Environmental issues: managing product switching intentions among Indonesian consumers

2018 ◽  
Vol 12 (1) ◽  
pp. 99-116 ◽  
Author(s):  
Burhanudin Burhanudin ◽  
David Ferguson

Purpose This study aims to explore the factors that make Indonesian consumers differ in their intentions to switch to products that are more eco-friendly than their current products. Design/methodology/approach Consumers’ experiences with their current product and evaluation of its more eco-friendly alternative were simulated; the effects on intention to switch to the better product were then investigated. Findings This study found that the differences in intentions to switch are attributable to loss aversion and focusing illusion. When consumers follow the principle of loss aversion (exaggeration of greater loss than gain), they are more likely to switch to leave unattractive product (i.e. a product that they perceive as contributing to environmental degradation) than when they do not. Also, when consumers experience focusing illusion concerning the environment (determining happiness based on environmental conditions), they are more likely to switch to make their lives happier than when they do not. Practical implications In managing consumer intention to switch, companies should effectively communicate how their products save the environment. This communication could make their customers less likely to give up their current products to live happier lives. Similarly, companies could encourage target customers to switch to their products by arguing that giving up their current products would help them live happier lives. Originality/value This study provides empirical evidence that perceived budget constraints may not inhibit consumers from switching to more eco-friendly products to live happier lives.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Joseph Emmanuel Tetteh ◽  
Christopher Boachie

PurposeThis paper attempts to investigate the influence of psychological biases on saving decision-making of bank customers in Ghana.Design/methodology/approachIt employs weighted least squares regression to test the effect of psychological biases on savings decisions of bank customers.FindingsThe findings show that all the nine psychological biases, namely mental accounting, availability, loss aversion, representativeness, anchoring, overconfidence, status quo, framing effect and disposition effect employed for the study have a significant influence on saving decision of bank customers. The results depict that psychological biases are entrenched in the saving pattern of bank customers in Ghana.Practical implicationsFor policy purposes, the study recommends that bank customers need to enhance their knowledge of psychological biases in order to improve their gains from savings, and not to fall prey to these prejudices. The satisfied customer is a dependable source of bank viability and survival.Originality/valueTo the best of the knowledge of the author, this study provides the first empirical evidence of the influence of psychological biases on saving decisions of bank customers in Ghana. The findings of this study will enhance knowledge on the influence of psychological biases on individual decision-making and will accentuate the fact that the individual is not an entirely rational being.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Marcelo Fernandes Pacheco Dias ◽  
Juliany Souza Braga

Purpose Literature on eco-innovation brings insights that help to understand which factors trigger innovation focused on sustainability in companies. However, when analyzing the studies that comprise such drivers, it appears that most of them were focused only on describing them in isolation. Therefore, this study aims to understand which are the combinations of drivers that favor the adoption of eco-innovation in slaughterhouses located in the Brazilian state of Rio Grande do Sul. Design/methodology/approach This study has used the crisp-set qualitative comparative analysis (csQCA) as the data analysis technique, in addition to the previous application of Most Similar Different Outcome/Most Different Same Outcome (MSDO/MDSO). Findings This study identified eight internal and external drivers that explain the differences in performance of eco-innovative and non-innovative slaughterhouses. These drivers generate 13 combinations of factors capable of favoring the adoption of five types of eco-innovation. Research limitations/implications A limitation identified was the difficulty to obtain information held by companies on environmental issues. In addition, in each company the authors only approached one respondent. Practical implications The use of combinations is identified by companies and governmental and non-governmental organizations to promote eco-innovation in slaughterhouses. Originality/value This study may be considered original for its contribution to the improvement of eco-innovation literature by describing how the drivers identified combine to favor the adoption of certain types of eco-innovation. In addition, the authors also made an original use of csQCA, linked with MSDO/MDSO, in the field of eco-innovation.


2015 ◽  
Vol 31 (4) ◽  
pp. 25-27

Purpose – This paper aims to review the latest management developments across the globe and pinpoint practical implications from cutting-edge research and case studies. Design/methodology/approach – This briefing is prepared by an independent writer who adds his own impartial comments and places the articles in context. Findings – Environmental concern has become an influential factor in the purchase decision-making of an increasing number of consumers. Such individuals are invariably positive toward green products. In addition, there is a willingness to shun organizations that fail to take their responsibilities in this area seriously. Marketers have naturally sought to ascertain what motivates people to engage in ecologically friendly consumption activities. To date, it has been widely assumed that preferences are mainly determined by characteristics and attitudes associated with the individual concerned. Approaches of this type would typically consider a person’s values, beliefs, norms and knowledge pertaining to environmental issues. Information like this clearly offers some useful pointers. However, it has thus far not proved able to make consistently accurate behavioral predictions. Practical implications – The paper provides strategic insights and practical thinking that have influenced some of the world’s leading organizations. Originality/value – The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy-to-digest format.


Author(s):  
Susan Albers Mohrman ◽  
Edward E. Lawler III

Purpose – The purpose of this paper is to examine design features that enable an organization to address today's complex and increasingly pressing global issues in ways that are sustainably effective. It identifies key social and environmental issues and reviews research examining how organizations can respond to them. Design/methodology/approach – Research and theory on the interface between organizations and their environments are reviewed and evaluated. Proposals are offered with respect to organizing and designing to be sustainably effective. Findings – There is a significant knowledge gap about how organizations can perform in sustainably effective ways. The globalization of business, increased stakeholder expectations, and environmental issues have created major challenges for corporations. Research that focusses on creating a sustainable future is needed. Practical implications – Leaders need to help their organization envision new strategies and purposes, and companies will have to develop new capabilities and fundamentally alter their designs. Originality/value – Important new points about the types of outcomes organizations need to produce and how they can be structured and managed in order to produce them.


2020 ◽  
Vol 62 (5) ◽  
pp. 427-452
Author(s):  
Yasmine Souissi ◽  
Bassem Salhi ◽  
Anis Jarboui

Purpose The purpose of this paper is to document the relation between the bank’s regional CEO’s emotional bias (optimism and loss aversion) and the delegation of decision rights to the account manager. Design/methodology/approach The partial least squares (PLS) method is applied to investigate the degree to which bank’s regional CEO delegate decisions and the circumstances that drive variation in delegation. Findings The results show that delegation does not appear to be monolithic; instead, the results show that delegation varies with the personal characteristics of the bank’s regional CEO. Practical implications Banks are invited to take into account the effect of the emotional biases of the directors on the delegation of its power. Originality/value The authors put forward an original effort that is intended to discuss in particular the effect of psychological biases on the decentralization of the decision-making rights.


2015 ◽  
Vol 43 (12) ◽  
pp. 1162-1181 ◽  
Author(s):  
Elaine L Ritch

Purpose – The purpose of this paper is to explore consumer perceptions and understanding of sustainable concepts within the context of fashion consumption. Design/methodology/approach – Phenomenological interviews provided a platform to explore fashion sustainability and garment labels from current UK high street fashion retailers were used to stimulate discussion. Findings – The findings identify confusion of how sustainability applies to fashion, particularly for environmental issues and there was scepticism regarding higher pricing for organic cotton. However, motivation to avoid fashion produced under exploitation resulted in avoiding retailers alleged of such practice, paying more for garments and purchasing from established UK retailers. Research limitations/implications – The idiographic nature of a phenomenological approach may be considered as a limitation, yet this in-depth exploration of participants with similar socio-demographics enables a rich understanding of the discourse experienced within their lifeworlds. Practical implications – The findings illustrate that consumers are transferring sustainable principles from one context to another, and that by addressing sustainability, fashion retailers could obtain a competitive advantage. Social implications – The findings demonstrate consumers’ increased involvement with sustainability and the role expected from fashion retailers. Originality/value – The research uniquely positions consumers’ reliance on heuristics to guide sustainable preferences, due to the lack of information and this implies that sustainable concepts are increasingly incorporated into everyday behaviours.


2017 ◽  
Vol 8 (1) ◽  
pp. 43-76 ◽  
Author(s):  
Lachlan McDonald-Kerr

Purpose This paper aims to examine how social and environmental issues were accounted for and traded off within decision-making for Australia’s largest seawater desalination plant. This is done through an investigation of disclosures contained within key publicly available documents pertaining to the project. Design/methodology/approach The study deploys content analysis to initially identify relevant disclosures. Themes and subthemes are based on definitions of social and environmental accounting adapted from prior research. Relevant information was used to develop “silent accounts” to identify and analyse accountability issues in the case. Findings It was found that a number of claims made throughout reporting were unsupported or insufficiently explained. At the same time, it is found that various forms of basic measurements used to describe social and environmental issues conveyed the rationale of decision makers. It is concluded that many of the claims were asserted rather than evidenced; yet, the manner and context of their presentation gave them the appearance of being incontestable truths. Further, it is argued that the portrayal of social and environmental issues through measurable means is emblematic of values associated with contemporary neoliberal and public sector reforms. Research limitations/implications The findings and conclusions of this study are contextually bound and therefore limited to this case. Practical implications This paper illustrates problems with the reporting of non-financial information and strengthens our understanding of the use of “silent accounting”. It illustrates the value of this approach to research examining accounting and accountability issues. Originality/value The findings contribute to the literature on social and environmental accounting by providing unique empirical analysis of non-financial disclosures within publicly available reporting.


2014 ◽  
Vol 21 (5) ◽  
pp. 835-850 ◽  
Author(s):  
Gareth R.T. White ◽  
Peter James

Purpose – The purpose of this paper is to develop an approach to process mapping (Pmapping) that incorporates the identification of environmental wastes. Design/methodology/approach – The proposed extension of the PMapping technique is independently trialled by ten Industrial Engineers in manufacturing SMEs in South Wales. Interviews were conducted with each Engineer after the mapping technique was trialled, in order to understand the benefits and difficulties of using the approach. Findings – Integrating the identification of “green wastes” within the PMapping tool is found to be an effective way of focusing attention upon the environmental impact of activities within processes. Combining “green and lean” is also an approach that cements environmental issues into an organisation's continuous improvement efforts and can assist in it becoming part of its improvement philosophy. Research limitations/implications – The tool has been trialled within a limited number of small- to medium-sized manufacturing organisations. Further examination of the tool should be conducted in organisations in different business sectors utilising a range of process technologies. Practical implications – The proposed tool appears effective in aiding the identification of environmental wastes in manufacturing processes. It also has value in integrating environmental improvement initiatives with other process improvement initiatives. Originality/value – PMapping techniques are well known in the literature, and in practice, but none have been identified that incorporate the identification of environmental wastes.


2015 ◽  
Vol 6 (1) ◽  
pp. 79-102 ◽  
Author(s):  
Laura de Zwaan ◽  
Mark Brimble ◽  
Jenny Stewart

Purpose – Environmental, social and governance (ESG) risks have the potential to negatively impact financial returns, yet few superannuation funds integrate these considerations into their investment selection. The Cooper Review (2010) identified a lack of member demand as a key impediment to ESG investing by superannuation funds. Given this problem, the aim of this study is to explore superannuation fund members’ perceptions of ESG investing by their funds in order to identify reasons for the lack of demand. Design/methodology/approach – An on-line survey was developed and distributed to assess possible reasons why members do not select ESG investment options. In total, 549 Australian superannuation fund members responded to the survey. Findings – Results indicate that the majority of superannuation fund members are interested in ESG investing. Members lack awareness of their fund’s approach to ESG investing, and they do not perceive there to be a financial penalty from ESG investing. Finally, members show a preference for consideration of governance issues over both social and environmental issues. Research limitations/implications – Respondents are well educated and the majority did not choose their superannuation fund. There was no measure of financial literacy included in the research instrument. There is also a general limitation in surveying superannuation fund members when they lack knowledge about superannuation. Practical implications – The results indicate that superannuation members are interested in both superannuation and ESG investing. Given the low take-up of ESG investment options, this finding raises the question of how effectively funds are engaging their members. Social implications – The results should be of interest to superannuation funds and may lead to renewed interest in promoting ESG products. Originality/value – This is the first study to examine superannuation members’ attitudes and behaviours towards ESG investing in the context of superannuation. The study also adds to our understanding of member decision-making in the $1.8 trillion superannuation industry.


2019 ◽  
Vol 32 (4) ◽  
pp. 455-471
Author(s):  
Jorge Cruz-Cárdenas ◽  
Jorge Guadalupe-Lanas ◽  
Ekaterina Zabelina ◽  
Andrés Palacio-Fierro ◽  
Margarita Velín-Fárez ◽  
...  

Purpose The purpose of this paper is to understand in-depth how consumers create value in their lives using WhatsApp, the leading mobile instant messaging (MIM) application. Design/methodology/approach The study adopts the perspective of customer-dominant logic (CDL) and uses a qualitative multimethod design involving 3 focus groups and 25 subsequent in-depth interviews. The research setting was Ecuador, a Latin American country. Findings Analysis and interpretation of the participants’ stories made it possible to identify and understand the creation of four types of value: maintaining and strengthening relationships; improving role performance; emotional support; and entertainment and fun. In addition, the present study proposes a conceptual model of consumer value creation as it applies to MIM. Practical implications Understanding the way consumers create value in their lives using MIM is important not only for organizations that offer MIM applications, but also for those companies that develop other applications for mobile phones or for those who wish to use MIM as an electronic word-of-mouth vehicle. Originality/value The current study is one of the first to address the topic of consumer behavior in the use of technologies from the perspective of CDL; this perspective enables an integrated qualitative vision of value creation in which the consumer is the protagonist.


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