Green Brand Innovativeness as a Facilitator of Sustainable Consumption: A Comparison of Born Green and Heritage Brands

Matija Sirc

Studenteropgave: Kandidatafhandlinger

Abstract

As the world faces impending danger of environmental degradation, companies are urged by institutions and society at large to re-think their business models and product offering. In order for companies to engage in green product innovations, their commercial success is of vital importance, as it incentivizes companies to partake in development of the latter. This thesis therefore tries to contribute to a relatively unexplored literature stream addressing consumer perceptions that would facilitate higher purchase intentions of green innovative products. As road mobility is one of the most significant contributors to environmental degradation, the automotive industry is chosen by the author to provide a contextual background and serve as a reference point for further delimitation of the topic. With the help of a quantitative research design, this study investigates the effect of green brand innovativeness on consumer purchase intentions, through brand reputation and perceived brand quality. Additionally, the thesis also introduces two sets of brands – heritage brands and born green brands, with the intent of observing quantifiable differences between the two.

Based on the data collected from 175 respondents residing in the Nordic countries, the hypothesized research framework is tested using mediation analysis. Results show that green brand innovativeness has both a direct and indirect positive effect on purchase intention, the latter being mediated by perceived brand quality. Moreover, the thesis empirically proves differentiating results between born green brands and heritage brands, where the direct effect of green brand innovativeness on purchase
intention exerts a stronger relationship among born green brands. Additionally, contrary to born green brands, brand reputation serves as a mediator in facilitating purchase intention among heritage brands.

Ultimately, the thesis contributes to existing literature on green innovative products by emphasizing the importance of green brand innovativeness and perceived brand quality as facilitators of sustainable consumption. Additionally, investigation of born green brands and heritage brands in their isolation provides managers with valuable insights in regards to brand management.

UddannelserCand.merc.imm International Marketing and Management, (Kandidatuddannelse) Afsluttende afhandling
SprogEngelsk
Udgivelsesdato2022
Antal sider124
VejledereMilena Micevski