sustainability

Article
Generation Y’s Sustainable Purchasing Intention of Green
Personal Care Products
Massoud Moslehpour 1,2, * , Panita Chaiyapruk 1 , Sahand Faez 3,4 and Wing-Keung Wong 5,6,7

1 Department of Business Administration, Asia University, Taichung City 41354, Taiwan;

[email protected]
2 Department of Management, California State University, San Bernardino, CA 92407, USA
3 Graduate Institute of International Politics, National Chung Hsing University, Taichung City 402, Taiwan;
[email protected]
4 Faculty of Economics, University of Mazandaran, Babolsar 4741613534, Iran
5 Department of Finance, Fintech & Blockchain Research Center, and Big Data Research Center, Asia University,
Taichung City 41354, Taiwan; [email protected]
6 Department of Medical Research, China Medical University Hospital, Taichung City 40447, Taiwan
7 Department of Economics and Finance, Hang Seng University of Hong Kong, Siu Lek Yuen,
Hong Kong 41354, China
* Correspondence: [email protected]

Abstract: Global warming and depletion of the environment are more than a hunch; they are
irrefutable facts. While caring for the environment seemed like a luxurious hobby twenty years
ago, it has become a crucial necessity these days. However, the sustainable demand for eco-friendly
products seems to be less than it should be. In other words, the consumers seem to lack the intent to
purchase green products. Therefore, studies on factors affecting sustainable green purchasing intent





 seem to be crucial now more than ever. This study attempts to shed some light on the matter using
structural equation modeling. After receiving the answers of 357 respondents from Thai Generation
Citation: Moslehpour, M.;
Chaiyapruk, P.; Faez, S.; Wong, W.-K.
Y participants, the estimations reveal that attitude towards green packaging and green marketing
Generation Y’s Sustainable awareness have the strongest effects on purchasing intention. On the other hand, environmental
Purchasing Intention of Green concern seems to have the weakest effect on purchasing intention. The findings suggest that the
Personal Care Products. Sustainability producers must pay more attention to packaging and other novel forms of marketing to increase the
2021, 13, 13385. https://doi.org/ customers’ intent for purchasing green products.
10.3390/su132313385
Keywords: green purchasing intention; green personal care products; green marketing awareness;
Academic Editor: Antonino Galati green packaging

Received: 2 November 2021

Accepted: 26 November 2021
Published: 3 December 2021
1. Introduction
Following the considerable increase in consumption over the past ten years, natural
Publisher’s Note: MDPI stays neutral
with regard to jurisdictional claims in
resources have taken a massive toll. Moreover, nature itself has been affected by this. For
published maps and institutional affil-
instance, the Earth’s temperature has increased [1]; air and water quality have decreased [2];
iations. and public awareness of such issues has increased as well [3,4]. In other words, while the
environment’s quality is decreasing, the public is increasingly becoming more aware of this
depleting trend. The 2021 United Nations Climate Change Conference, more commonly
referred to as COP26, is a prime example. Furthermore, consumption of eco-friendly
products, also referred to as green purchasing or eco-friendly purchasing, results from such
Copyright: © 2021 by the authors.
awareness [3,5].
Licensee MDPI, Basel, Switzerland.
This article is an open access article
The market for personal care products is one of the key segments of the global market,
distributed under the terms and
worthy of closer studies. That is because it has experienced a massive increase in scale
conditions of the Creative Commons over the past few years [6]. In 2017, the global market size for this product was estimated
Attribution (CC BY) license (https:// at $14.2 billion, and it is expected to reach $31.7 billion in 2025 [7]. According to a report
creativecommons.org/licenses/by/ published by the International Trade Administration in 2019 [8], Thailand is one of the key
4.0/). markets for personal care products with a considerable growth rate. Between 2013 and

Sustainability 2021, 13, 13385. https://doi.org/10.3390/su132313385 https://www.mdpi.com/journal/sustainability

Sustainability 2021, 13, 13385 2 of 14

2019, the market for personal care products in Thailand grew around 7.2–7.9%. Moreover,
its market is expected to reach $8 billion in 2022.
One of the defining features of the Thai people is their considerable environmental
awareness, which has been quite high since 1994 [9]. Therefore, they try to increase
the share of products that claim to be natural and eco-friendly in their consumption
package. However, they also give weight to the price of the products they consume [10].
Nevertheless, the demand for green and organic products is increasing; and personal care
products are no exception. Therefore, many firms push to adopt green practices into their
businesses [11]. As a result, marketing emphasizing product greenness has also become an
important factor in the current markets.
According to the latest reports published in Thailand [12], The share of Generation Y in
the country’s population is more than 40 percent. Generation Y encompasses those born be-
tween 1980 and 2000, making them between 18 to 40 years of age at the moment. Amongst
their characteristics are their comfort with technology, self-awareness, and concern for
environmental issues [12]. Therefore, this generation seems to be a unique candidate for
studying the factors affecting purchasing intentions.
A deeper understanding of this generation’s purchasing intentions, given its emphasis
on eco-friendliness and its considerable share in the market, is crucial for a successful
marketing strategy in any market; let alone the market which has shown massive growth
over the past decade, i.e., the market for personal care products. Therefore, this study has
been conducted in order to answer the following question:
RQ: Does environmental awareness affect Generation Y’s purchasing intention for
personal care products in Thailand?
In order to answer this question, in this study, the environmental awareness of Gen-
eration Y is divided into environmental concern (EC), environmental knowledge (EK),
green marketing awareness (GMA), green price sensitivity (GDP) and attitude towards
green packaging (ATGP). Several previous studies have considered one or two of these
factors when analyzing their effects on purchasing intention. For instance, Anastasios and
Anastasios [13] have studied the effects of EC and EK on green consumption. Furthermore,
Noorhazila et al. [13] show the importance of EK in explaining consumer behavior. Similar
arguments can be found regarding the other factors [14–16].
Despite the existence of several studies on factors affecting consumption based on
the goods’ eco-friendliness [5,7,11] there is still room for analyzing the combined effects of
these factors on purchasing intentions of specific age groups such as Generation Y for a
specific product such as personal care products. Therefore, the commonalities of this study
with the existing literature, notwithstanding, could be considered a new step towards a
better understanding of a sustainable market for personal care products.
In the remaining sections of this study, first, by discussing the existing literature and
theoretical debates, the study’s conceptual framework will be presented. Next, based on
the existing body of literature, the main hypotheses for the study are extracted. Then, the
methodology through which the data in this study are assessed will be introduced. Finally,
after analyzing the results of the model’s estimation, conclusions and discussions will
be presented.

2. Theoretical Framework
This section will discuss the concept of green consumption based on the existing body
of literature. The purpose of this section is to draw a theoretical map of green consumption
and the key factors affecting it. The argument will commence with the discussion of
traditional consumption theories; the basics of these theories will then be combined with
the features of the theory of planned behavior [17] and the value attitude-behavior hierarchy
model [18] from the literature of social psychology; the argument will then evolve into the
role of consumer’s behavior concerning environmental concerns. Eventually, a theoretical
framework will be drawn to build the foundation for the conceptual framework.
Sustainability 2021, 13, 13385 3 of 14

The analysis of consumption and the factors affecting it began as an endeavor among
microeconomists under the banner of consumer theory [19]. They argue that consumption
is defined by the consumer’s income and the prices of the products (the budget constraint)
on the one hand and the consumer’s preferences for certain products (utility function)
on the other hand. The former covers one’s ability to procure certain volumes of certain
products; while the latter is more concerned with one’s desires, intent and preferences. With
the development of macroeconomics, analysis of consumption evolved further. Initially,
Keynes’s theory of consumption discusses the relation between income and consump-
tion [20]. Furthermore, Modigliani’s life-cycle hypothesis [21] and Duesenberry’s relative
income hypothesis [22] added time and peer comparison, respectively, to the analysis.
While both macroeconomics and microeconomics covered how material factors affect
one’s decision to consume what one consumes, the field of social psychology succeeded in
expanding on the mental aspect of a consumer’s decision-making process. To economists,
the utility function was, and still is, a vague function following the assumptions of being
complete, reflexive and transitive, and having continuity and monotonicity [19]. Reaching
a more comprehensive theory of consumption requires a more detailed assessment of the
consumer’s decision-making process (both material and mental). The two concepts of the
theory of planned behavior and the value attitude behavior hierarchy model from social
psychology could aid in reaching such a theory of consumption.
The theory of planned behavior was developed by Icek Ajzen from the theory of
reasoned behavior [17] in his influential work from intentions to actions: a theory of
planned behavior. Based on this theory, three core concepts comprise one’s behavior,
attitude, subjective norms, and perceived behavioral control. These concepts affect one’s
intent and consequently embody one’s behavior. The norms that are in play in the society
combined with one’s attitude towards such norms and one’s comprehension of these norms
will define and direct one’s intentions and, in turn, his/her behavior. Norms could come
from communities in terms of traditions and peer pressure, or they could be more official
and less flexible such as state laws and regulations [23].
Norms and traditions are rooted in values. Furthermore, values could come from
personal features and be internal; they could result from social interactions and be external.
In other words, one’s values could come from their perception of who they are or how they
perceive themselves through the lens of the society they grew up or lived in. Starting with
the work of Homer and Kahle [18], through a form of hierarchy, one’s values could and
would eventually affect one’s behavior. Based on their findings, values are the first step in
the process. Next, they affect one’s attitude, which eventually shapes and affects behavior.
In the literature, this process is known as the value-attitude-behavior hierarchy.
Combining the macroeconomic and microeconomic theory of consumption with
the theory of planned behavior and the value–attitude–behavior hierarchy will give the
following theoretical framework covering both material and mental factors that affect the
consumer’s behavior. An individual’s income and the prices of the products comprise
the material factors; values plus norms define the mental factors. Together they shape an
individual’s behavior. When individuals take on the role of consumers, consumption or
consumer behavior is formed (Figure 1). This study intends to assess this framework for
green products as the goods being consumed. The next section discusses this concept and
reaches the conceptual framework and the study’s hypotheses.
Sustainability 2021, 13, 13385 4 of 14
Sustainability 2021, 13, x FOR PEER REVIEW 4 of 15

Figure1.1.Schematic
Figure Schematicdepiction
depictionof
ofthe
thetheoretical
theoreticalarguments.
arguments.

3.3. Theoretical
TheoreticalDebate
Debateand
andHypotheses
HypothesesDevelopment
Development
3.1.
3.1. Environmental Concern and EnvironmentalKnowledge
Environmental Concern and Environmental Knowledge
Environmental
Environmentalconcern
concernisisdefined
definedasas
thethe
people’s realization
people’s level
realization towards
level environ-
towards envi-
mental issues [24]. The earth today is much more different than the earth a
ronmental issues [24]. The earth today is much more different than the earth a hundred hundred years
ago.
yearsItago.
evenIthas
evena considerable difference
has a considerable from what
difference from itwhat
was ittwenty years ago.
was twenty yearsThe
ago.CO 2
The
levels are critically high; earth temperature has drastically increased; sea levels
CO2 levels are critically high; earth temperature has drastically increased; sea levels areare danger-
ously high. These
dangerously high.make
Theseenvironmental concern concern
make environmental is a key issue in the
is a key 21stincentury.
issue the 21st It could
century.
be related to the breakage of the environment that might affect society [25]. According
It could be related to the breakage of the environment that might affect society [25]. Ac- to
previous studies, it could also be an important motivating factor for the customers’ decision
cording to previous studies, it could also be an important motivating factor for the cus-
to buy pro-environment products [20,26,27]. On the other hand, environmental knowledge
tomers’ decision to buy pro-environment products [20,26,27]. On the other hand, envi-
could be defined as people’s level of understanding concerning the environment and the
ronmental knowledge could be defined as people’s level of understanding concerning
ecosystem [28]. According to Anastasios and Anastasios [13], environmental concern and
the environment and the ecosystem [28]. According to Anastasios and Anastasios [13],
environmental knowledge are key factors explaining green consumption.
environmental concern and environmental knowledge are key factors explaining green
Moreover, according to Bang et al. [29], environmental concern and environmental
consumption.
knowledge are significant. Therefore, it seems that having concerns towards the environ-
Moreover, according to Bang et al. [29], environmental concern and environmental
ment pushes the individual towards improving his/her knowledge regarding the envi-
knowledge are significant. Therefore, it seems that having concerns towards the envi-
ronment. Therefore, this study hypothesizes that the sustainable correlation should come
ronment pushes the individual towards improving his/her knowledge regarding the en-
from environmental concern towards environmental knowledge. Hence, the following
vironment. Therefore, this study hypothesizes that the sustainable correlation should
hypothesis is proposed.
come from environmental concern towards environmental knowledge. Hence, the fol-
lowing hypothesis
Hypothesis 1 (H1). is proposed. concern has a significant and positive influence on environ-
Environmental
mental knowledge.
Hypothesis 1 (H1). Environmental concern has a significant and positive influence on envi-
ronmental
3.2. knowledge.
Environmental Knowledge and Attitude towards Green Packaging
Since its invention in 1907, plastic has been a source of utility and pollution; because it
3.2. Environmental
takes ages before a Knowledge andbag
single plastic Attitude
couldtowards
dissolveGreen
into Packaging
nature. On the other hand, being
one ofSince its invention
the main in 1907,
ingredients plastic has
in packaging, been pollution
plastic a source of utility
has andapollution;
become because
serious issue. At
it takes
the sameages
time,before a single
such an plastic
issue has bagbirth
given couldto dissolve intoofnature.
the concept On the other
green packaging hand,
(GP), whichbe-
ing one
could of the main
influence ingredients
the brand’s in packaging,
characteristics plastic pollution
and popularity [3]. Some has become also
customers a serious
believeis-
sue.products
GP At the same time,
to have such quality
higher an issueand
hasbetter
giventaste.
birth For
to the conceptRajendran
instance, of green packaging
et al. [30]
Sustainability 2021, 13, 13385 5 of 14

mentioned that GP products smell and taste better for Malaysian consumers, have more
reasonable prices, and are healthier.
Furthermore, according to Noorhazila et al. [13], consumers’ awareness of green pack-
aging could be a defining factor in their attitude towards green packaging (ATGP). In other
words, they may show more support for GP products if they know of their benefits for the
environment. They have also shown that knowledge brings responsibility. Therefore, hav-
ing environmental knowledge could affect the consumers’ attitude sustainability towards
green packaging. Hence, the following hypothesis is proposed.

Hypothesis 2 (H2). Environmental knowledge has a significant and positive influence on attitude
towards green packaging.

3.3. Green Marketing Awareness and Attitude towards Green Packaging

According to the literature, green marketing increasingly emphasizes the eco-friendliness
of the product being marketed [31]. One aspect of this endeavor includes modification of
the supply chain to make the product eco-friendlier. However, the importance of green
production notwithstanding, a firm needs to make the consumer aware of its efforts towards
becoming more eco-friendly. Therefore, green marketing awareness—the firm’s efforts in
showing how it cares about the environment—becomes crucial.
Green marketing awareness (GMA) could be defined as green marketing through
consumers’ perceptions of the products they consume [15]. Consequently, packaging plays
a crucial role in shaping such a perception. The products package is the first thing the
customer sees. Therefore, it is the first tool at the firm’s disposal to affect the customer’s
perception [32]. Moreover, awareness does affect attitude [15,33]. In other words, being
more aware of a product’s eco-friendliness would affect the customer’s attitude towards
the product. Hence the following hypothesis is proposed.

Hypothesis 3 (H3). Green marketing awareness has a significant and positive influence on attitude
towards green packaging.

3.4. Environmental Knowledge and Purchasing Intention

In terms of meaning, purchasing intention (PI) refers to the consumer’s likelihood to
purchase a product or service [34]. In other words, PI is the feasibility and willingness of
customers that plan to buy in the future [35]. Many factors affect the customer’s purchasing
intention. With increased attention towards the environment and how products affect it,
products’ eco-friendliness has joined the rank of factors affecting purchasing intention.
Above all other factors, one must possess a minimum knowledge of the product one
wishes to buy before becoming intent on purchasing the product. In terms of greenness, the
same argument stands. Green marketing literature suggests that a customer’s environmen-
tal knowledge is expected to have considerable effects on purchasing intention [16,35,36].
Hence the following hypothesis is proposed.

Hypothesis 4 (H4). Environment knowledge has a significant and positive influence on purchasing
intention.

3.5. Green Price Sensitivity and Purchasing Intention

In economics, price is the value assigned to any specific good or service. However,
this is different for each person. Furthermore, as the price changes, each person’s reaction
to this change would also be different. In other words, each person has his/her price
sensitivity [37]. This sensitivity is usually estimated by a measure called price elasticity [38].
Additionally, a consumer’s price sensitivity or the product’s price elasticity is affected
by several factors such as local identity [39], satisfaction with the product [40], and global
identity [41]. Among these, one could name eco-friendliness as a key factor [42]. Therefore,
attention towards eco-friendliness could mitigate the consumer’s price sensitivity, making
them more acceptable towards higher prices for green products. Just as a consumer’s
Sustainability 2021, 13, 13385 6 of 14

price sensitivity is a logical and key influencing factor for his/her purchasing intention
in general, so is green price sensitivity (GPS) for green purchasing intention. Therefore,
giving more value to a product’s eco-friendliness means the consumer would be willing to
accept higher prices, which means the consumer would be willing to purchase the product
despite its higher price. In other words, the higher one’s green price sensitivity is, the
higher one’s green purchasing intention will be [43]. Hence, the following hypothesis is
proposed.

Hypothesis 5 (H5). Green price sensitivity has a significant and positive influence on purchasing
intention.

3.6. Attitude towards Green Packaging and Purchasing Intention

To reduce packaging pollution, many customers consume green products and consider
using eco-friendly packaging. According to Prakash and Pathak [3], there is a significant
and positive correlation between ATGP and PI. In other words, consumers give a great
deal of attention to the product’s packaging to build their intent. This claim has been tested
in different environments, which have shown the same results. For instance, Auliandri
et al. [44] tested the same hypothesis in Indonesia and reached the same conclusion. Hence,
the following hypothesis is proposed.

Hypothesis 6 (H6). Attitude towards green packaging has a significant and positive influence on
purchasing intention.

Sustainability 2021, 13, x FOR PEER REVIEW

Based 7 ofis
on the hypotheses of this study, the conceptual framework of this study 15
presented in Figure 2.

Figure2.2.Conceptual
Figure Conceptualhypotheses
hypothesesframework.
framework.

3.7. The Mediatory Effects

According to the above conceptual framework, besides its direct effect on purchas-
ing intention, environmental knowledge indirectly affects purchasing intention through
attitude towards green packaging. Furthermore, environmental concern does affect pur-
Sustainability 2021, 13, 13385 7 of 14

3.7. The Mediatory Effects

According to the above conceptual framework, besides its direct effect on purchasing
intention, environmental knowledge indirectly affects purchasing intention through atti-
tude towards green packaging. Furthermore, environmental concern does affect purchasing
intention through environmental knowledge via two routes: first through its direct effect
on the purchasing intention and second through its indirect effect through attitude towards
green packaging. Moreover, green marketing awareness seems to affect purchasing inten-
tion through attitude towards green packaging indirectly. Several previous studies have
tested these indirect effects [13,36,45–47]. Hence, the following hypotheses are proposed.

Hypothesis 7 (H7). Attitude towards green packaging mediates the relationship between environ-
mental knowledge and purchasing intention.

Hypothesis 8 (H8). Attitude towards green packaging mediates the relationship between green
marketing awareness and purchasing intention.

Hypothesis 9 (H9). Environmental knowledge and attitude towards green packaging mediate the
relationship between environmental concern and purchasing intention.

4. Methodology
4.1. Development of the Questionnaire
This study is based on the data acquired from a structural questionnaire that assesses
each participant’s attitude towards eco-friendly personal care products. The questions
are based on a 5-point Likert Scale. The demographic questions aside, the questions
in this questionnaire were extracted from several studies that focused on purchasing
green products. Table 1 summarizes the questionnaire and the sources from which its
questions are derived. As the table shows, four questions assess environmental concern,
five questions assess environmental knowledge, five questions assess attitude towards
green packaging, five questions assess green marketing awareness, four questions assess
green price sensitivity, and four questions assess purchasing intention.

Table 1. Research Constructs and their Relative Questions.

Variables Item References

 Humans ruin the environment.

Environmental Concern (EC)  * Human existence depends on the nature.
The realization degree of people  Human interruptions are a natural cause of disasters. [20,47,48]
about the ecological issues [20]  * Nature is delicate and can easily be damaged.

 I have more understanding of recycling than others around me.

Environmental Knowledge (EK)  I understand environmental problems.
People’s understanding of the  I understand how to conserve the environment. [20,28]
environment and related problems  I understand the primary causes of global warming.
[20]  * I am aware that plastic will take a long time to decompose.

 * I prefer buying OPCP with recyclable packaging.

 I prefer buying OPCP that use biodegradable packaging.
 I would buy biodegradable OPCP from a less-known company.
Attitude Towards Green Packaging  Buying OPCP with green packaging can help lower global [3,49]
(ATGP) warming.
 Buying OPCP with green packaging can reduce environmental
problems.
Sustainability 2021, 13, 13385 8 of 14

Table 1. Cont.

Variables Item References

 * I prefer the store that sells OPCP with green labels.

Green Marketing Awareness (GMA)  I prefer the OPCP store that is set up with an eco-friendly concept.
Attentiveness towards the  * Green product advertisement is informative about OPCP.
environment to achieve the  * Green product advertisement makes me feel good toward OPCP. [16,50]
consumers’ needs and satisfaction  Green product advertisements can help the customers’ decision to
[50] buy OPCP.

Green Price Sensitivity (GPS)  * When I buy the OPCP, the price is not important.
The consumer’s sensitivity towards  I compare the prices of OPCP before buying OPCP.
 I will check my budget before buying OPCP. [39]
the premium price of the products,
especially green products [38]  I can remember the prices of OPCP that I use in my daily life.

 I intend to buy a pro-environmental product.

Purchasing Intention (PI)  * I prioritize OPCP when shopping for personal care.
The willingness of the consumer to  I would buy an OPCP in the near future. [3,28]
buy the product or service [27]  I intend to buy green packaging products.

Source: Extracted from several studies (mentioned in the table). * Strikethroughs are deleted items.

Nine items were omitted from the final analysis after further considerations using
exploratory factor analysis (EFA) due to their low factor loading. This analysis method
is commonly used to reduce invalid variables [51]. The remaining items all had factor
loadings of more than 60 percent. Table 1 shows the items that were omitted from the final
analysis. Factor Analysis (both confirmatory and exploratory) was conducted via the use
of SPSS Amos 25.

4.2. Sample and Data Collection

The population under study in this research is Thailand’s Generation Y which consists
of the Thai people born between 1980 and 2000, making them between 18 to 40 years of
age. The reason for choosing this population was discussed thoroughly in the previous
sections. This generation is raised with technology, is also quite self-aware, and has shown
considerable attention to environmental issues. According to the latest official statistics,
amongst the 69.8 million people inhabiting Thailand, 44 percent belong to Generation
Y [52]. Using Cochran’s formula for defining the sample size [53], the sample under study
in this research with a 95 percent degree of confidence would be 378. Four hundred and
eight questionnaires were distributed. After further analysis and removal of the invalid
responses, 357 valid subjects were gathered.

5. Analysis of Estimation Results

5.1. Demographics of the Sample
In this study, a total of 357 valid respondents among Thailand’s Generation Y were col-
lected through an online questionnaire. According to the preliminary findings, 72.5 percent
(259 people) have used green care products before; 18.5 percent (66 people) were men;
49.8 percent (178 people) were younger than 25 years old; 62.5 percent (223 people) had a
bachelor’s degree; 34.5 percent (123 people) were students; 49.6 percent (177 people) were
wage-earning employees; 35.6 percent (127 people) earned less than $500; 30.8 percent
(110 people) earned less than $833 and more than $500. In conclusion, according to the
preliminary findings, the sample mostly consists of women with wage-earning jobs, bache-
lor’s degrees, less than 25 years of age, and less than $800 monthly income: a relatively
poor and young generation with university education and a steady income.
Sustainability 2021, 13, 13385 9 of 14

5.2. Measurement Model

In the beginning, Harman’s one-factor test for common method bias (CMB) was
conducted to ensure no single factor bias exists. The test is to examine the existence of a
single factor bias in the model. According to this test, if the first factor in the preliminary
EFA accounts for more than 50% of the total variance, using the remaining factors might
result in bias [53]. Since the explained variance with a single factor (34.51%) was less
than the critical threshold (50.00%), there is no single factor bias present in the study.
Furthermore, after removing the items with factor loadings less than 60 percent (9 items)
via the use of exploratory factor analysis (EFA), the validity and reliability of the remaining
items and their relative constructs were assessed using confirmatory factor analysis (CFA).
According to the findings, the model’s total KMO index is 0.88, well above the threshold.
Therefore, the results from a factor analysis model would be reliable, and the sample is
adequate. Furthermore, the results from the CFA model suggest a valid and reliable fit
(χ2 /df = 2.17, GFI = 0.92, CFI = 0.95, TLI = 0.93, and RMSEA = 0.06). In addition, the
Cronbach’s alpha for each construct is above 0.6 which indicates an acceptable level of
reliability [54,55].
On the other hand, the composite reliability values for each construct vary between
0.6 and 0.8, which is well in the range Bagozzi and Yi [56] suggest as an acceptable value.
Moreover, the average variance extracted (AVE) for each construct also meets the standard
value Brown and Cudeck [57] suggest. Although it is less than 0.5 for two of the constructs
(environmental concern and green price sensitivity), since the CR values are more than 0.6,
the constructs are acceptable based on Fornell and Larcker [58]. Furthermore, although
the items for EC and GPS are only two, the CR, KMO and Cronbach’s alpha suggest an
acceptable estimate and sample size. This claim has been supported in the literature by
Winter et al. [59]. In sum, given the values reported in Table 2, the model possesses an
acceptable level of reliability and validity.

Table 2. Measurement model.

Factor Cronbach
Construct Items CR KMO AVE
Loading Alpha
Environmental EC1 0.61
0.636 0.5 0.62 0.469
Concern EC3 0.75
EK1 0.61
Environmental EK2 0.80
0.823 0.78 0.81 0.541
Knowledge EK3 0.80
EK4 0.72
ATGP2 0.72
Attitude Towards ATGP3 0.63
0.878 0.79 0.88 0.649
Green Packaging ATGP4 0.92
ATGP5 0.91
Green Price GPS2 0.76
Sensitivity 0.641 0.5 0.63 0.474
GPS3 0.61
GMA3 0.71
Green Marketing
GMA4 0.79 0.785 0.7 0.78 0.55
Awareness
GMA5 0.73
PI1 0.73
Purchasing
PI3 0.66 0.789 0.69 0.78 0.558
Intention
PI4 0.84
Total 0.88 34.514
Source: own calculations.

Finally, the discriminant validity of the constructs was estimated. The results are
reported in Table 3. As the figures show, cross-values for each pair of constructs are all
less than 0.85. in other words, the constructs possess discriminant validity and cannot be
substituted with one another. In other words, the constructs have been chosen optimally
for a structural equation model (SEM) to test the study’s hypotheses.
Sustainability 2021, 13, 13385 10 of 14

Table 3. Discriminant validity.

Construct EC EK ATT GPS GMA PI

EC 0.685
EK 0.211 0.735
ATT 0.074 0.391 0.806
GPS 0.324 0.430 0.465 0.689
GMA 0.323 0.430 0.540 0.634 0.742
PI 0.182 0.451 0.741 0.496 0.647 0.747
Source: own calculations. The bold face diagonal is SQRT(AVE).

5.3. Testing the Hypotheses via SEM

After ensuring the validity and reliability of the data via EFA and CFA, the six main
hypotheses and the three complementary hypotheses were tested via a structural equation
model (SEM). According to the preliminary findings, the estimated SEM in this study is a
good and reliable fit (χ2 /df = 2.12, GFI = 0.92, CFI = 0.90, AGFI = 0.90, and RMSEA = 0.06).
Table 4 reports the results of the SEM.

Table 4. The SEM results for testing the hypotheses.

Hypothesis Path Standardized Estimates (β) S.E. p-Value Result

H1 EC → EK 0.29 *** 0.087 0 Accepted
H2 EK → ATGP 0.21 *** 0.081 0 Accepted
H3 GMA → ATGP 0.49 *** 0.083 0 Accepted
H4 EK → PI 0.14 ** 0.062 0.009 Accepted
H5 GPS → PI 0.26 *** 0.084 0 Accepted
H6 ATGP → PI 0.60 *** 0.056 0 Accepted
Total 0.45 ** Accepted
H7 EK → ATGP → PI Direct 0.19 ** (Partial
Indirect 0.26 ** Mediation)
Total 0.65 ** Accepted
H8 GMA → ATGP → PI Direct 0.35 ** (Partial
Indirect 0.30 ** Mediation)
Total 0.21 ** Accepted
H9 EC → (EK → ATGP) → PI Direct 0.15 ** (Partial
Indirect 0.06 ** Mediation)
Degree of confidence: *** p < 0.001, ** p < 0.01. Source: own calculations.

The first look at the results in Table 4 suggests that all the study’s hypotheses were
accepted with a 90% degree of confidence or higher. However, upon closer inspections,
further information is revealed. For instance, the effect of green marketing awareness on at-
titude towards green packaging (0.49) is more than twice that of environmental knowledge.
Furthermore, among the factors directly affecting purchasing intention, environmental
knowledge has the lowest effect (0.14) while the attitude towards green packaging shows
the highest effect (0.6); a value is more than four times that of environmental knowledge.
Finally, among the three combined paths included in this study, the total effect of green mar-
keting awareness on purchasing intention (0.65) has the highest effect. On the other hand,
the highest indirect effect is also observed in this path (0.30). Thus, the same argument
could be observed for the indirect and direct effects.
After further analysis, it was found that Thai Generation Y’s environmental concern
positively and significantly affects its environmental knowledge. Furthermore, other
paths estimated in the model seem to have the same result, i.e., a positive and significant
coefficient. In other words, the results from the SEM estimation support all the nine
hypotheses of this study. One noteworthy finding could be that environmental knowledge
has the least direct effect on purchasing intention (0.19). On the other hand, attitude
towards green packaging seems to affect purchasing intention directly. However, the
highest total effect on purchasing intention seems to belong to green marketing awareness,
Sustainability 2021, 13, 13385 11 of 14

which goes through attitude towards green packaging. In other words, given the findings
of this study, the most effective method for convincing Thai people to buy green products
would be through green packaging.

6. Theoretical and Practical Implications

This study focused on the key factors affecting Thai Generation Y’s behavior towards
the greenness of personal care products. In order to do so, the data gathered from a
structured questionnaire was analyzed through the SEM estimation. The study pays extra
attention to those between 20 to 40 years of age (Generation Y). The reason behind this
decision is the special awareness that Generation Y has shown concerning environmental is-
sues. Given the model’s results, one key implication would be the importance of packaging
in Thai people’s behavior towards greenness of personal care. Contrary to Hayat et al. [43],
who claim price sensitivity to be a key influential factor in consumers’ behavior towards
green products, the current study’s findings show that packaging’s influence outweighs
the effects of price considerably. Furthermore, despite what Li et al. [20] argue, this study
shows that simply being concerned about the environment is not enough incentive to
purchase eco-friendly products.
Moreover, the relatively low coefficient of green price sensitivity combined with the
fact that more than 80 percent of the subjects were students, or wage earners, and more than
70 percent of the subjects earned less than $833 per month, implies that for Thai Generation
Y, greenness is much more important than the price of the product and the burden it puts
on their budget. In other words, greenness is more of a necessity than a luxury to them.
Therefore, to incentivize them into buying a product, the producer needs to find a way to
assure them of its greenness; given the findings of this study, the packaging seems to be
the optimum way to do so.

7. Discussions, Conclusions and Suggestions for Future Studies

This study aimed to assess and evaluate the factors affecting the consumers’ behavior
towards green products. In order to do so, this study analyzed the purchasing intention
of Generation Y in Thailand. The reason for choosing Generation Y was because they are
quite familiar with technology, which makes them modern; on the other hand, they still
have some connections to their traditions, which makes them traditional. In other words,
Generation Y seems to be a good representative of the past and the future. The products
under study here belong to personal care products with a considerable share in Generation
Y’s consumption. Furthermore, given the considerable increase in the market for personal
care products in Thailand and the high share of Generation Y’s population, the study was
conducted in Thailand. The data were gathered via a structured questionnaire which was
extrapolated from past studies.
Environmental awareness, environmental knowledge, attitude towards green packag-
ing, green price sensitivity, green marketing awareness, and purchasing intention among
Generation Y in Thailand were assessed. The main dependent variable in this study was
purchasing intention, and the effects of the other variables on it were assessed using the
structural equation model. The results showed significant and positive effects on purchas-
ing intentions, with environmental concern and green price sensitivity having the least,
and attitude towards green packaging and green marketing awareness having the most
effect on purchasing intention for green products [60,61].
Although environmental knowledge significantly affects purchasing intention, it
is stronger through attitude towards green packaging. In other words, knowledge of
environmental issues requires some physical trigger to turn into action. As the results
suggest, the physical trigger for environmental knowledge to turn into action (purchasing
intention) is the attitude towards green packaging. Moreover, they together become the
physical trigger for environmental concern’s manifestation in terms of purchasing intention.
This finding has both practical and theoretical implications. Given the findings of this study,
the packaging is the most effective tool at the producer’s disposal to influence consumers.
Sustainability 2021, 13, 13385 12 of 14

Furthermore, the findings suggest the importance of perception in the decision-making

process of consumers. This study, therefore, could become the first step towards more
comprehensive consumer theories.
Regarding practical implications, the results suggest the significance of packaging in
forming purchasing intentions. This in turn suggests that while different approaches could
persuade consumers in paying extra to purchase eco-friendly products instead of their
alternatives, they require some sort of assurance. The results suggest packaging to be this
agent of assurance. Therefore, the producers are encouraged to pay more attention on how
they represent the green side of their products on their packaging. This could be reaffirmed
through several rounds of focus groups with the Y-generation as the main members.
Considering theoretical implications, the results could act as a first step in supple-
menting consumer theory. As discussed in the early sections of the paper, consumer theory
is somewhat silent on the intangible and mental aspects of consumer behavior. However,
there are some theories in social psychology such as the theory of planned behavior that
could help in explaining the mental aspect of consumer behavior. Although, this paper
is the result of an empirical study, the findings support the existence of intangible factors
affecting consumer’s behavior. Therefore, the next step could be combining mental fac-
tors with material factors in a partial equilibrium to provide a more robust theoretical
background for further studies.
Similar to other studies, this study has several limitations, which opens the door for
further studies. First, the questionnaire used in this study was extracted from some other
studies from the past. Although the due diligence has been made here and the results are
quite reliable, the time for an original questionnaire based on a comprehensive qualitative
method is long overdue. Second, this study focused on the demand section of the market
for green products. Therefore, studying the value chain in the supply section of the market
for green products could serve as a desirable complement for the current study. Finally,
this study is an empirical one which limits its theoretical reach. In other words, the next
step which the authors recommend would be devising a partial equilibrium analysis to
provide a more consistent basis for further studies.

Author Contributions: Conceptualization, M.M., P.C. and S.F.; methodology, M.M. and P.C.; software,
M.M., P.C. and S.F.; validation, M.M., S.F. and W.-K.W.; formal analysis, M.M.; investigation, P.C.;
resources, M.M., W.-K.W.; data curation, M.M., and P.C.; writing—original draft preparation, M.M.
and P.C.; writing—review and editing, S.F. and W.-K.W.; visualization, P.C.; supervision, M.M.;
project administration, M.M.; funding acquisition, M.M. and W.-K.W. All authors have read and
agreed to the published version of the manuscript.
Funding: This research received no external funding.
Institutional Review Board Statement: Not applicable. This study did not involve any harm to
humans or animals. Data collection was anonymous.
Informed Consent Statement: Not applicable.
Data Availability Statement: Not applicable.
Conflicts of Interest: We declare that this study does not have any conflict of interest.

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