IDEAS home Printed from https://ideas.repec.org/a/spr/agfoec/v2y2014i1p1-1610.1186-s40100-014-0014-1.html
   My bibliography  Save this article

Country of origin and willingness to pay for pistachios: a chinese case

Author

Listed:
  • Pei Xu
  • Zhigang Wang

Abstract

Using 360 questionnaire data collected in Beijing, China, this study examines consumers’ acceptance and willingness to pay (WTP) for pistachios produced in China, California and Turkey. The impact of country of origin (COO), price, flavor, package size and package type was analyzed. A conditional logit model shows that consumers are willing to pay a statistically significant premium for California and Chinese pistachio, but the Turkish pistachio is less preferred. Using a mixed logit model to estimate the income effect, this study shows that wealthier consumers tend to purchase California pistachio. The marginal effect shows that every 1% increase in income will result in a 1.2% increase in the probability of purchasing California pistachio. However, the purchase of Chinese pistachio does not depend on income. Price and COO are the two most influential attributes and package size and type are the two least important attributes to change derived utility. Copyright Xu and Wang; licensee Springer. 2014

Suggested Citation

  • Pei Xu & Zhigang Wang, 2014. "Country of origin and willingness to pay for pistachios: a chinese case," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 2(1), pages 1-16, December.
    • Handle: RePEc:spr:agfoec:v:2:y:2014:i:1:p:1-16:10.1186/s40100-014-0014-1
    DOI: 10.1186/s40100-014-0014-1
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1186/s40100-014-0014-1
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1186/s40100-014-0014-1?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Weihua Guan, 2003. "From the help desk: Bootstrapped standard errors," Stata Journal, StataCorp LP, vol. 3(1), pages 71-80, March.
    2. Veeck, Ann & Veeck, Gregory, 2000. "Consumer Segmentation and Changing Food Purchase Patterns in Nanjing, PRC," World Development, Elsevier, vol. 28(3), pages 457-471, March.
    3. Sergio Colombo & Javier Calatrava-Requena & Nick Hanley, 2007. "Testing Choice Experiment for Benefit Transfer with Preference Heterogeneity," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 89(1), pages 135-151.
    4. Mayen, Carlos D. & Marshall, Maria I. & Lusk, Jayson L., 2007. "Fresh-Cut Melon - The Money Is in the Juice," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 39(3), pages 1-13, December.
    5. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521766555.
    6. Kelvin J. Lancaster, 1966. "A New Approach to Consumer Theory," Journal of Political Economy, University of Chicago Press, vol. 74(2), pages 132-132.
    7. Warren J Bilkey & Erik Nes, 1982. "Country-of-Origin Effects on Product Evaluations," Journal of International Business Studies, Palgrave Macmillan;Academy of International Business, vol. 13(1), pages 89-100, March.
    8. Hu, Wuyang & Woods, Timothy & Bastin, Sandra, 2009. "Consumer Acceptance and Willingness to Pay for Blueberry Products with Nonconventional Attributes," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 41(1), pages 47-60, April.
    9. Kuo-Liang Chang & Keith Underwood & George Langelett & Pei Xu, 2012. "Consumer's Willingness to Pay for Locally Produced Ground Beef: A Case Study," Issue Briefs 2011538, South Dakota State University, Department of Economics.
    10. Erickson, Gary M & Johansson, Johny K & Chao, Paul, 1984. "Image Variables in Multi-Attribute Product Evaluations: Country-of-Origin Effects," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 11(2), pages 694-699, September.
    11. Louviere,Jordan J. & Hensher,David A. & Swait,Joffre D. With contributions by-Name:Adamowicz,Wiktor, 2000. "Stated Choice Methods," Cambridge Books, Cambridge University Press, number 9780521788304.
    12. Loureiro, Maria L. & Umberger, Wendy J., 2007. "A choice experiment model for beef: What US consumer responses tell us about relative preferences for food safety, country-of-origin labeling and traceability," Food Policy, Elsevier, vol. 32(4), pages 496-514, August.
    13. Fuller, Frank & Huang, Jikun & Ma, Hengyun & Rozelle, Scott, 2006. "Got milk? The rapid rise of China's dairy sector and its future prospects," Food Policy, Elsevier, vol. 31(3), pages 201-215, June.
    14. Wang, Zhigang & Mao, Yanna & Gale, Fred, 2008. "Chinese consumer demand for food safety attributes in milk products," Food Policy, Elsevier, vol. 33(1), pages 27-36, February.
    15. Jayson L. Lusk & F. Bailey Norwood, 2005. "Effect of Experimental Design on Choice-Based Conjoint Valuation Estimates," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 87(3), pages 771-785.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Lucia Baldi & Danilo Bertoni & Giuseppina Migliore & Massimo Peri, 2019. "How alternative food networks work in a metropolitan area? An analysis of Solidarity Purchase Groups in Northern Italy," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 7(1), pages 1-21, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Doherty, Edel & Campbell, Danny, 2011. "Demand for improved food safety and quality: a cross-regional comparison," 85th Annual Conference, April 18-20, 2011, Warwick University, Coventry, UK 108791, Agricultural Economics Society.
    2. Rombach, Meike & Widmar, Nicole Olynk & Byrd, Elizabeth & Bitsch, Vera, 2018. "Do all roses smell equally sweet? Willingness to pay for flower attributes in specialized retail settings by German consumers," Journal of Retailing and Consumer Services, Elsevier, vol. 40(C), pages 91-99.
    3. Chad M. Baum & Robert Weigelt, 2019. "How Where I Shop Influences What I Buy: The Importance of the Retail Format in Sustainable Tomato Consumption," Economic Complexity and Evolution, in: Andreas Chai & Chad M. Baum (ed.), Demand, Complexity, and Long-Run Economic Evolution, pages 141-169, Springer.
    4. Shijiu Yin & Shanshan Lv & Yusheng Chen & Linhai Wu & Mo Chen & Jiang Yan, 2018. "Consumer preference for infant milk‐based formula with select food safety information attributes: Evidence from a choice experiment in China," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 66(4), pages 557-569, December.
    5. Uwamariya, Beatrice, 2014. "Assessment of Consumer Awareness and Preferences for Quality Certification and Origin-Labeling in Fruit Salads in Kigali,Rwanda," Research Theses 198512, Collaborative Masters Program in Agricultural and Applied Economics.
    6. Ozge Dinc‐Cavlak & Ozlem Ozdemir, 2021. "Comparing the willingness to pay through three elicitation mechanisms: An experimental evidence for organic egg product," Agribusiness, John Wiley & Sons, Ltd., vol. 37(4), pages 782-803, October.
    7. Sckokai, Paolo & Veneziani, Mario & Moro, Daniele & Castellari, Elena, 2014. "Consumer willingness to pay for food safety: the case of mycotoxins in milk," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 3(1), pages 1-19, April.
    8. Wongprawmas, Rungsaran & Canavari, Maurizio, 2017. "Consumers’ willingness-to-pay for food safety labels in an emerging market: The case of fresh produce in Thailand," Food Policy, Elsevier, vol. 69(C), pages 25-34.
    9. Vassalos, Michael & Hu, Wuyang & Woods, Timothy A. & Schieffer, Jack & Dillon, Carl R., 2013. "Fresh Vegetable Growers' Risk Perception, Risk Preference and Choice of Marketing Contracts: A Choice Experiment," 2013 Annual Meeting, February 2-5, 2013, Orlando, Florida 142506, Southern Agricultural Economics Association.
    10. Emily Lancsar & Jordan Louviere, 2008. "Conducting Discrete Choice Experiments to Inform Healthcare Decision Making," PharmacoEconomics, Springer, vol. 26(8), pages 661-677, August.
    11. Wenjing Nie & David Abler & Liqun Zhu & Taiping Li & Guanghua Lin, 2018. "Consumer Preferences and Welfare Evaluation under Current Food Inspection Measures in China: Evidence from Real Experiment Choice of Rice Labels," Sustainability, MDPI, vol. 10(11), pages 1-15, November.
    12. Murray Rudd, 2011. "An Exploratory Analysis of Societal Preferences for Research-Driven Quality of Life Improvements in Canada," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 101(1), pages 127-153, March.
    13. Morten Mørkbak & Tove Christensen & Dorte Gyrd-Hansen, 2010. "Choke Price Bias in Choice Experiments," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 45(4), pages 537-551, April.
    14. Cheng, Leilei & Yin, Changbin & Chien, Hsiaoping, 2015. "Demand for milk quantity and safety in urban China: evidence from Beijing and Harbin," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 59(2), April.
    15. Ortega, David L. & Wang, H. Holly & Wu, Laping & Hong, Soo Jeong, 2015. "Retail channel and consumer demand for food quality in China," China Economic Review, Elsevier, vol. 36(C), pages 359-366.
    16. Choi, Andy S., 2013. "Nonmarket values of major resources in the Korean DMZ areas: A test of distance decay," Ecological Economics, Elsevier, vol. 88(C), pages 97-107.
    17. Jianhua Wang & Jiaye Ge & Yuting Ma, 2018. "Urban Chinese Consumers’ Willingness to Pay for Pork with Certified Labels: A Discrete Choice Experiment," Sustainability, MDPI, vol. 10(3), pages 1-14, February.
    18. Illichmann, R. & Abdulai, A., 2014. "Analysis of Consumer Preferences and Wilingness-To-Pay for Organic Food Products in Germany," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 49, March.
    19. Qin, Pin & Carlsson, Fredrik & Xu, Jintao, 2009. "Forestland Reform in China: What do the Farmers Want? A Choice Experiment on Farmers’ Property Rights Preferences," Working Papers in Economics 370, University of Gothenburg, Department of Economics.
    20. Ping Qin & Fredrik Carlsson & Jintao Xu, 2011. "Forest Tenure Reform in China: A Choice Experiment on Farmers’ Property Rights Preferences," Land Economics, University of Wisconsin Press, vol. 87(3), pages 473-487.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:agfoec:v:2:y:2014:i:1:p:1-16:10.1186/s40100-014-0014-1. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.