EFFECT OF GREEN MARKETING PRACTICE ON SOCIALLY RESPONSIBLE BEHAVIOUR AMONG MILLENIALS IN MICHAEL OKPARA UNIVERSITY OF AGRICULTURE, UMUDIKE UMUAHIA ABIA STATE

ABSTRACT

The study investigated on the effect of green marketing practice on socially responsible behaviour among millennials in Michael Okpara University of agriculture, Umudike. The major objectives of the study are; to identify drivers of sustainability purchasing among millennials, to identify millenials awareness level of green marketing practices by firms and which consider important when buying a product, to identify the influence of green marketing practice of buying behaviour of millennials and to examine influence of social media on socially responsible behaviour of millennials.  To achieve the objectives of the study, survey research design method was adopted. The researcher adopted primary data in getting the required information. The population of the study is made up of all the students of Michael Okpara University of agriculture Umudike. While the sample is made up of 120 after adopting multi-stage sampling techniques. In testing the hypotheses, simple regression analysis was used. The findings revealed that Consumers are strongly urged to sustainability practice. The findings further revealed that major medium through which the respondents receive information regarding to green marketing product and sustainability are television, magazines/newspapers, social media, internet ads/search engines and friends/relatives. Perceived drivers of sustainability purchase are international standard, quality (satisfaction), education/ awareness, expected benefit and social responsibility. The researcher recommends that consumers should be able to easily differentiate green products from the non-green based on their knowledge and exposure to social media. Further, the price on the green products should be affordable to encourage purchase. The study also recommends that marketers should emphasis on providing clear information about green products to promote consumer familiarization with products and enhance their knowledge of green products.

TABLE OF CONTENTS

Title Page............................................................................................................ i

Declaration................................................................................................ ii

Certification............................................................................................. iii

Dedication................................................................................................ iv

Acknowledgements................................................................................... v

Table of Contents.................................................................................................... vi

List of Tables....................................................................................................... ix

Abstract..................................................................................................... x

CHAPTER ONE: INTRODUCTION

1.1 Background of the study ................................................................................................................... 1

1.2 Statement of Problem..................................................................................................... 6

1.3 Objectives of the study ................................................................................................................... 8

1.4 Research Questions ................................................................................................................... 8

1.5 Research Hypothesis ............................................................................................................................................... 9

1.6 Significant and Justification of the Study ................................................................................................................... 9

1.7 Scope of the Study ................................................................................................................. 10

1.8 Operational Definition of Terms ................................................................................................................. 10

CHAPTER TWO: REVIEW OF RELATED LITERATURE

2.1 Conceptual Framework............................................................................................... 12

2.1.1 General overview of green marketing................................................................................................. 12

2.1.2 Characteristics of green marketing ................................................................................................................. 13

2.1.3 Benefits of green marketing ................................................................................................................. 14

2.1.4 Adoption of green marketing in firms ................................................................................................................. 16

2.1.5 Challenges of green marketing................................................................................................. 18

2.1.6 Green marketing practice ................................................................................................................. 22

2.1.6 The principles of green marketing ................................................................................................................. 23

2.1.7 Green marketing and consumerism ................................................................................................................. 24

2.1.8 Benefit of green marketing and green product development ................................................................................................................. 26

2.1.9 Factors influencing attitudes and purchase behaviour of green products................................................................................................... 27

2.1.10 Generation Y (The Millenials)............................................................................................... 30

2.1.11 Generation X (The Millenials)............................................................................................... 32

2.1.12 Characteristics of generation X.............................................................................................................. 33

2.1.13 Comparison between generation X and Y and most preferred.................................................................................................. 33

2.1.14 Factors influencing the attitude-behaviour gap........................................................................................................... 34

2.2 Theoretical framework............................................................................................... 41

2.2.1 The institutional theory....................................................................................................... 41

2.2.2. The stakeholder theory....................................................................................................... 41

2.2.3 Functional Value ................................................................................................................. 42

2.2.4 Social Value ................................................................................................................. 43

2.2.5 Attitude behavior gap theory....................................................................................................... 43

2.3 Empirical review...................................................................................................... 45

2.4 Gap in the literature                        .......................................................................... 49

CHAPTER THREE: RESEARCH METHODOLOGY

3.1 Research design ................................................................................................................. 51

3.2 Area of study........................................................................................................ 51

3.3 Population of the study........................................................................................................ 52

3.3.1 Determination of sample size ................................................................................................................. 52

3.4 Method of data collection................................................................................................. 52

3.7 Method of Data Analysis................................................................................................... 53

3.8 Model Specification............................................................................................ 53

3.9 Validity of Instrument ................................................................................................................. 54

3.10 Reliability of Instrument................................................................................................ 55

CHAPTER FOUR

4.1 Data presentation, analysis and discussion on findings.................................................................................................... 56

4.2 Distribution of respondents based on awareness level of green marketing practices by      firms ................................................................................................................. 58

4.3 Distribution of respondents based on consumer self-identification to green concern ................................................................................................................. 58

4.4 Drivers of Sustainability Purchase................................................................................................... 60

4.5 Information regarding green product and sustainability ................................................................................................................. 61

4.6 Green consumption behavior based on exposure to social media....................................................................................................... 62

4.7 Factors that encourage green marketing practice of millennials for responsible            behavior ................................................................................................................. 64

CHAPTER FIVE: SUMMARY OF FINDINGS, CONCLUSION AND RECOMMENDATIONS

5.1 Summary of Findings................................................................................................... 66

5.2 Conclusion............................................................................................... 66

5.3 Recommendations................................................................................... 67

References............................................................................................... 68

Appendix ................................................................................................................. 76

LIST OF TABLES

Table 4.1: The demographic profile of millennials in the study ................................................................................................................. 56

Table 4.2: Distribution of Respondents Based On Awareness Level Of Green Marketing Practices By Firms........................................................................................................ 58

Table 4.3: Distribution of Respondents Based on Consumer Self-Identification to Green   Concern................................................................................................... 59

Table 4.4: Drivers of Sustainability Purchase................................................................................................... 60

Table 4.5: Information Regarding Green Product and Sustainability........................................................................................... 61

Table 4.6: Green consumption behavior based on exposure to social media....................................................................................................... 63

Table 4.7: Factors that encourage green marketing practice of millennials for responsible behavior................................................................................................... 64

CHAPTER ONE

INTRODUCTION

1.1 Background of the study

As the world continues to witness increasing environmental threats and other disasters such as climate change, pollution, etc. mainly as a result of man's activities, one key challenge to companies and consumers today is how to preserve and protect the earth natural environment and it's finite resources. The release of poisonous gas into the atmosphere by companies during production and the dumping of refuse at undesignated points causes air pollution and environmental issues. Globally, The World Health Organization (WHO) (2012) estimates 4.3 million fatalities are attributed to air pollution. The breathing of polluted air have severe health effects such as asthma and increased cardiovascular risks. More so, oil/energy sector activities for the provision of raw materials needed in the production of goods and services have also resulted in pollution of land, atmosphere, vegetation and rivers. (Eloamaka Carol Okonkwo, 2017). This suggests or implies that production and consumption of goods have led to the emergence of a large number of environmental problems faced by Nigerians in general.

In practice we can each think of situations in which people do not engage in green activities with serious implication on social, economic and the environment (Dahlstrand,2010). For instance there has been occasions where many of us failed to purchase environmentally sound products despite the wide awareness, availability and incentives.This explains the view in quantitative studies, that pro-environmental attitudes rarely translate into actual green consumption behavior (Yeonshin Kim and Sejung Marina Choi, 2005) . This attitude by persons who profess to practice green purchasing but are reluctant to adhere to its dictates which coined the attitude-behavoir gap and represents a significant challenge threatening continued growth of the green industry (Kanen and Heinonen, 2009).

In order to deepen behavior, companies have resorted to green marketing and production of eco-friendly or green products that have less harmful effect on the environment, than the conventional products (Sen, 2014). According to 2016 Mediafacts reports, about 45.2 billion naira was spent by companies on promotional advertisements in creating awareness for green marketing practices. As a result consumers are becoming more and more aware of environmental problems and are actively trying to reduce their impact on the environment by buying green products. The term green has become a major element driving the social responsibility behavior of a number of consumers throughout the world, to find out how they can live more environmentally friendly life (Sen, 2014).

The growth of social media or networking have advanced the awareness, understanding and practice of green consumption and importance of sustainable practice around the world (Andrew Perrin, 2015). Social media has supported green marketing strategies to widespread companies’ attitudes and behaviors towards social and environmental concerns. It has helped companies to share their current practices in the various platforms, and to verify their real behaviors. A shift towards more transparent management operations that have lead into higher information disclosure that benefits companies giving legitimacy, and its stakeholders by raising their trust upon companies. Companies’ goals have included promoting sustainability among its stakeholders, and influence people’s behaviors to reduce their environmental impacts (OECD, 2009).  The prevalence of environmental issues in the media and social environment has encouraged a large majority of consumers to develop environment attitudes and intention to purchase green products and perform green behavior (Peattie, 2010).

Promoting green purchase behavior means encouraging and persuading people to buy environmental friendly products. By adopting green marketing practices, firms can emphasize their social responsibility and promote their business as friends of the environment. Effective green marketing practices by companies can lead to social induced behavior for consumers to go green thus boosting green purchase (Tan and Yeap, 2012). With such awareness and practice, companies can benefit from it in terms of having more customers which leads to increase in production and by extension improve the company's financial performance in the long run.

The increasing concern for the environment and the opportunities it open for business is due to consumers' emotional involvement regarding different environmental matters (Lee, 2008). Yeung (2014), mentioned that environmental concern represents a consumer’s doubts, fears, likes/dislikes and sympathy regarding the environment and it's quality. Environmental concern is what interests us about environment because of the importance affection and anxious feelings it carries for the self. Environmental concern hold three interrelated issues: concern for the biosphere, concern for the people, and concern for the self (Schultz, 2000).

 In Nigeria, there are instances of health issues arising from such environmental activities. Health related environmental problems in Nigeria vary with the social and economic development achieved by different states. According to World Development Report (1992), anually, more than 2 million deaths and illnesses such as typhoid,malaria, cholera, river blindness and guinea worm are attributed to water pollution and poor household hygiene. According to Dagher and Itani (2012), peoples knowledge, concern, attitudes, and buying behavior for environmental issues which is partially as a result of social induced feelings that their life is in danger due to environmental issues such as air pollution, global warming, health issues etc. Given these concerns, companies can use plausible measures to induce socially responsible behaviors among people. Many a times, people spend so much time thinking or asking what government should do without looking at attitude and response to eco- practices by actors in the environment.

Being green is beneficial for companies. It brings significant opportunities to boost their sales and profits to gain advantage over companies with no or fewer environmental interests and increase their market share among green consumers (Ottoman, et al, 2012). To achieve this, companies use the Triple Bottom Line to assess the profits they are making through their corporate sustainability solutions (Chamberlain, 2016). The Triple Bottom Line method is used by companies to see beyond the traditional bottom line of business to the profits that they make socially, environmentally and economically while practicing green marketing. Measuring their business using the Triple Bottom Line is one of the best markers of how sustainable their business is, and how profitable their green marketing practice really is (Chamber Lain, 2016).

Green issues are not restricted to any group of people but in this study, the interest is on Millennials or the Generation Y. This generation refers to young persons of about 18 years old. These young consumers are considered to be the driving power behind the increased attention on green products (Heavey, 2007). Though their green attitude are positive, these attitudes are not in any case predictors of behavior (McDougle, et al, 2012). Hume (2010) notes that there exists a clear pattern of contradiction between how Millennials feels and acts in green purchasing, which makes this group interesting to research as they could and should be capable of making difference in the society since they are the leaders of tomorrow.

 Central in the present study is the relation between attitudes and behaviour. The most frequently cited theory on the attitude-behaviour relation is the Theory of Planned Behaviour (TPB) (Ajzen, 1991). The Theory of Planned Behaviour proposes that behaviour is affected by behavioural intentions, which in turn are affected by attitudes towards the behaviour. The attitude can be defined as 'the result of a consumer's assessment of particular behaviours' (Ajzen, 1991).A lot of researchers studied the attitude-behaviour relation when it concerns green products, and all conclude there is a wide gap between what consumers think and what they do regarding to making green purchases (Eck, 2009; Anon, 2009; Finisterra et al., 2009; Basu & Hicks, 2008; Darnall, Pointing & Brust, 2010; Fergueson, 2011). Young (2004) names this gap the attitude-behaviour gap. The attitude-behaviour gap is generally formed when a consumer is concerned about sustainable issues and thinks it is important for companies to be socially responsible and produce green products, but do not interpret their positive attitudes when making a purchase.

Nevertheless, the relationship between attitudes and behaviour cannot be rejected completely. Kolkailah et al. (2012) investigated possible factors influencing green purchasing behaviour and showed that consumer’s positive green attitudes are actually reflected in an increased purchase intention. Similar studies also show a significant relation between attitudes and sustainable behaviour (Mohr et al., 2001) and attitudes towards green products significantly impacting consumer’s green purchase intention (Mohr et al., 2001; Sen & Bhattacharya, 2001; Rahim, Waheeda & Tajuddin, 2011).  However, attitudes toward green are no strong predictors in green purchasing behaviour (Davis, 2012; Dawkins and Worcester, 2005; Csutora, 2012). Green attitudes may suggest green purchasing behaviour when taken in isolation, but when looking at the broader purchasing decision, positive green attitudes might not reflect in actual green purchasing behaviour (Vermeir & Verbeke, 2006).

In Nigeria, more than 55% of the country's population demographic constitue of millennials and over 80% students in Michael Okpara University of Agriculture Umudike, Abia State are millennials. According to Umoh (2016), if green marketers hope to wo true environmentalists with green products or services they should develop strategies that target the Millennials. The active millennial is a huge consumer of the pop culture of his generation. He follows celebrities such as movie stars, musicians, fashion designers, models, sport personalities etc and takes them as role models. Most of these super stars also fall into the category of millennials which has positive implications and can serve as a good strategy, firms can use to induce socially responsible behavior among millennials.

Therefore, this study seek to explore in details and based on our environment determine the effect of green marketing on socially responsible behavior of millennials in Michael Okpara University of Agriculture Umudike.

1.2 Statement of Problem

Green marketing has not been researched extensively especially in less developed countries such as Nigeria (Kolkailah et al; 2012).  Particularly in Michael Okpara University of Agriculture Umudike where this research has not  been carried out in the past to the best knowledge of this researcher. The situation is quite unfortunate because the millennial constitute a high percentage of about 80% of Michael Okpara University of Agriculture students.

Public concern for environmental issues has gradually but steadily increased over the past three decades since the inception of Earth Day (Kim and Chio, 2015). There has been growing appeal to preserve nature and biodiversity (Guerriero G, 2013) . This has lead this researcher to voice his support for environmental protection by focusing this study on millennials.  This is because millennials are the future of any nation or society. In  Nigeria for instance they made up 55% of the country's population demographic ( Nigeria Demographic and Health Survey, 2008 ) About 80% of the students population in most universities in Nigeria falls within this age bracket.

One of the major problems of this study is the poor attitude of students (millennials) to ecological issues, due to the lawlessness nature of Nigeria and the economic crisis often faced in Nigeria, ecological issues are the last thing in the mind of any millennial in Nigeria. Most especially in Michael Okpara University of Agriculture where this research is been carried out. Millennials have there mind focused on getting money, the fashion and music trending etc giving them no time to think about the harm they are causing to the environment or the ecological system where they find themselves in.

Greening Africa Report 2009, according to the Nigeria Energy Commission, there are a lack of technologies, a dearth of professionals and an absence of appropriate policies and regulations to stimulate green practices. The lack of passion of green efforts by organisations is also an issue. Most organizations or firms in Nigeria know the environmental problems faced in Nigeria which they can help solve or reduce it's negative effect through green practices, but due to the lack of sensitivity of green efforts, laws and regulations will channel the resources required to carry out these green practices into the organization's production process to make more profit or better still into the individual pockets of the organization leaders.

 Also the level of awareness is low, this due to the fact that both the government and organizations responsible for creating the needed awareness are channeling the resources that should be used in creating these awareness in other things. Just like rebranding Nigeria, the government needs to embark on environmental initiatives to develop a green consciousness amongst Nigerians.

The attitude-behavior gap theory is also a problem in this study. The attitude-behavior gap refers to the disconnect between what we say about our attitudes and what we actually do. Most Millennials will say they know or acknowledge the practice of green while they don't put the green practices they know about about or acknowledge into practice.

Millennials seen as the leaders in the nearest future makes them the right group of people to focus on when impacting the effects of green marketing practices on socially responsible behaviour of individuals in any given society. It is because the challenges of green marketing is so great hence it is important to study it in relation to adherence to its practice among Millennials

1.3 Objectives of the study

The major objective of this study is to ascertain the effect of green marketing practice on social responsible behavior among millennials. The specific objectives are to:

      i.         Identify drivers of sustainability purchasing among millennials

     ii.         Classify millennials in Michael Okpara University of Agriculture according to their self-identification to green concern

   iii.         Identify millennials awareness level of green marketing practices by firms.

   iv.         Identity the influence of green marketing practice of buying  behavior of millennials

     v.         Examine influence of social media on socially responsible behavior of millennials.

   vi.         Identify the medium of information about sustainability to consumers and where they hear about it.

1.4 Research Questions

The following research questions were explored to gain more insight on the subject matter and they include the following:

1.     What is the influence of green marketing practice on buying behavior of Millennials?

2.     What is the level of awareness of Millennial green marketing practices?

3.     What is the extent to which green trust, availability of green products and green marketing campaign have on the green purchase behavior of Millennial?

4.     To what extent does attitude-behavoir gap affect green purchase of Millennial?

1.5 Research Hypothesis

H0₁: There is no significant influence of green marketing practice on the buying behavior of Millennials.

H0₂: There is an insignificant level of awareness of green marketing practices among Millennials.

H0₃: There is no significant difference between social media exposure and purchase behavior of Millennials.

1.6 Significant and Justification of the Study

This study will be justified by the fact that the researcher took an in-depth study of green marketing practice on socially responsible behavior in Michael Okpara University of Agriculture Umudike. As firms in developed and developing nation adopt Green marketing practice by employing the use of three R's meaning Reduce, Reuse and Recycling of the product in other to keep and maintain environmental cleanliness. These has prompted the researcher to investigate the effect of green marketing on the socially responsible behavior among Millennials.

The findings and recommendations of this study will guide students interested in similar field of study to be socially responsible in their purchasing and equally assist those conducting similar research in future.

1.7 Scope of the Study

The study will focus on the effect of green marketing practice on socially responsible behavior among Millennials in Michael Okpara University of Agriculture, Umudike.

1.8 Operational Definition of Terms

«  Green Marketing:

Green marketing as the production of security products that meet the environmental standards, with recyclable and reusable packaging, with better pollution control methods and operate energy efficiently.

«  Green Product:

 Green products are products which are recyclable, reusable and biodegradable in nature. It is produced with natural ingredients and containing recycled contents, non-toxic chemicals. Green products are originally grown and manufactured under the approved chemical.

«  Consumer's Patronage:

 Customer's patronage is the perceptual evaluative and psychological process that contributes to an individual purchasing what he wants at that moment.

«  Recyclable Material:

 Recycle material simply means the treatment of things that have already been used so that they can be used again.

«  Non environmental friendly product:

This simply means products that are not environmentally acceptable, in other words products that liters the environment e.g plastic-sealed magazines, bottled/plastic drinks, use of plastic bags and excessively packaged pills/drugs etc

«  Socially responsible behavior:

 Socially responsible behavior means that people and organizations must behave ethically and with sensitivity towards social, cultural, economic and environmental issues. Striving for social responsibility helps individuals, organizations and government have a positive impact on development, business and society with a positive contribution to bottom line results.

«  Purchase Behavior:

This simply means the attitude individuals exhibit in the process of acquiring goods, these behavior may be either positive or negative and it usually triggered by the prices of such products.

«  Millennials:

Millennials are considered to be individuals who reached adulthood around the turn of the 21st century. They are important consumer groups as they provide an indication of future purchase tendencies towards brands and, hence their perception of social media marketing communications are significant to companies (Barenblatt et al 2011).

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