Managing green brand equity: the perspective of perceived risk theory

Abstract

This paper applies perceived risk theory to explore the relationships among green perceived quality, green brand awareness, green perceived risk, and green brand equity. The research object of this study focuses on Taiwanese consumers who have the purchase experience of information and electronics products in Taiwan. The empirical results show that green perceived quality and green brand awareness would positively affect green brand equity. Furthermore, this study demonstrates that green perceived risk which is negatively influenced by green perceived quality and green brand awareness would negatively affect green brand equity. The positive relationships between green brand equity and its two antecedents—green perceived quality and green brand awareness—are partially mediated by green perceived risk. Hence, investing resources in the increase of green perceived quality and green brand awareness and the decrease of green perceived risk is helpful to enhance green brand equity.