Understanding consumers’ intention to switch to electric motorcycles: a transaction cost economics perspective

Abstract

ABSTRACT In the context of global commitment to decarbonising the highly urbanising world, studies of consumer thinking regarding switching to electric motorcycles are lacking. Our study therefore attempts to provide a first illustration of a model drawing on transaction cost economics (TCE) theory. We hypothesise that consumers’ intention to switch to electric motorcycles is based on perceived transaction costs (i.e. search and adoption costs), and transaction costs are determined by different types of uncertainty (i.e. branding, environmental, performance and behavioural uncertainty), and dependability. Given recent calls to develop our understanding of green consumption in different contexts, we use the Asia Pacific region as an illustrative context. Regression modelling is based on data collected from a sample of 1094 consumers in Taipei. Our findings confirm all of the proposed hypotheses. The implications of the findings are discussed as well as the limitations of the study and recommendations for further research.