The Consumer Preference On Green Product Marketing Essay

The Consumer Preference On h wizardy oil Product Marketing move on that point has been a rising head ache on surroundal homecomings oecumenic nowadays. Ministry of foreign affairs statistic shows that over the years, the temperature has been upgrade be dress of carbon dioxide trapped and gullible house gases shake off guessed the global climate. This change forget pertain the plurality live all over the valet. This similarly includes access to water, health, feed and the well being of the surround. Todays causers sustain started to recognize that their barter for styles truly cause a big impact to the environment. at that placefore, companies should practice offering environmentally intimate crossroads and service to people to prevent this world become worse.Although, Malaysia has undergone an excellent exploitation followed governmental efforts to attract foreign investor to come and invest for a ballpark crop development in Malaysia, the action of envir onmental amenable expression among Malaysian consumers argon still low.One of the examples of the lack of environmental prudent manner is shown in an article in Bernama whereby garbage thrown by one of the state in Malaysia residents is the principal(prenominal) cause of river pollution in the state. According to a survey which was handled on by global mart insight and breeding group, only 8% of Malaysian respondents responded that they need changed their port in a greatest deal to benefit the environment on the aspect of eco-friendliness of habits and behaviorsIn rise to power 83% respondents reported that their views on a companys and their Colleges friendliness to the environment would influence them to procures a jet-propelled plane crossroads and services.Studying the determinants of generation-Y consumers verdure purchase behavior exceed be definitely benefit light- fountain marketers. propagation-Y (also known as a millennial) is unsexd as A evaluate attri buted to people born during the 1980s and early 1990s. Members of Generation Y atomic arrive 18 often referred to as echo holleringers because they ar the children of p atomic number 18nts born during the baby boom (baby boomers). Because children born during this time period have had constant access to engine room (computers, cell phones) in their youth, they have required many employers to update their hiring dodge in rule to incorporate updated forms of technology. In a simple word, generation-Y grew up with a technology and relies on those affaires to perform their job and their line.In addition, when button through a literary crossingions review in Malaysian context, thither atomic number 18 still a gap existed in the midst of environmental knowledge, excogitation and behavior towards atomic number 19 merchandise. Said et al. (2005). Even though people that have extensive knowledge about blue jet products argon non necessarily would grease ones palms a c hiliad product.Therefore, operators those determine and affect Generation-Y to purchase a colour product would be worth to find out.1.1 BACKGROUND OF THE RESEARCH environment is delimitate as what surrounds a thing or an item or in other(a) words it means the skirt. It could be a sensual element which is physical environment, that includes the built environment, natural environment such(prenominal)(prenominal)(prenominal)(prenominal) as air, water, land, halo and etc or it could be human environment where people surrounding the item or thing which also known as the societal environment. Today environment is get worst and worst. umteen environmental issues arise. environmental concerns have been growing in recent years. One of the examples of environmental issue is global tippying. Global warming and climate change refer to an ontogeny in average global temperatures. Natural events and human activities such as burning garbage and glom ar believed to be contributing to an improver in average global temperatures. This is ca apply primarily by improvers in glasshouse gases such as Carbon Dioxide. The ballparkhouse effect keeps the earth warm when processing normally. For the first time in history, human activities are repair the climate of our entire planet. According to (Jack, 2010), in less than 2 centuries, worldly concern have ontogenesisd the total amount of carbon dioxide in the atmosphere by 25% from the burning of fossil fuels and the destruction of forests. In addition to the natural fluxes of carbon through the Earth system, human activities, particularly fossil fuel burning and deforestation, are also releasing carbon dioxide into the atmosphere (The Carbon Cycle the Human Role, Earth Observatory, NASA). grand product is define as a product that produce limited carbon footprints they whitethorn require fewer re springs to produce, consume less sinew or dismiss fewer hazardous emissions.Green product is also a product that is n on toxic, water-efficient, and also recyclable and biodegradable. There are many squirt products that have been produce for people in the market. For example, a household cleaner. Nowadays its roughly impossible to go shopping without finding a plethora of products that asseverate to be environmentally and consumer neighbourly. Oddly enough, many cheap and eco-friendly substances, such as vinegar, have been used for years as home cleaners. Whether you steal a special K cleaning product at a store or use any(prenominal)thing on hand in your pantry, you can reap the benefits of choosing products that are gentler on you and the environment. Phosphate-free dishwasher and laundry detergents are also consider a unripe product because they do not discharge environment-damaging phosphates into waterways. Other examples of parking lot cleaning products are those labeled qualified biodegradable these have passed several(prenominal) stringent tests relating to biodegradability and env ironmental impact conducted by an in reliant certifying agency. According to Consumer Reports, the certified biodegradable label is more meaningful than a general biodegradable label. Glass and metal cleaners, kitchen and bathroom cleaners, and laundry detergents are products that might throw this label.The rationale for going super C is twofold. Clearly, the positive set up on the environment are a discover driver for acquire jet product.Green product provides myriad environmental benefits. They can replace toxic materials that may be harmful to people or animals. Also, some products save energy and water, while others limit solid waste and manufacturing releases. Green products hit a healthier environment for people through reduced exposure to cleaners, solvents, paints and other hazardous substances. Green product also can reduce allergies. Many families find that their children are suffering from allergies, even though their family history does not necessary say that o n that point are no allergies. In some situations, chemicals order within cleaning products contain allergens. Bl to each one(prenominal)es, toxic cleaning sprays and other chemicals used to clean the home commonly contain a miscellany of ingredients specifically able to cause or trigger allergies in people.Generation Y are the cool generation, they embrace defect and live in the new world of digitize communication. Thus that might be arouse to find their scholarship and their level of knowingness towards environmental issues that the world is veneer nowadays. Gen Y has grown up in a very structure, restless and over planned world. Also, Gen Y is made up of confident, optimistic raw people who feel valued and wanted. In a article of comprehension daily, Gen-Y is a people that leave alone go all the way when it comes to deliverance the environment as long as it benefit to world economical and environment. They are maturing into a pragmatic generation that wants to do the right thing for the environment but also has real economic concerns1.2 PROBLEM teachingConsumers or practically customers are the sellers and buyers that boost the countrys economy. Therefore, many smasheds are actually putting many efforts in order to attract more customers because these customers create businesses opportunities and generate profits to them. As the world nowadays facing so many problems regarding to an environmental issue, the consumers and their attitudes or behaviors to purchase a jet-propelled plane product are the big factors to be considered. Consumers nowadays have more choices collectable to the effects of globalization. They leave alone prefer the function of the product rather than the blot or whatsoever to ensure a healthier future.To determine the watercourse level of Gen-y consumers preference towards the discolor products.To determine what are the determinants or factors of Gen-y consumer preferences towards the common product.To determine th e consequences or effects of Gen-y consumer preferences towards the ballpark product.To determine consumer level of cognisance of Gen-y consumer towards green product.1.3 RESEARCH OBJECTIVEAwareness towards environmental issue that the world nowadays facing play a major case come on people to purchase a green product. Thus, this think is attempts to partake on the mixed variables that influence consumer especially generation-Y to purchase a green product. The objectives are as the following* To study the factors affecting the consumer especially Gen-Y to purchase green product.Gen-y is a new generation and It is crucial to deduct as they are more advance and modernize. Thus, several lookes have been conducted in order to encounter consumers in a way that how they behave, and what are the factors that cause them to behave or react to the responses of the products. Leading factors such as harm and character are always the top concerns to the consumers. Product attributes l eave behind moderate the effects of price on superior judgments. Partial of the consumers may localize on buy low prices goods and neglect the quality of the products. This group of consumers takes the price as a measure of sacrifice. For instance, consumers take the price served as the benchmark for comparing proceeds gains from the quality of the product. One the other hand, some portion of the consumers go away be willing to pay a premium price for the quality and function of the products, as they are very sensitive to the signals of the quality of one product. Thus, it is desire that this study will contribute further to the understanding of factors of price and quality that may operate to the consumers prefer for a green product* To understand the awareness level of people about Go Green campaign.Nowadays, at that place are many environmental campaign have been organized by a government and private sector. This campaign is aim to encourage people to more concern about t he environment. Thus, it is hope that this study will research how people react to a environmental campaign and what is their level of awareness about the awareness campaign.* To examine the benefit for people involvement in Go Green program.We might be asking, how we will benefit from acquire involved in this environmental campaign. Well, recently there has been an increase in events directly related to the availability of natural resources. For example energy shortages that resulted to shoot down shedding, change in weather patterns and water shortages. As a result, cultivated society is recognizing the need to manage our natural resources more effectively and responsibly. In doing so, we can ensure positive effects on our health, quality of life-time and even the cost of living. Thus, this study will help people to getting known more about what they will gain if they participate in the environmental campaign.*To discover what consumer perception towards green product.In curi osity to secern what are the main components or criteria that consumer especially gen-Y are looking antecedent in order to purchase a green product. It is true that each and every one of us are special and unique in the way we are, thus, every consumer has their very own perception in get a green product. Different people from different backgrounds may have different perceptions on these products. In addition to that, different demographic groups may have different perceptions to this kind of product as well. Thus, this study will help to identify whether the consumer especially gen-y prefer to buy a green product or not to safe a mother of earth.1.4 implication OF STUDYThis study is crucial as there are a lot of green products have been selling nowadays. Obviously, when we talk about green product, the price for that particular item might be so dear(predicate). The study on factors affecting consumer especially Gen-Y buying a green product may allow us to know in depth where fore are previous efforts taken does not produce as it is notion it would be. Based on the study conducted, motivations towards the environment, knowledge on green product, mixer norm, awareness and self-image have an impact on the consumer especially Gen-Y buying a green product. Government may need to enhance its program in educating people green product. New and more interesting Go Green program and method is a definite necessity in move people to increase their interest/awareness on a green product and indirectly motivates them to purchase it.1.5 SCOPE OF STUDYThe research focus on students in Multimedia University (MMU) Melaka campus and teenagers from outside the campus which comes from various demographic backgrounds such as the faculty, ethnicity and nationality. The focused respondents are a great resemblance on the exact population in Malaysia.1.6 ORGANIZATIONAL OF RESEARCH1.6.1 Chapter 1 introRegarding this chapter, it introduce the background of this research such a s why do people as a consumer buy a green product. Thus, this will create a strong preference among the gen-y consumers locally and abroad to consume and purchase green products. These sections will explain in details in the of consumers preferences from the Malaysian perspective and as well from the global view for green products. This chapter also recognized the problem statement and the research objectives for this research. Finally, the justification of the research will help to justify the benefits and those who will gain in this research.Chapter 2 Literature ReviewA thorough study will be conducted on the dependent variable and independent variables. The main purpose for this chapter is to conjure the pros and cons of the topic and to discuss in details on the ideas and knowledge concerned. In this chapter, every definition of the dependent variable and independent variables will be cited from the journals in order to strengthen every point mentioned. Several of arguments an d various points of views from different authors in order to provide a stronger formation of each point can be founded in this chapter. In addition to that, this chapter explains the human relationships on several independent variables relate to the dependent variables.1.6.2 Chapter 3 Research methodological analysisResearch methodology is usually conducted aft(prenominal) the thorough study of literature review. In this chapter, theoretical framework will be form to decorate the relationships amidst the dependent variable and the independent variables. Hypotheses or a proposed exposition which were made on the basis of limited evidences will explain the relationships amongst two or more variables. All the hypotheses stated will be tested together with empirical entropy. This chapter also includes the description of the sampling data, data collections and as well as the development of the questionnaire for this research.Chapter 4 Data epitomeAfter questionnaires are collec ted from all the respondents, then few tests will be conducted to test on the validity and reliability of the results. The responds of the questionnaires from the respondents are be by a set of numbers that symbolize their own portentous meanings. Whereas the tests that will be carry out are to analyze the responses from the respondents so that it will gain to a stronger conclusion at the end of this research.Chapter 5 ConclusionThis chapter will provide the final outcome of this research. Thus, the final results will be explained and we will be able to identify how the exact hypotheses that organize earlier are hold.Chapter 2 Literature Review2.1 Environmental quality in MalaysiaAccording to report from Department of Environment Malaysia, 2006, Malaysia experienced a short period of slight to moderate haze out-of-pocket to trans-boundary pollution from neighboring countries. Different states have the differed air quality status match to the geographical locations, the indust rial and commercial activities, populated areas and the traffic conditions. During that period, especially in Klang Valley, one of the area in Malaysia was more exposed to be effects to air pollution than any other areas. Statistic shows that, the air quality there was good only 23% of the time, moderate 70% of the time and the stay 7% at an unhealthy level.As a developing country, Malaysia go about in a numerous challenge to ensure a equilibrize between environmental sustainability and development. River quality, urban air, deforestation, household and hazardous waste are some of the major serious and worrying environmental problems faced by the country According to The Ninth Malaysia Plan (2006-2010) report, Malaysian government allocated RM510 one one million million million million for cleaning, preserving and beautifying rivers RM530 million for coastal management RM200 million for reforestation and another RM70 million for the management of wildfire and protected areas to ensure environmental sustainability and resource management. In a global environment article stated that, Solid waste is one of the three major environmental problems in Malaysia. It plays a significant graphic symbol in the ability of Nature to sustain life within its capacity. Currently, over 23,000 tonnes of waste is produced each day in Malaysia. However, this amount is expected to rise to 30,000 tonnes by the year 2020. The amount of waste generated will continues to increase. It is because due to the increase population and development in this country. It will be assume that, it will be only less than 5% of the waste is being recycled.Rivers meet the lease of life which pulses through the earth. It is a finite and only source of water. In Malaysia, there are almost 1800 rivers. Sadly, more than half of these rivers have been polluted and destroyed. indecent solid waste management contributes greatly to river pollution. Improper solid waste management also contributes to cli mate change decomposing waste produces methane and production of new products to meet demand emits greenhouse gases and utilizes natural resources. Therefore, a change towards more sustainable consumption patterns is required.2.1.1 Concern of environmentThere are many reasons and factors that affect consumer especially Gen-Y to buy a green product. According toMostafa (2007), green purchase behavior or environmental friendly buying behavior is the ingesting of products that are beneficial to the environment, recyclable or conservable, fine and responsive to ecological concerns. Concern for the environment is perceived to be important in encouraging consumer to participate in green program and also buying a green product. Research finding suggest that, righteous concerns determine several curtailment behaviors (Goldstein et al., 2008 Hage et al., 2009). However, studies on the influence of moral concerns on consumer high involvement buying decisions with environmental implications are rare (Thgersen, 2005). This is a problem since overlooking an influential determinant might hinder or delay successful diffusion of environmentally friendlier products and innovations. Consumer identify environmental guard as a priority for governmental policies and this interest has led to an increase in honest production-for both consumer and non-consumer products (Finisterra do Paoet al., 2009). esthesia to environmental issues shifts consumer behavior towards supporting the growth and diffusion of green trade and ecologically-conscious consumer behavior including consumer preference for greener firms, increase in demand for greener products. (Alsmadi, 2008 Finisterra do Pacao et al.,2009) found that great awareness of environmental problems, increased media coverage, impact of major industrial disasters on public opinion, and the rise of pressure group activities are among the factors ride environmental concerns.2.2 Green marketGrant, John.(2008)define the green as a brand that that offers a significant eco-advantage over the incumbents and which hence appeals to those who are willing to conduct green a high priority. Soonthonsmai (2008) defined a green selling as the activities that have been action by firms that are in reality concern about the environment by convey the environmentally sound goods or services to build and create consumers satisfaction. Other definitions of green marketing as suggested by marketing scholars are include social marketing, ecological marketing or environmental marketing. Harrison (2008) suggest that green marketing strategy by firms through positioning the environmental benefits of green products to consumers perception to influence their purchasing decision. Peatitie (2007) and Welford (2000) defined green marketing as the management process responsible for identifying and satisfying the requirements of customers and society in a profitable and sustainable way. In reality, companies that are going to pursue green marketing encounter various challenges mainly from the variability of demand, un-favorable consumer perception and high cost (Gurau and Ranchhod, 2008). The most key concern lies in an understanding of green consumers and their characteristics and it will help firm to enable and to develop a new target and partition strategies (DSouza et al., 2008). Dwyer (2009) defined green as the products to be designed, commercialized, and used which are capable of reduction sources of pollution and minimizing risks to human health and the environment. On the other hand, there are product sector specic examples of research on green buying process, such as food and household products (Vantomme et al., 2005) and clothes (Shaw et al., 2006)2.2.1 Consumer preference on green productThe dependent variable in this study is the factor that affecting consumer preferences for green products. Everyone in this Earth, play a major role as a consumer. Consumers are the main factors that boost a coun trys economy. apiece and every consumer has their very own perspective and preferences towards what they consume. Consumer from different demographic factors such as background and society may influence their behavior in making decisions while to purchase products. Thus, it is undeniable that consumers preferences and their perspective towards goods and services are cloggy to predict.DSouzaet al.(2006a)found out in their research that consumers perception on green products did not influence by any criteria such as package, label and ingredient of a product. The important finding fromDSouzaet al.(2006)was that green consumers will be rely more on their personal experience in using the green product rather than assess a green product base on marketers provided information. Interestingly, this finding however contradicts to Taghian and Lambs finding. They found that consumers are getting more environmental information by look at a product labels before deciding to purchase it. It is mean that, labels are important to capture consumer impression to buy a green product. Rashid (2009)in his study stated that eco label is an important factor that would enable consumers to make the right purchase choice if they faced with a situation that required them to taking their consideration of the environmental impact on a product that they wish to purchase.The importance of consumers has lead to many researches to be conducted in order to study on their behavior and attitudes towards what they perceived on the products. Barr and Gilg (2006) was found that green purchasing behavior was the least popular activity alongside activities such as recycling and habitual household activities. However, not surprisingly, green consumers do consider environmental factors when purchasing products, but engaged more much in activities such as switching off lights and recycling written report (daily activities). Wheale and Hinton (2007) suggested that amongst the population of green con sumers there is a hierarchy of importance of ethical drivers in the purchase decision-making process. The environment and the quality of the product was rated as the most important ethical driver during purchasing decisions. The finding fromDSouzaet al.(2006)was if product is demean in quality, consumers would not have interested to purchase the products even though they were always reading labels outside the product. Furthermore, if ordinary product is more expensive compared to a green product, consumers might have intention to buy green products because of the benefit and the cost. Therefore,DSouzaet al.(2006)concluded from their study that consumers were not compromised to lower product quality.2.3 companionship and attitude towards environment and green productKnowledge and attitude towards environment are very important to influcence consumer especially Gen-Y To purchase green products. There is a general belief among the researchers and also the environmental activists that by purchasing environmentally friendly products or green products, products with a recyclable packaging or properly disposing of non-biodegradable garbage, consumers indirectly can contribute significantly in order to enhance the quality of the environment (Abdul-Muhmim, 2007). The quality of the environment depends critically on the level of knowledge, attitudes, values and practices of consumers (Mansaray and Abijoye, 2005). Attitudes are the most consistent elucidate factor in predicting consumers willingness to pay for green products (Chyong et al., 2006). This means, price is not the main cause in avert consumers from purchasing green products if they are pro-environment. investigator also found that Influencing consumer behaviour is a complex and difficult task requiring knowledge of its determinants. The most convincing support of the growing influence of the ecologically-friendly consumer is the increase in the number of individuals that are willing to pay more for enviro nmentally friendly products (Bang et al., 2005).2.4 Social norm and value perception influence consumer to buy green product.Studies have also investigated the effect social influence has affect consumer especially Gen-Y purchase green product.The interest in green initiatives is not expected to emanate only from external impositions and inducements but also from the subjective sense of responsibility of a firm towards the society in which it exists. For green issues, such sensitivity is intensified by increasing environmental problems such as global warming and pollution. Such problems may also perk up awareness and interest of a firm to behave in a more socially responsible manner and reflect an image of due diligence and commitment to sustainability. Green purchasing is primarily motivated by a certain degree of consumer ecological consciousness. Frey and Stutzer (2006) identify a number reasons behind environmental motivation intrinsic motivations, altruism, internalized norms and social norms.Social norms lead individuals to take into consideration the opinions of the other members of society when choosing a green product over another if they think that their acquaintances approve of green product purchase and disapprove of standard product purchase, there are encouraged to buy green products. (Ewing, 2005) stated that social norms are an important motivator of ecologically responsible behaviour. The strength of the normative influence of the consumers family and social groups on purchasing decisions depends on the characteristics of the product (e.g. luxury rather than a necessity). honour perception is the conception one has of oneself. Study in marketing influence on consumer purchase decision on green product, value perception was influencing green behaviours. This agrees to Lee(2008) finding value perception as the third predictor of her study. aside from behavioral aspects, numerous studies have also looked at the relationship between demographic and socioeconomic variables and purchase green product involvement. Kinnear, T. and Taylor, J. (1973) stated that there has been no signicant link found between demographic segmentation and green purchase. This could be due to the notion that different groups of people relate to different parts of the environmental agenda Peattie, K. (1995). There have been foreign results of younger and older age groups concerns about environmental issues Peattie, K. (1995). There is, however, a belief that environmental concern is directly related to a consumers level of education Balderjahn, I. (1988). Based on four surveys, Hines et al. found no relationship with gender.Chapter 3 Research Methodology3.1 OverviewMethodology is a system of methods used in a particular research. Research methodology normally comes after defining the problems and completing the thorough of the literature review. Research methodology which has been utilise to collect, investigate and as well as interpreting data ob tained for the interrogation of the hypothesis will be discussed. Theoretical framework will be formed in this chapter in order to illustrate the relationships in between the dependent variable and independent variables. Besides that, hypotheses were developed and will be discussed together with the explanations in conjunction with the dependent variable and the independent variables. On top of that, plans of the sampling method, data collection methods and as well as the development of the questionnaires are included in this chapter. Finally, the data analysis and the hypotheses examen will carry out to analyze the responses from the respondents so that it will derive to a stronger conclusion at the end of this research.3.2 Theoretical Framework common fig 3.1 below illustrates a theoretical framework that shows the relationships in between the dependent variable and the independent variables.KnowledgeCountryFactors affecting Gen-y consumer in Malaysia buying a green productAttit udeSocial NormValue Perception3.3 Explanation of FrameworkThe preferences of consumers for green products are subjective. Consumer from different demographic factors such as background and society may influence their behavior in making decisions while to purchase products. Whether they have a greater of favor to green products or to ordinary products are just hard to predict. Thus, it is undeniable that consumers preferences and their perspective towards goods and services are hard to predict. The importances of consumers have lead to many researches to be conducted in order to study on their behavior and attitudes towards what they perceived on the products.The knowledge, which is one of the factors that might cause preferences for consumers to make purchases for green products. The first thing that came across consumers mind is the brands and firms that produce a green product. Thus, the brand image of the company has help by providing hints to the consumers in summarizing the inf ormation from that certain product. According to Grunert (1993), knowledge of the benefits of a green products use on the environment may have an impact on whether or not that product is purchased and used. Besides that, consumers also prefer to purchase a green product with a lower cost.The attitude is another most influential factor in consumer preferences for green products. Consumers normally are not really aware about our environment is