The influence of perceived ESG and policy incentives on consumers’ intention to purchase new energy vehicles: Empirical evidence from China

Abstract

The new energy vehicle industry has proliferated in the face of global climate change and challenges to sustainable development. Understanding the factors that encourage consumers to purchase new energy vehicles is essential to driving the new energy vehicle industry’s future development. Based on signaling theory, this study aims to investigate the significant influence of various factors, such as perceived ESG and policy incentives, on Chinese consumers’ intention to purchase new energy vehicles and explore the mediating effect of brand image and perceived value. This study adopts a quantitative research methodology by collecting data from 860 potential new energy vehicle consumers in China through a questionnaire survey and analyzing the data using structural equation modeling in AMOS 24.0. The results of the study show that consumers’ perceived ESG significantly affects their intention to purchase new energy vehicles. Brand image and perceived value mediate consumers’ perceived ESG factors and their purchase intention of new energy vehicles. Consumers’ positive attitudes will increase the purchase intention of new energy vehicles. In addition, government incentives also have a positive and significant effect on the intention to purchase new energy vehicles. These results provide sustainable marketing guidance for NEV companies, confirming the importance of good environmental, social, and governance performance, good brand image, and perceived benefits in driving purchases. In addition, this study provides empirical evidence of policy support for the NEV industry, thus reinforcing its importance for policymakers.