Determinants of consumers’ purchase intentions of electronic vehicles

Authors

  • Nombulelo DILOTSOTLHE University of South Africa

DOI:

https://doi.org/10.38142/ijesss.v3i3.333

Keywords:

Functional values, emotional values, social values, conditional values, epistemic values, theory of consumption values

Abstract

Electric vehicles are being introduced as a sustainable innovative solution, aimed at eliminating the negative environmental effects by having the ability to reduce carbon emissions, air pollution and fossil fuel dependency. It is therefore important for management, marketers and government to find innovative ways to promote and increase the adoption rate of these vehicles. This paper aims to make use of the theory of consumption values to predict the purchase intention for plug-in hybrid electric vehicles (PHEVs) in Gauteng, South Africa. Using structured questionnaire and convenience sampling, data was collected from 286 respondents. Online data collection was used due to the Coronavirus pandemic restrictions, which limited the researchers’ abilities to explain items in the questionnaire. A partial least squares structural equation modelling was performed to test the proposed hypotheses. Results indicate that functional, social, emotional and conditional values are positively related to customers’ purchase intention of PHEVs, while the epistemic value is not positively related. This study will provide useful information to electric vehicle manufacturers, car dealerships, marketing managers and the government in developing strategies aimed at encouraging the adoption of PHEVs.

Downloads

Download data is not yet available.

References

Abdeen, A., Rajah, E., & Gaur, S. 2016. Consumers ' beliefs about firm’s CSR initiatives and their purchase behaviour. Marketing Intelligence & Planning, 34(1), 2–18.

Abdulrazak, S. & Quoquab, F. 2018. Exploring consumers’ motivations for sustainable consumption: A self-deterministic approach. Journal of International Consumer Marketing, 30(1), 14–28.

Agu, G.A., Anyanwu, A.V., Okpara, G.S., Ogwo, E.O., & Ibrahim, S. 2020. Consumption boycott as a remedy to herders-farmers rift in Nigeria: What factors drive consumers’ willingness to participate? AMA Marketing & Public Policy Conference, 30, 217–220.

Awuni, J.A. & Du, J. 2016. Sustainable consumption in Chinese cities: Green purchasing intentions of young adults based on the theory of consumption values. Sustainable Development, 24(2), 124–135.

Ayetor, G.K., Quansah, D.A., & Adjei, E.A. 2020. Towards zero vehicle emissions in Africa: A case study of Ghana. Energy Policy. 143, 111606.

Bagozzi, R. & Yi, J. 1988. On the evaluation of structural equation models”. Journal of the Academy of Marketing Science, 16(2), 74–94.

Barros, V. & Pádua, H. 2019. Can green taxation trigger plug-in hybrid electric vehicle acquisition? EuroMed Journal of Business, 14(2), 168–186.

Biswas, A. & Roy, M. 2015. Green products: An exploratory study on the consumer behaviour in emerging economies of the East. Journal of Cleaner Production, 87, 463–468.

Clark, R., Haytko, D., Hermans, C., & Simmers, C. 2019. Social influence on green consumerism: Country and gender comparisons between China and the United States. Journal of International Consumer Marketing, 31(3), 177–190.

Demeulenaere, X. 2019. The use of automotive fleets to support the diffusion of Alternative Fuel Vehicles: A Rapid Evidence Assessment of barriers and decision mechanisms. Research in Transportation Economics, 76, 100738.

Elmustapha, H., Hoppe, T., & Bressers, H. 2018. Consumer renewable energy technology adoption decision-making; comparing models on perceived attributes and attitudinal constructs in the case of solar water heaters in Lebanon. Journal of Cleaner Production. 172, 347–357.

Fornell, C. & Larcker, D. F. 1981. Structural equation models with unobservable variables and measurement error: Algebra and statistics. Journal of Marketing Research, XVIII(August), 382–388.

Gkorezis, P. 2015. Supervisor support and pro-environmental behavior: the mediating role of LMX. Management Decision, 53(5), 1045–1060.

Gohoungodji, P., N'Dri, A. B., Latulippe, J. M., Matos, A.L.B. (2020). What is stopping the automotive industry from going green? A systematic review of barriers to green innovation in the automotive industry. Journal of Cleaner Production. 277, 123524.

Gonçalves, H.M., Lourenço, T.F., & Silva, G.M. 2016. Green buying behavior and the theory of consumption values: A fuzzy-set approach. Journal of Business Research, 69(4), 1484–1491.

GreenCape. 2019. Electric Vehicles: Market Intelligence Report 2019, Cape Town: GreenCape.

Hair, J.F., Black, W.C., Babin, B.J., & Anderson, R.E. 2014. Multivariate Data Analysis. Pearson Education Limited: Edinbugh.

Hair, J.F., Risher, J.J., Sarstedt, M., & Ringle, C.M. 2019. When to use and how to report the results of PLS-SEM”, European Business Review, 31(1), 2–24.

Hamilton, B. & Terblanche-Smit, M. 2018. Consumer intention to purchase green vehicles in the South African market: A theory of planned behaviour perspective. South African Journal of Business Management, 49(1).

Han, L., Wang, S., Zhao, D., & Li, J. 2017. The intention to adopt electric vehicles: Driven by functional and non-functional values. Transportation Research Part A: Policy and Practice, 103, 185–197.

Henseler, J., Ringle, C.M., & Sarstedt, M. 2015. A new criterion for assessing discriminant validity in variance-based structural equation modeling. Journal of the Academy of Marketing Science, 43(1), 115–135.

Horng, J., Liu, C., Chou, S., Tsai, C., & Hu, D. 2018. Does corporate image really enhance consumer’s behavioural intentions? Asia Pacific Journal of Tourism Research, 23(10), 1008–1020.

Hung, M., Chang, C., & Shaw, D. 2019. Individuals’ intentions to mitigate air pollution: Vehicles, household appliances, and religious practices. Journal of cleaner production, 566–577.

Johnstone, M. & Hooper, S. 2016. Social influence and green consumption behaviour: A need for greater government involvement. Journal of Marketing Management, 32(9/10), 827–855.

Joshi, Y. & Rahman, Z. 2016. Predictors of young consumer’s green purchase behaviour. Management of Environmental Quality, 27(4), 452–472.

Khan, S.N. & Mohsin, M. 2017. The power of emotional value: Exploring the effects of values on green product consumer choice behaviour. Journal of Cleaner Production, 150, 65–74.

Knibb, J.N. & Taylor, K. 2017. Living “light green”: the limits and lived experiences of green motherhood. Qualitative Market Research: An International Journal.

Kushwah, S., Dhir, A., & Sagar, M. 2019. Ethical consumption intentions and choice behavior towards organic food: Moderation role of buying and environmental concerns. Journal of Cleaner Production, 236, 1–12.

Lallanilla, M. 2019. Greenhouse Gases: Causes, Sources and Environmental Effects. Available at: https://www.livescience.com/37821-greenhouse-gases.html (accessed on 20 March 2022).

Lee, K. 2017. How emotional, politically civil and local aspects affect young adults’ sustainable consumption in transition economies. Consumption Markets & Culture, 20(3), 258–274.

Lin, P.C. & Huang, Y.H. 2012. The influence factors on choice behaviour regarding green products based on the theory of consumption values. Journal of Cleaner Production, 22, 11–18.

Lorek, S. & Fuchs, D. 2013. Strong sustainable consumption governance precondition for de-growth path? Journal of Cleaner Production, 38, 36–43

Kapoor, K.K. & Dwivedi, Y.K. 2020. Sustainable consumption from the consumer’s perspective: Antecedents of solar innovation adoption. Resources, Conservation and Recycling, 152: 104501.

Li, W., Long, R., Chen, H., & Geng, J. 2017. A review of factors influencing consumer intentions to adopt battery electric vehicles. Renewable and Sustainable Energy Reviews, 78, 318–328.

Malik, Y., Prakash, N., & Kapoor, A. 2018. Green Transport: A Way Forward for Environmental Sustainability. In Research in Political Sociology. 25. Emerald Publishing Limited, 163–180.

MarketLine, 2019. Global Hybrid & Electric Cars. [Online] Available at: https://0-advantage-marketline-com.ujlink.uj.ac.za/Analysis/ViewasPDF/global-hybrid-electric-cars-80161. Accessed on 11.01.2022

Markle, B.R. 2019. An energetic view of millennial climate variability and a role for Greenhouse Gases in Dansgaard-Oeschger Events. AGUFM, 2019: C13B-03.

Moeletsi, M.E. (2019). Electric cars: their carbon implications and adoption in South Africa, Masters Dissertation, Nelson Mandela University, South Africa.

Peiro-Signes, A., Segarra-Ona, M., 2018. How past decisions affect future behavior on eco-innovation : an empirical study. Business Strategy and the Environment. 27 (8), 1233-1244.

Pillay, N.S., Brent, A.C., & Musango, J.K. 2019. Affordability of battery electric vehicles based on disposable income and the impact on provincial residential electricity requirements in South Africa. Energy, 171, 1077–1087.

Poullikkas, A. 2015. Sustainable options for electric vehicle technologies. Renewable and Sustainable Energy Reviews, 41, 1277–1287.

Rahnama, H. & Rajabpour, S. 2017. Identifying effective factors on consumers’ choice behavior toward green products: The case of Tehran, the capital of Iran. Environmental Science and Pollution Research, 24(1), 911–925.

Rezvani, Z., Jansson, J., & Bodin, J. 2015. Advances in consumer electric vehicle adoption research: A review and research agenda. Transportation Research Part D, 34, 122–136.

Sarkar, J.G., Sarkar, A., & Yadav, R. 2019. Brand it green: young consumers’ brand attitudes and purchase intentions toward green brand advertising appeals. Young Consumers.

Sefora, R.I. (2017) Factors that influence young consumer’s acceptance of electronic cars in South Africa, Masters Dissertation, University of the Witwatersrand, South Africa.

Shabbir Husain, R.V. & Varshney, S. 2019. Is Current Way of Promoting Sustainability Sustainable? Journal of Nonprofit & Public Sector Marketing, 31(1), 84–113.

Sheth, J.N., Newman, B.I., & Gross, B.L. 1991. Why we buy what we buy: A theory of consumption values. Journal of Business Research, 22(2), 157–170.

Singh, G. & Pandey, N. 2018. The determinants of green packaging that influence buyers’ willingness to pay a price premium. Australasian Marketing Journal (AMJ), 26(3), 221–230.

Suki, N.M. 2016. Consumer environmental concern and green product purchase in Malaysia: Structural effects of consumption values. Journal of Cleaner Production, 132, 204–214.

Suki, N.M. & Suki, N.M. 2015. Consumption values and consumer environmental concern regarding green products, International Journal of Sustainable Development & World Ecology, 22(3), 269–278.

The Korea Herald. 2020. S. Korea changes subsidy scheme for eco-friendly autos. http://www.koreaherald.com/view.php?ud=20200120000674

United Nations Environment Programme. 2019. Emissions Gap Report 2019 [online]. Available at: https://wedocs.unep.org/bitstream/handle/20.500.11822/30797/EGR2019 .pdf?sequence=1&isAllowed=y Accessed on 11.01.2022.

Wang, Y., Li, Y., Zhang, J., & Su, X. 2019. How impacting factors affect Chinese green purchasing behavior based on fuzzy cognitive maps. Journal of Cleaner Production, 240, 1–10.

Wen, T.C. & Noor, N.A.M. 2015. What affects Malaysian consumers’ intention to purchase hybrid car? Asian Social Science, 11(26), 52–63.

Wiid, J. & Diggines, C. 2017. Marketing research. Juta.

Wu, S.-I. & Chen, J.-Y. 2014. A model of green consumption behaviour constructed by the theory of planned behaviour. International Journal of Marketing Studies, 6(5), 119–132.

Zailani, S., Iranmanesh, M., Hyun, S.S., & Ali, M.H. 2019. Applying the theory of consumption values to explain drivers’ willingness to pay for biofuels. Sustainability, 11(3), 1–13.

Downloads

Published

2022-11-30