Green products and corporate strategy : an empirical investigation

Purpose – The purpose of the study is to examine the influence of multiple factors on the green purchase intention of customers in Australia.

Design/methodology/approach – A conceptual model is proposed and was subjected to empirical verification with the use of a survey of metropolitan and regional households in Victoria, Australia. The data were analyzed using both descriptive measures and exploratory factor analysis to identify and validate the items contributing to each component in the model. AMOS structural modeling was used to estimate the measure of respondents' overall perception of green products and their intention to purchase.

Findings – The results indicate that customers' corporate perception with respect to companies placing higher priority on profitability than on reducing pollution and regulatory protection were the significant predictors of customers' negative overall perception toward green products. The only positive contribution to customers' perception was their past experience with the product. Other factors including the perception of green products, product labels, packaging, and product ingredients did not appear to influence customers' perception. The results also indicate that customers are not tolerant of lower quality and higher prices of green products.

Research limitations/implications – The knowledge of the overall perception formation about green products and its predictors provides management with the facility to identify and implement strategies that may better influence the change of attitude by customers. Corporations can also benefit from the identification of the types of information required to enable management to influence this process of perception formation.

Originality/value – The present findings contributes to an understanding of the antecedents of green purchasing and highlight that green customers rely more on personal experience with the product than the information provided by the marketer.

Public environmental consumerism : recycling behaviour and its impact on intentions to purchase green products

Recycling behaviour has been used as indicators of green behavior since research has indicated that there is a positive relationship between environmental concern and ecologically responsible behavior such as recycling. The objective of this study is to find out if there is a difference between recyclers and non-recyclers and heavy and light recyclers with respect to their willingness to pay more for green products despite the perception of green products being of a lower quality in comparison to alternative products. The answers to this will help us to better understand environmentally conscious consumerism of both groups of consumers i.e. the light and heavy recyclers. The results indicate that willingness to pay somewhat higher prices and accepting somewhat lower quality of green products appears to be, generally, independent of recycling and non-recycling, as well as heavy and light recycling behaviour. It also addresses the implications of these findings for business managers.

Intelligent consumer purchase intention prediction system for green products

In this paper the authors model green behaviour by predicting consumers’ purchase intention using Kohonen’s LVQ technique. It is envisaged that such a model may facilitate better understanding of green consumers’ market segments. The model employs cognitive, affective, and situational attributes of consumers to predict their purchase intention. The model can, potentially, provide a more direct method for companies to gauge consumers’ intention to purchase green products. The results indicate that consumers are more strongly resistant to lower quality than higher prices of green products in comparison to other alternative non-green products.

Consumers' perceptions and attitudes towards firms' green marketing initiatives: How do they influence green consumption?

This thesis examines green marketing and green consumption behaviours addressing limited understandings about how consumers interpret their green consumption behaviour in their everyday lives; what motivates people to purchase green products, and what barriers exist to this behaviour. Findings reveal that enhancing green consumption through green marketing depends on consumers' enthusiasm to engage in green practices and green behavioural influences. The research supports the need for qualitative research to provide rich insights into relationships between consumer behaviour, green marketing and green consumption and builds a stronger knowledge foundation by introducing social practice theory into the marketing discipline.

Examination of environmental beliefs and its impact on the influence of price, quality and demographic characteristics with respect to green intention

Research indicates that the environment has had a definite impact on consumer behaviour whereby suggesting to target consumers according to their environmental beliefs. This study investigated the consumers' green purchase behaviour using price and quality attributes as contributors to the formation of purchase intention. It attempts to construct a model that may facilitate the better understanding of green consumers' market segments through the use of an intelligent soft computing model. The model is designed to incorporate knowledge, beliefs, demographic profiles and situational variables. This potentially provides a more direct method for companies to gauge consumers' intention to purchase green products. The results showed strong preference for companies to place higher priority on reducing pollution than on increasing profitability. It highlighted different clusters that demonstrate various levels of the strength of intention to purchase and market segment profiles.

Green decisions : demographics and consumer understanding of environmental labels

This research examined the demographic profiles of Australian green consumers in relation to their satisfaction of environmental labelling. It examined consumers’ understanding of labelling and empirically investigated the association of demographic profile of consumers with their attitudes towards such labels. The results indicated that some of the demographic variables were significant, which is largely consistent with earlier findings by other researchers in this area. Label dissatisfaction was higher in the older and middle age respondents. However, some respondents disagreed that labels were accurate while commenting that labels were easy to understand. The key issue arising from the findings is that in order to provide perception of accuracy in labels, it is an option to use Type I or Type III labelling on products. These labels are, arguably, more credible because they are endorsed by third party labelling experts. This would come at a cost and for green products that use third party labelling, they will also have to bear in mind to keep the prices competitive.

Green marketing strategies

This chapter presents the fundamentals of “green” marketing by drawing on traditional marketing theory as well as researchfocused on green marketing context. It discusses five critical areas in green marketing. The first critical area stems from green marketingtheory and practice that examines the logic for reducing the environmental impact of value creation and exchange. The second criticalarea highlights green marketing strategy that focuses on achieving organizational goals in ways that can reduce or eliminate negativeimpacts on the natural environment. The third critical area examines the green marketing mix that accounts for green products, greendistribution, green pricing, and green promotion. By using traditional marketing concepts, the chapter identifies how the entiremarketing mix elements should consistently provide a complete green product offering. Green products and processes need to beresearched, designed, and manufactured to include environmentally safe ingredients and components. Products need to be strategicallypriced to reflect their green values, distributed in the green chain channels and displayed effectively to highlight their status, and accuratelycommunicated to consumers and stakeholders. The fourth critical area illustrates governance and control. It shows how theholistic transformation toward greening the organization requires organizational culture change to gain support within and outside thefirm to ensure environmental issues are appropriately considered. These can be assessed by using existing management mechanisms,such as environmental management systems and/or triple bottom line management, which ensure best practice and continuousimprovements to occur. Lastly, the chapter discusses the future of green marketing and the direction that businesses need to take if theyseek to be sustainable.

Understanding the genesis of green supply chain management: lessons from leading Brazilian companies

This work discusses the internal structuring processes of leading companies when adopting green supply chain management (GSCM) practices. A multiple case study approach was adopted as the research methodology, with four large Brazilian companies that are leaders in their market segments. The introduction of green products is a key step towards initiating concern for the environment among suppliers and customers. This study's results show the importance of having green teams, a dedicated functional area, and/or green jobs that support the discussion of environmental management among a business and beyond. The practical results of this study offer new insights into the behavior of companies that are adopting GSCM practices, thereby generating new evidence for the extension of GSCM theory. (C) 2014 Elsevier Ltd. All rights reserved.

Opportunities to enhance the purchase of environmentally preferable products : a report to the Illinois General Assembly.

State government purchases a wide array of goods and services, ranging from office supplies to motor vehicles to energy. While purchasing officials are working to get the maximum value out of each dollar they spend, products with reduced environmental impacts are becoming increasingly available in the marketplace to help state agencies meet the challenge of operating more efficiently. Known as environmentally preferable or "green," these products can save energy and water, reduce waste generation and improve the workplace environment. ... This report provides recommendations on steps Illinois state government can take to expand the purchase of products that have a reduced impact on human health and the environment, while maintaining fiscal responsibility. The report was prepared by the Interagency Working Group on Environmentally Preferable Purchasing, which was created by Governor Rod Blagojevich in response to House Resolution 797. The Working Group included representatives of the Capital Development Board; Department of Central Management Services; Department of Natural Resources, Department of Commerce and Economic Opportunity; Environmental Protection Agency; and Governor's Office of Management and Budget.

Report of the Illinois Green Government Coordinating Council.

The Illinois Green Government Coordinating Council promotes the incorporation of pollution prevention and resource conservation practices into government management and operations. The Council works with state agencies to reduce waste, improve energy efficiency, conserve water, increase recycling and reuse of materials, incorporate green building principles into new construction and renovation projects, and acquire and use environmentally friendly products.

Purchasing green transport and logistics services:implications for small business

Considering its strong environmental impact, logistics plays a critical role in green supply chain management. It provides strategic links in the supply chain and is an essential function in the delivery of green products to the consumer. There is a general consensus on the fact that more environmentally sustainable companies may be achieved only if transport and logistics activities also become greener. To achieve this objective, buyer companies need to incorporate green considerations in the purchasing of transport and logistics services. This appears particularly challenging for small and medium sized enterprises (SMEs) because of their traditional lack of managerial, organisational and financial resources that often result in failure to adopt an environmental perspective. In the extant literature, green purchasing has received increased attention over the past decade and the strategic importance of introducing green aspects into purchasing practices has been recognised. However, little has been written in relation to purchasing green transport and logistics services. The aim of this paper is to explore practices in the buying of green transport and logistics services and to derive implications for small buyer companies. The paper analyses how general environmental company ambitions and environmental purchasing practices are reflected when green transport and logistics services are purchased in three different European countries (Italy, Ireland and Sweden) using a multiple case study research approach. The results of the paper indicate that while the case companies show a relatively high concern for green issues at corporate level, a lower importance is attributed to green issues at the purchasing function level. When green concerns in the purchasing of transport and logistics services are analysed the level of importance decreases further. Thus, a conflicting attitude is evident between the overall corporate level and the purchasing of transport and logistics services specifically. This suggests that there is potential for improvement especially in the area of green collaboration in buyer and supplier relationships.

An expert model approach to assess the potential of non-wood forest products for forest owners

Mestrado em Engenharia Florestal e dos Recursos Naturais - Instituto Superior de Agronomia - UL

Developing a life-cycle costing analysis model for sustainability enhancement in road infrastructure project

With increasing pressure to provide environmentally responsible infrastructure products and services, stakeholders are putting significant foci on the early identification of financial viability and outcome of infrastructure projects. Traditionally, there has been an imbalance between sustainable measures and project budget. On one hand, the industry tends to employ the first-cost mentality and approach to developing infrastructure projects. On the other, environmental experts and technology innovators often push for the ultimately green products and systems without much of a concern for cost. This situation is being quickly changed as the industry is under pressure to continue to return profit, while better adapting to current and emerging global issues of sustainability. For the infrastructure sector to contribute to sustainable development, it will need to increase value and efficiency. Thus, there is a great need for tools that will enable decision makers evaluate competing initiatives and identify the most sustainable approaches to procuring infrastructure projects. In order to ensure that these objectives are achieved, the concept of life-cycle costing analysis (LCCA) will play significant roles in the economics of an infrastructure project. Recently, a few research initiatives have applied the LCCA models for road infrastructure that focused on the traditional economics of a project. There is little coverage of life-cycle costing as a method to evaluate the criteria and assess the economic implications of pursuing sustainability in road infrastructure projects. To rectify this problem, this paper reviews the theoretical basis of previous LCCA models before discussing their inability to determinate the sustainability indicators in road infrastructure project. It then introduces an on-going research aimed at developing a new model to integrate the various new cost elements based on the sustainability indicators with the traditional and proven LCCA approach. It is expected that the research will generate a working model for sustainability based life-cycle cost analysis.

Where are they now? Tracking the longitudinal evolution of environmental businesses from the 1990s

In 1991 Bennett published one of the first major publications on the concept of ecopreneurship, business opportunities resulting from the emerging environmental agenda of the late 1980s and early 1990s. Since then a body of literature has developed that explores the idea of the intersection of entrepreneurship with environmentally and socially responsible behaviour. Many of the business cases presented by Bennett represent early adopters of green products, services and emerging eco-markets. Given the current emphasis on the transformation of business practices towards a more sustainable paradigm it is timely to review these 94 early ecopreneurial examples and consider their status two decades on from the original publication. This paper explores the definitions of environmental and social enterprise, and considers the longitudinal survival of these companies and the emerging trends in consolidation and failure of the sampled companies.