Influencing the Positive Impact of Consumer Characteristics on Green Purchasing Decisions: Moderating Role of Peer Influence in Indonesia

Imran Ahmad Shakir and Indrawati Indrawati ()
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Imran Ahmad Shakir: Telkom University
Indrawati Indrawati: Telkom University

A chapter in Proceedings of the 9th Global Conference on Business, Management and Entrepreneurship (GCBME 2024), 2025, pp 678-685 from Springer

Abstract: Abstract This study investigated consumers’ purchase decisions regarding green products in a fast-growing developing country, Indonesia. Drawing on the Theory of Planned Behavior (TPB) as the primary theoretical framework, the research extends the model by incorporating additional constructs such as environmental concerns, green perceived quality, green future estimation, and peer influence as a moderating variable. A quantitative technique was employed to collect data from a sample of (n = 316) young educated Indonesian consumers located on Java, the most populated island of Indonesia. The study utilized Smart partial least squares 4.0 (PLS) to analyze measurement and structural models. The empirical findings revealed that consumers’ environmental concern (EC), green perceived quality (GPQ), green willingness to purchase (GWP), green awareness of price (GAP), and green future estimation (GFE) positively influenced their green purchasing decisions (GPD). However, green perceived benefits (GPB) negatively influenced green purchasing decisions of green products. The study provides valuable insights for companies, marketers, and policymakers aiming to promote green products and green marketing initiatives. Suggestions include the development of green advertising, green branding, and eco-labels to inform consumers about eco-friendly products better.

Keywords: environmental concern; green awareness of price; green consumer; green perceived benefit; green purchase decision; green purchase estimation; perceived quality; green willingness to purchase; peer influence (search for similar items in EconPapers)
Date: 2025
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Persistent link: https://EconPapers.repec.org/RePEc:spr:advbcp:978-94-6463-817-2_79

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DOI: 10.2991/978-94-6463-817-2_79

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