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on Marketing |
By: | Bernabeu, R.; Olmeda, M.; Diaz, M.; Olivasq, R. |
Abstract: | Consumer requirements for preferably new, quality products with health guarantees are causing competitive adaptation by agro-food businesses. In this sense, cheese-producing enterprises are immersed in restructuring to adapt to the new scene. To assure the greatest possible success in this process it is advisable to determine what the preferences of cheese consumers are. In searching for the answer to this question, 420 surveys were made on regular food shoppers for at-home consumption in the metropolitan area of Madrid (Spain). Treatment of this data consisted in using the Conjoint Analysis technique and maximum willingness to pay. Results show that the main differentiating element for cheese is origin and the maximum willing to pay for an organic cheese with respect a conventional one is 15.42%. |
Keywords: | Consumer behaviour, Organic, Food Marketing, Demand and Price Analysis, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44327&r=mkt |
By: | Catturani, I.; Nocella, G.; Romano, D.; Stefani, G. |
Abstract: | Globalization, either directly or indirectly (e.g. through structural adjustment reforms), has called for profound changes in the previously existing institutional order. Some changes adversely impacted the production and market environment of many coffee producers in developing countries resulting in more risky and less remunerative coffee transactions. This paper focuses on customization of a tropical commodity, fair-trade coffee, as an approach to mitigating the effects of worsened market conditions for small-scale coffee producers in less developed countries. fair-trade labeling is viewed as a form of €ܤe-commodificationÂ€Ý of coffee through product differentiation on ethical grounds. This is significant not only as a solution to the market failure caused by pervasive information asymmetries along the supply chain, but also as a means of revitalizing the agricultural-commodity-based trade of less developed countries (LDCs) that has been languishing under globalization. More specifically, fair-trade is an example of how the same strategy adopted by developed countries€٠producers/ processors (i.e. the sequence product differentiation - institutional certification - advertisement) can be used by LDC producers to increase the reputation content of their outputs by transforming them from mere commodities into €ܤecommodifiedÂ€Ý (i.e. customized and more reputed) goods. The resulting segmentation of the world coffee market makes possible to meet the demand by consumers with preference for this €ܨethically) customizedÂ€Ý coffee and to transfer a share of the accruing economic rents backward to the Fair-trade coffee producers in LDCs. It should however be stressed that this outcome cannot be taken for granted since investments are needed to promote the required institutional innovations. In Italy FTC is a niche market with very few private brands selling this product. However, an increase of FTC market share could be a big commercial opportunity for farmers in LDCs and other economic agents involved along the international coffee chain. Hence, this research explores consumers€٠knowledge of labels promoting quality products, consumption coffee habits, brand loyalty, willingness to pay and market segmentation according to the heterogeneity of preferences for coffee products. The latter was assessed developing a D-efficient design where stimuli refinement was tested during two focus groups. |
Keywords: | fair-trade coffee, product decommodification, choice experiments, International Relations/Trade, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44146&r=mkt |
By: | Belaya, V.; Torok, T.; Hanf, J. |
Abstract: | In order to manage supply chain relationships effectively both aspects - the need to align the actions in order to coordinate the network and the alignment of interests of cooperating actors Â€Ó are important. Therefore, the coexistence of both cooperative and competitive constructs should be recognized, where power coexists alongside with trust. Many scientific works have been written on power and trust as constructs of business-to-business relationships separately. However, most of the existing relationship marketing literature studies power and trust in relation to conflict or satisfaction, and the link between power and trust in the supply chain context appears to be largely ignored as a research topic. Some scientists assert that power negates cooperation and call power to be the antithesis of trust. Others argue that most social relationships are based on a mixture of both power and trust, that power and trust by no means exclude each other but occur in combination and that they should both be seen as alternative mechanisms for coordinating supply chain relationships. In order to understand the links between these two constructs one needs to be specific on their nature and origin. Based on the literature review we present ideas on how power and trust in supply chain relationships are related. |
Keywords: | Power, Trust, Supply Chain Relationships., Agribusiness, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:43925&r=mkt |
By: | Pieniak, Z.; Verbeke, W. |
Abstract: | Food labels are an important source of information to consumers. However, little scientific evidence is available on the type of information consumers seek on product labels and how consumers use food labels. The objective of this study is to assess consumers€٠use of mandatory information cues and interest in potential information cues placed on fish labels, packages or shelves in five European countries. A cross-sectional consumer survey was carried out in November-December 2004 in five European countries: Belgium, Denmark, the Netherlands, Poland and Spain and a sample representative for age and region within each country has been obtained. Total sample size is 4,786. The results show a high use of on-label information cues; hence, labels were found as good, and potentially market effective sources of information. Consumers were most familiar with expiry date, price, species name and weight and they felt able to derive clear quality expectations from the information these cues convey. Consumers displayed the strongest interest in an additional information cues, such as safety guarantee and a quality mark for seafood. Cross-country differences in both use and interest in fish information cues were observed. |
Keywords: | consumer, fish, label, Consumer/Household Economics, Marketing, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44235&r=mkt |
By: | Avermaete, T.; Mathijs, E. |
Abstract: | Simultaneous with the growing demand for sustainable food, statistics in all EU member states report consumption patterns that are characterized by too much fat, overdoses of sugar and a lack of fruits and vegetables. The streams of literature that investigate the factors influencing sustainable food consumption and healthy food consumption are largely separated. However, the question whether there is a positive relationship between consumer behaviour towards sustainable food and consumer behaviour towards healthy food remains largely unanswered. The purpose of this paper is to examine the relationship between the consumption of different types of sustainable food on the one hand, and healthy food patterns on the other. The study is based on a sample of 2595 respondents in Belgium. The research shows a significant relationship between a healthy diet and sustainable food choices. Analyses applied to identify gender- or age-specific tendencies demonstrate that the association is particularly pronounced for consumers between 26 and 40 years old. For younger consumers (<26 years) and older consumers (>65 years), the relationship between sustainable food behavior and the choice for healthy food is weak. These findings can be extremely useful in the communication and promotion of different types of sustainable food. |
Keywords: | Sustainability, food, health, Food Consumption/Nutrition/Food Safety, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44237&r=mkt |
By: | Hartl, J.; Herrmann, R. |
Abstract: | European consumers and, in particular, German consumers are known to be very critical towards the introduction of genetically modified (GM) foods. It is analyzed here whether German consumers do reject second-generation GMO foods, too. Whereas first-generation GM crops induced producer-related benefits, second-generation GM crops are associated with consumer-oriented benefits like an improvement of nutritional quality. The determinants of demand for second-generation GM rapeseed oil are investigated within an online survey of 1556 German consumers. It is elaborated how two functional properties of that product matter; i.e. long-chain Ï–3 fatty acids and the cholesterol-lowering effect of phytosterols. It turns out that GMO rapeseed oil is neglected by 74 % of all respondents. Output traits, however, will increase the probability of purchases of GMO rapeseed oil. This is more the case for long-chain Ï–3 fatty acids than for phytosterols. |
Keywords: | consumer behavior, second generation, GMO foods, rapeseed oil, Consumer/Household Economics, Food Consumption/Nutrition/Food Safety, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44164&r=mkt |
By: | Halawany, R.; Giraud, G. |
Abstract: | Up till now, no researches have been done on consumers€٠acceptability of new technical supporters of traceability, especially for traditional food products. Therefore, in the framework of the EU research project TRACE, we carried out focus group discussions, individual laddering interviews (with hierarchical value maps) and a choice-based conjoint experiment. Traceability is a fashionable word with different meanings whether it comes to producers or to consumers. The formers link it to technical aspects while the latter see in it a path for safe and good quality food products. How to intersect these two dimensions when advertising trend and consumer expectations are focusing on traditional food products? In France, consumers are familiar with the word traceability, however, they are not aware of the new supports of food traceability. They are still not ready for sophisticated systems and prefer the labeling ones. The more abstract the traceability support is, the more complex traceability seems to be perceived by them. Interestingly, we questioned consumers on traceability supports, they mainly responded on origin and label of origin as a simple way to track food products. This indicates that traditional origin labeled food products are considered as naturally tracked, while industrial products are perceived to come from a less identifiable source, and are better accepted with the guarantee of brand. |
Keywords: | Traceability supports, traditional, consumers, Consumer/Household Economics, Food Consumption/Nutrition/Food Safety, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44282&r=mkt |
By: | Sanchez, Mercedes; Barrena, Ramo |
Abstract: | A quality differentiation strategy for agrifood products based on geographical origin and production method has become a viable alternative for certain firms in the internationalized food markets, if it could be considered as a rural development instrument. This method of adding value to their products nevertheless requires them to take into account not only objective factors, which tend to be related to product characteristics, but also subjective factors that are more closely linked to consumers€٠assessment of their differentiating features and the factors that influence that assessment. The study confirms using various structural equation models the key impact of consumers€٠attitudes towards these products (image) on final purchase behaviour. The experiment was conducted both inside and outside the production region of two selected food items and in all markets it will be necessary to act upon both attitudinal components, that is, product image in its various dimensions and consumer attitude toward the region of origin, in order to develop these markets, where, currently, product characteristics are found to have the stronger influence. |
Keywords: | Consumer behaviour, Regional Certification Labels, Structural Equation Modelling, Agribusiness, Food Consumption/Nutrition/Food Safety, Marketing, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaa107:6394&r=mkt |
By: | Resano, H.; Sanjuan, A.I. |
Abstract: | A quantity-dependent hedonic model is used to study consumers€٠actual purchases of cured ham, recorded through scanner in Spain, between April 2003 and March 2004. A Zero Inflated Negative Binomial (ZIB) model is applied because of the high proportion of zero purchase-values and the finding of overdispersion in the data. Ham characteristics are used as explanatory variables, such as breed, origin, EU Quality Certification squemes (PDO, PGI, STG), type of brand (producer€ٳ and distributor€ٳ), sale format (whole leg, vacuum packaged, on request), ripening period and price. Monthly dummies variables are also added to capture a possible seasonal effect. The results show that the distributor€ٳ brand, the whole leg sale format, the origin Teruel and its certification through a PDO are the main attributes affecting cured ham purchases. The Quality Certification has a significant effect when added to a locally produced ham (PDO Teruel), while in general, it has a negative impact. Vacuum packages and ripening period, have a negative impact on the quantity purchased. The positive impact of the attributes on cured ham purchases are reinforced when attached with Iberian ham, especially in the case of a distributor€ٳ brand and a whole leg sale format. In addition, the negative impact of the vacuum packages is mitigated when the breed of the ham is Iberian. |
Keywords: | hedonic analysis, consumers, zero inflated negative binomial, Demand and Price Analysis, Food Consumption/Nutrition/Food Safety, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44383&r=mkt |
By: | Mtimet, N.; Kashiwagi, A.K.; Zaibet, L.; Masakazu, N. |
Abstract: | During the last two decades, olive oil consumption in Japan is showing an increasing trend due to dietary and health concerns. Traditional olive oil producer and exporter countries such as Italy, Spain and Tunisia have interest to reinforce and to increase their penetration in the Japanese market. This study examines Japanese olive oil consumer behaviour by the use of the conjoint analysis technique. Five attributes have been chosen to design the experiment: region of origin, price, olive oil type, taste and colour. Two models have been estimated where the price variable was introduced in its discrete form in the first model and in its linear and quadratic from in the second model. In a second step, consumer segmentation was undertaken based on consumption frequencies. Two groups have been identified: €ܨeavy consumersÂ€Ý and €ܬight or potential consumers€ݮ The main results indicate the importance of the selected variables in Japanese olive oil consumer' choice. Olive oil with Mediterranean or Tunisian origin has higher probabilities to be chosen than Italian or Spanish one. Japanese consumers prefer a green with bland taste olive oil. Concerning olive oil type, results indicate that refined olive oil has more probability to be chosen than virgin or extra-virgin one, indicating low awareness of Japanese consumers about olive oil. The price variable estimates have shown a convex utility curve indicating a decrease of consumers€٠utility when price increases till a maximum price. Above that price, consumers€٠utility increase indicating in that case that olive oil is considered as a luxurious product. Differences as well as similarities have been detected among consumer segments. |
Keywords: | Olive oil, Japan, consumer behavior, Consumer/Household Economics, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44457&r=mkt |
By: | Toth, Aniko; Forgacs, Csaba |
Keywords: | Marketing, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:43943&r=mkt |
By: | Micheels, E.T.; Gow, H.R. |
Abstract: | The dramatically changing marketing structure for agricultural products is forcing agricultural producers to become more entrepreneurial, but what does this mean? How do agricultural producers produce sustainable competitive advantage within a commodity market characterised by homogeneous producers? The convergence of two academic literatures - Market orientation from market strategy and Resource Based View from strategic management Â€Ó provide a number of insights. In this paper we lay the foundation for research into the market orientation€Ӱerformance link in terms of production agriculture. Building on the previous market orientation literature, we examine its ability to create a sustainable competitive advantage using a resource based view (RBV). Focusing primarily on the U.S. beef industry, we examine these two distinct literatures in tandem and show that the concept of a market orientation meets all the necessary conditions laid out in the RBV literature to create a sustainable competitive advantage, even in a commodity marketplace such as agriculture. This convergence between these two literatures has important implications and direction for future research as we attempt to analyze and evaluate the heterogeneous responses of firm the new global agri-food business environment. |
Keywords: | Market Orientation, Resource Based View, Production Agriculture, Marketing, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44276&r=mkt |
By: | Fischer, C.; Hartmann, M.; Reynolds, N.; Leat, P.; Revoredo-Giha, C.; Henchion, M.; Gracia, A. |
Abstract: | The roles of business relationships in selected European agri-food chains are analysed. Using survey data from 1,442 farmers, food processors and retailers in two commodity sectors (meat and cereals) and across six different EU countries, we test the empirical relevance of several theory-based determinants influencing the choice of relationship type and the sustainability of inter-enterprise relationships. This is undertaken for the overall dataset and separately for different chain stages (farmer-processor versus the processor-retailer relationships), commodities and individual countries. Overall, we find that sector and enterprise-specific determinants seem to influence the choice of a certain relationship type while chain-internal, dyadic factors affect the sustainability of relationships. A logistic regression analysis reveals that the preference for a relationship type, while being highly chain-specific, depends on the long-term orientation and the strive for independence of an enterprise and the product-quality requirements within a corresponding market. As for the sustainability of the analysed relationships, structural equation modelling results suggest that its most important determinant is effective communication, with its two components, adequate communication frequency and high information quality, being equally important. The existence of personal bonds and an equal power distribution between buyers and suppliers are the second most important determinants, followed by the negative impact of key staff leaving. The analysis also reveals that the relative importance of these determinants differs significantly across the two considered chain stages and between the countries investigated. Agribusiness managers, seeking to improve their supplier or buyer relationships, need to consider the crucial role of effective communication and the positive contribution that the existence of personal bonds can make to the development and maintenance of sustainable interactions. |
Keywords: | business relationships, agri-food chains, competitiveness, Agribusiness, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44265&r=mkt |
By: | Vanhonacker, F.; Lengard, V.; Guerrero, L.; Scalvedi, L.; Raude, J.; Zakowska, S.; Hersleth, M.; Verbeke, W. |
Abstract: | This paper provides a consumer-driven definition of traditional food products (TFP) and investigates the image European consumers have about this food product category. Data were collected from representative consumer samples in six European countries, including Belgium, France, Italy, Norway, Poland and Spain, with a total sample size of 4,828 participants. European consumers define traditional foods as well-know products, products that one can eat very frequently, and products that were already eaten by grandparents. Although positive, association of TFP with naturalness and low processing is less pronounced. Sensory, health- and environment-related attribute perceptions contribute positively to the image of TFP, whereas perceived convenience, price, and availability contribute negatively to the TFP image. Finally, TFP are mainly pictured as foods that agree well with people who love national or regional cuisine, with people living in the countryside, equally so with men and women, though more so with families with children rather than singles or household without children. The empirical findings provide insights with particular relevance for TFP positioning, marketing communications around TFP and further development of the TFP market in Europe. |
Keywords: | Traditional food, Consumer, Europe, Demand and Price Analysis, Food Consumption/Nutrition/Food Safety, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:43542&r=mkt |
By: | Yue, C.; Grebitus, C.; Bruhn, M.; Jensen, H.H. |
Abstract: | In producing potatoes the treatment for disease and pests could be more difficult and costly for organic producers than for conventional. Hence, consumers€٠attitudes and willingness to pay for organic potatoes need to be considered in a grower€ٳ choice of production technologies. A bivariate probit model and cluster analysis were applied to survey data to evaluate factors that influenced Germany consumers€٠consumption patterns for conventional and organic potatoes. The results show that consumers associate organic potatoes with healthy ingredients, trustable origin and food safety. But a lack of varieties and inferior appearance of organic potatoes limit consumer interest in the organic products. With regard to socio-demographics, consumers with higher education level and with children in the household tend to consume organic potatoes more often than consumers with lower education and no children in the household. Cluster analysis results group potato consumers into three different market segments: €ܔrusting of industry€ݬ €܈ealth-orientedÂ€Ý and €ÜriceorientedÂ€Ý segments. These results suggest adopting different marketing strategies to promote fresh potatoes to the different market segments. |
Keywords: | organic, potatoes, consumption patterns, Food Consumption/Nutrition/Food Safety, Marketing, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:43948&r=mkt |
By: | Giraud-Heraud, E.; Grazia, C.; Hammoudi, A. |
Abstract: | This paper develops an original framework to better understand the interaction between the development of brands and the quality of raw materials. We consider different levels of consumer trust for a brand and we examine the incentive for firms to improve the quality of a processed product by requiring that upstream suppliers adopt a private standard. In contrast to previous literature, the incentive for firms to develop a more stringent private standard may increase with the level of the regulated minimum quality standard. Moreover, the creation of a private standard can reduce the risk of consumer dissatisfaction while increasing the marketed quantity. Unexpected positive effects of a reinforcement of the minimum quality standard may arise, in the sense that both market access for upstream producers and consumer surplus are improved and final price may decrease with respect to simply complying with the regulation. |
Keywords: | Minimum Quality Standard, brand, vertical relationship, Agribusiness, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:43865&r=mkt |
By: | Camarena, D.M.; Sanjuan, A.I. |
Abstract: | A labelled choice experiment is conducted in order to investigate preferences of Spanish consumers towards ethnic cuisines. In particular, the three best known cuisines, Mexican, Arab and Asian, are considered, across three consumption situations: restaurant, take-away and at home. Wald statistics are applied in order to assess the differential marginal utilities of ethnic food in alternative consumption situations, and the appropriateness of considering a linear effect in price. |
Keywords: | choice experiment, ethnic food, consumers, Food Consumption/Nutrition/Food Safety, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44421&r=mkt |
By: | Malorgio, G.; Hertzberg, A.; Grazia, C. |
Abstract: | This paper analyzes habits and motivations behind wine consumption in Italy and focuses on the attributes affecting wine choice, through interviews and a choice experiment approach. We show that consumers are interested in a wide concept of quality, which covers the whole production process. Both the notoriety of the industrial brand and the designation of origin constitute important quality signals. However, the use of the designation of origin to assess quality at the moment of purchase requires a certain level of product knowledge and involvement. Supermarkets and stores play an increasing role in the commercialization of wine on the final market. Nevertheless, the appreciation of private label wines is relatively low. Finally, we provide some observations on how the Italian wineries are equipped toward market requirements, according to the typologies of vertical relationship between the vine growing and the grapevine processing stages, the quantity and quality strategies. |
Keywords: | wine consumer behaviour, choice experiment, wineries strategies, Consumer/Household Economics, Food Consumption/Nutrition/Food Safety, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44419&r=mkt |
By: | Rogge, C.B.E.; Becker, T.C. |
Abstract: | In order to define consumer expectations over a traceability and information system for the entire food supply chain, the information behaviour of consumers in the food service industry has been subject to an analysis for the first time. In comparison to consumers in retailing, significant differences appear in information seeking behaviour as well as in the information desired. |
Keywords: | meat traceability, consumer behaviour, food service industry, Consumer/Household Economics, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44070&r=mkt |
By: | Gonzalez-Roa, M.C.; Calatrava-Requena, J. |
Abstract: | Research on consumer€ٳ use of food labels have been heavily increasing in the last 20 years from some pioneering works in the eighties. Different analytical approaches to the subject may be identified in the scientific literature, among them, the analysis of the use of different types of information often labeled in food markets, and its relationship with some consumer characteristics. The paper fall into the scope of this type of approach. From a survey to 1500 Spanish consumers, stratified by regions (zone) and type of habitat (rural, urban and metropolitan), a composite index, made by aggregating reading frequencies of nine different types of information (calories, ingredients, expiry date, nutritional composition, etc.) has been calculated, and both an OLS and a ordered multinomial Probit models have been estimated trying to find out the relationship between the intensity of using food labels and some characteristics and features of consumers. From this analysis some conclusions have, finally, been drawn. |
Keywords: | food labels, aggregate use index, consumer behavior, Consumer/Household Economics, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:43541&r=mkt |
By: | Idda, L.; Madau, Fabio A.; Pulina, P. |
Abstract: | Organic food demand is becoming increasingly important throughout the world. Despite this relevance, however, not many attempts have been carried out to profile this food market segment. This paper aims to investigate on motivations that drive consumers towards purchasing organic foods in Italy. Through a survey carried out in some organic specialized stores sited in Sardinia, we explored organic consumer behaviour with specific emphasis on understanding reasons consumers have to buy organic products. A Multiple Correspondence Analysis has obtained four consumers€٠motivational profiles and several findings. Furthermore, a Logit regression allowed us to evaluate the relationships between individual motivations and some socio-demographic characteristics of organic consumers. Some marketing and policy implications arisen from the obtained results. |
Keywords: | Organic food purchase, Consumer€ٳ motivational profilers, Logit regression., Demand and Price Analysis, Food Consumption/Nutrition/Food Safety, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:43946&r=mkt |
By: | Resano, H.; Sanjuan, A.I. |
Abstract: | The overall acceptability of 202 consumers has been analysed by ANOVA, multiple means comparison, cluster analysis and internal preference mapping (MDPREF). Three clusters are found with different preference criteria. These clusters can also be characterized according to actual purchase behaviour, declared consumption habits and sociodemographic characteristics. This study demonstrates the importance for the agro-food industry of examining consumers€٠individual preferences as well as average ones, to obtain relevant information including not only the consumers€٠preference trends, but also the most suitable segment to target a new product. In this way, the MDPREF shows that although consumers€٠preferences tend to Iberian hams over white-breed hams, there is a cluster of consumers which prefers PDO Teruel ham over one of the iberian hams. This cluster shows also some sociodemographic and purchase and consumption habits peculiarities. |
Keywords: | internal preference mapping, acceptability, cluster analysis, Demand and Price Analysis, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44402&r=mkt |
By: | Elena López; Rigoberto A. López (Departamento de Fundamentos de Economía e H.E. , Universidad de Alcalá, and Department of Agricultural and Resource Economics, University of Conneticut.) |
Abstract: | We apply the Berry, Levinsohn and Pakes (1995) model to scanner data from Boston supermarkets augmented with consumer characteristics data in order to analyze consumer choices and price competition in a differentiated fluid milk market. Milk characteristics include price, fat content, brand name and the organic and/or lactose-free nature of the product. Empirical results show that consumer valuation of fat decreases with income but increases with the number of children. Low-fat and specialty milks, such as organic and lactose-free milks, are preferred by high-income consumers with no children. Although all milks are price elastic at the individual brand level, the cross-price elasticities are quite low and negligible for specialty milks. Based on calculated Lerner indexes, private label milks have the highest percent markups despite their lower prices, while specialty milks have the lowest markups despite their higher prices, which attests to a greater degree of market power for conventional and particularly for private label milk. |
Keywords: | Demand analysis, Random coefficients model, Milk, Consumer behavior, Retail pricing, Markups, Competition. |
JEL: | D12 D40 L11 L81 |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:alc:alcamo:0805&r=mkt |
By: | Forsman-Hugg, S.; Katajajuuri, J-M.; Pesonen, I.; Paananen, J.; Makela, J.; Timonen, P. |
Abstract: | The paper is concerned with the content of corporate social responsibility (CSR) in the food supply chains. The objective is to build the content of CSR in the food chain with a stakeholder dialogue. The research project takes an action oriented approach and is based on case studies. The project draws on three different case food products and their supply chains: rye bread, broiler chicken products and margarine. The content of CSR is constructed in interaction between researchers, consumers, companies and their interest groups. The research project combines the compilation and analysis of extensive information sources, constructive technology assessment and stakeholder workshops. The paper presents how the research process is proceeding in a dialogue with researchers, representatives of case companies, consumers and other stakeholders and provides results on important CSR issues rel |
Keywords: | Corporate social responsibility, supply chain, stakeholders, Agribusiness, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44254&r=mkt |
By: | Banterle, A.; Carraresi, L.; Stranieri, S. |
Abstract: | SMEs, that represent the greater part of European food firms producing traditional food products (TFPs), meet difficulties in adapting their strategies to market changes, and in competing with big enterprises. Marketing management capabilities play a key role in good SMEs performance in the market. The purpose of this paper is to evaluate the marketing capabilities of SMEs that produce TFPs. The theoretical framework considers the Market Orientation approach and marketing management capabilities in terms of marketing research, marketing strategy, planning and implementation, control and evaluation. A self evaluation tool was developed by means of an interactive questionnaire, available on the web, aimed at assessing traditional food firms competitive position in the marketing area. The sample consists of 112 Italian firms. Descriptive analysis shows that the most problematic dimensions of the marketing management are planning and implementation and control and evaluation. Moreover, the firms€٠size is not a relevant feature to determine the marketing capabilities, whereas quality voluntary certifications have a direct linkage with marketing capabilities, as the more a firm is certified the more t improves its marketing performance. Linear Regression model confirms these results. |
Keywords: | Marketing capabilities, SMEs, traditional food, linear regression, Agribusiness, Marketing, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44318&r=mkt |
By: | Barrena Figueroa, Ramo; Sanchez Garcia, Mercedes |
Abstract: | An understanding of the process by which consumers match consumption choices to personal values is powerful aid to guide strategic market orientation. It is of particular importance in the highly saturated food markets of developed countries, where consumer needs are shifting closer and closer towards the search for quality and emotional benefits. This study sets out to explore variation in the consumer choice structure in relation to three products with different levels of search, experience and credence attributes, using means-end chain theory. The results suggest the presence of an emotional component in foods that increases in complexity (becomes more abstract) with the number of credence attributes associated with the product; a fact worthy of the consideration of product managers when designing marketing strategies. |
Keywords: | quality, the information economy, search, experience and credence goods, means-end chain, laddering, abstraction, Food Consumption/Nutrition/Food Safety, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44460&r=mkt |
By: | Bolliger, C.; Reviron, S. |
Abstract: | In a global economy food origin is gaining increasing attention as determining purchase criterion in food consumption. Consequently, for many consumers a product€ٳ country-of-origin (COO) is an important cue in evaluating both domestic and foreign products. A double-bounded dichotomous choice approach in an in-store setting was used to assess consumers€٠preference and willingness-to-pay (WTP) for the product attribute €ܓwiss originÂ€Ý relative to €܅uropean originÂ€Ý for chicken meat. Data collection took place in the poultry section of six grocery stores in Francophone Switzerland. Sample selection was based on the consumer€ٳ purchase decision, that is only actual chicken buyers were questioned. During the survey product data of participants€٠actual purchase were recorded. Thus, both hypothetical stated and revealed consumer behaviour data were collected. Based on 450 records we highlight four different consumer segments, notably €܌oyal Swiss€ݬ €܌ow Price Swiss Zappers€ݬ €Ürice Orientated€ݬ and €ޔhe Gourmets€ݮ At an equal price, 90% of the entire sample prefers Swiss chicken meat. To elicit mean WTP for €ܓwiss originÂ€Ý we used logit analysis. The results indicate that mean WTP differs significantly between the highlighted consumer segments. €܌oyal SwissÂ€Ý Â€Ó medium to high priced Swiss chicken meat consumers Â€Ó are willing to pay a premium of about 7.40 Euros per kilo chicken breast of Swiss origin. This premium corresponds with actual price differences of at most 7.50 ‚̯kg for Swiss chicken breast relative to European found in the researched grocery stores. €܌ow Price Swiss ZappersÂ€Ý are willing to pay a premium of 2.10 ‚̯kg chicken breast of Swiss origin. In contrast, the €Ürice OrientatedÂ€Ý and €ޔhe GourmetsÂ€Ý are not willing to pay any premium for Swiss origin. This corresponds with their revealed purchase behaviour as they bought imported European chicken. Considering mean WTP for the entire sample of 3.00 ‚̯kg for Swiss origin, we conclude that this is not a good predictor for specific consumer segments. It over-, or underestimates mean WTP of the highlighted consumer segments. Using both stated and revealed consumer behaviour data, we are able to calculate consumer group specific mean WTP which leads to more appropriate results for agribusiness and marketing purposes. |
Keywords: | contingent valuation method, country-oforigin, willingness-to-pay, Demand and Price Analysis, Food Consumption/Nutrition/Food Safety, |
Date: | 2008 |
URL: | http://d.repec.org/n?u=RePEc:ags:eaae08:44155&r=mkt |