IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v15y2023i8p6549-d1121981.html
   My bibliography  Save this article

Assessing the Impact of Urban Lifestyle and Consumption Values on Conversion Intention: A Study towards Energy Sustainability

Author

Listed:
  • Hilda Hilmiyati-Mas’adah

    (PT Perusahaan Listrik Negara (Persero), Jakarta 12160, Indonesia
    Faculty of Economics and Business, Brawijaya University, Jakarta 12870, Indonesia)

  • Achmad Sudiro

    (Faculty of Economics and Business, Brawijaya University, Jakarta 12870, Indonesia)

  • Fatchur Rohman

    (Faculty of Economics and Business, Brawijaya University, Jakarta 12870, Indonesia)

  • Agung Yuniarinto

    (Faculty of Economics and Business, Brawijaya University, Jakarta 12870, Indonesia)

  • Dzikri Firmansyah Hakam

    (School of Business and Management, Bandung 40132, Indonesia)

  • Herry Nugraha

    (PT Perusahaan Listrik Negara (Persero), Jakarta 12160, Indonesia)

Abstract

Energy converter innovation has shifted the world’s cooking energy from wood, coal, kerosene, and liquid petroleum gas (LPG) to electricity. This paper identifies the factors influencing customers’ intention to switch their cooking energy from LPG to electricity. The study proposes a conversion intention (COIN) framework with urban convenience and perceived alternative value (PAV) as predictor variables and examines the mooring effect of conversion cost to COIN. The data were gathered by a cross-sectional survey, and the PLS-SEM approach was applied to 194 LPG users in Jakarta, Indonesia. The results reveal that PAV mainly determines cooking energy conversion and partially mediates the relationship between urban convenience and COIN. Conversion cost indicates no significant moderating effect of PAV on COIN. By conducting this study, we contribute to the literature by integrating the theory of consumption value (TCV) with the value-based adoption model (VAM), generating the indicators of urban convenience based on time-oriented advertisement categories and applying the consumption values of the TCV as the dimensions of PAV on the VAM framework. The findings of the paper provide a more in-depth understanding of customers’ motivations when switching from LPG to electric power, particularly for household cooking energy, as well as opportunities for the government and electronic manufacturers to promote more sustainable energy consumption patterns.

Suggested Citation

  • Hilda Hilmiyati-Mas’adah & Achmad Sudiro & Fatchur Rohman & Agung Yuniarinto & Dzikri Firmansyah Hakam & Herry Nugraha, 2023. "Assessing the Impact of Urban Lifestyle and Consumption Values on Conversion Intention: A Study towards Energy Sustainability," Sustainability, MDPI, vol. 15(8), pages 1-18, April.
    • Handle: RePEc:gam:jsusta:v:15:y:2023:i:8:p:6549-:d:1121981
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/15/8/6549/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/15/8/6549/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ramchandra Bhandari & Surendra Pandit, 2018. "Electricity as a Cooking Means in Nepal—A Modelling Tool Approach," Sustainability, MDPI, vol. 10(8), pages 1-17, August.
    2. Jebarajakirthy, Charles & Shankar, Amit, 2021. "Impact of online convenience on mobile banking adoption intention: A moderated mediation approach," Journal of Retailing and Consumer Services, Elsevier, vol. 58(C).
    3. Pablo-Romero, María del P. & Pozo-Barajas, Rafael & Yñiguez, Rocío, 2017. "Global changes in residential energy consumption," Energy Policy, Elsevier, vol. 101(C), pages 342-352.
    4. Vargo, Stephen L. & Lusch, Robert F., 2017. "Service-dominant logic 2025," International Journal of Research in Marketing, Elsevier, vol. 34(1), pages 46-67.
    5. Shankar, Amit & Rishi, Bikramjit, 2020. "Convenience matter in mobile banking adoption intention?," Australasian marketing journal, Elsevier, vol. 28(4), pages 273-285.
    6. Park, Chan-Kook & Kim, Hyun-Jae & Kim, Yang-Soo, 2014. "A study of factors enhancing smart grid consumer engagement," Energy Policy, Elsevier, vol. 72(C), pages 211-218.
    7. Everett Lee, 1966. "A theory of migration," Demography, Springer;Population Association of America (PAA), vol. 3(1), pages 47-57, March.
    8. Andadari, Roos Kities & Mulder, Peter & Rietveld, Piet, 2014. "Energy poverty reduction by fuel switching. Impact evaluation of the LPG conversion program in Indonesia," Energy Policy, Elsevier, vol. 66(C), pages 436-449.
    9. van den Broek, Karlijn L. & Walker, Ian & Klöckner, Christian A., 2019. "Drivers of energy saving behaviour: The relative influence of intentional, normative, situational and habitual processes," Energy Policy, Elsevier, vol. 132(C), pages 811-819.
    10. Suhaiza Zailani & Mohammad Iranmanesh & Sunghyup Sean Hyun & Mohd Helmi Ali, 2019. "Applying the Theory of Consumption Values to Explain Drivers’ Willingness to Pay for Biofuels," Sustainability, MDPI, vol. 11(3), pages 1-13, January.
    11. Eung-Suk Park & ByungYong Hwang & Kyungwan Ko & Daecheol Kim, 2017. "Consumer Acceptance Analysis of the Home Energy Management System," Sustainability, MDPI, vol. 9(12), pages 1-15, December.
    12. Sheth, Jagdish N. & Newman, Bruce I. & Gross, Barbara L., 1991. "Why we buy what we buy: A theory of consumption values," Journal of Business Research, Elsevier, vol. 22(2), pages 159-170, March.
    13. Tao Zhou, 2016. "Examining User Switch between Mobile Stores: A Push-Pull-Mooring Perspective," Information Resources Management Journal (IRMJ), IGI Global, vol. 29(2), pages 1-13, April.
    14. Dzikri Firmansyah Hakam & Ayodele O. Asekomeh, 2018. "Gas Monetisation Intricacies: Evidence from Indonesia," International Journal of Energy Economics and Policy, Econjournals, vol. 8(2), pages 174-181.
    15. Satria Putra Kanugrahan & Dzikri Firmansyah Hakam & Herry Nugraha, 2022. "Techno-Economic Analysis of Indonesia Power Generation Expansion to Achieve Economic Sustainability and Net Zero Carbon 2050," Sustainability, MDPI, vol. 14(15), pages 1-25, July.
    16. Kim, Moon-Koo & Oh, Jeesun & Park, Jong-Hyun & Joo, Changlim, 2018. "Perceived value and adoption intention for electric vehicles in Korea: Moderating effects of environmental traits and government supports," Energy, Elsevier, vol. 159(C), pages 799-809.
    17. Gary C. Moore & Izak Benbasat, 1991. "Development of an Instrument to Measure the Perceptions of Adopting an Information Technology Innovation," Information Systems Research, INFORMS, vol. 2(3), pages 192-222, September.
    18. Acharya, Bikram & Marhold, Klaus, 2019. "Determinants of household energy use and fuel switching behavior in Nepal," Energy, Elsevier, vol. 169(C), pages 1132-1138.
    19. Stephen L. Vargo & Robert F. Lusch, 2016. "Institutions and axioms: an extension and update of service-dominant logic," Journal of the Academy of Marketing Science, Springer, vol. 44(1), pages 5-23, January.
    20. Jones, Michael A. & Mothersbaugh, David L. & Beatty, Sharon E., 2002. "Why customers stay: measuring the underlying dimensions of services switching costs and managing their differential strategic outcomes," Journal of Business Research, Elsevier, vol. 55(6), pages 441-450, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Putu Agus Aditya Pramana & Dzikri Firmansyah Hakam & Handrea Bernando Tambunan & Kemas Muhammad Tofani & Kevin Gausultan Hadith Mangunkusumo, 2024. "How Are Consumer Perspectives of PV Rooftops and New Business Initiatives in Indonesia’s Energy Transition?," Sustainability, MDPI, vol. 16(4), pages 1-17, February.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Saif, Mashaal A.M. & Hussin, Nazimah & Husin, Maizaitulaidawati Md & Muneer, Amgad & Alwadain, Ayed, 2024. "Beyond conventions: Unravelling perceived value's role in shaping digital-only banks' adoption," Technological Forecasting and Social Change, Elsevier, vol. 203(C).
    2. Severin Oesterle & Arne Buchwald & Nils Urbach, 2022. "Investigating the co-creation of IT consulting service value: empirical findings of a matched pair analysis," Electronic Markets, Springer;IIM University of St. Gallen, vol. 32(2), pages 571-597, June.
    3. Nguyen, July & Ferraro, Carla & Sands, Sean, 2020. "Similarity over difference: How congruency in customer characteristics drives service experiences," Journal of Business Research, Elsevier, vol. 121(C), pages 592-603.
    4. Anshu, Kumari & Shankar, Amit & Behl, Abhishek & Pereira, Vijay & Laker, Benjamin, 2022. "Impact of barriers of value co-creation on consumers' innovation resistance behavior: Investigating the moderation role of the DART model," Technological Forecasting and Social Change, Elsevier, vol. 184(C).
    5. Gonçalves, Luisa & Patrício, Lia, 2022. "From smart technologies to value cocreation and customer engagement with smart energy services," Energy Policy, Elsevier, vol. 170(C).
    6. Maria Vincenza Ciasullo & Orlando Troisi & Mara Grimaldi & Daniele Leone, 2020. "Multi-level governance for sustainable innovation in smart communities: an ecosystems approach," International Entrepreneurship and Management Journal, Springer, vol. 16(4), pages 1167-1195, December.
    7. Best, Bernadette & Miller, Kristel & McAdam, Rodney & Maalaoui, Adnane, 2022. "Business model innovation within SPOs: Exploring the antecedents and mechanisms facilitating multi-level value co-creation within a value-network," Journal of Business Research, Elsevier, vol. 141(C), pages 475-494.
    8. Anna Gerke & Herbert Woratschek & Geoff Dickson, 2020. "How is value co-created in a sportbusiness-to-business context?," Post-Print hal-02962015, HAL.
    9. Shan, Wei & Qiao, Tong & Zhang, Mingli, 2020. "Getting more resources for better performance: The effect of user-owned resources on the value of user-generated content," Technological Forecasting and Social Change, Elsevier, vol. 161(C).
    10. Chan, Haksin & Yang, Morgan X. & Zeng, Kevin J., 2022. "Bolstering ratings and reviews systems on multi-sided platforms: A co-creation perspective," Journal of Business Research, Elsevier, vol. 139(C), pages 208-217.
    11. Trischler, Jakob & Johnson, Mikael & Kristensson, Per, 2020. "A service ecosystem perspective on the diffusion of sustainability-oriented user innovations," Journal of Business Research, Elsevier, vol. 116(C), pages 552-560.
    12. Francesco Polese & Luca Carrubbo & Francesco Caputo & Debora Sarno, 2018. "Managing Healthcare Service Ecosystems: Abstracting a Sustainability-Based View from Hospitalization at Home (HaH) Practices," Sustainability, MDPI, vol. 10(11), pages 1-15, October.
    13. Sarker, Moniruzzaman & Mohd-Any, Amrul Asraf & Kamarulzaman, Yusniza, 2021. "Validating a consumer-based service brand equity (CBSBE) model in the airline industry," Journal of Retailing and Consumer Services, Elsevier, vol. 59(C).
    14. Mahavarpour, Nasrin & Marvi, Reza & Foroudi, Pantea, 2023. "A Brief History of Service Innovation: The evolution of past, present, and future of service innovation," Journal of Business Research, Elsevier, vol. 160(C).
    15. Gansser, Oliver Alexander & Reich, Christina Stefanie, 2021. "A new acceptance model for artificial intelligence with extensions to UTAUT2: An empirical study in three segments of application," Technology in Society, Elsevier, vol. 65(C).
    16. Chien-Chi Lin & Chih-Ming Dong, 2023. "Exploring Consumers’ Purchase Intention on Energy-Efficient Home Appliances: Integrating the Theory of Planned Behavior, Perceived Value Theory, and Environmental Awareness," Energies, MDPI, vol. 16(6), pages 1-16, March.
    17. Ruyu Xie & Liren An & Nosheena Yasir, 2022. "How Innovative Characteristics Influence Consumers’ Intention to Purchase Electric Vehicle: A Moderating Role of Lifestyle," Sustainability, MDPI, vol. 14(8), pages 1-24, April.
    18. Katarzyna Żyminkowska, 2018. "Hedonic and Utilitarian Drivers of Customer Engagement," Central European Business Review, Prague University of Economics and Business, vol. 2018(4), pages 15-33.
    19. Thompson-Whiteside, Helen & Fletcher-Brown, Judith & Middleton, Karen & Turnbull, Sarah, 2023. "Emergence in emergency: How actors adapt to service ecosystem disruption," Journal of Business Research, Elsevier, vol. 162(C).
    20. Corsaro, Daniela, 2022. "Explaining the Sales Transformation through an institutional lens," Journal of Business Research, Elsevier, vol. 142(C), pages 1106-1124.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:15:y:2023:i:8:p:6549-:d:1121981. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.