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The resilient character of PDO/PGI products in dynamic food markets

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  • Arfini, Filippo
  • Capelli, Maria Giacinta
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    Abstract

    The European and Italian food system is experiencing a change in the relationship with the consumer and with the distribution. In fact, customers are increasingly demanding, and are attracted, by products that have high quality content and a strong link with the territory. The brands with the price are the two factors affecting the strategic policies of the food producer firms. At the same time, the retail system has proven to be very sensitive to consumer demands by providing quality products at competitive prices and using their brand as an element of loyalty. In the European context, the Italian agri-food system has the higher number of products with the Protected Designation of Origin (PDO) and Protected Geographical Indication (PGI) recognition. However, 90% of PDO products are represented by only 15 Designations. This figure shows how different types of products find a much diversified business position in relation to the firm’s characteristics, to the markets characteristics, to the reputation of the Designation and to the consortium strategies in relation to their commercialization. The objective of this research, based on observed data collected through the survey of QUALIVITA Association, is to provide an exhaustive picture of the economic characteristics of the Italian PDO, PGI Designations and define a typology of such Designation according different set of variables as production system, reputation level, role of the territory and distribution channel. The ultimate goal is to determine the strategic levers taken at the marketing stage and to identify which factors clarify their potentiality on the market. The methodology adopted for the quantitative analysis is based on non-hierarchical cluster analysis by the method of k-mean in order to identify clusters of similar designations which explain what variables act on the various strategies adopted and on the related development processes.

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    Bibliographic Info

    Paper provided by European Association of Agricultural Economists in its series 113th Seminar, September 3-6, 2009, Chania, Crete, Greece with number 57670.

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    Date of creation: 2009
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    Handle: RePEc:ags:eaa113:57670

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    Related research

    Keywords: PDO/PGI; quality; modern distribution; cluster analysis; marketing strategies; development processes; Agricultural and Food Policy; Marketing;

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