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Environmental consciousness, economic gain and consumer choice of energy efficient appliances in Thailand, China and India

Author

Listed:
  • Kusaka, Wakana
  • Kojima, Michikazu
  • Watanabe, Mariko

Abstract

In developing economies, consumption of electricity in residential and commercial sectors increased with economic development. In order to identify the factors for effective facilitation of standard and labeling programs, this article explores factors that affect consumer choice to energy-efficient products. Main findings are as follows: (1)Consumers in Thailand shows the highest awareness to environmental friendly concepts, followed by India and China.(2) Chosen labeled products include air-conditioners, TVs, refrigerators and washing machines, but not some popular products such as ceiling fans, electric fans or mobile phones. (3) Consumer who has higher energy conservation perception will buy energy efficient products.(4) Consumers in China, India and Thailand are sensitive to energy efficiency of products, primarily because they lead to less expenditure on electricity. (5) Labeling works to make levels of the energy efficiency of products more visible and thus helped consumers to choose the products.

Suggested Citation

  • Kusaka, Wakana & Kojima, Michikazu & Watanabe, Mariko, 2012. "Environmental consciousness, economic gain and consumer choice of energy efficient appliances in Thailand, China and India," IDE Discussion Papers 345, Institute of Developing Economies, Japan External Trade Organization(JETRO).
  • Handle: RePEc:jet:dpaper:dpaper345
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    File URL: https://ir.ide.go.jp/?action=repository_action_common_download&item_id=37829&item_no=1&attribute_id=22&file_no=1
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    References listed on IDEAS

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    1. Wang, Zhaohua & Zhang, Bin & Yin, Jianhua & Zhang, Yixiang, 2011. "Determinants and policy implications for household electricity-saving behaviour: Evidence from Beijing, China," Energy Policy, Elsevier, vol. 39(6), pages 3550-3557, June.
    2. Fan, Ying & Liao, Hua & Wei, Yi-Ming, 2007. "Can market oriented economic reforms contribute to energy efficiency improvement? Evidence from China," Energy Policy, Elsevier, vol. 35(4), pages 2287-2295, April.
    3. Sarkar, Ashok & Singh, Jas, 2010. "Financing energy efficiency in developing countries--lessons learned and remaining challenges," Energy Policy, Elsevier, vol. 38(10), pages 5560-5571, October.
    4. Zhou, Nan & Fridley, David & McNeil, Michael & Zheng, Nina & Letschert, Virginie & Ke, Jing & Saheb, Yamina, 2011. "Analysis of potential energy saving and CO2 emission reduction of home appliances and commercial equipments in China," Energy Policy, Elsevier, vol. 39(8), pages 4541-4550, August.
    5. Ward, David O. & Clark, Christopher D. & Jensen, Kimberly L. & Russell, Clifford S. & Yen, Steven T., 2010. "Factors Influencing Willingness-to-Pay for the Energy Star Label," 2010 Annual Meeting, July 25-27, 2010, Denver, Colorado 61141, Agricultural and Applied Economics Association.
    6. Mahlia, T. M. I. & Masjuki, H. H. & Saidur, R. & Amalina, M. A., 2004. "Cost-benefit analysis of implementing minimum energy efficiency standards for household refrigerator-freezers in Malaysia," Energy Policy, Elsevier, vol. 32(16), pages 1819-1824, November.
    7. Mills, Bradford & Schleich, Joachim, 2010. "What's driving energy efficient appliance label awareness and purchase propensity?," Energy Policy, Elsevier, vol. 38(2), pages 814-825, February.
    8. Balachandra, P. & Ravindranath, Darshini & Ravindranath, N.H., 2010. "Energy efficiency in India: Assessing the policy regimes and their impacts," Energy Policy, Elsevier, vol. 38(11), pages 6428-6438, November.
    9. Galarraga, Ibon & González-Eguino, Mikel & Markandya, Anil, 2011. "Willingness to pay and price elasticities of demand for energy-efficient appliances: Combining the hedonic approach and demand systems," Energy Economics, Elsevier, vol. 33(S1), pages 66-74.
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    More about this item

    Keywords

    Asia; Thailand; China; India; Electric industries; Environmental problems; Energy; Consumers; Consciousness; Labeling; Energy Efficiency Reference;

    JEL classification:

    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • L15 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Information and Product Quality
    • L68 - Industrial Organization - - Industry Studies: Manufacturing - - - Appliances; Furniture; Other Consumer Durables
    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices

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