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The determinants of green consumption: a study of socio-demographics factors as determinants

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par Marine ETIEVENT
ESC Rennes - Master of science in International Marketing 2011
  

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Graduating Project

The determinants of green consumption

A study of socio-demographics factors as

determinants

MSC in International Marketing
Marine ETIEVENT

1st of December 2011

Graduating project supervisor: Dr. Yann Truong

Abstract

The main objective of this thesis is to investigate if the socio-demographics factors could be seen as determinants of the consumption of green products, in order to see if green consumers could have a specific profile; if according to specific factors they are willing to consume or not green products.

This paper permits to review the main determinants and barrier of green consumption. In addition, this study permits to report the results of a questionnaire held by 150 respondents in order to get accurate information about the respondents (gender, income, education, place of living etc.) and insight about their knowledge on this topic and their habits in term of green consumption (if they are consuming).

Results from regression analysis revealed that the socio-demographics factors do not seem to be linked to the consumption of green products. Surprisingly, green purchases are not significantly related to monetary barriers, or to the socioeconomic characteristics of the consumers. It appears that pro-environmental behaviour or gender has an effect upon the consumption of green products. Recommendations for business were established in order to get insight about the profile of green consumers.

Acknowledgement

I would like to express my gratitude to my supervisor, Dr. Yann Truong, whose expertise, understanding, and patience, added considerably to my graduate experience. I appreciate his vast knowledge and skill in many areas, and his assistance in writing reports.

I would like to thank my internship supervisor, Mrs Leroy, for the assistance they provided at all levels of the research project.

Finally, I would like to thank Mrs Curley for taking time out from his busy schedule to serve as my external reader.

Table of contents

Abstract~~~~~~~~~~~~~~~~~~~~~~~~~~ ~~~~~ -2-

Acknowledgment. -3-

List of figures -8-

List of tables~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ -9-

Introduction~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ -11-

I. Literature Review~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ -12-

1.1 Environmental Concern~~~~~~~~~~~~~~~~~~~~~~~~~~

-13-

 

1.2 Determinants of green consumption

-14-

1.3 Conclusion

-17-

1.4 Constraints to green consumption

-18-

 

1.5 Conclusion

-20-

II. Methodology

-21-

2.1 Research overview

-22-

 

2.1.1 Definition of the studied variables......................................................... -22-

2.1.2 Research objectives................................................................................. -22-

2.2 Hypotheses -23-

2.2.1 H1: socio-economical characteristics have a positive effect on

consumers buying decision of green product................................................ -23- 2.2.1.1 H1a: the gender has a positive effect on green buying......... -23- 2.2.1.2 H1b: the level of income or revenue is positively linked to

consumers green buying behavior.............................................. -24- 2.2.1.3 H1c: the level of education is positively linked to the consumption

of green products........................................................................ -24-
2.2.1.4 H1d: employment status is positively linked to the consumption

of green product............................................................................ -24- 2.2.1.5 H1e: the legal status is positively linked to green purchasing

behavior.......................................................................................... -24-

2.2.2 H2: living condition has a positive effect on consumers green buying

decision -24-

2.2.2.1 H2a: The place of living is positively linked to green buying

behavior~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ -25-

2.2.2.2 H2b: The household size is positively linked to green buying

behavior~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ -25-

2.2.3 H3: The store type is has a positive effect on green consumer

behavior~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ -25-

2.2.4 H4: Good knowledge / high environmental knowledge lead to the consumption of green products -25-
2.2.5 H5: The intention to buy green product is positively linked the act of

purchasing green product~~~~~~~~~~~~~~~~~~~~~~. -25-

2.3 Research design~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~.-27-
2.4 Data gatherin~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~. -28-

2.4.1 Conjoint analysis -28-

2.4.2 Questionnaire Design -28-

2.4.3 Questionnaire testing~~~~~~~~~~~~~~~~~~~~~~~~~~ -29-

2.4.5 Participants~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ -29-

2.5 Measuring and scaling~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ -29-

2.5.1 Sampling types -29-

2.5.2 Sampling size -30-

2.6 Data processing and analysis~~~~~~~~~~~~~~~~~~~~~~~~~ -31-

2.7 Constraints and limitations~~~~~~~~~~~~~~~~~~~~~~~~~~~ -31-

2.7.1 Time, money and workforce~~~~~~~~~~~~~~~~~~~~~~ -31-

2.7.2 Sampling~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ -32-

2.7.3 Online questionnaire~~~~~~~~~~~~~~~~~~~~~~~~~~. -32-

III. Results and Analysis~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ -33-

3.1 Introduction~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ -34-

3.2 Questionnaire findings~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ -34-

3.2.1 Personal information~~~~~~~~~~~~~~~~~~~~~~~~~~ -34-

3.2.2 Environmental knowledge~~~~~~~~~~~~~~~~~~~~~~~ -36-

3.2.3 Green consumption~~~~~~~~~~~~~~~~~~~~~~~~~~ -39-

3.3 Hypotheses testing~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~. -43-

3.3.1 Data cleaning and normality testing -46-

3.3.2 Regression analysis -44-

3.3.2.1 Theoretical review -44-

3.3.3 Hypothesis 1: socio-economical characteristics have a positive effect on

consumers buying decision of green product -44-

3.3.3.1 H1a: the gender has a positive effect on green buying -47-

3.3.3.2 H1b: the level of income or revenue is positively linked to consumers green buying behavior -49-
3.3.3.3 H1c: the level of education is positively linked to the

consumption of green product...................................................... -51-

3.3.3.4 H1d: employment status is positively linked to the consumption of green product -53-

3.3.3.5 H1e: the legal status is positively linked to green purchasing

behavior -54-

3.3.4 Hypothesis 2: living condition has a positive effect on consumers green buyingdecision -54- 3.3.4.1 H2a: The place of living is positively link to green buying behavior -57- 3.3.4.2 H2b: The household size is positively link to green buying

behavior -58-

3.3.5 H3: The store type is has a positive effect on green consumer behavior -60-

3.3.6 H4: Good green knowledge lead to the consumption of green

products -62-

3.3.7 H5: The intention to buy green is positively link to green buying

behavior -64-

IV. Conclusions and recommendations~~~~~~~~~~~~~~~~~~~~~~ -67-

4.1 Introduction~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ -68-

4.2 Findings' analysis and discussion -68-

4.2.1 Socio-economical factors, living condition and store type............... -68-

4.2.2 Green knowledge and intention............................................................ -72-

4.3 Conclusion -73-

4. 4 Recommendations for businesses~~~~~~~~~~~~~~~~~~~~~~~ -75-

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