Malaysia continues to face air pollution problems caused by rapid development and urbanization. The environmental issues have induced automotive industries to produce more environmental friendly vehicles that will reduce the damages to the ecosystem. The main purpose of this study is to propose a framework to understand the Generation Y buying intention toward hybrid cars in Johor Bahru, the second largest city in Malaysia. The study will be carried out to explore which factors including fuel efficiency, physical appearance, safety, after sales service and brand name affect the Generation Y’s hybrid car buying decision, as well as their acceptance level of hybrid car if compared to traditional vehicles. In addition, this study will explore whether demographic factors such as gender, income and education moderate the relationship between influencing factors and Generation Y’s hybrid car buying decision. It is expected that the finding of this study will provide additional insight to the automotive industries in terms of the consumer intention to purchase a hybrid technology vehicle.