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Marketing Intelligence & Planning

Attitudes towards environmentally friendly products: The influence of ecoliteracy,


interpersonal influence and value orientation
Isaac Cheah Ian Phau
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Isaac Cheah Ian Phau, (2011),"Attitudes towards environmentally friendly productsThe influence of
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ecoliteracy, interpersonal influence and value orientation", Marketing Intelligence & Planning, Vol. 29 Iss 5
pp. 452 - 472
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MIP
29,5 Attitudes towards
environmentally friendly
products
452
The influence of ecoliteracy, interpersonal
Received 25 November 2009 influence and value orientation
Revised 23 May 2010,
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24 November 2010 Isaac Cheah and Ian Phau


Accepted 8 March 2011
Curtin University of Technology, Perth, Australia

Abstract
Purpose This paper aims to identify the key antecedents and moderators that influence consumers
willingness to purchase environmentally friendly products.
Design/methodology/approach A convenience sampling method was employed. A total of
600 self-administered questionnaires were distributed during lectures in a large Australian university.
In total, 256 useable Australian consumer responses were collected and used for analysis.
Findings The results show that the three antecedents of ecoliteracy, interpersonal influence and
value orientation have strong correlations with attitudes towards environmentally friendly products.
Consumers with favourable attitudes towards environmentally friendly products are more likely to
purchase environmentally friendly products. Perceived product necessity moderates the relationship
between attitudes toward environmentally friendly products and the willingness to purchase
environmentally friendly products.
Research limitations/implications Longitudinal studies can be conducted in the future. Other
possible moderating factors such as product involvement or pricing can also be explored. A wider
range of behavioural indicators can be used to capture a more accurate measurement of
environmentally oriented behaviours.
Practical implications Consumer education about the environment is crucial for consumers to
form a more favourable mindset towards environmentally friendly products. Communication
initiatives that highlight various environmental support campaigns and environmentally conscious
product strategies are some of the ways to encourage purchasing behaviour.
Originality/value The study empirically examines the antecedents and consequences of attitudes
towards purchasing green products in an Australian context. Furthermore, the study uses day-to-day
necessity products as the product category.
Keywords Environmentally friendly products, Willingness to buy, Ecoliteracy, Consumer behaviour,
Self-image, Australia
Paper type Research paper

Introduction
Owing to the increased prominence of environmental concerns and the subsequent efforts
of governmental agencies, non-governmental organisations and local environmentalists
Marketing Intelligence & Planning to increase awareness of societys impact on the environment, environmentalism has
Vol. 29 No. 5, 2011
pp. 452-472 become an important global phenomenon (Brown, 2008; Kilbourne and Pickett, 2008;
q Emerald Group Publishing Limited Manaktola and Jauhari, 2007). The resulting rise in environmentalism among consumers
0263-4503
DOI 10.1108/02634501111153674 (Montoro et al., 2006; Wustenhagen and Bilharz, 2006) is driving businesses to realise
that they are members of the wider community and need to pave the way for corporate Environmentally
environmentalism (Banerjee et al., 1995). friendly products
Shrewd business firms today view green developments as market opportunities
rather than simply regulations to be complied with (Pickett-Baker and Ozaki, 2008;
Polonsky and Rosenberger, 2001; Taghian and DSouza, 2008). While consumers
environmental concerns have moved into mainstream marketing, it is useful from a
marketing perspective to investigate how consumers make informed choices about 453
green products (DSouza et al., 2006). Social marketing literature views green consumer
behaviour as a form of ethically oriented consumer behaviour that is motivated not
only by consumers own personal needs, but also by their concern for the welfare of
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society in general (Diamantopoulos et al., 2003; Osterhus, 1997; Pelton et al., 1993).
While many studies investigate the various aspects of environmental marketing
(Kilbourne and Pickett, 2008; Laroche et al., 2001; Manaktola and Jauhari, 2007; Polonsky,
1994), the market is now experiencing a renewed interest in ecologically oriented issues
with a more pervasive focus on the consumer marketplace (Diamantopoulos et al., 2003;
DSouza et al., 2006). These include increased standardisation in environmental
regulations and government initiative packages and programmes such as the Australian
Governments Energy-efficient homes package and the Smart grid, smart city national
energy-efficiency initiative (Australian Government, n.d.). In addition, extensive media
coverage of environmental problems, disasters and initiatives (e.g. An Inconvenient
Truth, film documentary presented by Al Gore) promotes and increases awareness of
global warming fears (Shabecoff, 2001, 2003).
The majority of recent research published on environmental marketing segments
are limited to a Euro-American context (Coddington, 1990; Karna et al., 2003;
Schlegelmilch et al., 1996; Wustenhagen and Bilharz, 2006), with the exception of a few
notable studies investigating the effects of environmental marketing in an Australian
context (Banerjee et al., 1995; Phau and Ong, 2007; Taghian and DSouza, 2005, 2008).
This large, albeit predominantly Westernised, body of research paves the way for
numerous new concepts and models that deal with environmental marketing.
The next logical step is to expand these concepts universally to evaluate the
differences that may exist between cultures, especially when dealing with consumer
behaviour in an environmentally conscious setting. For example, criticism surrounds
Australian businesses, working professionals, experts and academics who blindly
espouse concepts developed in cultures different from their own, while having very
little understanding of how or if these concepts can be generalised or if they have the
potential to be suited to Australian consumers (Baker and Sinkula, 2005; Banerjee et al.,
2003; Chamorro et al., 2007).
For example, in examining the dimensions of cultural variability, many
Euro-American countries and cultures appear to adhere strictly to a chain of
command, which is reflected in the high power-distance levels, as well as exemplifying
high levels of individuality. European countries or cultures such as Greece and
Portugal have stronger uncertainty-avoidance levels, whereas Germany and France
are distinguished through weaker uncertainty avoidance, implying more risk aversion
and the tendency to avoid confrontation and uncertainty (Carbaugh, 2005; Hester and
Englin, 1997). In addition, Euro-American societies are likely to embrace long-term
devotion to traditional and forward-thinking values, meaning that any sort of change
would take longer to implement (Hofstede, 1980), thus contributing to the stringent
MIP and lengthy facilitation process of government initiatives and regulations pertaining to
environmental issues. However, given the fact that the Euro-American Union contains
29,5 nations at both extremes of these cultural dimensions, depending on the nature and
severity of the issues discussed, it may be potentially difficult to generalise or even
ascertain the cultural technicalities and pressures that contribute to any outcome.
On the other hand, Australian citizens are characterised by low levels of
454 uncertainty avoidance, a high level of individuality and lower than average
power-distance levels (Hofstede, 1980); this indicates greater equality between societal
levels, including government, organisations and even within families, as well as an
orientation that reinforces cooperative interaction across power levels and creates a
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more stable cultural environment. Therefore, the character of Australians contributes


to the smooth cooperation of corporate, public and governmental groups with regard to
environmental issues such as sustainability performance and the minimisation of
carbon ecological footprints.
Until recently, the literature provided little understanding of the antecedents and
consequences of attitudes towards green products for Australian consumers and
businesses (DSouza et al., 2006). Another omission from the findings of most studies is
the lack of product category specificity, and failure to address or compare specific
types of environmentally friendly products (e.g. processed honey). As a result, there is
currently an imbalance between the growing use of environmentally friendly products
in the marketplace and the limited research attention focused on this category of
product alternatives (Taghian and DSouza, 2005). This additional knowledge can help
businesses design their marketing procedures and improve the perceived fit between
traditional products and those of an ecological nature.
To revisit consumers willingness to purchase environmentally friendly products in
Australia, this study empirically tests a conceptual model. First, it investigates the
correlation of the three antecedents derived from the literature, which are:
(1) ecoliteracy;
(2) interpersonal influence; and
(3) value dimensions consisting of collectivism and individualism, against the
dependent variable of consumer environmental attitudes (CEA).

Second, it investigates the relationship between CEA and consumers willingness to


buy environmentally friendly products (WTB-EFP). The studys third objective is to
investigate the moderating effect of perceived product necessity on the relationship
between CEA and WTB-EFP. The following sections review the related theory,
develop the research hypotheses, describe the methodology of the study to test the
hypotheses, report the results and discuss the implications of the findings.

Relevant literature
Social and psychographic information about consumers has received much attention
within the context of environmental marketing (Laroche et al., 2001; McCarty and
Shrum, 1994; Ottman, 1993). Socio-psychographic information includes values, level of
education in a specific area, interpersonal influence, opinions and attitudes. One of the
more significant papers looking at consumers psychographic information is that of
McCarty and Shrum (1994), who used a list of values scale proposed by Kahle (1996) in
order to measure a number of variables to link them with recycling behaviour.
Many authors feel that these variables have the ability to predict certain behaviours, Environmentally
and as such most studies conducted within environmental marketing have examined friendly products
these, more than psychographic information (Banerjee et al., 2003; Laroche et al., 1996;
Roberts and Bacon, 1997).
A consumers environmental attitudes and behaviour have been documented as a
complex, yet vital concept required to address the profile of the ecologically conscious
consumer (Roberts and Bacon, 1997). Several studies, namely those by Roberts (1996), 455
Roberts and Bacon (1997) and Stern et al. (1993), have examined a collaboration of
demographic and psychographic dimensions associated with environmental attitudes
and behaviour. Previous studies (Amyx et al., 1994; Kinnear et al., 1974; McCarty and
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Shrum, 1994) have established an apparent correlation between favourable attitudes


towards environmentally friendly products and positive purchase decisions. Equally,
negative attitudes will dissuade consumers, resulting in a non-purchase decision
(McCarty and Shrum, 1994).
According to Meneses and Palacio (2006), the major difference between sustainers
and non-sustainers is the degree of ecological concern. With respect to attitudes toward
environmentally friendly products, the terms importance and inconvenience are
most extensively examined and referred to in the green marketing literature
(Amyx et al., 1994; Kinnear et al., 1974; Van Liere and Dunlap, 1981).
Amyx et al. (1994) defined perceived importance with respect to the environment
as the degree to which one expresses concern about ecological issues. In other words,
importance is simply confined to whether consumers view environmentally
compatible behaviours as important to themselves (self-interest) or to society as a
whole. For example, organic foods and energy-efficient appliances are environmentally
friendly products that consumers are willing to purchase, simply because these
products are believed by consumers to appeal directly to their self-interest while at the
same time promoting environmental benefits (Ginsberg and Bloom, 2004). On the other
hand, the term inconvenience refers to how inconvenient it is perceived by the
individual to behave in an ecologically favourable fashion (Roberts and Bacon, 1997).
For example, a person may feel that recycling is important for the long-term benefit of
the society, but he or she may also feel that it is personally inconvenient. Similarly, a
consumer may know that single-serving aseptically packaged juices or puddings will
harm the environment, but still buy them because they are convenient.
As for previous studies (Kinnear et al., 1974; McCarty and Shrum, 1994; Roberts and
Bacon, 1997), the majority concluded that the main reason for consumers failure to
respond to environmental concerns seems largely to be due to negative perceptions of
their contribution. This directly implies the concept of low self-efficacy and the notion of
perceived consumer effectiveness of the degree to which an individual feels he or she can
make a difference in improving the quality of the environment (Antil, 1978; Berger and
Corbin, 1992; Ellen et al., 1991). Therefore, it is plausible to assume that an individuals
attitude towards the severity of ecological problems or pertaining to the environment in
general may influence his or her willingness to purchase environmentally friendly
products.

Ecoliteracy
Environmental knowledge evolves in two forms: one is that consumers have to be
educated to understand the general impact of the product on the environment,
MIP and the other is consumer knowledge of the product itself being produced in an
29,5 environmentally friendly way (DSouza et al., 2006). According to Laroche et al. (1996),
an individuals knowledge about the environment plays a multifaceted role in
influencing his or her behaviour; that is, it provides the subject with knowledge about
action strategies and issues and helps shape attitudes and intentions through the belief
system. In addition, this leads to the practical aspects of the knowledge variable as it
456 outlines the important leverage points whereby marketers and agencies can influence
pro-environmental behaviour.
Most consumers would like to make rational choices in situations concerning the
purchase of environmentally friendly products, thus they would want enough
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information to be fully aware of and knowledgeable about environmental problems and


issues in order to form an opinionative or attitudinal view in order to choose according to
their intentions. As Laroche et al. (2001) pointed out, the education of the consumer is
seen as an appropriate method for increasing perceived convenience and establishing
credibility in terms of being environmentally friendly. This is referred to as ecoliteracy,
which is used to measure the respondents ability to identify or define a number of
ecologically related symbols, concepts and behaviours. It has been found to be correlated
with some attitudes and behaviour toward the environment (Laroche et al., 1996).

Interpersonal influence
Interpersonal influence primarily consists of the impact of acting to persuade, convince
or influence others for the purpose of having a specific effect. An important
determinant of an individuals behaviour is the influence of others (Bearden et al.,
1989). According to social cognitive theory, the process of interpersonal influence
advocates a bilateral-directional interaction that also occurs between environmental
and personal characteristics (Bandura, 1977, 1986, 1989). As part of this process, social
influences and physical structures within the environment develop and modify human
expectations, beliefs and cognitive competencies. In addition, humans evoke different
reactions from their social environment as a result of their physical characteristics,
such as age, size, race, sex and physical attractiveness.
The social influences of peers, family groups and influential bodies can convey
information and activate emotional reactions through factors such as modelling,
instruction and social persuasion (Bandura, 1986). Social environments such as family,
friends and peer networks (normative susceptibility) strongly influence buying
decisions that involve environmentally friendly products. Interpersonal processes and
relationships between opinion leaders and professionals are likely to have a substantial
impact on similar attitudes towards buying decisions (informational susceptibility).
Stafford and Cocanougher (1977) suggested that the lack of consideration for the effects
of interpersonal influence on the development of attitudes, norms, values, aspirations
and purchase behaviour may hinder the understanding of the essence of consumer
behaviour.

Value orientation
The term value has been defined as an enduring prescriptive or proscriptive belief
that a specific end state of existence or specific mode of conduct is preferred to an
opposite end state or mode of conduct for living ones life (Kahle, 1996; Rokeach, 1986).
The two most frequently studied values in research on environmentally friendly
products and ecological behaviour are collectivism and individualism (Hui and Environmentally
Triandis, 1986; McCarty and Shrum, 1994; Triandis, 1989, 1993). friendly products
Individualism in cultures implies loose ties (Hui and Triandis, 1986; Markus and
Kitayama, 1990; Triandis, 1989). Each individual has expectations to look after oneself
or ones immediate family but no one else. Personal gratification, which concerns the
need for a sense of accomplishment, social recognition and to enjoy the finer things in
life (Ang et al., 2001), is the cornerstone of individualism. The individualistic consumer 457
who values personal gratification is not very conducive to environmental friendliness.
On the other hand, collectivism ignores personal gratification but implies cooperation,
helpfulness and consideration towards the goals of the group that are relative to the
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individual (Crane, 2000; Laroche et al., 2001; McCarty and Shrum, 1994). A collectivist
is likely to forgo individual motivations for the good of the group. McCarty and Shrum
(1994) and Triandis (1993) conclude that collectivist people tend to be more
environmentally friendly, while individualistic people tend to be more environmentally
unfriendly. Therefore, consumers who value personal gratification will have a
less-favourable attitude towards the environment, and vice versa.

Perceived product necessity


Two product categories are examined; these are luxury and necessity items. Luxury
items tend to have a degree of exclusivity, and are thus usually more expensive
(e.g. higher monetary risk) than necessities (Sharma et al., 1995). Moreover, the risk of a
bad purchase and the hedonistic value of luxury products are characteristics of a
complex task (e.g. purchase decisions become more elaborate, important and time
consuming), such as purchasing luxury products (Solomon, 2006). On the contrary,
necessity items tend to represent commonly owned products, and as such signify a
lower monetary risk and hedonistic value, and involve less complexity in terms of
decision making.
When a product is perceived as a necessity, it is expected that consumers attitudes
towards the environment should play a relatively minor role in affecting purchase
behaviour, or in this case, the willingness to buy environmentally friendly products.
On the other hand, it is likely that consumers attitudes towards the environment in
relation to items that are dispensable should have a more substantial impact on purchase
behaviour (Sharma et al., 1995; Soloman, 1996). On logical grounds, it could be expected
that personal preferences and desires (a product necessity) would counteract the more
altruistic and non-self-centred motives contained in the ideal attitudinal view.

Theoretical underpinnings and hypotheses development


As Figure 1 shows, this study seeks to fulfil the objectives summarised in the research
model. The model presents CEA as the focal construct and relates it to other
social-psychological constructs; that is, ecoliteracy (H1), interpersonal influence (H2)
and value orientation (H3). CEA predicts a causal relationship with WTB-EFP (H4).
The expectation is that this key theoretical linkage is not uniformly strong and must be
qualified by pertinent moderating circumstances. The model postulates a single
moderating variable; the expectation is that CEA will have an especially strong effect
on WTB-EFP, and is perceived as relatively non-necessary versus bare necessities
(H5). The following sections discuss the theoretical underpinnings behind each
hypothesis.
MIP Ecoliteracy
29,5 H1
Attitudes toward H4 Willingness to buy
Interpersonal H2 environmentally environmentally friendly
influence friendly products products

458 Value
H3
orientation H5

Figure 1.
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Proposed research model Perceived product necessity

Social cognitive theory


Social cognitive theory defines human behaviour as a triadic, dynamic and reciprocal
interaction of personal factors, behaviour and the environment (Bandura, 1977, 1986,
1989). The theory suggests that the dynamic interplay of personal, behavioural and
environmental influences uniquely determines human functioning (an individuals
behaviour). Furthermore, people are both products and producers of their environment
(Bandura, 1977). A persons behaviour influences the aspects of the environment to
which they are exposed, and in turn that environment modifies the persons behaviour.
For example, the role of product knowledge or education (information derived
from the environment) that affects a purchase decision (purchase evaluation) is of
primary importance to consumers (Diamantopoulos et al., 2003; Wiser et al., 1999;
Zarnikau, 2003).
A persons behaviour can affect the way in which he or she experiences the
environment through selective attention. Based on learned human preferences and
competencies, individuals select who they interact with and the activities in which they
participate from a vast range of possibilities. Therefore, behaviour influences which of
the many potential environmental influences come into play, and which forms they
take. In turn, the environment partly influences the development and activation of
ones behaviour (Bandura, 1989).
Based on this, the theory advocates that consumers environmental knowledge or
ecoliteracy (Laroche et al., 1996, 2001), interpersonal influence (Bearden et al., 1989)
and value orientation (McCarty and Shrum, 1994; Triandis, 1993) towards the
ecological environment will play a multifaceted role in influencing CEA and behaviour.
As such, the theory formulates the following hypotheses:
H1. Consumers ecoliteracy correlates positively with attitudes toward the
environment.
H2. High interpersonal influence positively correlates with attitudes that are
environmentally friendly. That is, consumers who are more open to opinions
of norms will tend to conform or comply with the expectations of others.
H3. Collectivism relates positively with attitudes toward the environment. That is,
consumers with a collectivistic background will reveal more altruistic
tendencies than those from an individualistic background.
Theory of reasoned action Environmentally
Ajzen and Fishbein (1980) proposed that a persons behaviour is determined by his friendly products
intention to perform the behaviour and that this intention is, in turn, a function of his
attitude toward the behaviour and his subjective norm. Moreover, the subject of
perceived behavioural control is noted as an element of this theory, suggesting that
individuals who believe they lack the necessary resources or opportunities to perform
a particular behaviour are unlikely to form strong behavioural intentions 459
(e.g. motivation for action), despite the fact that their attitude and subjective norms
may still be favourable.
The concept of self-efficacy beliefs is the ability to influence an individuals thought
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patterns and emotional reactions (Ajzen and Fishbein, 1975, 1980; Bandura, 1977). For
example, high self-efficacy helps create feelings of serenity in approaching difficult
tasks and activities. Therefore, unless the consumer believes that his or her actions will
have the desired consequences, he or she has little incentive or motivation to engage in
those actions. As such, the theory formulates the following hypothesis:
H4. Consumers with favourable versus unfavourable attitudes toward their
environment, or the green phenomenon in general, are more likely to buy
environmentally friendly products.

Self-image congruity theory


Sirgy (1982) observes that a consumers level of satisfaction or dissatisfaction is not only
an evaluative function of the consumers expectation and performance evaluation, but is
also an evaluative function of the consumers self-image and product image congruity.
For example, the term actual self refers to how a person perceives him- or herself, and
ideal self refers to how a person presents him- or herself to others (Rosenberg, 1979).
First, positive self-image congruity occurs in a state of positive self-congruity
(a low discrepancy between ones actual self-image and the product image), and a state
of positive ideal self-congruity (a low discrepancy between ones ideal self-image and
the product image). This implies that the product image matches ones actual
self-image, as well as the ideal self-image (Sirgy, 1985). This situation results in high
consumer satisfaction in that by purchasing or identifying him- or herself with this
product, the consumer reaches an emotional state that enhances his or her self-esteem
motive and reinforces his or her self-consistency motive.
Second, a positive self-image incongruity condition takes place when there is a
state of negative self-congruity (a high discrepancy between ones actual self-image
and the product image), but a state of positive ideal self-congruity (a low discrepancy
between ones ideal self-image and the product image). In this situation, the individual
may be motivated to purchase the product but his or her satisfaction level would be
moderate (Sirgy, 1985). While the purchase would enhance ones self-esteem motive,
a discrepancy exists because the self-esteem motive would conflict with ones
self-consistency motive. As such, the theory formulates the following hypothesis:
H5. The perceived necessity of the ecological product moderates the influence
of consumer attitudes towards the environment on consumer willingness
to buy environmentally friendly products (e.g. H4). Specifically, the effect of
favourable attitudes on the willingness to buy environmentally friendly
products should be relatively stronger for unnecessary products.
MIP Method
29,5 Data collection
A convenience sample comprising first-, second- and third-year undergraduate
business students from a large multinational university in Australia was collected.
A total of 600 survey forms, initially cleared by the universitys ethics committee, were
distributed in a number of lectures. The researcher explained the procedure to the
460 respondents in the lecture hall and the respondents took about 15 minutes to complete
the forms. A screening question was included in the survey form to ensure that only
responses from Australian citizens were taken into account. Although the results of
convenience sampling in general may limit the generalisability or representativeness
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of the findings, there is evidence to suggest that the usage of student samples is reliable
for such studies, as previous studies have been proven to generate reliable research
findings (Aaker and Keller, 1990; DelVecchio, 2000; Yavas, 1994).

Survey instrument
The questionnaire comprised five sections of established scales and a section on
demographic information. Section A consisted of items measuring consumer values
orientation of collectivism and individualism adapted from Laroche et al. (2001) and
McCarty and Shrum (1994), and a consumer interpersonal influence scale adapted from
Bearden et al. (1989). The 12 items reflected two correlated dimensions of susceptibility to
interpersonal influence, namely normative and informational influence. Section B
consisted of items measuring CEA. The scales were adapted from Laroche et al. (2001),
McCarty and Shrum (1994) and Roberts (1996), and included a variety of topics related to
the environment, such as the severity of environmental problems, the importance of being
environmentally friendly, the level of responsibility of corporations and the inconvenience
of being environmentally friendly. The questions also implied a variety of personal and
societal issues. Section C consisted of a modified version of Sharma et al.s (1995) scale of
perceived product necessity. The section measured a range of 15 products differing in
their level of necessity. Section D replicated Sharma et al.s (1995) methodology and was
adapted for the purchasing of environmentally friendly products. The section measured
the willingness to buy an environmentally friendly alternative of each of the 15 products
listed in the previous section (Section C). Section E adapted Laroche et al.s (2001) work in
measuring ecoliteracy the respondents knowledge of the environment through
nine environmentally related questions, each worth one mark. The respondents answers
indicated how much they knew about environmental issues. The total score achieved by
each of the respondents was rated as 1-3 (very un-ecoliterate), 4-6 (fairly ecoliterate) and
7-9 (very ecoliterate). All the responses were measured on a seven-point Likert scale, with
1 strongly disagree and 7 strongly agree.

Analysis and results


Sample
Responses from non-Australians and incomplete survey forms were discarded, resulting
in a useable sample of 256 Australian individuals (a response rate of 43 per cent). The
sample comprised 112 males and 144 females. The majority of the respondents were
aged between 18 and 24 years (82.4 per cent), and 131 respondents were in their first year
of university, with 61 per cent enrolled in business studies. Most respondents
(59.8 per cent) had an annual income of less than AUD10,000.
Reliability Environmentally
The CEA scale was first factor analysed using principal component analysis and friendly products
varimax rotation to test for its uni-dimensionality. The result for Bartletts test of
sphericity was 0.000 and the KMO value 0.82, meeting the assumption for factorability
(Coakes and Steed, 2003). A high reliable alpha coefficient of 0.84 was recorded and is
comparable with the reliabilities reported in Laroche et al. (2001). The remaining
reliabilities for the various scales are: normative susceptibility (0.89), informational 461
susceptibility (0.66), collectivism (0.81) and individualism (0.66). These values support
the acceptance of high reliability (Nunnally, 1987). The Appendix provides all the
loadings for each of these constructs.
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Hypotheses testing
The results for the Pearson correlation between ecoliteracy and CEA are statistically
significant and positive (r 0.188, p , 0.05), which indicates that individuals with
high ecoliteracy are more likely to form favourable attitudes toward environmentally
friendly products. The findings support H1. The correlation between normative
susceptibility and CEA is significantly negative (r 2 0.341, p , 0.05), while the
correlation of informational susceptibility and CEA is not significant (r 2 0.021,
p . 0.05). The findings partially support H2. Finally, a significant correlation exists
between both collectivism and CEA (r 0.191, p , 0.05) and individualism and CEA
(r 2 0.120, p , 0.05). Thus, the findings support H3. These results mirror those of
Aaker and Bagozzi (1982), Roberts (1995), Zarnikau (2003) and Zimmer et al. (1994).
Informational susceptibility, normative susceptibility and individualism are individual
constructs proven either to have a negative effect or to be non-significant predictors of
attitudes toward the environment. The results and conclusions of the correlation
matrix are based mutually on one- and two-tailed tests, as both methods confirmed
similar correlation ratings. Table I shows the Pearson correlation analysis for the
relationship between the constructs.
The study includes linear regression analysis to test the relationship between CEA
and WTB-EFP. Despite the low R 2 value, the regression model is statistically
significant (R 2 value of 0.12). Table II provides the results of the linear regression
analysis. This finding confirms the hypothesis that consumers with favourable
attitudes towards the environment are more likely to buy environmentally
friendly products, supporting H4. The results reflect those of previous studies by

Regression statistics
Multiple R 0.421
R2 0.177
Adjusted R 2 0.161
SE 0.81045
Observations 256
Coefficients SE t-stat. p-value
Ecoliteracy 0.169 0.077 2.915 0.004
Informational susceptibility 0.063 0.041 1.042 0.299
Normative susceptibility 2 0.345 0.041 25.661 0.000 Table I.
Collectivistic values 0.126 0.072 1.980 0.049 Multiple regression of
Individualistic values 2 0.043 0.047 20.677 0.499 antecedents against CEA
MIP Kinnear et al. (1974), McCarty and Shrum (1994), Roberts (1996), Roberts and Bacon
29,5 (1997) and Van Liere and Dunlap (1981).
In order to test H5, hierarchical moderated regression analysis was undertaken to
analyse the moderation effects of perceived product necessity on the relationship
between the CEA and WTB constructs. Table III provides means and standard
deviations for the 15 products tested. The table orders these products in terms of their
462 necessity to maintaining daily life. It also provides the regression results testing the
moderating effect of product necessity. Separate regression analyses were conducted
for all 15 products by including three terms in the hierarchical moderated regressions:
product necessity, CEA and the interaction between these variables. The WTB-EFP
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alternative of each individual product is the dependent variable for all the analyses.
Moderation is indicated when the interaction term between attitudes towards the
environment and perceived necessity is statistically significant.
Table IV reflects that the standardized regression parameters for only two
non-necessity interaction terms (e.g. soft drink and jewelry) are statistically
significant, thereby supporting H5. Specifically, the effect of favourable attitudes
on purchase behaviour is stronger for products perceived as unnecessary in contrast to
products perceived as necessary. Thus, the findings marginally support H5.

Regression statistics
Table II. R2 0.124
Linear regression of CEA Adjusted R 2 0.120
against willingness to SE 0.92857
buy environmentally Observations 256
friendly products Coefficients SE t-stat. p-value
(WTB-EFP) CEA 0.352 0.066 5.945 0.000

Product Meana SD

Greeting cards 2.0 1.43


Honey 2.4 1.50
Soft drink 2.4 4.99
Jewelry 2.6 1.65
Shopping bags 2.8 1.54
Hairstyling/colouring product 3.1 1.91
Cosmetic 3.5 2.01
Shampoo 4.6 1.95
Mobile phone 4.9 1.76
Kitchen utensil 5.5 1.31
Personal computer 5.6 1.41
T-shirt 5.9 1.25
Refrigerator 6.1 1.18
Table III. Medicine 6.1 1.39
Means and standard Toilet roll 6.3 1.21
deviations for product
necessity scores Note: aLarger numbers indicate greater perceived product necessity
Environmentally
Product Necessity (N) Attitudes (Att) N Att R2
friendly products
Greeting cards 0.132a 0.232 20.024
0.036b 0.000 0.930 0.068c
Honey 0.274 0.282 20.380 0.160
0.000 0.000 0.172
Soft drink 0.171 2 0.035 1.88 0.056 463
0.006 0.586 0.009
Jewelry 0.199 0.309 21.005 0.169
0.002 0.000 0.001
Shopping bags 2 0.164 0.348 0.076 0.125
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0.009 0.000 0.794


Hairstyling/coloring product 0.217 0.179 20.361 0.081
0.001 0.005 0.282
Cosmetic 0.209 0.306 20.378 0.141
0.001 0.000 0.261
Shampoo 0.142 0.185 20.673 0.062
0.024 0.003 0.158
Mobile phone 0.363 0.170 20.646 0.168
0.000 0.004 0.112
Kitchen utensil 0.217 0.296 20.850 0.143
0.000 0.000 0.116
Personal computer 0.158 0.216 20.261 0.072
0.011 0.000 0.601
T-shirt 0.020 0.244 20.356 0.061
0.755 0.000 0.532
Refrigerator 0.092 0.309 20.633 0.108
0.143 0.000 0.261
Medicine 2 0.010 0.215 20.647 0.050
0.871 0.001 0.270
Toilet roll 2 0.085 0.271 0.628 0.086 Table IV.
0.174 0.000 0.233 Moderated regression
results for product
Notes: aStandardized regression parameter; bp-level; cR 2 (N Att) necessity scores

Discussion and concluding comments


This is one of the pioneering studies in defining and examining the nature of
ecologically conscious consumers and the purchase behaviour of environmentally
friendly products in an Australian context. This research and its theoretical basis hold
valuable implications for the growing literature on attitude formation and consumers
purchase behaviour tendencies, which form an important individual-level construct for
better understanding green marketing dynamics.
This study makes three main findings. First, regarding the antecedent relationships,
the CEA construct shows a positive correlation between ecoliteracy and collectivistic
values, but a negative correlation between normative susceptibility, interpersonal
influence and individualistic tendencies. These results correspond to a number of
findings in previous studies. Laroche et al. (1996) suggested that an individuals
knowledge about the environment plays a multifaceted role in influencing his or her
behaviour. Furthermore, Banduras (1977, 1986, 1989) social cognitive theory supports
the findings, which reflect the triadic relationship between personal, environmental and
behavioural factors. The findings show that the level of ecoliteracy significantly
MIP correlates with a consumers attitudes and behavioural tendencies (Aaker and Bagozzi,
29,5 1982; Laroche et al., 1996, 2001; Roberts and Bacon, 1997).
The findings reiterate that if a consumer has knowledge about the environment and
pollution promulgation, the causes and impacts upon the environment, then their
awareness levels will increase and, thus, will potentially promote a favourable attitude
towards green products (Laroche et al., 1996). Therefore, it is crucial for both marketing
464 and public relations practitioners to disseminate information or educate consumers
about the environment either through communication initiatives such as environmental
support campaigns, symbols or claims on labels (DSouza et al., 2006) as to the types of
environmental benefits the product has to offer, in order for consumers to form more
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favourable opinions of the firms products, specifically their environmentally friendly


products. However, it is important to note that if a consumer has increased literacy about
environmental issues it does not necessarily mean that he or she will make a green
purchase. A green purchase intention, arguably, depends on a consumers altruism and
the way in which he or she can be motivated. With regard to a consumers susceptibility
to interpersonal influence and attitudes toward the environment, the inverse findings
deviate from studies such as Bearden et al. (1989) and Stafford and Cocanougher (1977).
This means that interpersonal influence from peers and norms will not have a significant
effect on a consumers attitude towards the environment.
This may create possible barriers and additional challenges for corporate and
public policy makers and governmental groups with regard to environmental issues,
especially compulsions for firms to conform to environmental legislation and green
pressures exerted on them by environmental lobbies, whilst formulating communication
strategies and programmes designed to reach out and induce favourable environmental
attitudes and behaviours. In terms of consumer value orientation, McCarty and Shrum
(1994) and Triandis (1993) propose that collectivist consumers tend to be friendlier
toward the environment, while individualistic consumers tend to be more unfriendly.
The results of this study also reflect the literature, indicating that it is important to
customise strategies to reach out to the appropriate segment of consumers.
Second, the relationship between CEA and WTB is significant and positive,
indicating that consumers with favourable environmental attitudes are more willing to
buy environmentally friendly products. This echoes previous results in other studies
such as McCarty and Shrum (1994), Meneses and Palacio (2006) and Roberts and Bacon
(1997). Underpinned by Ajzen and Fishbeins (1980) theory of reasoned action, the above
findings can help formulate effective communication initiatives and appeals leading to
other increasing eco-marketing opportunities. The adoption and enhancement of
various environmentally conscious product strategies and eco-design-related concepts,
such as environmentally friendly product packaging, design, quality, features, labelling
and positioning, can encourage the purchase of environmentally friendly products
(DSouza et al., 2006; Pujari and Wright, 1995; Taghian and DSouza, 2005). Other
researchers suggest the construction of green brands and the promotion of green
attributes within a brand (Hartmann et al., 2005; Hoek et al., 2002; Oyewole, 2001;
Polonsky, 1995). This may improve a brands position relative to other brands
and further heighten consumers perception of that brand. By doing so, the brand
justifies the higher pricing strategy for environmentally friendly products.
Third, the results show that perceived product necessity moderates the relationship
between CEA and WTB-EFP. The findings observe a significant difference in
consumers willingness to buy environmentally friendly products when they have to Environmentally
evaluate high- and low-necessity products. Furthermore, if consumers consider the friendly products
environmentally friendly products as non-essential, they will tend to purchase the
products. In addition, the self-image congruity theory (Rosenberg, 1979; Sirgy, 1982)
supports this finding, which advocates the relationship between ones self-image and
ones image of a product or service. This correlates with the notion that product choice
is based on consistency with the actual self, while other purchases help to reach the 465
standard set by the ideal self, thus exemplifying the concept of the looking-glass self
or the view of taking the role of the other.
This research connects these traits and consumer behaviour (e.g. consumer
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purchase evaluation) to assist marketers with the formulation of suitable marketing


strategies for environmentally friendly products (Cummings, 2008; Ginsberg and Bloom,
2004; Polonsky and Rosenberger, 2001). For instance, the use of sponsorships and
endorsements can contribute to improving green marketing communication initiatives.
Moreover, the portrayal of product consumption in social situations and the use of
prominent or attractive spokespersons endorsing environmentally friendly products or a
brand with a green image are important considerations (Branthwaite, 2002; Goldsmith
et al., 2000; Grace and OCass, 2002). Therefore, businesses should select endorsers or
spokespeople to support their products not purely because of their status or popularity,
but basing the decision on their ability to bond with the target audience and the product
image. For example, Planet Arks National Tree Day in July included celebrity-like
supporters such as Olivia Newton-John, Kelly Preston and Jamie Durie, who contributed
their time to support this annual event (Billington, 2008; Planet Ark, n.d.). In addition, other
high-profile celebrities such as Oprah Winfrey, Robert Redford, Orlando Bloom, Leonardo
DiCaprio and James Taylor have volunteered as international eco-endorsers. These
internationally renowned individuals have contributed to the environment by making
donations, holding press conferences and talk shows and supporting various
environmental campaigns such as the Stop Global Warming movement (Tilden, 2007).
The study has a number of limitations, which are areas to consider for further
research. First, the lack of examination of socio-demographic effects in the model tested
is a potential shortcoming of the interpretation of the findings. Demographically,
environmentally friendly Australian consumers and shoppers were found to be
diversely spread along all the income ranges, age brackets, education levels and various
household sizes; however, on average, they tended to be older, have a higher income and
be more educated (Straughan and Roberts, 1999; Ha, 2008; Palmer, 2008). Nonetheless,
socio-demographic statistics can be seen to fluctuate quite considerably with respect to
the individual consumer group segment, especially in terms of generation gaps
(Moisander and Pesonen, 2002; Cohen, 2007). For example, the leading-edge boomers
(age 55-64) and younger-cohort boomers (age 45-54) are identified as ultra-green
individuals who are the driving force of environmentalism (Volsky et al., 1999); on the
other hand, GenX (age 25-39) and potentially GenY (age 18-24) consumers are segmented
as emerging green consumers and potential future market participants (DSouza, 2004).
Although true that most findings surrounding the impact of consumers demographic
characteristics on their environmentally conscious behaviour are contradictory (Roberts,
1996), it is clear that they exert a significant influence. However, most authors agree that
the predictive power of demographic and socioeconomic variables is generally low
compared with knowledge, values and/or attitudes in explaining ecologically friendly
MIP behaviour (Banerjee and McKeage, 1994; Chan, 1999; Webster, 1975). Therefore, this
29,5 would imply the notion that a typical green consumer continues to be elusive, mainly
because of the complexity or problematic nature of socio-demographics in explaining
environmental attitudes and behaviour; in other words, green consumers are hard to
define demographically and the focus on greenness extends throughout the population
to varying degrees (Diamantopoulos et al., 2003; Ottman, 1993).
466 Second, basing the study on a cross-sectional perspective limits the information on
the long-term impact of the variables and factors reviewed. Suchard and Polonsky
(1991) advise that a probability of significant difference occurs between studies that
are of a longitudinal nature and those of a cross-sectional nature. In addition to this,
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further research comparing the peculiarities and idiosyncrasies of the Australian


market with similar research conducted in European and American contexts should be
considered.
The antecedent constructs in this study are not exhaustive. Other variables that
relate to attitude formation, such as personal norms (Ajzen and Fishbein, 1969; East,
1991) and past experience (Bentler and Speckart, 1979; Bagozzi, 1981) are areas to
consider for future research. Besides product necessity, other factors that may
moderate the effect of attitudinal tendencies, such as product involvement, pricing
concepts and perceived quality, are worthy of examination. An apparent weakness of
this study is the narrow measurement of environmentally oriented behaviours. The
employment of a much wider range of behavioural indicators should produce
additional or more reliable findings. The area of green electronics and similar products
or services is still a grey area that is slowly growing in acceptance in both the social
marketing literature and with pragmatic consumption. By applying the conceptual
model developed in this study to other research settings, such as the consumer and/or
the business electronics and services industry, can potentially serve as an avenue for
future research. This is because these settings specifics warrant further investigation
in order for businesses to evaluate comparably the effect on more traditional products
and services, as well as to discern their advantages and disadvantages.

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Further reading
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MIP Appendix
29,5
Items Factor loadings

Interpersonal influence
472 Normative (a 0.89)
When buying products, I generally purchase those brands that I think others will
approve of 0.82
It is important that others like the products and brands I buy 0.82
If other people can see me using a product, I often purchase the brand they expect
Downloaded by Guru Gobind Singh Indraprastha University At 22:50 20 February 2017 (PT)

me to buy 0.79
I like to know what brands and products make good impressions on others 0.79
I achieve a sense of belonging by purchasing the same products and brands that
others buy 0.77
I often identify with other people by purchasing the same products and brands
they purchase 0.76
If I want to be like someone, I often try to buy the brands that they buy 0.66
I rarely purchase the latest fashion styles until I am sure my friends approve of
them 0.64
Informational (a 0.67)
If I have little experience with a product, I often ask my friends about the product 0.85
I frequently gather information from friends or family about a product before I buy 0.83
Value orientation
Collectivism (a 0.82)
Being a cooperative participant in group activities 0.87
Working hard for the goals of your group 0.86
Readily helping others in need of help 0.74
Individualism (a 0.66)
Self-respect 0.77
Self-fulfilment 0.76
Independence 0.73
CEA (a 0.84)
Our country has so many trees that there is no need to recycle paper 0.82
Since we live in such a large country, any pollution we create is easily spread out and
therefore is no concern to me 0.80
With so much water in this country, I do not see why people are worried about leaky
faucets and flushing toilets 0.77
Trying to control pollution is much more trouble than it is worth 0.73
Recycling is too much trouble 0.69
There is nothing the average citizen can do to help stop environmental pollution 0.68
In Australia, we have so much electricity that we do not have to worry about
Table AI. conservation 0.61

Corresponding author
Ian Phau can be contacted at: ian.phau@cbs.curtin.edu.au

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