Factors Affecting the Green Housing Purchasing

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(Vlosky, Ozanne and Fontenot, 1999). According to the study by D’Souza (2004), though consumers had been convinced on the importance of the environment, they could still be sensitive to prices and might not be willing to pay higher for environmentally friendly products. People who are aware of the importance of environmental problems may not be willing to pay higher price, and still made purchase decision based on price and quality rather than environmentally friendly characteristics of products (Gan, Wee, Ozanne and Kao, 2008). Paco and Raposo (2009) found that economic factors sometimes had higher influence on decision to purchase environmentally friendly products than negative effect to the environment. 2.2.3 Government role (GR) The government role in supporting various activities concerning the environmentally friendly product consumption has direct effect on consumers’ interest on participating in the environmental activities. From the study by Haron, Paim and Yahaya (2005, cited in Chen and Chai, 2010), government played an important part in supporting consumption and sustainable development in Malaysia by introducing various strategies to create an awareness on the importance of the environment to the public. There are various ways of government in getting involved in an environmentally friendly consumption such as rules and regulations, taxing, interest, subsidies, and research and development (Hudson, 2007). Chyoung et al.(2006, as cited in Chen and Chai, 2010) found that though an individual is aware of the environmental importance, he/she still believe that it is the main responsibilities of the government to take care of the environment. This was consistent to the study by Raisback and Wardlaw (2008) where an individual who had environmentally friendly behavior had a high tendency to purchase a green housing if there was a support from the government. 2.3 Behavior Intention This construct reflects the motivation to express one’ own behavior which indicate an individual’s intention, less or more, in revealing such behavior. It is the readiness of an individual in performing the particular behavior (Ajzen, 1991; Han et al., 2010; Han and Kim, 2010; Kim and Han, 2010). In this study, behavior intention refers to “intention to purchase green housing (IP)”. 3. Methodology and Model 3.1 Model and Hypotheses Theory of planned behavior (1985) is selected as an appropriate theory to study behavior of environmentally friendly product consumption here. However, there might be some other constructs from the environmental context which also affect intention to purchase a green housing. In order to predict purchase decision on environmentally friendly product, especially on green housing, there should be additional constructs which can better explain the environmentally friendly behavior intention. The proposed model and hypotheses in this study are shown in figure 1 where all 6 independent constructs are hypothesized to affect intention to a purchase green housing positively. 4
Figure 1. The proposed model and hypotheses. (Additional constructs from the TPB are in dashed lines.) Attitude toward behavior (ATB) H1(+) Subjective norm (SN) H2(+) Perceived behavioral control (PBC) Environmentally conscious behavior (ECB) H4(+) H5(+) H3(+) Intention to purchase green housing (IP) Economic factor (EF) H6(+) Government role (GR) 3.2 Population and Samples The target customers in this study are people with at least undergraduate education, aged 18 years old and over. The majority of these people are normally in the work force, have tendency to buy a house at a higher level than those who are younger with less level of education. The scales used in this study mostly are five-point likert scales ranging from strongly disagree to strongly agree. With 95 % confidence interval and a unit variance, allowing about 5% sampling error from the mean which was averaged around 3, the sample size of 171 [n=(1) 2 (1.96) 2 /(0.15) 2 ] was estimated. However, within this study, the data of 200 samples were collected. 4. Findings 4.1 Exploratory Factor Analysis (EFA) An exploratory factor analysis (EFA) was performed on 30 original items from the questionnaire. However, after conducting Cronbach alpha for reliability measures and EFA to verify convergence within the same trait and divergence between different traits, 6 items were dropped leaving with 24 items used to investigate the underlying constructs. The KMO for the EFA is 0.901 confirming a measure of sampling adequacy where the significant Barlett’s test of sphericity confirms that EFA should be used. There were six factors extracted according to the hypothesized independent constructs in the proposed model. The principal axis factoring was performed as extraction method and varimax with Kaiser normalization was used as rotation method. Factor loadings were shown in Table 1 for 5
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Page 3: Han and Kim (2010) that subjective
Page 7 and 8: Table 1. Factor loading, % variance
Page 9 and 10: the work done by Kim and Han (2010)
Page 11: Paco, A.D., and Raposo, M., 2009. G

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