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The Relative Importance of Search versus Credence Product Attributes: Organic and Locally Grown

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Author Info

  • Wirth, Ferdinand F.
  • Stanton, John L.
  • Wiley, James B.

Abstract

Organic foods and local foods have come to the forefront of consumer issues, due to concerns about nutrition, health, sustainability, and food safety. A conjoint analysis experiment quantified the relative importance of, and trade-offs between, apple search and experience attributes (quality/blemishes, size, flavor), credence attributes (conventional vs. organic production method, local origin vs. product of USA vs. imported), and purchase price when buying apples. Quality is the most important apple attribute. Production method—organic versus conventional—had no significant impact on preferences.

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Bibliographic Info

Article provided by Northeastern Agricultural and Resource Economics Association in its journal Agricultural and Resource Economics Review.

Volume (Year): 40 (2011)
Issue (Month): 1 (April)
Pages:

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Handle: RePEc:ags:arerjl:106064

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Web page: http://www.narea.org/
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Related research

Keywords: conjoint analysis; organic; locally grown; credence attributes; Consumer/Household Economics; Food Consumption/Nutrition/Food Safety; Marketing;

References

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  1. Green, Paul E & Srinivasan, V, 1978. " Conjoint Analysis in Consumer Research: Issues and Outlook," Journal of Consumer Research, University of Chicago Press, vol. 5(2), pages 103-23, Se.
  2. James, Jennifer S. & Rickard, Bradley J. & Rossman, William J., 2009. "Product Differentiation and Market Segmentation in Applesauce: Using a Choice Experiment to Assess the Value of Organic, Local, and Nutrition Attributes," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 38(3), December.
  3. Green, Paul E, 1974. " On the Design of Choice Experiments Involving Multifactor Alternatives," Journal of Consumer Research, University of Chicago Press, vol. 1(2), pages 61-68, Se.
  4. Darby, Michael R & Karni, Edi, 1973. "Free Competition and the Optimal Amount of Fraud," Journal of Law and Economics, University of Chicago Press, vol. 16(1), pages 67-88, April.
  5. Harrison, R. Wes & Ozayan, Aylin & Meyers, Samuel P., 1998. "A Conjoint Analysis Of New Food Products Processed From Underutilized Small Crawfish," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 30(02), December.
  6. Manalo, Alberto B., 1990. "Assessing The Importance Of Apple Attributes: An Agricultural Application Of Conjoint Analysis," Northeastern Journal of Agricultural and Resource Economics, Northeastern Agricultural and Resource Economics Association, vol. 19(2), October.
  7. Nelson, Phillip, 1970. "Information and Consumer Behavior," Journal of Political Economy, University of Chicago Press, vol. 78(2), pages 311-29, March-Apr.
  8. Li, Jinghan & Zepeda, Lydia & Gould, Brian W., 2007. "The Demand for Organic Food in the U.S.: An Empirical Assessment," Journal of Food Distribution Research, Food Distribution Research Society, vol. 38(3), November.
  9. James, Jennifer S. & Rickard, Bradley J. & Rossman, William J., 2009. "Product Differentiation and Market Segmentation in Applesauce: Using a Choice Experiment to Assess the Value of Organic, Local and Nutrition Attributes," Working Papers 48916, Cornell University, Department of Applied Economics and Management.
  10. Eve J. Froehlich & Jared G. Carlberg & Clement E. Ward, 2009. "Willingness-to-Pay for Fresh Brand Name Beef," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 57(1), pages 119-137, 03.
  11. Baker, Gregory A., 1999. "Consumer Preferences For Food Safety Attributes In Fresh Apples: Market Segments, Consumer Characteristics, And Marketing Opportunities," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 24(01), July.
  12. Dentoni, Domenico & Tonsor, Glynn T. & Calantone, Roger J. & Peterson, H. Christopher, 2009. "The Direct and Indirect Effects of ‘Locally Grown’ on Consumers’ Attitudes towards Agri-Food Products," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 38(3), December.
  13. Kim Darby & Marvin T. Batte & Stan Ernst & Brian Roe, 2008. "Decomposing Local: A Conjoint Analysis of Locally Produced Foods," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 90(2), pages 476-486.
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Cited by:
  1. Campbell, Benjamin L. & Mhlanga, Saneliso & Lesschaeve, Isabelle, 2013. "Consumer Preferences for Peach Attributes: Market Segmentation Analysis and Implications for New Marketing Strategies," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 42(3), December.
  2. Skreli, Engjell & Imami, Drini, 2012. "Analyzing Consumers’ Preferences for Apple Attributes in Tirana, Albania," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association (IAMA), vol. 15(4).
  3. Roosen, Jutta & Kottl, Barbara & Hasselbach, Johanna, 2012. "Can local be the new organic? Food choice motives and willingness to pay," 2012 AAEA/EAAE Food Environment Symposium, May 30-31, Boston, MA 123512, Agricultural and Applied Economics Association.

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