To Sustainably Ride or Not to Ride: Examining the Green Consumption Intention of Ride-Hailing Services in the Sharing Economy by University Students

Abstract

An increase in ride-hailing services in the sharing economy can help to reduce the number of vehicles on the road, which will lead to a decrease in air pollution and noise pollution, an improvement in environmental conditions, a decrease in travel costs, and an increase in social benefits to travelers. Hence, there is a great need to examine the consumer’s intention toward usage of ride-hailing services in the sharing economy. The current study aims to examine the green consumption intention of eco-friendly services as an outcome of environmental responsibility and environmental knowledge. It also attempts to examine the serial mediation of green concern, value co-creation, and mediated moderation of social support as an explanatory mechanism of green consumption intention of eco-friendly services. The research design was cross-section and deductive. The respondents of the study were registered university students in Islamabad who were active consumers of major ride-hailing services in Pakistan, i.e., Uber, Careem, Uplift, InDriver, B4U Cabes, and SUVL. A total of 402 responses were gathered using purposive sampling. Partial Least Squares Structural Equation Modeling (PLS-SEM) in Smart PLS is used to evaluate the reliability of measurement instruments and the validity of the research model. The current study results showed that environmental responsibility and knowledge positively and significantly affect motivation to engage in green consumption. Furthermore, environmental concern and value co-creation partially mediate the proposed relationship. In addition, social support also moderates the association between green concern and value co-creation such that it strengthens the connection. The current research findings are an addition to the existing literature and have managerial applications with limitations preceded by future research directions.