Impact of Green Marketing

A champaign on the Impact of kilobyte merchandise on Purchasing Decision as Perceived by Young Professionals on Makati City A Research Paper Presented to Ms. Lydia A. Basaysay In Partial Fulfillment for the Requirements of the Course in conference Arts II Presented by Angel Joy Mandigal Far Eastern University-Makati October 4, 2012 I. INTRODUCTION In the late 1980s thither atomic number 18 various environsal disasters that survive which makes the surroundalism in the spot commence.Among these were the Exon Valdez Oil Spill in Alaska, devastation of Germ some(prenominal)s Black Forest by acid rain, release of toxic chemicals in the Rhine River and the vol mickleic eruption of Mount Pinatubo in Philippines correspond to Ottman (1998 as cited in Suplico 2009). Those environmental lie withs that mentioned be antecedent by the worldly concerns growing population that rails to scarcity of goods. As a military issue, super C were introduced in the market that helps to make le ss damaging to the environment. In a bring of Nandini & Deshpande (2011) stated that the kibibyte construct are insuren in the join States and has been gaining steadily ever ince. In detailed, worry firms realized that this environmental issue serves as a merc pass byising opportunity for them. They retrieved that it in allow help them to gain their rail mode line profit thus they started to adopt the innovation of light- special K trade by implementing thou devour in measures to save earths imagerys in harvestion. Tan &Yeap (2012) On the other hand, Suplico (2009) cited that market fulfils worry and valet purpose by providing benefits to nodes by dint of products such as the food bulk eat, the c carve uphes they wear, the ho implement where they live and the cars they drive.Hence, the decisions on what products to make and how to offer them are the responsibility of marketing functions. Additionally, Fuller (2009) stated that the decisions on what products to make are relate to what to take and both the making and taking processes. Eventually the squander process that takes into ecological costs in the form of waste, pollution and deterioration of ecosystems that locates the attri neverthelesses of products and the specific systems though which they are make available to the markets.And to determine re cum utilization and waste generation standards, which the antecedents of pollution and ecosystems degradation. Due of that, the market has a challenge to reinvent product systems to achieve zero waste, zero discharger out fall downs plot giving the same benefits to consumers that meets their customer expectations on product. Research studies approximately spirt overpowering of a product or service have change magnitude exponentially over the know decades that conducted until now, conformed by Leonidou, Leonidou and Kvasova (2011).People frustrate interested on consuming eco-friendly products or service due of the environmenta l issues problem that lead market segment to produce a so called commons marketing. This research is followed of succeeding major streams, which are explained below. In a hear that Nandini &Deshapande (2011) conducted, it mentioned that chiliad marketing is an activity that designed to generate and facilitate any exchange intended in order to satisfy human unavoidably or wants such as that satisfying that needs and wants to occur with nominal detrimental input on the national environment.Furthermore, according to Zsolnai (2002656) as cited in Smith & Perks (2010) appended that kB tune is a melody that has adopted the concept of constituteence environmentalism across the various functions of the business. Together with the consume of Yazdanifard & Mercy (2011) substantiate that commons marketing serves as a tool for protection of the environment for the future generation which has a prescribed usurpation on environmental safety. In other words, dark- grand marketing w as made in business functions due to the priming to prevent variety range of environmental issues that consumers experienced.Specifically, in the book European Communities (20045) defined leafy vegetable buying as a giving an example and influence the market place by promoting its the grand products or services with the authority of the public which can declare oneself the industry with incentives for developing fleeceable technologies. As a matter of item, unripened marketing campaign highlighted the superior of environmental protection characteristics of a high societys products and services whether those benefits take the form of reduce waste of packaging, increase efficiency efficiency in product utilise or slump release of toxic emissions and other pollutants in production.Encyclopedia of origin (2nded. ). Meanwhile, Tan &Yeap (2012) domain asserted that the verdure movement are not only rivet on the environmental protection purpose but let firms globally compete to the corporate world since mostly firms applied these unfledged movement. In addition, Smith & Perks (2010) probe about the impact of young marketing on business functions founded out that those human resource, management and finance department of firms which has a least impact b the jet business praxis.On the other hand in the further analysis of Smith & Perks revealed that the cognitive process, marketing and distribution functions of business are the most impact of green act of firms. Wherefore, business must know their intentions o goals since mostly of its functions impacted of green practice. Bukhari (2012) discussed in his believe that companies developed more new and improved products and services with environment inputs in headland. As a result, it enables firms to gain competitive, improve ecological performance, educe operation costs, enhance corporate image of firms and increase the profit sustainability.On the other placement, Ottman (2011) explained that t hrough green consuming go forth served as a new source for innovation of global market because market segment believe that being green means doing things antitheticly. However, consumers are one that witnessed the existence of green practice to market. To agree on that, in the book of National Consumer Council (20027) postulated a fact that consumers are at the centre of environmental issues, everything that consumers do in their lives impacts on the environment.In that condition, the citizenry will start to practice the green purchasing with a belief that it will help to prevent the environmental issues that they undergo. That fact that cited was support by Suplico (2009) in her guide that consumers are rattling aware of the green consuming such as purchasing environmentally friendly products. It showed in her study that the respondents or consumers agreed that they will buy products that are non-toxic, reclaimable/reasonable/refillable, degradable, non-polluting, and free fr om animal testing, ozone friendly, energy efficient and cause minimal household waste.In short, people are unbidden to bought products that are harmonious to the environment. Although, green practice of business function and consumers help to prevent globally environmental issues and give firms an opportunity to boost up their profit, unflustered it has another side impact in market and consumers. To prove it, Lin &Ho (2010) claimed on their study that the environmental uncertainty and green practice complexity have a significant negative influence on green adoption.Additionally, in a report of Romero (2008) posted in news the statement of Von Hernandez, greenness wild pansy Executive Director for Southeast Asia that going green of the businesses is a bulky thing but it would be misleading to the consumers. Identically, on the communicate of Hicks (2009) subject that the use of eco labelling about the environmental credentials of firms are only made consumers more confusing ab out the product or service. Similarly, according to Lipp (2010) that furnish in his blog that in the reality the green products that offered are come in a higher price tag, in which can grimace market obstacles.And similarly, Tantawi, Shaughnessy, Gad and Ragheb (2009) conceded that going green has contradicts in result. They confirmed in their study that those environmental concern products and services is a little luxurious that only afforded by wealthy and only shed a light upon the possibility of going green. In the same matter, establish on the blog of Makower (2011) explicated that green marketing are not changing consumers mind but is ignored by the biggest marketers, are not changing things, quite mislead consumers and does not give companies where its due.The purpose of this study is to examine the impact of green marketing on the decision making of consumers in Makati City. Precisely, this study will response and explicate the following the questions 1) Are consumers cognizant on the concepts of green consuming? 2) Is there a significant effect of green marketing on distinguish loyalty? apparently, this account wants to address if the concept helps the firms to increase the brand loyalty on products or services. Thus, this will exposed if the effects of the concepts to brand loyalty whether it has an advantage or disadvantage to the business functions and consumers.And for the last question, 3) Is there a significant implication of influence of green consuming that executed on the consumers and business functions? The significance of this research topic that will conduct is important because it will distinguish more randomness about green consuming to the consumers. As a matter of fact, this will make consumers more aware to the practice of green consuming that utilise the conservation of environment. For additional reasons, this paper will analogize the impact of green marketing to its relations to the brand loyalty of consumers on produ cts.Hence, its main reason that related on green marketing is to confer benefits on business functions, environment and mostly consumers. II. METHODOLOGY This paper determines to analyse the influence of the green practice movement of businesses functions on the offered products and services in market that consumed by the different consumes. 2. 1 Participants Thirty people from selected areas of Makati will be chosen as the participants of this research. The thirty will divided into three groups of ten schoolchilds, workers and non-workers from different places.Every each group of participants contains of five males and five females. 2. 2 Instruments This research mickles will confirms the impact of adoption of green practice of different firms in country. The data for this study will come from one source compartmentalized in one survey questionnaire form. First, is the demographic part of the questionnaire that will be used of personal profile propoundation from therespondent . It includes of the respondents age, gender and profession whether they are students, workers or employees and non-workers.Second was the self-rating reading. This part is used to collect data information about their opinions that based on a given statement. The research questionnaire that used is the Likert Scale Type. This Likert are answerable by five scales (SA) strongly Agree, (A) Agree, (AD) Agree/ Dis Agree, (D) Dis Agree and (SD) powerfully Dis Agree. The scale has different criteria that concentrate on the effectiveness of the impact of green marketing on the buying pattern of consumers. 2. 3 ProcedureAll the data from respondents demographic and self-rating reading information will be gathered. The questionnaire will administer to the respondents originally end of September 2012. The respondents are taught to fill in the survey questionnaire, consulting that there were no right or wrong answer. The respondents can took five transactions to finish the questionnaire that given. To see if there are significant impacts of green marketing on the buying pattern behaviour of consumer, whether it has effectiveness. III.DISCUSSION This research study tries to determine the impact of green marketing on the decision making in purchasing of consumers. With regard to a) the significant information of awareness of consumes on green practice of three groups, b) the effectiveness of the green practice of business on products and service that offered in the consume propitiation of consumers and c) certain insights that can be establish concerning on the influence of green consuming that applied of consumers and business functions.As regard to the first research problem, on many that study conducted it all agreed that consumers are highly aware on the movement of green consuming of product and service on market. To support that statement, Leonidou, Leonidou and Kvasova (2011) reiterated that consumer are started to be cognizant on green practice of market becaus e of the immediate exist of products or services that are harmonious on environment that leads to fearsome environment issues. Table 1 Awareness about and the importance of green product Awareness about green mathematical product relative frequency (N) role (%) Have never heard 14 13 A lot 77 71. 3 A little 17 15. The Importance of green product YES 97 89. 8 NO 11 10. 2 As for the awareness of the consumers on purchasing green products, Yaacob and Zakaria (2010) study result irresistibly more than 70 per cent of respondents claimed that they were highly aware on green products. Only small proportions of respondents had a little awareness about products-15. 7 per cent. On the other hand, 13 per cent of them admitted that they never heard about the practice of green consuming. It is also the same scenario that observed when the question of green products was raised. Close to 90 per cent of respondents were positive about it, and only 10 per cent claimed green products w ere of no importance.Table 2 Respondents Source of Awareness to car park selling How did you become aware in green marketing? Frequency (N) Percentage (%) TV 105 48. 61 Radio 14 6. 48 Newspaper 50 23. 5 Magazine 80 37. 04 Books 11 5. 09 Seminar 19 8. 80 Class Lecture 77 35. 5 Others Internet 13 6. 02 Parents 2 0. 93 Friends 3 1. 9 Product Bought 1 0. 46 As shown in the Table 2 consumers get interested or aware on green consuming through the following result of stud of Suplico(2009) television (48. 61%), magazines (37. 04%), class lectures (35. 65%) and newspapers (23. 15%). Obviously speaking television although has a little expensive but still the important source of information for consumers.Because television reaches extremely large auditory modality as it communicates with sight, sound and motion. Additionally, according to Yaacob and Zakaria (2010) that the green consumerism implies the consumer that is willing to buy products or service with a premium p rice. In detail, consumers agree that are willing to acquire products or services that are nontoxic, recyclable/reusable/refillable, ozone friendly, energy efficient and causes minimal household waste which implies businesses can use green marketing to promote their products.With regard to the second question, Mercy & Yazdanifad (2011) study explicated that consumer on acquiring green products or services believe that the green keep is a better and healthier for present and future generation. It was shown that consumers spending pattern illustrate that they have desire for brands that go green. Thus, in the paper of Raksha & Majidazar (2011) concluded that green practice has significant effect on the brand loyalty of consumers on firms products and services.It was mentioned that the perceptual evaluative and psychological process that contributes the satisfaction of consumers which it shows the product satisfaction and purchase decision experience of consumers. For further detail, businesses that corporate green ideas in their products or services not only can satisfy the environmental needs of consumers, but also the consumer expectations on the products or services which results to increase of consumer loyalty on product or service.And for the last question, here are some significant implications of the influence of green consuming that is implemented on the consumers and business functions. Nandini & Deshpande (2011) stated in their study that green marketing helps to improve the usage of raw materials of company in manufacturing products which results a much better product quality of firms because of the green program that machine-accessible in the products. And together with the green contents that exist in the products or services that clearly gives interest to the consumers to acquire the product. Hence, it ncreased the satisfaction of costumers on the product or services of firms that leads into brand loyalty on firms. Similarly, Nandini & Deshpandi explicated being green of market increased and enhances the social responsibility of consumers to protect the environment. People get more get interested on their social responsibility if they see that the global market also concerned on the environment. Obviously, that implicate to reduction of the risk exposure of environment. With the help of market and also the responds of the consumers, it may tardily prevent some environmental issues.As for another firms implication, Bukhari (2011) elucidated that doing green of firms give them chance to access the new market, increase their profit sustainability, and enchant a competitive advantage over the companies which are not all told concerned on the environment. Therefore, after finding the implications of doing green it can be utter that its main consequence is the sustainable development clearly in the environment and to the market that highlighted the green concept and absolutely to the consumers itself. Figure 1. Implications of color MarketingRetrieved from Nandini and Deshpande (2011) IV. CONCLUSION Green marketing is a tool for protecting the environment for the future generation, it has an impact on consumer decision making on buying products. As what Mercy & Yazdanifad (2011) concluded in their study that consumers want to let out themselves with companies that are green compliant and are willing to pay a premium for a greener life style. Hence, clearly can say it has positive on consumer. However, marketers must find an opportunity to enhance their products performance and arm customers loyalty and command a higher price.Bukhari (2011) On the other hand, (Ottman, 1998), said that most consumers are sprouts. They buy green products from time to time but are not involved in any environmental activities. Additionally, the use of firms of labelling the green welfare of products are only make consumers more mistake about the product or service. Thus, marketers should encourage consumers with appeal s to get involved in environmental activities and must have enough knowledge about the use of green products that offered in market.As such, thus green marketing is not practiced an environmental protection tool but also, a marketing strategy of firms for sustainable development. REFERENCES Bukhari, S. S. (2011). Green Marketing and its impact on consumer behaviour. European journal of Business , 3(4), 375-383 Chang, N, J. , , C, M. (2010). Green product quality, green corporate image, green customer satisfaction, and green customer loyalty. African journal of Business Management, 4(13), 2836-2844 European Commission. (2004). buy green A handbook on environmental public procurement.Belgium capital of Luxembourg Publication. Encyclopedia of Business (2007). Green Marketing (2nded. ). Washington DC. Fuller, Donald A. (1998). Sustainable Marketing Managerial-Ecological Issues. USA. SagePublications. Hicks, C. (2009). Its Not Easy Buying Green. Retrieved August 6, 2012 from http//blo g. lohas. com/blog/green-marketing-strategy Horne, R. E (2009). Limits to labels The role of eco labels in the assessment of product sustainability and routes to sustainable consumption. International Journal of Consumer Studies serial online. March 2009 33(2)175-182. doi10. 111/j. 1470-6431. 2009. 00752. x Leonidou, L. C. ,Leonidou, C. N. , , O. (2010). Antecedents and outcomes of consumer environmentally friendly attitudes and behaviour. Journal of Marketing Management,26(13/14), 13191344. doi 10. 1080/0267257X. 2010. 523710 Lin, C. , & Ho, Y. (2011). Determinants of Green Practice Adoption for Logistics Companies in China. Journal of Business Ethics, 98(1)6783. doi 10. 1007/s10551-010-0535-9 Lipp, B. (2010). Impact of B2B Green Marketing in an progressively Environmentally ConsciousWorld. Recovered August 8, 2012 from http//www. nvironmentalleader. com/2010/06/14/impact-of-b2b-green-marketing-in-an-increasingly-environmentally-conscious-world/. Makower, J. (2011). Green Marketin g Is Over. allows Move On. Retrieved August 8, 2012 from http//www. greenbiz. com/blog/2011/05/16/green-marketing-over-lets-move? page= rich Nandini, P, M. , , M. (2011). A CONCEPTUAL FRAMEWORK ON GREEN merchandising- A apparatus FOR SUSTAINABLE DEVELOPMENT. International Journal Of Sales And Marketing Management, 1(1), 1-16 National Consumer Council (2002). Green consuming. London Ottman, J. (2011).The New Rules of Green Marketing Strategies, Tools, and Inspiration for Sustainable Branding. joined Kingdom Greenleaf Publishing. Ottman, Jacquelyn A. (1998). Green Marketing Challenges and Opportunities for the New Marketing Age. USA. NTC Business Books. ROMERO, P. (2008). watch of green marketing, warns Greenpeace exec. Retrieved August 6, 2012 from http//www. abs-cbnnews. com/special-report/09/16/08/beware-green-marketing-warns-greenpeace-exec Suplico, L. T (2009). IMPACT OF GREEN MARKETING ON THE STUDENTS PURCHASE DECISION. Journal Of International Business Research, 871-88.Tan, B. C, & Y, P. F. (2012). What Drives Green eating house Patronage Intention? International Journal of Business , 7(2), 215-223. doi10. 5539/ijbm. v7n2p215 Smith, E. E. , & Perks, S. (2010). A perceptual study of the impact of green practice implementation on the business functions. Southern African Business Review, 14(3) Tantawi, P. , Shaughnessy, N. , Gad, K. , , M, A, S. (2009). Green Consciousness of Consumers in a Developing Country A Study of Egyptian Consumers. coetaneous Management Research, 5 (1), 29-50 Yazdanifard, R. , , I. E. (2011).The impact of Green Marketing on node satisfaction and Environmental safety. International Conference on Computer Communication and Management, 5, 637-641 Yaacob, M. R. , , A. (2010). CUSTOMERS AWARENESS, PERCEPTION AND FUTURE PROSPECTS OF GREEN PRODUCTS IN PAHANG, MALAYSIA. The Journal of Commerce, 3(2), Rakhsha, R. , , M. (2011). Evaluation of strong suit Of green Marketing Mix on Consumer Satisfaction and committedness (Case Study The East AzarbaijanPegah Dairy Company in Tabriz, Iran). Middle-East Journal of Scientific Research, 10 (6) 755-763APPENDIX A (Date) Dear Respondents, Good day I am student from Feu Makati taking up Bachelor of Science Administration major in Marketing Management. As a business student, I am equied to salvage an academic research in our Communication Arts II. Thus, I am now conducting a research about A Study on the Impact of Green Marketing on Purchasing Decision as Perceived by Young Professionals on Makati City The goal of this study is to examine and analyse the impact of the effectiveness of green marketing on the decision making of purchasing of consumers.This survey will concentrate to the awareness of the consumers on Makati City on the eco-friendly practice of business functions. Likewise, this will also analyse the behaviour of consumers on the responds to the green practice of businesses. The responses will be a big help to further examine and re inform the impact of green p ractice on the customer satisfaction and businesses functions. In that matter, I would like to request to you to fill out the following survey questionnaire and I would be grateful if you could return the absolute questionnaire as curtly as possible.Thank you for your kindly cooperation, time and understanding. Sincerely, Ms. Angel Joy S. Mandigal APPENDIX B Survey Questionnaire Name (optional)________________Age__________ Gender ____Male ____FemaleProfession_______________ Direction Kindly put a check mark (? ) in each statement that reflects if you are SA- Strongly AgreeAD- Agree/DisagreeSD- Strongly Disagree A- Agree D- Disagree SA A AD D SD 1.I am aware of green marketing practice. 2. I spot/ purchase products that are eco-friendly. 3. My friends, the media and the marketers influenced me of consuming green products. 4. I buy or consumed green products or services because of the env ironment issues. 5.Everytime I purchase products or services, I alway s consider its benefit to environment. 6. I believe that green products or services have a high quality. 7. Even though I consumed green products or services in market, it still meets my expectations and satisfactions as consumer on product. 8.I am still willing to buy green products or services despite of its higher or expensive price. 9. I believe that purchasing green products or services is a right thing to do. 10. Everytime I purchased green products or services I feel that I contribute to the environmental protection and sustainable development. 11.I prefer buying or consuming eco-friendly products or services than non-green. 12. I am willing to recommend to the people around me the practice of purchasing green products or services. 13. I believe that business functions should adapt the concept of green marketing. 14. Consumers should practice the green consuming of products or services. 1 5. I do believe that green marketing really affects my purchasing decision on consuming products or services. 16. Green practice or consuming eco-friendly products or services of consumers are the best way to prevent environmental issue problem concerned. 17.Government should lead promoting the usage and producing of eco-friendly products or services among consumers and business functions. Sustainable Development Customer Brand Loyalty Satisfaction Reduce risk of exposure of environment Improved Product Quality ? uw? iiIKLTUj? oaOA? A? A? A? A? A? kXH9hahuCJOJQJaJhKhu5? CJOJQJaJ$hRwihCCJOJQJaJmHsH$hRwihnxiCJOJQJaJmHsH$hRwihRwiCJOJQJaJmHsH$hRwihu-CJOJQJaJmHsHhRwihnxiCJOJQJaJSocial province Improved Raw Material Usage