Determinants of Green Perceived Value and Their Influence on Brand Loyalty: Perceptions of Chinese Consumers

Determinants of Green Perceived Value and Their Influence on Brand Loyalty: Perceptions of Chinese Consumers

Journal of Business and Policy Research

Vol. 11. No. 2., December 2016, Pages: 178 – 192

Determinants of Green Perceived Value and Their Influence on Brand Loyalty: Perceptions of Chinese Consumers

Jialing Lin, Antonio Lobo and Civilai Leckie

The objectives of this study are to investigate the factors that influence customer green perceived value (GPV) and also to test the relationship between GPV and brand loyalty in China. Based on the deontological and teleological framework, this study proposes that ethical responsibility, utilitarian environmental and warm glow of giving benefits enhance green perceived value. In turn, consumers’ perception of green value has positive impact on brand loyalty. This study employs structural equation modelling (SEM) to empirically test the hypotheses. The results show that customers’ green brand perceptions are positively related to green perceived value. In addition, the results indicate that green perceived value directly leads to brand loyalty and fully mediate the relationships between ethical responsibility, utilitarian environmental and warm glow of giving benefits and brand loyalty. Hence, if companies would like to increase customer green brand loyalty, they need to further create green perceived value. In particular, both deontological and teleological approaches need to be considered when creating customer green perceived value.

DOI : https://doi.org/10.21102/jbpr.2016.12.112.11