The role of Ho Chi Minh City consumers’ willingness to pay a premium for green products in enhancing green brand equity: The mediating effect of consumer’s esg perceptions

Abstract

In the context of growing trends towards green lifestyles and sustainable development, consumers are paying more and more attention to brand's ESG. They often tend to prioritize brands committed to environmental protection, social contribution and transparent governance. Being aware of that before deciding to buy GPs, they recognized this as part of their personal responsibility in creating positive change. From there, they are also contributing to improving GBE. This study is based on signaling theory to explore how consumer behavior as WTP a premium price for GPs affects GBE through the mediating roles of consumer’s PESG in Vietnam. In particular, consider how GnEPs or GEPs will influence the relationship between WTP a premium price for GPs and PESG, which in turn results in GBE. This study employed structural equation modeling to validate the conceptual model, using data gathered from 376 valid questionnaires in Ho-Chi-Minh city, Vietnam and analyzed via SmartPLS 4 software. The findings reveal that WTP a premium price for GPs significantly affects GBE. Moreover, PESG complementarity mediates the impacts of WTP a premium price for GPs on GBE, while GnEPs strengthens the positive relationships between WTP a premium price for GPs and PESG. This current research was linked with the meaningful practical implications for brands in Vietnam