Environmentally Friendly Business Practices among Low-Income Households in Rural Peninsular Malaysia

Abdullah Al Mamun, Kanniga Malar Mohan, Noorshella Che Nawi, Muhammad Mehedi Masud, Rajennd Muniady and Noor Raihani Zainol
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Abdullah Al Mamun: UCSI Graduate Business School, Faculty of Business and Management, UCSI University, Cheras, Kuala Lumpur 56000, Malaysia
Kanniga Malar Mohan: Faculty of Entrepreneurship and Business, Universiti Malaysia Kelantan, Kota Bharu 16100, Malaysia
Noorshella Che Nawi: Faculty of Entrepreneurship and Business, Universiti Malaysia Kelantan, Kota Bharu 16100, Malaysia
Muhammad Mehedi Masud: Faculty of Economics and Administration, University of Malaya, Kuala Lumpur 50603, Malaysia
Rajennd Muniady: Department of Business Studies, New Era University College, Kajang 43000, Malaysia
Noor Raihani Zainol: Faculty of Entrepreneurship and Business, Universiti Malaysia Kelantan, Kota Bharu 16100, Malaysia

Sustainability, 2020, vol. 12, issue 18, 1-18

Abstract: The purpose of the study is to predict the intention and behavior towards environmentally friendly businesses (EFB) among low-income families in rural Peninsular Malaysia within the framework of the theory of planned behavior (TPB). Data were collected from 420 low-income household heads through structured interviews. The results reveal a significant impact of environmental concern (EC) and eco-literacy (EL) on the attitude towards the environment (ATE); normative belief (NB) and motivation (MO) on subjective norms (SUN); and skills and knowledge (SK) on perceived behavioral control (PBC). Additionally, there was a positive and statistically significant effect of ATE, SUN, and PBC on the intention towards environmentally friendly business (ITEFB) and the ITEFB on environmentally friendly business adoption behavior (EFBAB). This study provides empirical evidence with a proposed research model to address the environmental issues through improving the socioeconomic condition of low-earner families. The Malaysian government and relevant agencies should focus on improving EL, EC, MO towards EFB, and the SK regarding EFB among the low-income households.

Keywords: green business; low-income households; rural areas; theory of planned behavior; Malaysia (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2020
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