Study on Attitude towards Green Products and Willingness to Pay Premium: With Special Reference to Millenials in Sri Lanka

Abstract

The concerns on green products and the green business practices has becoming one of the emerging areas in today’s context. In relation to that, number of research studies have been conducted by different scholars in different settings. The purpose of this study was to study the impact made by the attitude towards the green products on the willingness to pay premium among the Millennials in Sri Lanka. Accordingly, the study intended to achieve four research objectives namely, to identify the impact made by attitude toward green products on willingness to pay premium, to measure the impact made by environmental concern on attitude toward green products, to identify the impact made by collectivism on attitude toward green products and to evaluate the impact of interpersonal influence on attitude toward green products among the millennials in Sri Lanka. A sample of 200 young adults has been selected on convenience sampling technique under non probability sampling method. The Structural Equation Modelling was performed to analyses the data of the study and the regression analysis was used to test the hypotheses of the study. The study found that, the attitude towards the green products make a significant influence on the millennials in determining their willingness to pay premium and also it has found that, the environmental concern towards the attitude plays a major role in determining the willingness to pay premium on green products among millennials.