nep-mkt New Economics Papers
on Marketing
Issue of 2012‒05‒22
five papers chosen by
Joao Carlos Correia Leitao
University of Beira Interior and Technical University of Lisbon

  1. Generating global brand equity through corporate social responsibility to key stakeholders. By Torres, Anna; Bijmolt, Tammo H. A.; Tribó, Josep A.; Verhoef, Peter
  2. Assessing Consumer Willingness to Pay a Premium for Organic Food Product: Evidence from Ghana By Owusu, Victor
  3. Resale price maintenance and manufacturer competition for retail services By Hunold, Matthias; Muthers, Johannes
  4. Do consumers learn from tasting scores set by experts? By Nicolas Gérard Vaillant; François-Charles Wolff
  5. An Analysis of Food Safety Events on Consumers’ Confidence and Consumers Attitude towards Preparedness of U.S. Food System By Hill, Jessica I.; Bharad, Abhishek Bhagwat; Harrison, R. Wes; Kinsey, Jean D.; Degeneffe, Dennis J.

  1. By: Torres, Anna; Bijmolt, Tammo H. A.; Tribó, Josep A.; Verhoef, Peter
    Abstract: In this paper, we argue that corporate social responsibility (CSR) to various stakeholders (customers, shareholders, employees, suppliers, and community) has a positive effect on global brand equity (BE). In addition, policies aimed at satisfying community interests help reinforce the credibility of social responsibility policies with other stakeholders.Wetest these theoretical contentions by using panel data comprised of 57 global brands originating from10 countries (USA, Japan, South Korea, France, UK, Italy, Germany, Finland, Switzerland, and The Netherlands) for the period from 2002 to 2008. Our findings show that CSR toward each of the stakeholder groups has a positive impact on global BE. In addition, global brands that follow local social responsibility policies in communities obtain strong positive benefits through the generation of BE, enhancing the positive effects of CSR toward other stakeholders, particularly customers. Therefore, for managers of global brands, when generating brand value, it is particularly effective to combine global strategies with the need to satisfy the interests of local communities.
    Keywords: Global brands; Brand equity; Corporate social responsibility; Stakeholders;
    Date: 2012–03
  2. By: Owusu, Victor
    Abstract: This paper examines the willingness of consumers to pay a premium for organic food product with a contingent valuation data from urban Kumasi of Ghana. Consumer’s willingness to pay a premium is estimated with a bivariate Tobit model. The empirical findings indicate that apart from socioeconomic characteristics and consumer perceptions, product attributes tend to influence consumer preferences for organic water melon and lettuce. The estimated mean WTP premium for 1 kilogram of water melon is GH¢0.5554 (US$ 0.4575) and that of organic lettuce is GH¢1.2579 (US$1.0361).
    Keywords: Consumer Perception, Ghana, Organic Foods, Willingness to Pay, Agribusiness, Agricultural and Food Policy, Food Consumption/Nutrition/Food Safety,
    Date: 2012
  3. By: Hunold, Matthias; Muthers, Johannes
    Abstract: We investigate the incentives of manufacturers to use resale price maintenance (RPM) when selling products through common retailers. In our model retailers provide product specific pre-sales services. If the competitive retail margins are low, each manufacturer fixes a minimum price to induce favorable retail services. With symmetric manufacturers, products are equally profitable in equilibrium and no product is favored as without RPM, but retail prices are higher. We show that minimum RPM can create a prisoner's dilemma for manufacturers without increasing, and possibly even decreasing the overall service quality. This challenges the service argument as an efficiency defense for RPM. --
    Keywords: biased sales advice,common agency,manufacturer dilemma,matching,retail service,RPM,vertical restraints
    JEL: D83 L42
    Date: 2012
  4. By: Nicolas Gérard Vaillant (LEM - Lille - Economie et Management - CNRS : UMR8179 - Université Lille 1 - Sciences et Technologies - Fédération Universitaire et Polytechnique de Lille, Université Catholique de Lille - Université Catholique de Lille); François-Charles Wolff (LEMNA - Laboratoire d'économie et de management de Nantes Atlantique - Université de Nantes : EA4272, INED - Institut National d'Etudes Démographiques Paris - INED)
    Abstract: Using data from whisky tastings and fixed effect regressions, we find that net of any composition effect, experts report different tasting scores on average. This indicates that consumers have little to learn from absolute scores.
    Keywords: expert opinion; tasting score
    Date: 2012–05–09
  5. By: Hill, Jessica I.; Bharad, Abhishek Bhagwat; Harrison, R. Wes; Kinsey, Jean D.; Degeneffe, Dennis J.
    Abstract: Every year hundreds of food recalls are made due to contamination. The main focus of this paper is to examine the effects of specific food events on consumers’ confidence in food safety as well as their preparedness regarding the United States food system. The food events studied in this are major food-borne illnesses outbreaks and recalls that have occurred since May 2008. The three events chosen included: the salmonella outbreak in jalapeno and Serrano peppers occurring in 2008, the salmonella outbreak in peanut butter occurring in 2009, and the E.coli outbreak in Nestle cookie dough occurring in 2009. An ordered probit model was used to measure the effects that these specific foodborne illnesses had on consumers’ confidence. The results revealed that the effect of the jalapeno and Serrano peppers and peanut butter significantly and negatively impact consumers’ confidence. The Nestle recall had a negative impact on confidence but was not significant.
    Keywords: food safety, food system, food recalls, ordered probit, consumer confidence, consumer attitudes, Agribusiness, Agricultural and Food Policy, Food Consumption/Nutrition/Food Safety, Food Security and Poverty,
    Date: 2011

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