Enhancing green brand equity through environmental reputation: The important of green brand image, green brand trust, and green brand loyalty

Abstract

While previous research have established the advantages of environmental reputation (ER) in the realm of brand development, this article examines the role of ER on the value of green brands in the green food production industry, based on customer perceptions in a newly emerging market, using insights from signal theory and the Hierarchy of Effects Model (HEM). The study data was obtained from consumers who regularly make purchasing decisions for green‐labeled food in Vietnam. The study results suggest that the ER is a critical factor to develop green brand equity (GBE). This is achieved by developing the green brand image (GBI), establishing the green brand trust (GBT), and fostering the green brand loyalty (GBL). The results provide a significant contribution to promoting the development of green brand value in customers' awareness by encouraging activities and programs that enhance ER to strengthen GBI, GBT, and GBL towards green food brands. In addition to the findings, the research has limitations and suggests future research directions.