cross-culture comparison of buying behavior in...
TRANSCRIPT
Cross-Culture Comparison of Buying Behavior in Recycle Packing
and Eco-friendly Products
Abstract:
This study is an attempt to establish the relationship between variables that affect
consumers' buying behavior for green and eco-friendly products and it also
identifies the various factors hindering them from buying the green/ecofriendly
products. An attempt is been made to examine those factors which affect the buying
behaviors of the consumers towards the green products'. For this study
Convenience sampling technique is been used with the sample size of 200 numbers
across four cities of India. The primary data was collected with the help of
structured opened and most of the questions were open ended questions. In the
current study the stated objectives, the hypotheses formulated were tested with the
descriptive statistics and the chi square test. The results of the study exhibited that
there is significant relationship between the variables (education qualification)
which affects consumers buying behavior towards the green products. Similarly, it
was also identified the factors which affects consumers' buying behavior on
purchasing decisions of green products. Hence it is a road map for the marketers to
cater to the needs of customers by implementing better marketing mix strategies to
reach out to the customers.
Key Words: Consumer, Behavior, Green Products, Marketing
1Dr.M.RAJA
Assistant Professor and Head
P.G Research Department of Commerce
Bharathidasan University Constituent College,
Kumulur, Lalgudi, Tiruchirapalli
2Dr.Kiran.G
Associate professor
Welingkar Institute of Management
3Dr. Appasaba.L.V
Assistant Professor
Department of MBA
VTU -Belagavi
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Cross-Culture Comparison of Buying Behavior in Recycle Packing
and Eco-friendly Products
1. Introduction
The main aim of this project is to compare the cross-cultural buying behavior
on eco-friendly and recycling products, and to improve the attitude among the same
from china and India compare to other developed countries. Global warming is
increasing across the globe day by day. Green marketing and recyclable products
gained its importance to contribute to better environment. The topic also a trending in
the 21st century. The consumers are the one who plays a major role in identifying the
demand of these products. The consumer‟s attitude among the millennial are mostly
described here. In this project, the consumer role will be useful to use for marketers,
to know both consumer and the market. By other means, it is important that
millennial in China and India have to aware of their decision towards eco-friendly and
recyclable products, which plays an important role to make a better future. Moreover,
the project is described based on Maslow framework by focusing on consumer
attitude, buying intention and awareness towards green and recyclable products.
2. Review of literature
A literature review is a content written by various authors in their research and
empirical papers, doctoral thesis and has the companies published reports which are to
be consider as the important points of existing knowledge including relevant findings,
as well as theoretical aspects and methodological contributions made on a topic
related to cross cultural behavior of customers towards the green products in India.
For this research more than 20 articles were reviewed to develop a strong base for the
study which helped in formulating the research question, objectives and hypothesis.
Even though this researcher mainly based on the primary data but still the secondary
data available in research papers, articles, books, magazines, newspapers, survey
reports of different organizations etc. helped to develop the strong base and also
establish the research gap. This referring also helped in bringing about coherence in
overall understanding of the area of study. The detailed discussion of a few relevant
literatures reviewed is presented here.
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2.1. Green Marketing and Green Consumer
There is a growing worldwide awareness of environmental issue over the past
decade; it typically becomes important for companies to dedicate on sustainability.
According to the American Marketing Association (AMA), green marketing, also
known as environmental marketing or sustainable marketing, has be defined as the
marketing and development of the products that are designed to minimize the harmful
upon our ecosystem. It is an effort that company aim to advocate environmental
protection by planning, promoting, pricing and distributing products in a sustainable
way. (Polonsky, 2011) As Polonsky indicated in his paper, green marketing includes
all activities while generating any exchanges to human in order to meet their demands
with low impact on environment. Equally important, he stated that it is more effective
to define green marketing as combining a transformation that benefits individuals,
community and the earth. (2011) In the long run, the goal is to not only sell eco-
friendly products, but also actively inspire consumers to support and conserve the
environment. (Stern and Ander, 2008)
In The Green Marketing Manifesto (2007), Grant writes, “We need marketing
that does good rather than marketing just looks good.” He points out the theory of 5
I‟s of green marketing (Grant, 2007), which guides marketers to develop green
strategies more efficiently.
Intuitive – Make people enjoy the sustainable lifestyle as common sense.
Integrative – Combine economic and technological development with social and
ecological effects.
Innovative – The trend of g-commerce by creating new products and lifestyles.
Inviting – Create and promote the culture of environment-oriented lifestyle in a
positive way.
Informed – Put more effort on education and participation thanks to the
convenience of getting information.
Thus, it demonstrates that the success of green marketing strategies mainly relies on
how company influence consumers.
A number of literatures have demonstrated that the consumers with strong
environmental concern their different characteristics, attitude and behavior. It is
widely acknowledged that green consumer is someone who support environmentally
safe programs and purchase nature-friendly products rather than general alternatives
(Boztepe, 2012). As Vermillion and Peart (2010) indicated in their studies, green
consumers unwilling to purchase a product only for ecosystem protection but also
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includes added benefits such as safety, health or in an affordable price (Vermillion
and Peart, 2010). Furthermore, they desire that companies put efforts on sustainable
practices include not only recycling or renewable energy (Montague and
Mukherjee, 2010), but also unethical human or animal experiments (Elkington,
1994). As we can see that an increasing number of people more conscious about
ecological protection leading to “green consumerism” (Eriksson, 2002). To conclude,
it reveals that choosing an appropriate message and communication channel is
absolutely essential for companies to reach the target customers.
2.2 Role of Culture in Consumer Attitude Study
Eco-friendly products have witnessed increasing acceptance and growth since
last decade. In view of Global Industry Analysts Inc., 2011, 2017, eventually the
overall worldwide market of green products is expected to value to be over $3.5
trillion (Sharma &Bagoria, 2012). A recent survey as shown that 36% of millennials
are inclined to buy green products (Rogers, 2013). According to Sharma and Bagoria
(2012), In India, 25% of consumers have expressed their intention to buy green
products, and around 28% are may be health conscious. The environmental concern in
developing countries is at a low level and the consumer‟s attitude, intention, and
behavior towards green alternatives are not always positive. It has also been noticed
that the awareness about ecological are very low in developing countries when
compared to developed countries.
In most of the developing countries, it is important to draw consumer‟s behavior and
attitude towards the eco-friendly positively, one way to do it is by influencing their
concern about environmental issues and perceived consumer effectiveness.
Various studies show that customers in entire world are inclined to buy products that
are rated as eco-friendly except little numbers. The consumer market for eco-friendly
products and services was estimated at US$230 billion in (2009) and it was predicted
to grow to US$845 billion by 2015 (Tolliver-Nigro, 2009). It became interesting to
examine, whether the economic shift to be green is because of consumers‟ demand or
due to the international pressure. Some scholars have stated that the motives of going
with “Green Marketing” are competitive pressure, market opportunities, social
responsibilities, and government pressure.
Dunlap and Robert (2002) defined Environmental concern as the belief to agree the
environmental problems and the bent to get them solved by supporting
environmentally friendly programs. Environmental concern leads to green marketing
and the production of green products which helps in improving environmental quality
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and customer satisfaction (Kumar et al., 2011). Previous studies show that
environmental concern leads to a higher intention to use green products (Uddin &
Khan, 2016). Environmental concern motivates a customer to get involved in a
buying behavior that assures individuals‟ and society‟s well-being, as the green
alternatives decrease the negative consequences on the nature (Kang & James,
2007). Research has found that environmental concern level is much higher in women
compare to men (Liu, Vedlitz, & Shi, 2014) due to the socialization theory factor
(Zelezny, Chua, & Aldrich, 2000). Studies related to the age factor have indicated
that younger people are more inclined towards environmental concern (Dietz, Stern,
&Guagnano, 1998) and the reason is very certain that values, such as education and
knowledge level, differ across generations (Kanagy, Ansari, Ghosh, &Webb, 1994).
In today‟s era, customers are more conscious regarding environmental deprivation
showing a concern for the society (Krajhanzl, 2010). As a result of ecological
consciousness, attitude towards environmental friendly goods and services is positive.
Consumers have shown favorable response to those businesses that have a concern
towards the environment (Joshi & Rahman, 2015). Due to the increase in awareness
about the environmental problems, the concern towards the environment has been
increased and people are willing to reduce their impact on the environment (Day
&Schoemaker, 2011).
2.3. Attitudes Towards Television
Social Learning Theory states that when humans are encouraged to learn a
particular behavior through observing a model, they would learn more easily
(Haroon, ulHaq, et al., 2015). According to Baran and Davis (2000), modeling or
imitation is “the primary, mechanical reproduction of behavior”. When a customer
perceives a model being honored for a certain behavior, the viewer will be more likely
to accomplish the behavior. Media can be used to present the model behavior to the
public which is expected to be imitated by the masses. According to Brown (2002),
media transform the thought process of the individuals. The viewer‟s mostly start
relying on the material shown to them on TV and form their views accordingly. Media
set the priorities of the viewers by emphasizing a particular topic and making it more
attractive for the viewers (Holbert, Kwak, & Shah, 2003). Different studies have
found a positive relationship between environmental concerns and exposure to the
pro-environment media content (Good, 2006). Brothers, Fortner, and Mayer (1991)
observed a strong positive relationship between the coverage of environmental issues
in television news and individual-level knowledge of ecological problems. A strong
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link was established between news coverage of environmental matters and people‟s
knowledge, concern, and attitude towards environmental issues.
3. Statement of Problem:
Today the consumption pattern of the customers has changed a lot from the
times and they are becoming more health conscious and not just that they are
exhibiting their social concern towards the society and environment. The scenario has
been changed from accepting whatever that is been offered by the marketers to the
customers demanding for the eco-friendly products. The buying behavior of the
customers towards opting for the green products has also evolved. Hence this study is
an attempt to understand the buying behavior of the customers towards the green
products and also to explore for the reasons for customers are not opting for the
green/eco-friendly products and recommend the marketers to work on those areas to
improve and attract the customers towards the purchasing of the green products which
will safeguard the environment for the future generation to come.
4. Objectives of the Study:
To understand the consumer buying behavior towards the green products
To know the factors affecting the consumer buying decision towards the green
products.
5. Hypothesis Testing:
Null Hypothesis -H0: There is no significant relationship between the education
qualification of the respondents and their awareness level towards the green products.
Alternate Hypothesis -H1: There is a significant relationship between the education
qualification of the respondents and their awareness level towards the green products.
6. Research Methodology:
The study is purely based on the quantitative research and the data collected from the
customers located in different cities of India including Bangalore, Mumbai, Delhi,
Jaipur etc.
6.1.Type Of Research: The current research is exploratory is nature as it attempts in
finding the various reasons, facts and logical reasons from the market with respect to
the attitude and behavior towards the green/eco-friendly products.
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6.2. Sampling Techniques: For the current study convenience judgmental sampling
is been adopted and the sample are collected purely based on the discretion of the
researcher.
6.3. Sample Unit: The sampling unit consists of customers who buy green products
and also those who don‟t buy green products.
6.4.Sample Size: The sample size is being determined as 100 samples which is the
representation of the total population where the sample is been stratified from four
different cities including Bangalore, Mumbai, Delhi, Jaipur and 25 responses from
each city.
6.5. Sample Frame: The data for the current study is collected only from the four
cities.
6.6. Data Type: The study includes both the Primary & secondary data where the
initial part of the study consists of the data collected through the secondary data and
the analysis and the interpretation chapters are been designed with the help of the data
collected through the primary data technique by administering the structured
questionnaire.
6.7. Sources of Data: The data for the study is collected from two different sources
which includes Primary data and Secondary Data.
6.7.1. Primary Data: It is a data that is collected from outside market by
administering the structured questionnaire through google surveys, survey monkey
and also through direct email and most of the questions in the questionnaire were
close ended questions with 5 point Likert scale techniques.
6.7.2. Secondary Data: Secondary data was collected with the digital database by
using the various scholarly sites like J-gate, Ebscho.com
6.8. Tests And Tools: In order to analysis the data collected from the market there are
different statistical tools and techniques were used which includes the frequency
distribution tables, relevant charts and graphs, descriptive statistics and also the chi
square test to test the hypothesis.
6.9. Software Used: SPSS 21 versions were used to analyze the data collected.
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7. Data Analysis and Interpretation
7.1 Respondents Response towards do they buy green products
7.1.1. Descriptive Statistics Showing the Key Reasons Which Is Stooping
Customers to Go For the Green/Eco-Friendly Products
7.1.1. Descriptive Statistics Showing the Key Reasons Which Is Stooping
Customers to Go For the Green/Eco-Friendly Products
Descriptive Statistics
Statements N Minimum Maximum Mean Rank
Green products are very expensive 16 4 5 4.63 1
Lack of awareness about green products 16 4 5 4.63 2
Labels of green products are not informative 16 3 5 4.13 3
Green products are not available in full range of variety 16 3 5 4.13 4
not easily available in shopping outlets or grocery stores 16 2 5 3.75 5
Products are not promoted properly 16 1 4 2.75 6
Lack of confidence in the performance of green products 16 2 4 2.63 7
Valid N (listwise) 16
The first and the foremost reasons what stopping the customers from buying and
using the green products is it is very expensive followed by lack of awareness about it
and the third ke reason being labels of the green products are not informative
followed by Green products are not available in full range of variety, green products
are not easily available in shopping outlets or grocery stores and so on.
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7.1.2. Respondents Response towards green products marketing Approach-Ads
conveying message about health and environment safety benefits of green
products generate awareness and create your interests
Respondents Opinion No.of.Respondents Percentage (%)
Disagree 08 08
Can't Say 14 14
Agree 58 58
Strongly Agree 20 20
Total 100 100
The above table and the graph clearly shows respondents response towards Ads
conveying message about health and environment safety benefits of green products
generate awareness and create the interests where majority of the respondents 58%
agree on this statement.
7.1.3. Respondents Response towards green products marketing approach
Green labels (a symbol that shows a product is less damaging to the
environment) explaining the greenness of the product will motivate you to
buy them.
Respondents Opinion No.of.Respondents Percentage (%)
Strongly Disagree 02 02
Disagree 10 10
Can't Say 22 22
Agree 60 60
Strongly Agree 06 06
Total 100 100
The above table. clearly shows respondents response towards Green labels (a
symbol that shows a product is less damaging to the environment) explaining the
greenness of the product will motivate them to buy where majority of the
respondents 60% agreed on this statement.
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7.1.4.Respondents Response towards green products marketing approach -
Using green themes as an ad for advertising green products are trustworthy.
Respondents Opinion No.of.Respondents Percentage (%)
Strongly Disagree 08 08
Disagree 26 26
Can't Say 06 06
Agree 50 50
Strongly Agree 10 10
Total 100 100
The above table clearly shows respondents response towards using green themes
as an ad for advertising green products are trustworthy where majority of the
respondents 50% agreed on this statement.
7.1.5. Respondents Response towards green products marketing approach -
Ads should provide how the product goes green.
Respondents Opinion No.of.Respondents Percentage (%)
Disagree 08 08
Can't Say 14 14
Agree 72 72
Strongly Agree 06 06
Total 100 100
The above table clearly shows respondents response towards Ads should provide
how the product goes green where majority of the respondents 72% agreed on this
statement and said that these things might influence them to go for the green
products.
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7.1.6. Respondents Response towards green products marketing approach -
Using educational marketing messages regarding greenness of the product on
the label will motivate you to buy them.
Respondents Opinion No.of.Respondents Percentage (%)
Disagree 10 10
Can't Say 16 16
Agree 56 56
Strongly Agree 18 18
Total 100 100
The above table clearly shows respondents response towards Ads should provide
how the product goes green where majority of the respondents 72% agreed on this
statement and said that these things might influence them to go for the green
products.
7.1.7. Respondents Response towards green products marketing approach -
The performance of the green products should also be given along while
advertising the green products.
Respondents Opinion No.of.Respondents Percentage (%)
Disagree 06 06
Can't Say 26 26
Agree 42 42
Strongly Agree 26 26
Total 100 100
The above table clearly shows respondents response towards The performance of
the green products should also be given along while advertising the green
products where majority of the respondents 42% agreed on this statement.
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7.1.8. Respondents Response towards green products marketing approach -I
would prefer to buy the product with green certifications.
Respondents Opinion No.of.Respondents Percentage (%)
Disagree 04 04
Can't Say 12 12
Agree 54 54
Strongly Agree 30 30
Total 100 100
The above table clearly shows respondents response towards The performance of
the green products should also be given along while advertising the green
products where majority of the respondents 42% agreed on this statement.
7.1.9. Respondents Response towards green products marketing approach -I
prefer to buy the green product that tells how it is environment friendly.
Respondents Opinion No.of.Respondents Percentage (%)
Can't Say 02 02
Agree 30 30
Strongly Agree 68 68
Total 100 100
The above table clearly shows respondents response towards they prefer to buy
the green product that tells how it is environment friendly where majority of the
respondents 68% strongly agreed on this statement.
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7.1.10 Respondents Response towards green products marketing approach -
It is more attractive if the green products display separately from the normal
products in the supermarket.
Respondents Opinion No.of.Respondents Percentage (%)
Strongly Disagree 04 04
Disagree 06 06
Can't Say 10 10
Agree 58 58
Strongly Agree 22 22
Total 100 100
The above table clearly shows respondents response towards It is more attractive
if the green products display separately from the normal products in the
supermarket where majority of the respondents 58% agreed on this statement.
7.1.11. Respondents Response towards green products marketing approach -
You prefer to buy the green products which produced by well-known
company
Respondents Opinion No.of.Respondents Percentage (%)
Can't Say 02 02
Agree 64 64
Strongly Agree 34 34
Total 100 100
The above table and the graph clearly shows respondents response towards prefer
to buy the green products which produced by well-known company where
majority of the respondents 64% agreed on this statement.
7.1.12. Gender Classification
Gender Classification
Respondents Opinion No.of.Respondents Percentage (%)
Male 76 76
Female 24 24
Total 100 100
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The above table shows the gender classification of the respondents of this study
where majority of the respondents of the study are male constituting of 76%
followed by 24% of the female respondents.
7.1.13. Age Classification
Age Classification
Respondents Opinion No.of.Respondents Percentage (%)
18-21 years 32 32
22-29 Years 32 32
30-37 years 16 16
38-45 Years 20 20
Total 100 100
The above table shows the age classification of the respondents of this study
where majority of the respondents of the study fall under the age category of 18-
21 years and 22-29 years with 32% followed by 20% of them fall under the age
category of 38-45 years.
7.1.14. Occupation of the Respondents
Occupation of the Respondents
Respondents Opinion No.of.Respondents Percentage (%)
Employed 56 56
Self-Employed 10 10
Unemployed 02 02
Student 32 32
Total 100 100
The above table shows the occupation of the respondents of this study where
majority of the respondents 56% are employed followed by 32% of them are
students.
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7.1.15. Education Qualification of the Respondents
Education Qualification of the Respondents
Respondents Opinion No.of.Respondents Percentage (%)
Less than high School 02 02
High School 08 08
Bachelor's Degree 48 48
Masters Degree 40 40
Doctorate 02 02
Total 100 100
The above table shows the qualification of the respondents of this study where
majority of the respondents 48% of them have completed their Bachelor‟s degree
followed by 40% of the respondents are with the Master degree qualification.
7.1.16. Cross tabulation between the education qualification and the
awareness level of the respondents towards the green product
Please specify your age * level of awareness of green products
Please specify your age Level Of Awareness Of Green Products
Total Very Low Low Moderate High Very High
18-21 years 2 10 10 4 6 32
22-29 Years 2 14 6 8 2 32
30-37 years 0 2 14 0 0 16
38-45 Years 4 8 2 6 0 20
Total 8 34 32 18 8 100
Chi-Square Tests
Value df Asymp. Sig. (2-sided)
(Pearson- Chi-Square) 42.179a 12 .000
(Likelihood-Ratio) 43.652 12 .000
(Linear by Linear Association) 2.902 1 .088
(N of Valid- Cases) 100
The above test was executed to see is there any relationship between the
education qualification of the respondents and their level of awareness towards the
green/eco-friendly products and with the p value of .000n which is less than the table
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value of .05 it was inferred that there is a significant relationship between the
qualification of the respondents on their awareness level towards the green products.
Hence the null hypothesis is been rejected and alternative hypothesis is been accepted.
8. Major Findings of the Study
The study constituted majority of the male respondents and large portion of the
respondents fall under the age group of 18-21 who are the students and also employed
working in different government and private organization. The sample also had
majority of the respondents have completed their Bachelor‟s degree. As the sample
includes large number of educated class majority of the were aware of the green
products and also they do buy the green products. Since there is trend which is
developing to use the natural, herbal and organic cosmetics over the chemical one the
same was depicted even in the study that majority of them buy the beauty products
under the green products category, people are aware of the green products through the
knowledge they have developed through different media especially newspaper which
is very effective and informative in nature. It was collective opinion from the
respondent‟s packaging is the very effective marketing mix strategy which would
influence them to buy the green products. People do pay attention for the eco-friendly
related information which is broadcasted in different media so the marketers need to
focus on this aspect. The first and the foremost reasons what stopping the customers
from buying and using the green products is it is very expensive followed by lack of
awareness about it and the third reason being labels of the green products are not
informative followed by Green products are not available in full range of variety,
green products are not easily available in shopping outlets or grocery stores and so on.
The respondents feel that the marketers should focus on the ads which conveys the
message about health and environment safety benefits of green products, explaining
the environment implication of usage green product and the Advertisement s should
provide how the product goes green, the performance of the green products over the
non-green products and inform how it is environment friendly
9. Conclusion:
It is advised that the customers should go for purchasing of the green products
even though the price of the products seems to be higher with the great cause of
saving the nature and mother earth. The customers should take a pledge of avoiding
the plastic bags and start using the products which are reusable and recyclable. The
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cost of the green products is high because of the reason that it involves the green
technology and green process to manufacture it. Consumers are advised to use the
resources in an optimistic way and reduce the wastage and recycle and reuse of e –
wastes. It is advised that customers should buy eco labeled green products for their
consumption like star labeled electronic & home appliances, green icon labeled
products such as papers, garments and other products. The Retailers should come out
with more number of organic stores for selling of green products. Because consumers
have expressed that what is stopping them from buying the green products and non-
availability of organic stores is also a reason for it. It was also understood from the
study that the consumers feel that quality of green products is better than the non-
green products so the retailers should take this into consideration and ensure that the
green products are available in their store. The marketers need to design their
advertisements effectively to communicate the advantages and the benefits of the
green products by using different medias which are effective including the social
media platforms. Marketers can bring in new innovative strategies to induce the
customers to opt for the green products. Various promotion activities can be
introduced to give kind of incentive to the customers to buy the green products. At the
study resulted in the awareness level of customers towards the green product is
relatively good from this study the researcher has found that all the three and many be
there is a requirement for the marketers to implement their strategy in terms of green
product should be made best to attract the customers through their marketing mix
strategies including product, place, price and also the promotion activities. At the
same time, it is the responsibility of every individual to contribute to the social cause
of saving the nature and mother earth hence, one can ignore the importance of green
product and the marketing practices.
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