Influence of government and economic drivers on consumers' intentions to participate in a take back program

Companies' reverse logistics activity generally is triggered by government regulations and economic opportunities. In reverse logistics decision, consumers' behaviour should be considered. This paper presented a study on the influence of government and economic drivers on consumers' intentions to participate in a take back program, using structural equation modelling. A survey was conducted on 355 mobile phone users in Indonesia. The study found that the government drivers have more significant influence on consumers' intentions than the economic drivers. It was also found that the government drivers served as a mediating variable between perceived environmental regulation and consumers' intentions. Moreover, analysis of demographic data showed only the difference in income which significantly affects consumers' intentions. These results can be used by the government as a reference to support the mobile phone take back program by applying a special regulation related to the program. In addition, the mobile phone companies can also use these results for implementing the take back program, to consider economic incentives for consumers who participate in the program. Thus, implementation of the mobile phone take back program provides benefits for both consumers and producers for reverse logistics application.