Intention to Purchase Electric Passenger Vehicles Among Drivers in Thailand: A Structural Equation Modeling Analysis

Article Details

Samart Deebhijarn, , ing Mongkut’s Institute of Technology Ladkrabang, Thailand
Santi Promphat, santo.kmitl05@gmail.com, King Mongkut’s Institute of Technology Ladkrabang, Thailand

Journal: The Asia-Pacific Social Science Review
Volume 19 Issue 3 (Published: 2019-09-01)

Abstract

Electric passenger vehicles are still in the early stage of research and development in Thailand, but domestic researchers are already keen to know about the variety of factors that would have a potential to influence the intention of Thai drivers to buy the said vehicles. Using structural equation modeling analysis, this study examined the direct and indirect effects of attitude, external environment, marketing mix, subjective norms, and customer perception on purchase intention. Data were obtained from a sample of 650 Thai licensed drivers who were randomly selected and interviewed at 367 car service centers located across Bangkok. Results reveal that 52.3% of the purchase intentions of Thai drivers are explained by the five-factor model. However, of the five factors, the most significant is subjective norms, followed by the marketing mix and attitude. Attitude, which lies at the heart of purchase intention, is predicted most significantly by the external environment. The findings suggest that Thailand’s concerted efforts on electric passenger vehicles would have to be carefully designed such that the relevant external environment, subjective norms, marketing mix, and attitude would all be directed to influence the purchase intention of local drivers positively. The model needs further validation among a broader sample of Thai drivers.

Keywords: electric passenger vehicles, purchase intention, structural equation modeling, Thai drivers

DOI: https://www.dlsu.edu.ph/wp-content/uploads/pdf/research/journals/apssr/2019-September-vol19-3/10-intention-to-purchase-electric-passenger-vehicles-among-drivers-in-thailand-a-structural-equation-modeling-analysis.pdf
  References:

Afroz, R., Rahman, A., Masud, M. M., Akhtar, R., & Dausa, J. B. (2015). How individual values and attitude influence consumers’ purchase intention of electric vehicles—Some insights from Kuala Lumpur, Malaysia. Environment and Urbanization ASIA, 6(2), 1-18. Retrieved from http://irep.iium.edu.my/43885/1/article-2015.pdf

Azjen, I. (1991). The theory of planned behavior. Organizational Behavior and Human Decision Processes, 50(2), 179-211.

Bhalla, P., Ali, I. S., & Nazneen, A. (2018). A study of consumer perception and purchase intention of electric vehicles. European Journal of Scientific Research, 149(4), 362-–368. Retrieved from https://goo.gl/jvbyMW

Birke, F. J. B., Kunert, U., Link, H., & Ortuzar, J. (2015). About attitudes and perceptions – Finding the proper way to consider latent variables in discrete choice models. Berlin: German Institute for Economic Research.

Coffman, M., Bernstein, P., & Wee, S. (2015). Factors affecting EV adoption: A literature review and EV forecast for Hawaii. Honolulu: University of Hawaii at Manoa. Retrieved from http://evtc.fsec.ucf.edu/publications/documents/HNEI-04-15.pdf

Garling, A. (2000). Market segmentation, marketing communication strategies and electric vehicle drive. Stockholm: KFB Rapport. Retrieved from https://www.diva-portal.org/smash/get/diva2:998548/FULLTEXT01.pdf

Garling, A., & Thogersen, J. (2001). Marketing of electric vehicles. Business Strategy and the Environment, 10(1), 53-–65.

Hamilton, B., & Smit-Terblanche-Smit, M. (2018). Consumer intention to purchase green vehicles in the South African market: A theory of planned behavior perspective. South African Journal of Business Management, 49(1), a190. https://doi.org/10.4102/sajbm.v49i1.190

He, X., Zhan, W., & Hu, Y. (2018). Consumer purchase intention of electric vehicles in China: The roles of perception and personality. Journal of Cleaner Production, 204, 1060-–1069. DOIdoi: 10.1016/j.jclepro.2018.08.260

Heyvaert, S., Coosemans, T., Mierlo, J. V., & Macharis, C. (2015). Electric vehicle attitudes and purchase intention: A Flemish case study. International Journal of Electric and Hybrid Vehicles, 7(1), xx–xx. DOIdoi: 10.1504/IJEHV.2015.068946

Kotler, P., & Keller, K. L. (2006). Marketing management. New Jersey: Prentice-Hall.

Ministry of Energy. (2011). Thailand 20-year energy efficiency development plan (2011-–2030). Retrieved from http://www.eppo.go.th/images/POLICY/ENG/EEDP_Eng.pdf

Selvakkumaran, S., Winyuchakrit, P., Limmeechokchai, B., & Ahlgren, E. O. (2018, October). Electric vehicle transition in Thailand: Is it beneficial? Paper presented at the International Conference on Green Energy for Sustainable Development, Phuket, Thailand.

Thananusak, T., RalthinRakthin, S., Tavewatanaphan, T., & Punnakitikashem, P. (2017). Factors affecting the intention to buy electric vehicles: Empirical evidence from Thailand. International Journal of Electric and Hybrid Vehicles, 9(4). DOIdoi: 10.1504/IJEHV.2017.089875

Victor, P. (2018, February 19). Thailand’s electric vehicle dreams. The ASEAN Post. Retrieved from https://theaseanpost.com/article/thailands-electric-vehicle-dreams

Voiculet, A., Belu, N., Parpandel, D. E., & Rizea, I. C. (2010). The impact of external environment on organizational development strategy. (MPRA Paper No. 26303). Retrieved from https://goo.gl/LELuhT

Walters, C. G., Bergiel, B. G., & Sheth, J. N. (1989). Consumer behavior: A decision-marketing approach. Ohio: South-Western Publishing Co.

Warr, P., & Kohpaiboon, A. (2017). Thailand’s automotive manufacturing corridor. Mandaluyong, Philippines: Asian Development Bank. Retrieved from https://goo.gl/1NJTEV

Younus, S., Rasheed, F., & Zia, A. (2015). Identifying the factors affecting customer purchase intention. Global Journal of Management and Business Research, 15(2), 9–13. Retrieved from https://globaljournals.org/GJMBR_Volume15/2-Identifying-the-Factors-Affecting.pdf

Zeng, Y. (2008). Young consumers’ perceptions and purchase intentions towards mass-designer lines (Master’s thesis). Graduate Theses and Dissertations. (11243). Retrieved from https://lib.dr.iastate.edu/cgi/viewcontent.cgi?article=2278&context=etd

  Cited by:
     None...