An Empirical Assessment of the Mediation Effect of Business Concern exhibited by Indian Consumers on the Relationship between Environmental Concern and Environmental Conscious Behavior

Abstract

The environmental effects of consumption have become a serious issue. Environmental degradation has intensified over recent years due to rapid economic growth and ensuing overconsumption. For a business, green orientation is both an opportunity and a challenge. Enterprises are targeting greener substitutes for their consumers. Consumers’ response to green marketing has also been favorable. Still, the switching behavior (i.e., in favor of green products) of consumers is a slow process because a shift from a non-green product to a green product requires a sacrifice from consumers in the form of paying a higher price for the green product and reduced income due to job cuts in specific industries that are not eco-friendly. India, as an emerging market, is experiencing rapid economic growth with increased urbanization and changes in consumption patterns that are contributing to environmental hazards. Given India’s emerging economic context and growing urbanization, green behavior often entails perceived personal and economic trade-offs. This study, therefore, investigates the relationship between environmental concern (EC) and environmentally conscious consumer behavior (ECCB) in India, while exploring the mediating roles of pro-business concern (PBC) and anti-business concern (ABC). Using a structured questionnaire, data were collected from 262 Indian consumers. Constructs were measured using validated scales, and mediation analysis was conducted using structural equation modeling (SEM). The findings of the study suggest that while Indian consumers express concern for the environment, their behavior may be directly driven by attitude rather than filtered through business related concerns. The study contributes to green consumer literature in emerging markets and recommends focused policy initiatives to promote ECCB across demographic segments.