The Drivers of the Green Trust Formation: Evidence from Taiwan and Japan

The Drivers of the Green Trust Formation: Evidence from Taiwan and Japan

This study examines two drivers and employs a supplier-oriented driver and a customer-oriented driver to form the green trust. The supplier-oriented driver deems green trust as arising out of the business-visionary value expressing global environmental value constitutes the cognitive processing factor. The customer-oriented driver considers green trust as arising out of the environmental values recognized and held by consumers constitutes the cognitive appraise factor. Understanding green trust formation is important for green companies because green companies can meet target customers’ needs by providing appropriate green products. This forms the necessity of this research. This study operated a survey and designed questionnaires in two languages (Chinese and Japanese) to collect 400 valid questionnaires that had purchased environment-friendly products within Taiwan and Japan. Amongst 200 passengers on China Airlines and 200 from passengers on Japan Airlines to obtain Taiwanese and Japanese passengers. The empirical study employs structural equation modelling. The results showed that the customer-oriented driver had a more significant influence on green trust formation. This path indicated that the consumer-oriented value had the most substantial positive effect on green value sharing, which positively influenced green trust formation. However, the supplier-oriented driver suggests that the business-visionary value does not influence green trust through green marketing communications. This study argues that the consumer-oriented driver owns a primary function in forming green trust in Japan and Taiwan. Green business can enhance the consumer-oriented value to benefit from gaining the green trust of target customers. This study examines two drivers to form the green trust and moves a step forward to verify the novel research framework. This study demonstrates antecedents and consequences of green marketing communication and green value sharing. This study sheds light on existing literature gaps by considering the mediating role of green marketing communication and green value sharing. Japanese believe in business and related green products and that green trust are relatively high. However, Taiwanese do not believe in business and that green trust is relatively low. There are significant differences in green trust between Taiwanese and Japanese companies.