improved, but it is still unsustainable and not commensurate with its potential. The
accelerated aging of the population, the diminishing effects of factor accumulation,
and rising environmental costs are all potential obstacles to future economic growth.
3.1.2. Forecast of Vietnam’s consumption trends
According to Euromonitor (2018), Vietnam will become one of the most
vibrant consumer markets in the world by 2030, thanks to its emerging market
economy and steady growth. Vietnam’s commercial growth would be driven by
rapid urbanization and increasing per capita income before 2030. Increased demand
results from rising wages; therefore, Vietnam’s consumption market is expected to
 54
maintain its solid and steady growth, making it a desirable retail destination.
Moreover, Vietnam will soon become Southeast Asia’s third-largest commercial
market by the number of customers and fifth-largest by overall spending.

Clothing and Footwear 77

Alcoholic Beverages and Tobaco 78

Food and Non-Alcoholic Beverages 82

Miscellaneous Goods and Services 84

Hotels and Catering 85

Education 86

Heath Goods and Services 89

Housing 91

Communications 97

Households Goods and Services 101

Leisure and Recreation 105

Transport 109

0 20 40 60 80 100 120

Figure 3.1. Consumer expenditure growth forecast 2019-2030 (%)

Source: Euromonitor, 2018
Other reasons contributing to the rise in consumer spending in our country are
people's open-mindedness in purchasing, their positive outlook about work
prospects, and their peace of mind about personal finances. According to Nielsen
(2020), 78 percent of those polled think they will have decent or outstanding career
prospects, 75 percent feel secured about their finance and 61 percent say they are
ready to spend. The positive mindset of the public is the foundation for anticipating
positive customer demand development in the future.
 55

Figure 3.2. Drivers of Vietnamese consumer confidence index Q1-2020 (%)

Source: The Global Consumer Confidence and Nielsen, 2020
According to Euromonitor (2018), by 2030, 46 million urban customers will
have a demand of around 169 billion dollars, while 61 million residents in rural
areas will have a target of approximately 173 billion dollars. The middle-income
class, which is the foundation of Vietnamese consumption, is increasingly
expanding. It is estimated that by 2030, about 49% of households will have an
annual income of $5,000 to $15,000, up from 33.8 percent in 2018.
Some main consumption trends in Vietnam by 2030 are as follows:
• The online shopping trend
Online shopping is now ubiquitous in Vietnam, especially among young
people. With the explosion in information technology, artificial intelligence, and
connected things, this development is expected to intensify in the future. A variety
of e-commerce portals, including Shopee, Sendo, Lazada, Tiki, and online retail
forums on social networks such as Facebook, Instagram, and Zalo, serve as
channels for disseminating online purchase trends. The main advantages of this
form of shopping are its speed and convenience. Instead of going to the store or
supermarket, consumers may stay at home and do endless shopping. Furthermore,
sales on the online store are very appealing, with discounts ranging from 30 to 50
percent, dramatically affecting many people’s tastes to purchase cheap items.
 56
People are shopping online in greater numbers than ever before due to the
Covid-19 outbreak to avoid crowded areas and protect their health. According
NielsenIQ (2020), certain shopping habits of Vietnamese citizens will change in the
long run as a result of the Covid-19 pandemic. It also shows that 63 percent of
surveyed consumers will continue to order food online, 67 percent will keep
shopping online, and 44 percent say they will not buy at stores if they can buy it
online It is evident that the rise of online shopping intensified during and after the
Covid-19 pandemic. To survive and prosper in the aftermath of the pandemic,
businesses must exploit the opportunity to meet the demands of consumers who
want to purchase online.
• The “experience more” trend
When shopping in-store, customers expect more experiences than they would
get from online shopping. They can try the product or get suggestions from the staff
at the shop, where they can also enjoy the quality of service and the store’s art
space. Although the prices are not low, Vietnamese people are willing to pay more
to get the best experience.
Today, customers do not go to the supermarket to see prices, product
information or compare one product to another as they did in the past; instead, they
can complete those tasks at home by using a smartphone. They look at product
details and photos on Google, see current trends, read feedback from past customers
on Facebook, and decide whether to purchase the product. It is clear that they can
buy it online, but the main reason they are buying in-store is to see if the product is
as they expect.
The impact on customer experience provides retailers with an opportunity to
stimulate purchase decisions. The buying path of the customer is an emotional
decision-making process, and if you can provide them with a great experience, the
retailer's sales will undoubtedly improve. In the future, the idea of offering more
shopping experiences will spread more broadly in order to inspire shoppers to buy
in-store rather than staying at home and shopping online.
• The trend of consuming high-end goods
 57
Since the average income is followed by concerns regarding low-quality items
of uncertain origin, Vietnamese consumers are increasingly willing to spend more
on high-end goods. The majority of people who buy this form of the product agree
that it makes them feel more comfortable, confident, and competitive. They are
generally unconcerned about the price but pay attention to the ingredients, quality,
brand, and fashion of that product.
The purchasing power of the Vietnamese people for high-end goods is
expected to rise more by 2030 (NielsenIQ, 2020). Organic, sustainable, and
nutritious products, in particular, are high-end products with the highest growth. It
is a promising sign that would encourage the use of organic products in the future.
3.1.3. Forecast of consumption trends in Vietnam’s Food and Beverage
industry
According to Vietnam Report (2020), the main trends in the food and beverage
industry in the coming years are: (i) the expansion of natural and ecologically
friendly goods; (ii) the emergence of beliefs, real values and messages about
corporate products and brands; and (iii) the use of big data in manufacturing and
distribution.
Vietnam Report (2020) also affirm that as humankind prepares to enter the
third decade of the twenty-first century, Vietnam’ F&B industry is increasing its
consumption of organic goods and will initiate a green- clean- healthy competition
among industrial enterprises.
Consumption trends emerge from the setting of more alarming food hygiene
and safety concerns, as well as a rise in awareness and income among Vietnamese
consumers; hence, vegetables, meat, fish, shrimp, and even spices produced to
organic standards will “take the throne” dramatically.
According to Nielsen (2020), up to 86 percent of Vietnamese customers prefer
organic goods for their everyday meals due to its safety, nutrition, and great flavor.
Indeed, the method of manufacturing organic food is devoid of dangerous
substances such as chemical fertilizers, insecticides, growth hormones, and so on.
Organic vegetables and fruits keep their original flavor and are more appealing
to consume when they are produced and cultivated naturally. For example, organic
 58
apples will be crunchier; strawberries will be more sweet; lemons will be more
succulent and aromatic; and gotu kola will still taste fresh.
Organic foods are beneficial in lowering the risk of heart disease, cancer, and
hyperglycemia. As a result, Vietnamese consumers are willing to pay higher prices
in exchange for health-related peace of mind for themselves and their family.
People’s buying habits are changing away from traditional retailers into
minimarts and convenience stores due to their worries over food safety and a variety
of other factors. This movement reflects customers' willingness to purchase greener,
cleaner food. Many housewives said shopping at supermarkets helps them feel more
comfortable because they are well prepared and have a clear origin.
According to Asia Plus Inc (2020), Vietnamese consumers now spend less
time in wet markets; instead, they devote more time to convenience stores,
minimarts, personal care/ drug stores, and traditional grocery stores.
Trips

18.86
30 25.17
25 9.47
20
15 8.81 4.5 1.22 2.45
2.2
10 3.16
5 1.24 0 0.76
0
Wet Traditional Convenienc Minimarts Personal Supermarke
Markets Grocery e Stores Care/ Drug ts
Stores Stores
2010 25.17 8.81 1.24 0 0.76 3.16
2020 18.86 9.47 4.5 2.2 1.22 2.45

2010 2020

Figure 3.3. Average shopping frequency at different trade channels of

Vietnamese shopper in a month
Source: Asia Plus Inc., 2020
Asia Plus Inc. (2020) reports that 2020 was a year of unprecedented
transformation for digital commerce networks. Figure 28 shows that traditional
retail channels like wet markets continue to have the most enormous buying
volume, but it shows signs of a downward trend, from 25.17 times to 18.36 times.
On the other hand, consumers began shopping at convenience stores more
 59
frequently, with a fourfold rise in sales volume, from 1.24 times to 4.5 times per
month. As a result, the number of convenience stores has rapidly increased (4 times
from 2012 to 2020).
According to Vietnam Report (2020), the number of convenience stores and
minimarts has increased by 60% – from 2495 in 2019 to 5228 stores in 2020.
Vinmart+ and Bach Hoa Xanh are two convenience store chains that are rapidly
expanding in the market. The shared thread between these two stores is that they all
cater to consumers' desire to consume green food, which traditional markets
struggle to satisfy.
In reality, a variety of factors are causing this change. Aside from health
considerations, shopping foods and beverages via convenience retail channels
provides comfort, simplicity, and time savings. Consumers have concentrated more
on eliminating waste and a vital concern for the national economy and a top priority
for saving. They frequently buy fewer products, reducing the amount of food that
spoils. Instead of paying once to buy in bulk, they manage prices by buying less
often but more often. This is also an indication that Vietnamese people are
consuming in a more environmentally friendly and sustainable way.
According to Dublin Research (2020), the future for Vietnam’s F&B industry
mirrors that of the global F&B industry, with organic food and beverage sales
potentially reaching US$435.5 billion by 2030 and the organic beverage sector
alone is expected to top $55 billion by 2030, with a 13.1 percent annual growth rate.
According to Vietnam Report (2020), organic food accounts for only 0.2 percent of
total income; created items are not sold; if supply is enough, consumption can
expand 5-10 times in the next 5-10 years. We might say that the development of
green consumption generates, an incredibly promising race for Vietnam’s F&B
industry.
3.2. Prospects to promote the green consumption trend in Vietnam’s
Food and Beverage industry
3.2.1. Advantages
Green consumption is now a well-known global consumption trend, which is
seen as a way to “save the Earth.” While green consumption has not been publicly
 60
known in Vietnam, it has become a popular approach in many developed countries.
Therefore, we could thoroughly apply knowledge gained in developed countries on
encouraging green consumption to domestic consumption, especially in the F&B
industry.
During the time of economic integration, Vietnam has made efforts to
implement economic growth policies toward sustainability, eliminating harmful
effects on the environment, and effectively adapting to climate change (Vu Anh
Dung et al., 2012). Consequently, Tran Ngoc Ngoan (2015) stated that establishing
a green economy is a path that is aligned with our country's long-term economic
development strategy and with Vietnam's international agreements to combat
climate change. Developing green consumption within the context of developing a
green economy would provide many favorable conditions for popularizing this
progressive consumption trend.
Firstly, the Vietnamese economy has shown positive growth in recent years,
providing a driving force for a new development trend. People's consumption
volume increases as their income rises. Furthermore, the process of reforming the
economy and transforming the development model from breadth to depth based on
improved competitiveness and advanced technology presents an opportunity for
Vietnam to increase green consumption and green production.
Secondly, environmental pollution and climate change are quickly becoming top
priorities for both the government and citizens. It is a significant obstacle and
challenge for us as we pursue sustainable development goals, but it also serves as
inspiration for each organization and individual to behave more responsibly.
Consumers would be inspired to change only when they are convinced that their
health and living conditions are at risk. For example, in the face of a worsening
climate, the contaminated food problem in Vietnam; therefore, the change from
traditional consumption to green consumption in F&B industry is an inevitable trend.
Thirdly, developed countries such as Korea, Japan, the United States with
valuable experiences in promoting green consumption and the international
community such as the World Bank and the United Nations have been and will
continue to be strong supporters of Vietnam in reacting to climate change and
 61
encouraging greening production and greening consumption, especially in F& B
industry in particular. Support from international organizations would serve as a
springboard for Vietnam to develop a green economy and prove that this path is the
best solution for long-term growth and enhancing people's quality of life.
3.2.2. Disadvantages
In addition to the benefits of green consumption in our world, we still face many
challenges that require specific and timely strategies and implementation plans.
Firstly, people's understanding of green consumption and green products is
still limited. Furthermore, Vu Anh Dung et al. (2012) stated in his work that the
change from awareness to customer behavior is an ongoing phenomenon often
influenced by various influences. In today’s fast-paced world, consumers do not
have enough time to decide how and where to buy. They need ease and efficiency in
order to maximize their time and concentrate on other issues such as work or
family. Green consumption cannot occur and then become a trend if consumer's
understanding is not accompanied by subsequent purchasing behavior.
Secondly, domestic companies also face numerous challenges in producing
green products. In reality, several companies have developed a plan to grow “green”
in their goods to improve their strategic Advantage and gain market share. To
achieve this goal, companies must create a brand image, implement new
development processes that use fewer resources, and research the manufacturing
process of green products. Because of capital requirements, infrastructure, and
enabling regulations, this process is inherently problematic.
Thirdly, there are still no clear laws regarding green purchasing or green
consumption, especially for F&B industry. Many contents related to green public
procurement, sustainable procurement, green production have been integrated and
controlled in many documents and policies of the state. Nevertheless, there is a lack
of reliable tools to control and manage unsustainable consumption behaviors and
manufacture goods that are not “green,” or environmentally responsible.
3.3. Recommendations to promote the green consumption trend for
Vietnam’s Food and Beverage industry
 62
3.3.1. Strengthen propaganda to increase awareness of green consumption
among all organizations and individuals in society.
“Raising awareness of green consumption among organizations and all
community members is a fundamental, straightforward, and important approach for
spreading green consumption trends in general and green consumption trends in the
food and beverage industry in particular” (Nguyen Gia Tho, 2019). This solution,
which influences each individual’s thoughts, serves as the basis for the synchronous
transition of all steps associated with green consumption: buying, using, and
disposing of products. “Since awareness is the foundation of action, leading and
driving realistic human activities; therefore, providing the correct perception carries
high responsibility and the right action” (Vu Huy Thong, 2014). As a result, any
department, organization, and person in society can only strive for and contribute to
green consumption if the advantages are correctly perceived. In contrast, consumers
who are not aware of the benefits of green consumption and the majority of
community members in that area are not willing to adapt and act; their quality of
life has not been improved.
Currently, in the era of rapid advancement of science and technology,
especially the Fourth Industrial Revolution and the market demands, we must
continue to reinforce propaganda to increase awareness and responsibilities of
organizations and all people in society about green consumption. The material
focuses on the following fundamental issues:
To begin, propagandize so that agencies, organizations, and customers
properly understand green goods, organic foods and drinks and the positive impacts
of green consumption on public health, economic competitiveness, and the
sustainable development of Vietnam during the time of fostering international
integration and cooperation is necessary. They are the fundamental material,
ideological orientation, which has a significant impact on the perception, attitudes,
and behaviors of agencies, institutions, and customers toward green consumption
(Nguyen Gia Tho, 2019).
Secondly, facilitate the consumption trend in Vietnam and experiences around
the world, urgent environmental challenges, environmental sustainability, and the
 63
use of green energy. Simultaneously, we propagate regarding shortcomings and
inadequacies where environmental consumption is not given due consideration,
implementation organizations are not firm, unreliable, inefficient; and detrimental
impacts created by customers and economic circumstances when consuming goods
and making purchase decisions.
Thirdly, spread the message about the responsibility of state management
agencies, unions, companies, and customers for green consumption. It is essential
material and should be implemented daily and synchronous, maintaining a
coordinated approach and leading to the promotion of green consumption.
Propagating understanding of green consumption among all organizations and
individuals in society should be conducted on a daily, close, and systemic basis,
using a variety of approaches that are diverse and plentiful, with a focus on the
following measures:
To begin, actively propagate through the mass media.
The media must constantly update and comprehend the government’s green
consumption regulations, guidelines, and policies. On a certain basis, it is essential
to assign roles, devise a contact plan tailored to each locality and class of customer,
and ensure that all sectors of society receive timely information about specific
policies to green products, green production, and green consumption. Furthermore,
spreading issues directly relevant to the lifestyles and actions of consumers and
families and explicit content to increase awareness, concerns, and constructive
attitudes about the environment is a significant problem for the media.
Simultaneously, Trinh Thi Thanh Thuy et al., (2008) also said that government
agencies and businesses should use media to spread and disseminate circulars,
update new documents, introduce goods, and inform the public about the benefits of
using green products, especially using organic foods and drinks.
Secondly, propagate via agencies, organizations, businesses, and associations
based on their roles and tasks.
State agencies should vigorously advise and propose to the government the
issuance of circulars and guidelines on green consumption activities following the
Constitution, the Law of Vietnam, and international treaties in which Vietnam
 64
participates. Depending on the activities and responsibilities, it is crucial to
proactively direct organizations, companies, and associations in F&B industry have
to involved in development and consumption to precisely control, inspect, and
correct all operations, thus contributing to ensuring and fostering green
consumption. It is necessary to cultivate, research theories, summarize processes,
and recommend strategies to raise consciousness and encourage consumption
behaviors of both organizations and individuals against green consumption as part
of the continuum of executing functions and tasks.
Organizations and businesses, especially companies in F&B industry take the
initiative to carry out the activities and duties of the licensed development and
service lines and action areas according to the legislation. Furthermore, they must
prioritize propaganda to assist consumers in identifying environmentally friendly
goods and businesses manufacturing and trading green products through programs
such as organizing and integrating information, communication, and activities to
promote green consumption and contribute to environmental protection and
improvement. Organizations and businesses must constantly educate, promote, and
practice customers’ rights, including prioritizing the use of green goods that benefit
both the climate and the community’s wellbeing. Businesses will spread and
increase consumer awareness of green goods by promotions, launching green
products, endorsing green labels, and assisting customers in emphasizing the effect
of green consumption on the environment and their healthcare.
Thirdly, through consumption practices to transmit awareness-raising.
According to Tran Ngoc Ngoan (2016), the most effective advertising tool is
advertising by people’s consumption behaviors. In the course of buying and using
green goods, users become self-conscious and aware of their responsibilities for
environmental sustainability and the economic and productive usage of energy.
Organizations and individuals involved in the manufacture of green foods amd
drinks must make attempts to identify alternatives by using new and
environmentally friendly technology to maximize product value in a green, safe
manner while satisfying industry demand and rising customer needs. Consumers
vigorously introduce green foods and drinks to the community and provide
 65
feedback to companies manufacturing, trading, and selling products, state agencies,
and related organizations and associations during the process of using green
products. As a result, it then assists stakeholders in further understanding society’s
needs in order to adapt mechanisms and strategies, provide practical responses, and
better address people's green consumption requirements.
3.3.2. Increase the availability of organic food in the country to satisfy
market demand.
Currently, despite a significant increase in demand for organic food, domestic
supply is still limited (Vietnam Report, 2020). To encourage green consumption, we
must ensure that people have a sufficient supply of green, safe, and high-quality
food. If there is a need but not enough supply, there will be a significant shortage
that will cause customers to face several challenges and lose interest in seeking and
consuming green food. Furthermore, Hoang Thi Bao Thoa (2016) also discussed in
her work that we lack a specific standard system, so it is challenging to differentiate
organic food from traditional food, and “self-proclaimed” organic products are
becoming increasingly prevalent, leading to uncertainty and loss of trust. Based on
the above, increasing the supply of organic food in our country with assured quality
and a certification mark is the fundamental solution, which plays an important role
in fostering the green consumption trend in Vietnam's F&B industry.
To maximize the supply of organic food on the market, and at the same time
ensure the quality of products to consumers, multiple synchronous solutions must
be implemented, from manufacturing, cultivation, processing, and distribution
Firstly, conducting surveys on the current state of organic agricultural
production, comprehensively and critically assessing and reviewing the potentials,
advantages, difficulties, and challenges for the growth of organic agriculture in
Vietnam. Nguyen Gia Tho (2019) also stated that understanding the current state of
organic agricultural development is vital for building a rapid and effective market
support policy mechanism. To better address the unresolved issues, make
reasonable improvements and satisfy their needs, it is crucial to listen to the
difficulties and expectations of the producers of this sort of food.
 66
Secondly, we need to create a plan for organic agriculture growth in our nation
that outlines our country’s perspectives, directions, targets, roadmap, and strategies
for developing sustainable production models. In order to create an optimal growth
policy, it is first important to identify viable goods and ecological regions to include
in the planning of areas suitable for organic agriculture. In reality, due to
overexploitation by farmers, our country’s agricultural output is gradually
destroying nutrients. The problem of using a lot of artificial fertilizers, chemicals,
and pesticides during the farming process makes the transition to an organic
agriculture model challenging and requires a long enough period to restore the
existing condition of the soil (Nguyen Van Bo, 2019).
Thirdly, Ministry of Agriculture and Rural Development (2003) stated that
attracting and encouraging companies to engage in the processing and trading of
organic food and preparing required raw materials for the production process, such
as clean water, organic fertilizers, and organic seeds, is a critical issue in developing
a productive and highly viable organic market. Each locality in the country must
identify and choose potential enterprises and provide options to help them in terms
of mechanisms, funding, and land accumulation to create a standard organic
production model and, at the same time, methodically grow organic agriculture. We
need to encourage and multiply concentrated organic agricultural processing
facilities from local to central levels based on these development models.
Fourthly, we must encourage organic agriculture by disseminating, guiding,
and enforcing the policies and laws that have been enacted. Nguyen Gia Tho (2019)
said even though our government has implemented a series of rules to encourage
sustainable farming, companies have failed to approach and adapt them to
production for a variety of reasons. Therefore, working closely with local
governments to deliver input to enterprises, direct their adoption, and assist them in
accessing government support policies is essential. On the other hand, it is
important to hold workshops regularly, exchange knowledge, and respond to
companies’ difficulties and problems while conducting organic production.
Fifthly, it is critical to associate manufacturing facilities with distribution
enterprises to develop a strategy for consuming output products and providing easy
 67
access to domestic customers. “Connecting production and demand is, without a
doubt, a significant problem in promoting organic agriculture” (Nguyen Van Bo,
2019). Distributors, dealers, restaurants, and convenience stores will be the driving
force behind the development unit's attempts to provide customers with high-quality
organic products. Moreover, strict measures must be implemented to assist
customers in distinguishing genuine organic food from food that fails to follow
quality requirements but is nevertheless labeled as organic. Improving the appeal of
organic products would also serve as a catalyst for production companies to become
more involved in organic agriculture.
To increase the quality of organic food processing and delivery on the market,
in addition to introducing consistent and synchronous solutions, it is important to
establish a conducive atmosphere for organic food to get closer to consumers with
the following specific recommendations:
To begin, address the issue of contaminated and unknown origin foods.
One of our country’s major problems now is contaminated food. “ Food safety
and hygiene production is not solely the responsibility of the manufacturing
businesses; it also necessitates oversight and monitoring by responsible officials and
customer reviews” (Vo Dinh Long, 2018).
Many food manufacturing facilities are unconcerned about quality or business
ethics, willing to sell unsanitary goods of unknown origin to make a profit. It would
be impossible to fully resolve this situation if we only stop at propaganda and raise
the responsibility of processing facilities to deliver food on the market. As a result,
a process chain must be established to oversee the whole cycle, from manufacturing
to refining to shipment to market delivery. And afterward, would we be able to
enforce traceability and guarantee product quality.
Officials must inspect and evaluate food production facilities on a daily basis,
even though they have already received certificates of food hygiene and safety.
When appropriate authorities find breaches, they require penalties that are more
deterrent and stricter than the existing ones. Officials should impose increased
penalties promptly to prevent situations where dirty food processing institutions
 68
have been detected and banned but continue to ignore the law because the sanctions
are insufficient as a deterrent.
The government and state agencies must review the system of legal documents
pertaining to food safety as quickly as possible to allow necessary adjustments,
modifications, and supplements. This amendment should be enforced to define
restrictions better and increase sanctions, eliminate conflicting and undefined roles
in the assignment of food safety management, and improve law enforcement
efficiency and performance. Not only should administrative penalties be increased,
but serious offenses should result in the suspension of manufacturing and
commercial practices, as well as the prohibition of practicing and doing business in
the same profession for a fixed period or permanently. In particular, in many
countries worldwide, organizations and individuals who have performed severe
food safety violations and hygiene are unlikely to be rehired in this sector. The
question of criminalization for dirty food suppliers must now be considered and
implemented to maximize deterrence. Furthermore, cases of infringement must be
publicly announced and criticized in the media so that consumers can stay informed
and boycott the product.
Secondly, the government should establish a framework of national organic
certification criteria.
Vietnam currently lacks a national standard system and legal framework for
processing and specialized organizations for organic food certification and
supervision. According to IFOAM (2019), Vietnam now only has PGS standards
issued by the Vietnam Organic Agriculture Association but has not yet been
accepted as a set of international organic standards. When companies are forced to
rely heavily on international organic certification requirements at premium costs,
extending production and qualifying for certification becomes exceedingly
challenging. Owing to the shortcomings mentioned earlier, we must establish a
national organic standard system as soon as possible to support enterprises and
eliminate the current self-styled organic food.
It is vital to establish a national organic standard system based on international
norms and standards of existing organic agriculture countries such as the United
 69
States, the European Union, and some countries in the region such as China and
Thailand. The standard structure must be transparent, straightforward, tight, and
appropriate to Vietnam’s realities of development and business. Furthermore,
labeling organic products during controlling food production, processing, and
distribution is critical for customer satisfaction. To prevent situations where certain
companies and individuals self-label and mislead customers, food inspection,
supervision, or labeling must be carried out by a responsible state agency. The
specialized inspection organization must be qualified to validate, and it must not
shield production units that do not follow the requirements but still be certified as
organic food. The certification aims to prevent market distortion, lack of customer
trust, and unfair competition from “self-styled” organic food suppliers for genuine
organic food companies.
Thirdly, improve incentive programs, as well as capital and technological
funding for organic production enterprises.
Our government also has policies in place to attract and support businesses
interested in investing in organic agricultural production. In the coming years, we
must improve the application and distribution of these measures, making it easier
for companies to access financial resources and advanced manufacturing
technologies around the world. Specifically, the government would provide a
guarantee mechanism to assist companies in obtaining long-term loans at low-
interest rates, allowing them to invest in high-tech manufacturing processes and
new facilities. Simultaneously, the state needs to support technology transfer so that
businesses have the opportunity to learn and access modern organic production
processes in developed countries.
Business establishments or units that provide input materials for organic
production must be prioritized to benefit from policies that have been promulgated
to encourage investment in agriculture and rural areas. Some guidelines can be
mentioned, such as policies to enable companies to invest in agriculture and rural
regions, support small and medium enterprises, lending policies to encourage hi-
tech and clean agriculture, etc. Furthermore, policies to promote consumption,
 70
ensure output for organic food, support financing for fair promotion, provide
machinery and commercial facilities for farmers are necessary.
3.3.3. Implement and encourage green consumption policies in Vietnam
When implemented and promoted, green consumption policies would
motivate companies and individuals to “green” their consumption. “Green
consumption promotion is only successful when it influences various consumers in
society, eventually modifying their consumption habits and behaviors” (Nguyen
Huu Tho, 2019). To achieve this objective, prospective policies promoting green
consumption must address the following issues:
First and foremost, the government must optimize the institutional and policy
framework for green consumption. Priority should be given to promoting green
purchase behavior through green production and service provision initiatives. Aside
from replicating the green business model, price support policies for green products
and services should be implemented; marketing should be strengthened; green
products should be brought closer to customers. Develop concrete strategies to
assist municipalities and businesses in encouraging green consumption in their
communities and improving eco-friendly consumption habits. Simultaneously, there
must be regulations to cope with unsustainable consumption habits in organizations
that result in resource depletion.
Secondly, green product purchasing behavior must be encouraged by the
coordinated implementation of policies promoting resource efficiency. To
accomplish this goal, we must first enable companies to use high technologies in
manufacturing and use resources wisely, accompanied by mobilizing people to
actively conserve resources, waste separation, reuse, recycle materials, and
eliminate pollution.
Thirdly, to change the perception, attitude, and actions of domestic agencies,
companies, and customers, we must spread and widely propagate the government's
policies toward green consumption. As a result, it is impactful first to influence the
actions and mindset of officials and leaders in state agencies so that they understand
the significance, priorities, and role of fostering green consumption in our country.
Businesses must emphasize the benefits of green manufacturing, bringing green
 71
goods to market, and increasing corporate responsibility to the environment and
social culture. Moreover, it is helpful to involve consumers in changing their
perceptions and traditional consuming patterns, emphasizing the importance of
green consumption in the long-term growth of the economy and the development of
a prosperous society.
With the aforementioned goals and objectives, the author would like to
recommend the following solutions to encourage and complete Vietnam’s green
consumption policy:
Firstly, policymakers must work together to evaluate and research green
consumption policies.
According to Nguyen Huu Tho (2019), the government must work closely
with related ministries, offices, and agencies to build a cohesive policy structure and
achieve success. It is the first step in avoiding contradictory and overlapping
policies regarding objectives, plans, and implementation processes. Each regulation
is released to provide a detailed implementation roadmap and relevant goals,
material, and implementation methods from the central to local levels. Furthermore,
each green consumption strategy should explicitly state the agency or department is
responsible for implementation and the outcomes to be accomplished to prevent
implementation uncertainty and misuse of resources.
“The policy evaluation must be carried out vertically and horizontally, with
the vertical carried out by central management agencies and the horizontal carried
out by local agencies” (Pham Thi Phuong Hoa, 2016). Following the review, it is
vital to coordinate research and debate to come up with shared answers for green
consumption policies. It is necessary to learn policy models from foreign countries
that have effectively implemented green consumption since this will serve as the
foundation for developing domestic green consumption policies. The experience of
industrialized nations with green consumption is a powerful lesson that can help us
avoid implementing the wrong approach and mistaking the oriented target.
Completing the legal and institutional framework for green public
procurement is a solution that should be prioritized for execution as soon as policies
have been reviewed and studied. Public procurement plays an important role in
 72
increasing green consumption. According to World Bank (2019) government
expenditure accounts for 70% of the state budget. The decision of state agencies to
purchase green and environmentally friendly goods will raise awareness among all
social classes, providing an incentive for the whole society to work together to
protect the environment. As a result, the green consumption trend in Vietnam’s
F&B industry is dramatically impulse.
Policy Name of
No. Year Main content
type policy
170/2006 Promulgate regulations on standards and norms
1 Decision QĐ-TTg 2006 of equipment and working facilities of agencies
and officers, public servants and officials.
179/2007 Promulgate regulations governing the
2 Decision QĐ-TTg 2007 centralized procurement of property and
commodities from the state budget.
Promulgate a list of energy-saving gadgets and
68/2011/
equipment to be fitted and acquired for
3 Decision QĐ-TTg 2011
agencies and organizations utilizing the state
budget.
Promulgate standards, norms and regimes for
58/2015/ management and use of machinery and
4 Decision 2015
QĐ-TTg equipment of state agencies, organizations and
public non-business units.
Table 3.1. Documents governing public sector green procurement
Source: Vietnam’s green consumerism policies, 2019
Secondly, do legal research, develop, and disseminate official documents on
green procurement.
According to Tran Ngoc Ngoan (2016), the system of legal documents on
environmental protection for sustainable development in Vietnam has been
relatively thoroughly constructed and implemented; however, there is still no
unique, distinct legislation that directly regulates green procurement. A legislative
framework to encourage green procurement has been established in several
developed nations, including Japan and Korea, with many beneficial effects.
Hoang Thi Bao Thoa (2015) said that the green consumption trend in Korea
did not fully take off until the Law on Promoting Green Procurement was enacted.
Experience in Korea has shown that the Law on Promoting Green Procurement is a
good starting point for programs that put environmental labels on products. When
 73
the green procurement system was made an essential component for the adoption
and effective execution of the Green Procurement Promotion Program, the number
of green products in Korea expanded fivefold in five years, fulfilling local demand
satisfactorily. Green goods with reasonable costs and high quality are also well
accepted by Koreans.
Lessons from Korea demonstrate the importance of researching, developing,
and issuing legislative papers on green procurement to create an incentive for green
and sustainable economic development. Moreover, once issued, their contents must
be incorporated into national, sectoral, and local development goals and
orientations.
Thirdly, a propaganda and education effort to shift traditional consuming
behaviors damaging to the environment is required.
“The most challenging aspect of promoting green consumption is changing
already ingrained consumption habits”(Ho Huy Tuu et al., 2018). People’s
purchasing habits change requires the government to implement long-term action
plans, as well as to popularize and increase consumer knowledge of green products
and services.
To attain the objectives above, we must implement a variety of measures,
including:
- Researchers and educators must incorporate green consumption into
educational curriculum and training programs. We must investigate and integrated
green consumption-related information, such as green products, green customers,
and the significance of green consumption in economic development and
environmental conservation. Green consumption education and knowledge
dissemination in schools will lay the groundwork for future generations to develop
better, greener, and friendlier consumption behaviors.
- A national, sectoral, and local information and documentation framework on
green consumption is required. Complete statistics, policies, and timely information
and data on the green economy are vital for timely changes to meet local economic
governance and international integration requirements.
 74
- Through the mass media, it is vital to routinely promote and disseminate
knowledge about green products, green consumption, and policies to encourage
green consumption to citizens. Simultaneously, organizing seminars, conferences,
workshops, and forums to discuss green consumption must be expanded. As a
result, it is possible to progressively create and develop a countrywide network and
propaganda organization for green consumption.
 75
CONCLUSION
Green consumption is presently seen as consumption trend of the century, as
environmental pollution and climate change have become major concerns for many
governments worldwide. Climate change has had a significant impact on Vietnam;
therefore, enhancing the implementation and promotion of green consumption
trends in our nation would be an effective solution to protect the environment and
public health as we progress toward sustainable development.
The trend of consuming organic foods is becoming more popular in the F&B
industry due to the increasingly alarming food poverty situation and growing
customer worries about their health and living environment. Consumers are also
beginning to consider the environmental impacts of purchasing, using, and
disposing of food to shift their behavior in a more positive, healthier direction.
This thesis thoroughly examined the current state of the green consumption
trend in Vietnam’s F&B sector and gave some instances of green consumption in
the industry. Moreover, the thesis has analyzed and examined the amount of
consumers’ interest in green food, their degree of awareness about this type of food,
and certain elements impacting the green consuming process for Vietnam’s F&B
industry.
According to the analysis findings, the green consumption trend in the F&B
industry is expanding well when demand for organic food is increasing. Consumers,
particularly young ones, have begun to develop environmentally responsible
purchasing and food waste habits. Faced with this tendency, the government first
introduced guidelines and policies to encourage green consumption in general and
green consumption in the food and beverage industry in particular. Companies must
also rapidly grasp the demands and preferences of their customers to tailor their
approach.
However, despite the good signs, it is undeniable that encouraging the green
consumption trend to have its maximum force in the F&B industry remains a long
journey fraught with difficulties. The thesis also recommended several
synchronized solutions to enhance green consumption in the Vietnam’s F&B
industry. As a result, the first promotions proposed is to strengthen the promotion
 76
and promote awareness of green consumerism among all organizations and
individuals in society. To establish a more ecologically responsible community
through conscious consumption practices, each individual has to appropriate
knowledge of the objective and function of green consumption in culture.
Simultaneously, it is vital to enhance the production and supply of organic food to
fulfill consumer demand. When it comes to completing and promoting green
consumption regulations in Vietnam, the final solution is strategic.
 77
REFERENCES
Vietnamese sources:
1. Dao Khanh Hung, 2016, Mo hinh tang truong xanh: Co hoi va thach thuc
cho Viet Nam, Front Magazine, No. 7/2016, pp.38-40.
2. Ho Huy Tuu et al., 2018, Cac nhan to anh huong den hanh vi tieu dung xanh
cua nguoi dan Nha Trang, Journal of Foreign Economic Relations – Foreign Trade
University, No. 103 May 2018, pp.11-20.
3. Hoang Thi Bao Thoa, 2015, Xu huong tieu dung xanh tren the gioi va ham y
doi voi Viet Nam, VNU Scientific Journal: Economics and Business No.1, pp.66-72.
4. Hoang Thi Bao Thoa, 2016, Nhung nhan to tac dong den moi quan he giua y
dinh va hanh vi tieu dung xanh cua nguoi tieu dung Viet Nam, Journal of
Commercial Science, No. 99/2016, pp.22-29.
5. Hoang Thi Bao Thoa, 2017, Nghien cuu nhung nhan to tac dong toi moi quan
he giua y dinh va hanh vi tieu dung xanh cua nguoi tieu dung Viet Nam, PhD thesis
in economics, University of Economics - Ha Noi national university.
6. Luong Thi Ngoc Ha, 2017, Thuc trang va danh gia ve chinh sach mua sam
cong xanh Viet Nam, Asia-Pacific Economic Review, No. 2/2017, pp.37-40.
7. Minh Nguyen, 2016, Dinh huong va mot so giai phap chinh sach thuc hien
mua sam cong xanh va chuoi cung ung xanh, Front Magazine, No. 7/2016, pp.24-26.
8. Nguyen Gia Tho, 2019, Chinh sach tieu dung xanh o Viet Nam, pp.121-126.
9. Nguyen Van Thang, 2010, Bien doi khi hau va tac dong o Viet Nam, Statistics
Publisher, Ha Noi.
10. Pham Thi Phuong Hoa, 2016, Xu huong quan ly tai san cong va mua sam
xanh tai mot so nuoc tren the gioi, Journal of Information for Leadership, No.
12/2016, pp.11-18.
11. Tran Ngoc Ngoan, 2016, Chinh sach tang truong xanh: Kinh nghiem quoc te
va thuc tien Viet Nam, National Politics.
12. Tran Ngoc Ngoan, 2015, Danh gia tac dong cua tieu dung xanh trong phat
trien ben vung o Viet Nam hien nay, Ministerial-level scientific project, Hanoi.
13. Trinh Thi Thanh Thuy et al., 2008, Nghien cuu de xuat giai phap phat trien
thuong mai hang thuc pham sach trong dieu kien Viet Nam la thanh vien cua To
 78
chuc thuong mai The gioi, Scientific research project, Ministry of Industry and
Trade.
14. Vu Anh Dung et al., 2012, Danh gia nhan thuc va hanh vi tieu dung
xanh:Truong hop nguoi tieu dung Ha Noi, Economic and Development Review,
No. 184 October 2012, pp.43- 50.
15. Vu Anh Dung et al., 2012, Phat trien mo hinh gia dinh cac yeu to anh huong
den hanh vi tieu dung xanh, Journal of World Economic and Political Issues , No.
6/2012, pp.14-25.
16. Vu Huy Thong, 2014, Giao trinh Hanh vi nguoi tieu dung, National
Economics University.
International sources:
17. Aasha Sharma, Seema Joshi, 2017, Green consumerism: overview and
further research directions, International Journal of Process Management and
Benchmarking, pp.206-223.
18. Albert J. Della Bitta, David L. Loudon, 1993, Consumer Behavior: Concepts
and Applications, McGraw-Hill Companies.
19. Amsalu W. Yalew, 2017, Economic effects of climate change in developing
countries: Economy-wide and regional analysis for Ethiopia.
20. ASCEE team, 2008, Policy Instruments to Promote Sustainable
Consumption.
21. Ayantunji Gbadamosi, 2016, Consumerism and Buying Behavior in
Developing Nations, IGI Global.
22. Blengini et al., 2010, Resources and waste management in Turin (Italy): the
role of recycled aggregates in the sustainable supply mix, Journal of Cleaner
Production.
23. Colman A. M., 2006, Dictionary of Psychology, Oxford University Press,
England
24. David L Loudon, Albert J Della Bitta, 1993, Consumer behavior: concepts
and applications, New York (N.Y.): McGraw-Hill.
25. Del L Hawkins, RogerJ Best and Kenneth A Coney, 1998, Consumer
Behavior, Mcgraw-Hill Publishing Co.
 79
26. Duteurtre G, et al., 2019, Opportunities for organic agriculture in Vietnam,
New Jersey: Prentice Hall, Inc.
27. Flatters, P., Willmott, M., 2009, Understanding the postrecession consumer,
Harvard Business Review, 87(7/8), pp.64–72.
28. Frederick H. Buttel, 2003, Environmental Sociology and the Explanation of
Environmental Reform, Sage Publications Inc.
29. Gaumer C. J. and William C. Leif, 2005, Social Facilitation: Affect and
Application in Consumer Buying Situations, Journal of Food Products
Marketing 11, no. 1, pp.75–82.
30. Gunne Grankvist, Ulf Dahlstrand, Anders Biel, 2004, The impact of
environmental labeling on consumer preference: negative and positive labels,
Journal of Consumer Policy.
31. Haliza Abdul Rahman, 2018, Climate change scenarios in Malaysia,
International Journal of Malay-Nusantara Studies, Vol. 1, No. 2, Department of
Environmental & Occupational Health, Faculty of Medicine and Health Sciences,
University Putra Malaysia, pp.55-57.
32. Hawkins et al., 2001, Consumer Behaviour: Building Marketing
Strategy, New York Irwin.
33. Hoon Ang, S. et al., 2001, Spot the difference: Consumer responses towards
counterfeits, Journal of Consumer Marketing, 18(3), pp.219–235.
34. J. Ottman, 2006, Green Marketing:Opportunity for Innovation, NTC
Business Books, Chicago.
35. Hornik J. and Giulia Miniero, 2009, Synchrony Effects on Customers’
Responses and Behaviors, International Journal of Research in Marketing 26, no. 1,
pp.34–40.
36. John Black et al., 2009, Dictionary of Economics, Oxford University Press,
England.
37. John Thogersen and Folke Olander, 2006, The Dynamic Interaction of
Personal Norms and Environmental Friendly Buying Behavior: A Panel Study,
Journal of Applied Social Psychology, 36, 1758-1780.
 80
38. Juliana Mansvelt and Paul Robbins, 2011, Green Consumerism: An A-to-Z
Guide, Sage Publications.
39. KEITI, 2014, OECD Environmental Performance Reviews: Korea 2014,
OECD, Korea.
40. Kollmuss, A. and Agyeman, J., 2002, Mind the Gap: Why Do People Act
Environmentally and What Are the Barriers to Pro-Environmental Behavior?,
Environmental Education Research, 8, pp.239-260.
41. Kotler, P. and Armstrong, G., 2012, Principles of Marketing, 14th Edition,
Pearson Education Limited, Essex, England.
42. Lasn, K., 1999, Cutural jam: How to reverse America’s suicidal consumer
binge- and why we must, New Yorks Quill.
43. Nik Abdul Rashid, N.R., 2009, Awareness of eco-label in Malaysia’s green
initiative, International Journal of Business and Management, Vol. 4, No. 8,
pp.132–141.
44. Matilla A. S. and Jochen Wirtz, 2008, The Role of Store Environmental
Stimulation and Social Factors on Impulse Purchasing, Journal of Services
Marketing 22, no. 7, pp.562–67.
45. Maslow, A. H., 1943, A theory of human motivation. Psychological Review,
50(4), pp.370–396.
46. McCort, D.J. and Malhotra, N.K., 1993, Culture and consumer behavior:
toward an understanding of cross-cultural consumer behavior in international
marketing, Journal of International Consumer Marketing, Vol. 6 (2), pp.91-127.
47. Pagiaslis, A., & Krontalis, A. K., 2014, Green Consumption Behavior
Antecedents: Environmental Concern, Knowledge, and Beliefs, Psychology &
Marketing, 31(5), pp.335–348.
48. Peattie, K., 2010, Green Consumption: Behavior and Norms. Annual Review
of Environment and Resources, 35(1), pp.195–228.
49. Ramya N. and Dr. SA Mohamed Ali, 2016, International Journal of Applied
Research 2016, 2(10), pp.76-80.
50. Ruchika Singh Malyan, Punita Duhan, 2018, Green Consumerism:
Perspectives. Sustainability, and Behavior, Apple Academic Press.
 81
51. Schiffman, L.G., and L.L. Kanuk, 1994, Consumer Behavior, New Jersey:
Prentice Hall, Inc.
52. Shrum et al., 1995, Applying Social and Traditional Marketing Principles
to the Reduction of Household Waste, American Behavioral Scientist, No 4, pp.
646-657.
53. Solomon, J., 2007, Corporate Governance and Accountability, John Wiley &
Sons, Ltd., Hoboken.
54. World Bank, 2019, Food safety risk management in Vietnam: Challenges
and opportunities, World Bank Report.
55. Tomasin et al., 2013, How can the sales of green products in the Brazilian
supply chain be increased ?, Journal of Cleaner Production, pp.274-282.
56. Tseng and Hung, 2013, A framework identifying the gaps between
customers' expectations and their perceptions in green products, Journal of
Cleaner Production, pp.174-184.
57. Valette-Florence, P., & Jolibert, A., 1990, Social values, A.I.O., and
consumption patterns: Exploratory findings. Journal of Business Research, 20(2),
pp.109–122
58. Young et al., 2010, Sustainable consumption: green consumer behaviour
when purchasing products, John Wiley & Sons Ltd., Journals, Chicago.
59. Zongwei Luo, 2012, Advanced Analytics for Green and Sustainable
Economic Development: Supply Chain Models and Financial Technologies,
Business Science Reference.
Websites
60. Asia Plus Inc., 2020, The fact about Vietnamese business, [online] Available
at:< https://asia-plus.net/whyvietnam.html> [Accessed 13 May 2020]
61. congnghieptieudung.vn, 2019, Tieu dung xanh Giai phap hieu qua bao ve
moi truong va suc khoe cong dong huong den phat trien ben vung, [online]
Available at:<http://congnghieptieudung.vn/tieu-dung-xanh-giai-phap-hieu-qua-
bao-ve-moi truong-va-suc-khoe-cong-dong-huong-den-phat-trien-ben-vung-
dt20652> [Accessed 12 May 2020]
 82
62. dgmasia.vn, 2020, Marketing tong the cho chuoi Cua hang Thuc pham huu
co Organica, [online] Available at:< https://dgmasia.vn/marketing-tong-the-cho-
chuoi-cua-hang-thuc-pham-huu-co-organica/> [Accessed 15 May 2020]
63. Euromonitor, 2018, Consumer Lifestyles in Vietnam, , [online] Available
at:<https://www.euromonitor.com/consumer-lifestyles-in-vietnam/report> Accessed
1 May 2020]
64. General Statistics Office of Vietnam, 2020, Vietnam’s average annual
growth and GDP per capita [online] Available at:< https://www.gso.gov.vn/]
65. hanoimoi.com.vn, 2020, No ro xu huong su dung thuc pham than thien voi
moi truong [online] Available at:< http://www.hanoimoi.com.vn/tin-tuc/Doi-
song/954406/no-ro-xu-huong-su-dung-thuc-pham-than-thien-voi-moi-truong>
[Accessed 6 May 2020]
66. IFOAM, 2019, Organics International and its networks are active all around
the world, working hard to increase the global uptake of organic agriculture
[online] Available at:< https://www.ifoam.bio/about-us/annual-reports> [Accessed
9 May 2020]
67. kinhtevadubao.vn, 2017, Cac quoc gia dang huong toi kinh te xanh nhu the
nao?, [online] Available at: < http://kinhtevadubao.vn/chi-tiet/221-9413-cac-quoc-
gia-dang-huong-toi-kinh-te-xanh-nhu-the-nao > [Accessed 9 May 2020]
68. lyluanchinhtri.vn, 2018, Impacts of green consumption on Vietnamese
enterprises, , [online] Available at:
<http://www.lyluanchinhtri.vn/home/en/index.php/practice/item/554
impacts-of-green-consumption-on-vietnamese-enterprises.html> [Accessed 2
June 2020]
69. moitruong.com.vn, 2017, Tieu dung xanh xu huong tieu dung hien dai,
[online] Available at:< https://moitruong.com.vn/hanh-dong-xanh/tieu-dung-
xanh/tieu-dung-xanh-xu huong-tieu-dung-hien-dai-17400.html> [Accessed 23 May
2020]
70. Nielsen, 2019, Kenh thuong mai hien dai dang thu hut nguoi mua hang,
[online] Available at:<https://www.nielsen.com/vn/vi/insights/article/2018/shopper-
trend-insights/> [Accessed 27 May 2020]
 83
71. nielsenIQ.com, 2020, How has Covid -19 impacted Vietnamese consumers?,
[online] Available at:<https://nielseniq.com/global/vi/insights/analysis/2020/how-
has-covid-19-impacted-vietnamese-consumers/> [Accessed 19 May 2020]
72. qandme.net, 2018, Organic food consumption among Vietnamese 2018,
[online] Available at:< https://qandme.net/report/report203> [Accessed 2 June
2020]
73. scp.gov.vn, 2019, Tieu dung xanh Giai phap hieu qua bao ve moi truong va
suc khoe cong dong huong den phat trien ben vung, [online] Available at:
<http://www.scp.gov.vn/tin-tuc/t11210/tieu-dung-xanh-giai-phap-hieu-qua-bao-ve-
moi-truong-va-suc-khoe-cong-dong-huong-den-phat-trien-ben-vung.html>
[Accessed 17 May 2020]
74. tapchitaichinh.vn, 2018, Xay dung chien luoc cho nong nghiep huu co,
[online] Available at:< http://tapchitaichinh.vn/nghien-cuu-trao-doi/xay-dung-
chien-luoc-cho-nong-nghiep-huu-co-139369.html> [Accessed 15 May 2020]
75. tieudungplus.vn, 2018, Tiet lo rao can lon nhat cua san pham huu co voi
nguoi tieu dung, Available at:< https://tieudungplus.vn/tiet-lo-rao-can-lon-nhat-cua-
san-pham-huu-co-voi-nguoi-tieu-dung-28623.html> [Accessed 18 May 2020]
76. tinnhanhchungkhoan.vn, 2018, Xu huong tieu dung xanh: Vuot thach thuc,
don co hoi, [online] Available at: <https://tinnhanhchungkhoan.vn/thuong-
truong/xu-huong-tieu-dung-xanh vuot-thach-thuc-don-co-hoi-215960.html>
[Accessed 24 May 2020]
77. U.S. News & World Report, 2019, Vietnam climbs in ranking of top
countries, [online] Available at: <https://tinnhanhchungkhoan.vn/thuong-truong/xu-
huong-tieu-dung-xanh vuot-thach-thuc-don-co-hoi-215960.html> [Accessed 24
May 2020]
78. ven.vn, 2018, Positioning Vietnamese organic food in global market,
[online] Available at:<http://ven.vn/positioning-vietnamese-organic-food-in-global-
market-33461.html> [Accessed 28 May 2020].