ISSN: 2226-3624
Open access
Sustainable consumption is essential for humanity, achieved through the practice of sustainable lifestyles. Hence, renewable resource utilisation derived from ethical consumerism is necessary. The adoption of green transportation is a catalyst. A green car in Malaysia refers to either a hybrid vehicle (HV), plug-in hybrid electric vehicle (PHEV) or electric vehicle (EV). With 90 per cent of its vehicles being fossil-fueled, Malaysia is far behind in its aspiration to adopt green transportation. Hence, proactive actions must be taken to accelerate the adoption of green cars in Malaysia. As the challenges faced by Malaysia are different from other developed countries, this study looks into the moderating effect of tax exemption on the relationship between social influence and willingness to pay on purchase intention of green cars in Malaysia. Specifically, this study adopted marketing as the domain of study, with purchase intention as the central idea. It is a quantitative study based on the deductive research approach. This study chose the Theory of Planned Behaviour and Operant Conditioning Theory as its underpinning theories. The sampling technique adopted would be stratified random sampling via a self-constructed questionnaire. It will collect data from 384 respondents using a questionnaire and analyse it statistically using the SPSS and SmartPLS statistical tools.
Agmeka, F., Wathoni, R. N., & Santoso, A. S. (2019). The Influence of Discount Framing towards Brand Reputation and Brand Image on Purchase Intention and Actual Behaviour in E-Commerce. Procedia Computer Science, 161, 851-858. https://doi.org/10.1016/j.procs.2019.11.192
Ajzen, I., & Fishbein, M. (1969). The Prediction of Behavioural Intentions in Choice Situation. Journal of Experimental Social Psychology, 5(4), 400-416. DOI: org/10.1016/0022-1031(69)90033-X
Ali, A., Xiaoling, G., Ali, A. Sherwani, M., & Muneeb, F. M. (2019). Customer Motivations for Sustainable Consumption: Investigating the Drivers of Purchase Behavior for a Green-Luxury Car. Business Strategy and the Environment, 28(5), 833-846. https://doi.org/10.1002/ bse.2284
Al Manun, A., Masud, M. M., Fazal, S. A., & Muniady, R. (2019). Green Vehicle Adoption Behaviour among Low-Income Households: Evidence from Coastal Malaysia. Environmental Science and Pollution Research, 26, 27305-27318. https://doi.org/10.1007/s11356-019-05908-2
Amoussohoui, R., Arouna, A., Bavorova, M., Tsangari, H., & Banout, J. (2022). An Extended Canvas Business Model: A Tool for Sustainable Technology Transfer and Adoption. Technology in Society, 68, 101901. https://doi.org/10.1016/j.techsoc.2022.101901
Anisa, N. A., Arifin, S., Setyowati, L., Hidayah, N., & Megasari, A. D. (2020). Financial Literacy on Impulsive Buying Behavior in Y Generation. Quantitative Economics and Management Studies, 1(1), 70-75. https://doi.org/10.35877/454RI.qems80
Anosike, A., Loomes, H., Udokporo, C. K., & Garza-Reyes, J. A. (2021). Exploring the Challenges of Electric Vehicle Adoption in Final Mile Parcel Delivery. International Journal of Logistics Research and Applications, https://doi.org/10.1080/13675567.2021.1978409
Asadi, S., Nilashi, M., Iranmanesh, M., Ghobakhloo, M., Samad, S., Alghamdi, A., Almulihi, A., & Mohd, S. (2022). Drivers and Barriers of Electric Vehicle Usage in Malaysia: A DEMATEL Approach. Resources, Conservation and Recycling, 177, 105965, https://doi.org/10.1016/j.resconrec. 2021.105965
Asadi, S., Nilashi, M., Samad, S., Abdullah, R., Mahmoud, M., Alkinani, M. H., & Yadegaridehkordi, E. (2021). Factors Impacting Consumers’ Intention towards Adoption of Electric Vehicles in Malaysia. Journal of Cleaner Production, 282, 124474, https://doi.org/10.1016/j.jclepro.2020. 124474
Baptista, N., Alves, H., & Pinho, J. C. (2020). Uncovering the Use of the Social Support Concept in Social Marketing Interventions for Health. Journal of Nonprofit & Public Sector Marketing, https:// doi.org/10.1080/10495142.2020.1760999
Banerjee, S., Qu, H., & Zhao, R. (2022). Clarity Trumps Content: An Experiment on Information Acquisition in Beauty Contests. Journal of Economic Behavior & Organization, 195, 381-407. https://doi.org/10.1016/j.jebo.2022.01.009
Belisle-Pipon, J. (2022). Pharmaceutical Marketing Ethics: Ethical Standards for More Acceptable Practices. Journal of Global Marketing, 35(1), 76-98. https://doi.org/10.1080/08911762. 2021.1939469
Bernama. (2019). Green Transport the Way Forward. Retrieved from https://www. nst.com.my/cbt/2019/10/530681/green-transport-way-forward
Brase, G. L. (2019). What Would it Take to Get You into an Electric Car? Consumer Perceptions and Decision Making about Electric Vehicles. The Journal of Psychology, 153(2), 214-236. https:// doi.org/10.1080/00223980.2018.1511515
Buttenheim, A. M., Castillo-Neyra, R., Arevalo-Nieto, C., Shinnick, J. E., Volpp, K. G., Paz-Soldan, V., Behrman, J. R., & Levy, M. Z. (2021). Do Incentives Crowd out Motivation? A Feasibility Study of a Community Vector-Control Campaign in Peru. Behavioral Medicine. https://doi.org/10.1080 /08964289.2021.1977603
Carroll, P., Caulfield, B., & Ahern, A. (2021). Appraising an Incentive Only Approach to Encourage a Sustainable Reduction in Private Car Trips in Dublin, Ireland. International Journal of Sustainable Transportation, 15(6), 474-485.
https://doi.org/10.1080/15568318.2020.1765054
Castro-Pearson, S., Le, C. T., & Luo, X. (2022). Two-Sample Survival Probability Curves: A Graphical Approach for the Analysis of Time to Event Data in Clinical Trials. Contemporary Clinical Trials, 115, 106707.https://doi.org/10.1016/j.cct.2022.106707
Chen, K., Ren, C., Gu, R., & Zhang, P. (2019). Exploring Purchase Intentions of New Energy Vehicles: From the Perspective of Frugality and the Concept of “mianzi”. Journal of Cleaner Production, 230, 700-708. https://doi.org/10.1016/j.jclepro.2019.05.135
Chen, Y. S., Huang, A. F., Wang, T. Y., & Chen, Y. R. (2020). Greenwash and Green Purchase Behaviour: The Mediation of Green Brand Image and Green Brand Loyalty. Total Quality Management & Business Excellence, 31(1-2), 194-209. https://doi.org/10.1080/14783363.2018.1426450
Chen, W. K., Chen, C. W., & Lin, Y. C. (2020). Understanding the Influence of Impulse Buying toward Consumers’ Post-purchase Dissonance and Return Intention: An Empirical Investigation of Apparel Websites. Journal of Ambient Intelligence and Humanized Computing. https:// doi.org/10.1007/s12652-020-02333-z
Chouchani, N., & Abed, M. (2019). Enhance Sentiment Analysis on Social Networks with Social Influence Analytics. Journal of Ambient Intelligence and Humanized Computing, 11, 139-149. https://doi.org/10.1007/s12652-019-01234-0
Chow, D. (2020). Earth’s Oceans are Hotter than Ever – and Getting Warmer Faster. Retrieved from https://www.nbcnews.com/science/environment/earth-s-oceans-are-hotter- ever-getting-warmer-faster-n1114811
Chu, W., Im, M., Song, M. R., & Park, J. (2019). Psychological and Behavioural Factors Affecting Electric Vehicle Adoption and Satisfaction: A Comparative Study of Early Adopters in China and Korea. Transportation Research Part D: Transport and Environment, 76, 1-18. https://doi.org/10.1016/j.trd.2019.09.009
Clark, R. A., Haytko, D. L., Hermans, C. M., & Simmers, C. S. (2019). Social Influence on Green Consumerism: Country and Gender Comparisons between China and the United States. Journal of International Consumer Marketing, 31(3), 177-190. https://doi.org/10.1080/ 08961530.2018.1527740
Curtale, R., Liao, F., & Rebalski, E. (2022). Transitional Behavioural Intention to Use Autonomous Electric Car-Sharing Services: Evidence from Four European Countries. Transportation Research Part C: Emerging Technologies, 135, 103516. https://doi.org/10.1016/j.trc.2021. 103516
Davis, J. L., Love, T. P., & Fares, P. (2019). Collective Social Identity: Synthesizing Identity Theory and Social Identity using Digital Data. Social Psychology Quarterly, 82(3), 254-273. https://doi.org/ 10.1177%2F019 0272519851025
Detmer, T. M., & McCutchan, J. H. (2021). Design and Use of a Benthic Sled for Quantitative Sampling of Epibenthic Macroinvertebrates in Lakes. Lake and Reservoir Management, 37(3), 289-299. https://doi.org/10.1080/10402381.2021.1892886
DeWeese, J., Ravensbergen, L., & El-Geneidy, A. (2022). Travel Behaviour and Greenhouse Gas Emissions During the COVID-19 Pandemic: A Case Study in a University Setting. Transportation Research Interdisciplinary Perspectives, 100531. https://doi.org/10.1016/j.trip. 2021.100531
Dhandra, T. K. (2019). Achieving Triple Dividend through Mindfulness: More Sustainable Consumption, Less Unsustainable Consumption and More Life Satisfaction. Ecological Economics, 161, 83-90. https://doi.org/10.1016/j.ecolecon.2019.03.021
Ding, S., Lin, J., & Zhang, Z. (2020). Influences of Reference Group on Users’ Purchase Intentions in Network Communities: From the Perspective of Trial Purchase and Upgrade Purchase. Sustainability, 12(24). https://doi.org/10.3390/su122410619
Fernando, Y., Tseng, M. L., Sroufe, R., Abideen, A. Z., Shaharudin, M. S., & Jose, R. (2021). Eco-Innovation Impacts on Recycled Product Performance and Competitiveness: Malaysian Automotive Industry. Sustainable Production and Consumption, 28, 1677-1686. https:// doi.org/10.1016/j.spc.2021.09.010
Ferrara, F. M., & Angino, S. (2021). Does Clarity Make Central Banks More Engaging? Lessons from ECB Communications. European Journal of Political Economy, 102146. https://doi.org/10.1016/ j.ejpoleco.2021.102146
Ferrell, O. C., & Ferrell, L. (2021). New Directions for Marketing Ethics and Social Responsibility Research. Journal of Marketing Theory and Practice, 29(1), 13-22. https://doi.org/10.1080/ 10696679.2020.1860686
Gangneux, J. (2021). ‘It is an Attitude’: The Normalisation of Social Screening via Profile Checking on Social Media. Information, Communication & Society, 24(7), 994-1008. https://doi.org/ 10.1080/1369118X.2019.1668460
Garcia-Madariaga, J., Virto, N. R., & Lopez, M. F. B. (2022). Scanning Museumgoers Willingness to Pay More. International Journal of Hospitality & Tourism Administration, 23(1), 88-106. https:// doi.org/10.1080/15256480.2019.1708222
Haar, A., Haeske, A. B., Kleen, A., Schmettow, M., Verwey, W. B. (2022). Improving Clarity, Cooperation and Driver Experience in Lane Change Manoeuvres. Transportation Research Interdisciplinary Perspectives, 13, 100553. https://doi.org/10.1016/j.trip.2022.100553
Hadfield, M. (2021). Co-op Group Report on Ethical Consumption says Shoppers Need Help to Do the Right Thing. Retrieved from https://www.thenews.coop/158219/sector/retail/ co-op-group-report-on-ethical-consumption-says-shoppers-need-help-to-do-the-right-thing/
Huang, X., & Ge, J. (2019). Electric Vehicle Development in Beijing: An Analysis of Consumer Purchase Intention. Journal of Cleaner Production, 216, 361-372. https://doi.org/10.1016/j.jclepro. 2019.01.231
Idris, I., Hoque, M. E., Susanto, P., & Poon, W. C. (2022). Willingness to Pay for the Preservation of Urban Green Space in Indonesia. Cogent Economics & Finance, 10(1), https://doi.org/10. 1080/23322039.2021.2008588
Japutra, A., & Song, Z. (2020). Mindsets, Shopping Motivations and Compulsive Buying: Insights from China. Journal of Consumer Behaviour, 19(5), 423-437. https://doi.org/10.1002/cb.1821
Jung, S., & Jin, B. E. (2021). Slow Fashion Branding: Understanding What Consumers Value Most. Journal of Brand Management, https://doi.org/10.1057/s41262-021-00256-4
Katare, B., Wetzstein, M., & Jovanovic, N. (2019). Can Economic Incentive Help in Reducing Food Waste: Experimental Evidence from a University Dining Hall. Applied Economics Letters, 26(17), 1448-1451. https://doi.org/10.1080/13504851.2019.1578856
Kim, Y. K., & Sullivan, P. (2019). Emotional Branding Speaks to Consumers’ Heart: The Case of Fashion Brands. International Journal of Interdisciplinary Research, Fashion & Textiles, 6(2), https:// doi.org/10.1186/s40691-018-0164-y
Krejcie, R. V., & Morgan, D. W. (1970). Determining Sample Size for Research Activities. Educational and Psychological Measurement, 30(3)607-610. https://doi.org/10.1177%2F00131644700 3000308
Kyto, E., Virtanen, M., & Mustonen, S. (2019). From Intention to Action: Predicting Purchase Behaviour with Consumers’ Product Expectations and Perceptions, and Their Individual Properties. Food Quality and Preference, 75, 1-9. https://doi.org/10.1016/j.foodqual. 2019.02.002
Li, W., Long, R., Chen, H., Dou, B., Chen, F., Zheng, X., & He, Z. (2020). Public Preference for Electric Vehicle Incentive Policies in China: A Conjoint Analysis. International Journal of Environmental Research and Public Health, 17(1), 318. https://doi.org/10.3390/ijerph17010318
Madden, A. D. (2021). A Review of Basic Research Tools without the Confusing Philosophy. Higher Education Research & Development. https://doi.org/10.1080/07294360.2021.1920895
Matta, C. (2021). Philosophical Paradigms in Qualitative Research Methods Education: What is Their Pedagogical Role? Scandinavian Journal of Educational Research. https://doi.org/10.1080/ 00313831.2021.1958372
Mathivathanan, D., Agarwal, V., Mathiyazhagan, K., Saikouk, T., & Appolloni, A. (2022). Modeling the Pressures for Sustainability Adoption in the Indian Automotive Context. Journal of Cleaner Production, 130972. https://doi.org/10.1016/j.jclepro.2022.130972
Mishra, S., Malhotra, G., Chatterjee, R., & Shukla, Y. S. (2021). Impact of Self-Expressiveness and Environmental Commitment on Sustainable Consumption Behaviour: The Moderating Role of Fashion Consciousness. Journal of Strategic Marketing, https://doi.org/10.1080/0965254X. 2021.1892162
Mukherjee, S. C., & Ryan, L. (2020). Factors Influencing Early Battery Electric Vehicle Adoption in Ireland. Renewable and Sustainable Energy Reviews, 118. https://doi.org/10.1016/j.rser.2019. 109504
Nazari, F., Rahimi, E., Mohammadian, A. K. (2019). Simultaneous Estimation of Battery Electric Vehicle Adoption with Endogenous Willingness to Pay. eTransportation, 1. https://doi.org/10.1016/ j.etran.2019.100008
Nguyen, A. (2021). What is Ethical Consumerism? Retrieved from https://compare ethics.com/ethical-consumerism/
Nunez, C. (2022). Sea Level Rise, Explained. Retrieved from https://www.national geographic.com/environment/article/sea-level-rise-1
Ong, Z. Y., Lau, J. L., & Zainudin, N. (2021). Money Attitude, Materialism and Compulsive Buying among Malaysian Young Adults. Management Science Letters, 11(1), 281-290. http://dx.doi.org/ 10.5267/j.msl.2020.8.005
Ortman, S., & Cooper, Z. (2021). Artifact Density and Population Density in Settlement Pattern Research. Journal of Archaeological Science: Reports, 39, 103189. https://doi.org/10.1016 /j.jasrep.2021.103189
Osei-Frimpong, K., Donkor, G., & Owusu-Frimpong, N. (2019). The Impact of Celebrity Endorsement on Consumer Purchase Intention: An Emerging Marketing Perspective. Journal of Marketing Theory and Practice, 27(1), 103-121.
https://doi.org/10.1080/10696679.2018.1534070
Prentice, C., Han, X. Y., Hua, L. L., & Hu, L. (2019). The Influence of Identity-Driven Customer Engagement on Purchase Intention. Journal of Retailing and Consumer Services, 47, 339-347. https://doi.org/10.1016/j.jretconser.2018.12.014
Raji, R. A., Rashid, S. M., & Ishak, S. M. (2019). Consumer-Based Brand Equity (CBBE) and the Role of Social Media Communications: Qualitative Findings from the Malaysian Automotive Industry. Journal of Marketing Communications, 25(5), 511-534.
https://doi.org/10.1080/13527266. 2018.1455066
Reis, R. A., Grant-Muller, S., Lovelace, R., & Hodgson, F. (2022). Different People, Different Incentives? Examining the Public Acceptance of Smartphone-Based Persuasive Strategies for Sustainable Travel using Psychographic Segmentation. International Journal of Sustainable Transportation, 16(1), 1-21.
https://doi.org/10.1080/15568318.2020.1836693
Roje, R., Tomic, V., Buljan, I., & Marusic, A. (2021). Development and Implementation of Research Integrity Guidance Documents: Explorative Interviews with Research Integrity Experts. Acc- ountability in Research. https://doi.org/10.1080/08989621.2021.1989676
Saleki, R., Quoquab, F., & Mohammad, J. (2019). What drives Malaysian consumers’ Organic Food Purchase Intention? The Role of Moral Norm, Self-Identity, Environmental Concern and Price Consciousness. Journal of Agribusiness in Developing and Emerging Economies, 9(5), 584- 603. https://doi.org/10.1108/JADEE-02-2019-0018
Saunders, M. N. K., Lewis, P., Thornhill, A., & Bristow, A. (2015). Understanding Research Philosophy and Approaches to Theory Development. In: Saunders, Mark N. K.; Lewis, Philip and Thornhill, Adrian eds. Research Methods for Business Students. Harlow: Pearson Education, pp. 122- 161. http://catalogue.pearsoned.co.uk/educator/product/Research-Methods-for-Business-S tudents/9781292016627.page
Sekaran, U., & Bougie, R. (2016). Research Methods for Business: A Skill-Building Approach (7th Ed). United Kingdom: John Wiley & Sons Ltd.
Shah, S. K., & Zhongjun, T. (2021). Elaborating on the Consumer’s Intention-Behaviour Gap regarding 5G Technology: The Moderating Role of Product Market-Creation Ability. Technology in Society, 66, 101657 https://doi.org/10.1016/j.techsoc.2021.101657
Shahjehan, A., & Qureshi, J.A. (2019). Personality and Impulsive Buying Behaviours. A Necessary Condition Analysis. Economic Research, 32(1), 1060-1072. https://doi.org/10.1080/1331677X. 2019.1585268
Shanmugavel, N., & Michael, M. (2022). Exploring the Marketing Related Stimuli and Personal Innovativeness on the Purchase Intention of Electric Vehicles through Technology Acceptance Model. Cleaner Logistics and Supply Chain, 3, 100029. https://doi.org/10.1016/j.clscn.2022. 100029
Shapiro, S. L., Reams, L., & So, K. K. F. (2019) Is it Worth the Price? The Role of Perceived Financial Risk, Identification and Perceived Value in Purchasing Pay-Per-View Broadcasts of Combat Sports. Sports Management Review, 22(2), 235-246. DOI: org/10.1016/j.smr.2018.03.002
Thompson, S., Naidoo, K., Gonzalez-Alvarez, C., Harris, G., & Loughman, J. (2021). Willingness to Pay for Improved Vision in Mozambique. Development Southern Africa, 38(2), 297-310. https:// doi.org/10.1080/0376835X.2020.1835607
Velde, V. L. (2022). Heterogeneous Norms: Social Image and Social Pressure When People Disagree. Journal of Economic Behavior & Organization, 194, 319-340. https://doi.org/10.1016/j.jebo. 2021.12.013
Vicente, A. (2021). Approaches to Co-Prediction: Inherent Polysemy and Metaphysical Relations. Journal of Pragmatics, 182, 348-357. https://doi.org/10.1016/j.pragma.2021.02.007
Wang, H., Ma, B., Bai, R., & Zhang, L. (2021). The Unexpected Effect of Frugality on Green Purchase Intention. Journal of Retailing and Consumer Services, 59. https://doi.org/10.1016/ j.jretconser.2020.102385
Wang, M. Z., & Hall, J. A. (2020). Lab to Life: Impression Management Effectiveness and Behaviours. Social Influence, 15(1), 46-63. https://doi.org/10.1080/15534510.2020.1785545
Wang, W., Zhou, J. & Liao, G. (2019). What Do Your Eyes Say about Your Conformity? An Observation on the Number of Sales during Online Shopping. Human Aspects of IT for the Aged Population. Social Media, Game and Assistive Environments, 11593, 87-96. https://doi.org/10.1007/978- 3-030-22015-0_7
Wicki, M., Bruckmann, G., Quoss, F., & Bernauer, T. (2022). What do We Really Know about the Acceptance of Battery Electric Vehicles? – Turns Out, Not Much. Transport Reviews, https:// doi.org/10.1080/01441647.2021.2023693
Wikipedia Contributors. (2021). Sustainable Development Goal 12. Retrieved from https://en.wikipedia.org/wiki/Sustainable_Development_Goal_12
Yang, S. C., Chang, R. M., & Hsu, C. J. (2019). Post-purchase Dissonance of Mobile Games Consumer. In: Lin, J.W., Ting, I.H., Tang, T. & Wang K. (Eds) Multidisciplinary Social Networks Research. MISNC 2019. Communications in Computer and Information Science, vol 1131. Springer, Singapore. https://doi.org/10.1007/978-981-15-1758-7_8
Zhang, J. J. (2020). Ethical Issues in Research. International Encyclopedia of Human Geography (Second Edition), 299-302. https://doi.org/10.1016/B978-0-08-102295-5.10176-3
Zhang, T., Tao, D., Qu, X., Zhang, X., Zeng, J., Zhu, H., & Zhu, H. (2020). Automated Vehicle Acceptance in China: Social Influence and Initial Trust are Key Determinants. Transportation Research Part C: Emerging Technologies, 112, 220-233. https://doi.org/10.1016/j.trc.2020.01.027
Zhang, X. J., Li, E. Y., Leung, C. K. S., Musch, D. C., Zheng, C. R., He, M. G., Chang, D. F., & Lam, D. S. C. (2021). Willingness to Pay for Cataract Surgery in Baiyin District, Northwestern China. Ophthalmic Epidemiology, 28(3), 205-212. https://doi.org/10.1080/09286586.2020.1812089
Zhang, X., Shao, X., Jeong, E. H., & Jang, S.C. (2021). The Effects of Restaurant Green Demarketing on Green Skepticism and Dining Intentions: Investigating the Roles of Benefit Associations and Green Reputation. International Journal of Hospitality Management, 97, 103007. https:// doi.org/10.1016/j.ijhm.2021. 103007
Zhuge, C., Wei, B., Shao, C., Dong. C., Meng, M., & Zhang, J. (2020). The Potential Influence of Cost- Related Factors on the Adoption of Electric Vehicle: An Integrated Micro-Simulation Approach. Journal of Cleaner Production, 250. https://doi.org/10.1016/j.jclepro.2019.119479
Zulauf, K., Cechella, F. S., & Wagner, R. (2021). The Bidirectionality of Buying Behavior and Risk Perception: An Exploratory Study. The International Review of Retail, Distribution and Consumer Research, 31(5), 566-590. https://doi.org/10.1080/09593969.2021.1936596
In-Text Citation: (Khaw et al., 2022)
To Cite this Article: Khaw, T. B., Huam, H. T., & Sade, A. B. (2022). Moderating Effect of Tax Exemption on Purchase Intention of Green Cars in Malaysia. International Journal of Academic Research in Business and Social Sciences, 12(12), 37–51.
Copyright: © 2022 The Author(s)
Published by Human Resource Management Academic Research Society (www.hrmars.com)
This article is published under the Creative Commons Attribution (CC BY 4.0) license. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this license may be seen at: http://creativecommons.org/licences/by/4.0/legalcode