IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v15y2023i4p3778-d1073152.html
   My bibliography  Save this article

Does Price Matter in Mainland China? Examine the Factors Influencing Broiler Chicken Purchase Intention

Author

Listed:
  • Ye Ye

    (College of Economics and Management, South China Agricultural University, Guangzhou 510642, China
    Business School, Shaoguan University, Shaoguan 512000, China)

  • Baichen Jiang

    (College of Economics and Management, South China Agricultural University, Guangzhou 510642, China)

  • Binyao Ning

    (Business School, Shaoguan University, Shaoguan 512000, China)

  • Xinjean Lim

    (Centre of Value Creation and Human Well-Being, Faculty of Economics and Management, Universiti Kebangsaan Malaysia, Bangi 43600, Malaysia)

  • Lijia Hu

    (Business School, Shaoguan University, Shaoguan 512000, China)

Abstract

Sustainable marketing emphasizes how businesses convey the concept of sustainability to consumers through marketing techniques. Previous research has focused on identifying the drivers that influence consumers’ purchase intentions for agricultural products. However, there is a lack of research on the quality of the messages that firms convey to consumers from a pricing perspective. To fill this gap, this study builds on the hedonic pricing theory using structural equation modeling to develop a formative model that enables the identification of the determinants that influence the market price of the broiler chicken industry in mainland China. By analyzing the information on 486 raw whole chicken samples in China, the results indicate that the basic, responsible production, and quality assurance attributes of broilers have a substantial effect on their selling price, whereas the marketing message attributes do not. The results of this study are enlightening for producers and marketers of agricultural products who are developing pricing strategies. This study raises important questions about the pricing of agricultural products in sustainable marketing practices, particularly in emerging economies, and suggests avenues for future research conducted in this area.

Suggested Citation

  • Ye Ye & Baichen Jiang & Binyao Ning & Xinjean Lim & Lijia Hu, 2023. "Does Price Matter in Mainland China? Examine the Factors Influencing Broiler Chicken Purchase Intention," Sustainability, MDPI, vol. 15(4), pages 1-16, February.
  • Handle: RePEc:gam:jsusta:v:15:y:2023:i:4:p:3778-:d:1073152
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/15/4/3778/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/15/4/3778/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Chou, Sheng-Fang & Horng, Jeou-Shyan & Sam Liu, Chih-Hsing & Lin, Jun-You, 2020. "Identifying the critical factors of customer behavior: An integration perspective of marketing strategy and components of attitudes," Journal of Retailing and Consumer Services, Elsevier, vol. 55(C).
    2. Alphonce, Roselyne & Alfnes, Frode, 2015. "Eliciting Consumer WTP for Food Characteristics in a Developing Context: Comparison of four methods in a field experiment," Working Paper Series 01-2015, Norwegian University of Life Sciences, School of Economics and Business.
    3. Yue, Shen & Munir, Irfan Ullah & Hyder, Shabir & Nassani, Abdelmohsen A. & Qazi Abro, Muhammad Moinuddin & Zaman, Khalid, 2020. "Sustainable food production, forest biodiversity and mineral pricing: Interconnected global issues," Resources Policy, Elsevier, vol. 65(C).
    4. Xiaoping Zheng & Qiuyi Huang & Shuangyu Zheng, 2022. "The Identification and Applicability of Regional Brand-Driving Modes for Agricultural Products," Agriculture, MDPI, vol. 12(8), pages 1-18, July.
    5. Jan-Michael Becker & Christian Ringle & Marko Sarstedt & Franziska Völckner, 2015. "How collinearity affects mixture regression results," Marketing Letters, Springer, vol. 26(4), pages 643-659, December.
    6. Jabarzare, Nahid & Rasti-Barzoki, Morteza, 2020. "A game theoretic approach for pricing and determining quality level through coordination contracts in a dual-channel supply chain including manufacturer and packaging company," International Journal of Production Economics, Elsevier, vol. 221(C).
    7. Nason Maani Hessari & May CI van Schalkwyk & Sian Thomas & Mark Petticrew, 2019. "Alcohol Industry CSR Organisations: What Can Their Twitter Activity Tell Us about Their Independence and Their Priorities? A Comparative Analysis," IJERPH, MDPI, vol. 16(5), pages 1-12, March.
    8. Jiang Zhao & Ksenia Gerasimova & Yala Peng & Jiping Sheng, 2019. "Information asymmetry, third party certification and the integration of organic food value chain in China," China Agricultural Economic Review, Emerald Group Publishing Limited, vol. 12(1), pages 20-38, September.
    9. Bruno Larue & Gale E. West & Carole Gendron & Rémy Lambert, 2004. "Consumer response to functional foods produced by conventional, organic, or genetic manipulation," Agribusiness, John Wiley & Sons, Ltd., vol. 20(2), pages 155-166.
    10. Alison Munsch, 2021. "Millennial and generation Z digital marketing communication and advertising effectiveness: A qualitative exploration," Journal of Global Scholars of Marketing Science, Taylor & Francis Journals, vol. 31(1), pages 10-29, January.
    11. Mao, Hui & Zhou, Li & Ifft, Jennifer & Ying, RuiYao, 2019. "Risk preferences, production contracts and technology adoption by broiler farmers in China," China Economic Review, Elsevier, vol. 54(C), pages 147-159.
    12. Fredrik Carlsson & Olof Johansson‐Stenman & Peter Martinsson, 2007. "Do You Enjoy Having More than Others? Survey Evidence of Positional Goods," Economica, London School of Economics and Political Science, vol. 74(296), pages 586-598, November.
    13. Luciana L. Porfirio & David Newth & John J. Finnigan & Yiyong Cai, 2018. "Economic shifts in agricultural production and trade due to climate change," Palgrave Communications, Palgrave Macmillan, vol. 4(1), pages 1-9, December.
    14. Fabrice Etilé & Sabrina Teyssier, 2016. "Signaling Corporate Social Responsibility: Third-Party Certification versus Brands," Scandinavian Journal of Economics, Wiley Blackwell, vol. 118(3), pages 397-432, July.
    15. Satimanon, Thasanee & Weatherspoon, Dave D., 2010. "Hedonic Analysis of Sustainable Food Products," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 13(4), pages 1-17.
    16. Zhou, Yu & Xiong, Yu & Jin, Minyue, 2021. "Less is more: Consumer education in a closed-loop supply chain with remanufacturing," Omega, Elsevier, vol. 101(C).
    17. Fabrice Etilé & Sabrina Teyssier, 2016. "Signaling Corporate Social Responsibility: Third-Party Certification versus Brands," Scandinavian Journal of Economics, Wiley Blackwell, vol. 118(3), pages 397-432, July.
    18. Raja, Jawwad Z. & Frandsen, Thomas & Kowalkowski, Christian & Jarmatz, Martin, 2020. "Learning to discover value: Value-based pricing and selling capabilities for services and solutions," Journal of Business Research, Elsevier, vol. 114(C), pages 142-159.
    19. Potrawa, Tomasz & Tetereva, Anastasija, 2022. "How much is the view from the window worth? Machine learning-driven hedonic pricing model of the real estate market," Journal of Business Research, Elsevier, vol. 144(C), pages 50-65.
    20. Karipidis, Philippos I. & Tsakiridou, Efthimia & Tabakis, Nikolaos M. & Mattas, Konstadinos, 2005. "Hedonic Analysis of Retail Egg Prices," Journal of Food Distribution Research, Food Distribution Research Society, vol. 36(3), pages 1-6, November.
    21. Ching-Hui (Joan) Su & Chin-Hsun (Ken) Tsai & Ming-Hsiang Chen & Wan Qing Lv, 2019. "U.S. Sustainable Food Market Generation Z Consumer Segments," Sustainability, MDPI, vol. 11(13), pages 1-14, June.
    22. Wang, Xia & Yu, Chunling & Wei, Yujie, 2012. "Social Media Peer Communication and Impacts on Purchase Intentions: A Consumer Socialization Framework," Journal of Interactive Marketing, Elsevier, vol. 26(4), pages 198-208.
    23. Richard C. Ready & Charles W. Abdalla, 2005. "The Amenity and Disamenity Impacts of Agriculture: Estimates from a Hedonic Pricing Model," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 87(2), pages 314-326.
    24. Haolong Liu & Xin Su & Xiaohui Wang & Xiao Li & Lijun Pei, 2021. "Complexity Analysis for Price Competition of Agricultural Products with Regional Brands," Discrete Dynamics in Nature and Society, Hindawi, vol. 2021, pages 1-11, July.
    25. Marko Sarstedt & Jun-Hwa Cheah, 2019. "Partial least squares structural equation modeling using SmartPLS: a software review," Journal of Marketing Analytics, Palgrave Macmillan, vol. 7(3), pages 196-202, September.
    26. Cankun Wei & Meichen Fu & Li Wang & Hanbing Yang & Feng Tang & Yuqing Xiong, 2022. "The Research Development of Hedonic Price Model-Based Real Estate Appraisal in the Era of Big Data," Land, MDPI, vol. 11(3), pages 1-30, February.
    Full references (including those not matched with items on IDEAS)

    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. Nils Engelbrecht & Tim-Benjamin Lembcke & Alfred Benedikt Brendel & Kilian Bizer & Lutz M. Kolbe, 2021. "The Virtual Online Supermarket: An Open-Source Research Platform for Experimental Consumer Research," Sustainability, MDPI, vol. 13(8), pages 1-25, April.
    2. Wang, Siqi & Cheah, Jun-Hwa & Lim, Xin-Jean & Leong, Yee Choy & Choo, Wei Chong, 2022. "Thanks COVID-19, I'll reconsider my purchase: Can fear appeal reduce online shopping cart abandonment?," Journal of Retailing and Consumer Services, Elsevier, vol. 64(C).
    3. Mark Pigors & Bettina Rockenbach, 2016. "Consumer Social Responsibility," Management Science, INFORMS, vol. 62(11), pages 3123-3137, November.
    4. Agata Gurzawska & Markus Mäkinen & Philip Brey, 2017. "Implementation of Responsible Research and Innovation (RRI) Practices in Industry: Providing the Right Incentives," Sustainability, MDPI, vol. 9(10), pages 1-26, September.
    5. Crosetto, P. & Lacroix, A. & Muller, L. & Ruffieux, B., 2018. "Nutritional and economic impact of 5 alternative front-of-pack nutritional labels: experimental evidence," Working Papers 2018-11, Grenoble Applied Economics Laboratory (GAEL).
    6. Danz, David & Engelmann, Dirk & Kübler, Dorothea, 2022. "Do legal standards affect ethical concerns of consumers?," European Economic Review, Elsevier, vol. 144(C).
    7. Maria Eduarda Fernandes & Marieta Valente, 2018. "When Is Green Too Rosy? Evidence from a Laboratory Market Experiment on Green Goods and Externalities," Games, MDPI, vol. 9(3), pages 1-18, September.
    8. Kerschbamer, Rudolf & Neururer, Daniel & Gruber, Alexander, 2019. "Do altruists lie less?," Journal of Economic Behavior & Organization, Elsevier, vol. 157(C), pages 560-579.
      • Rudolf Kerschbamer & Daniel Neururer & Alexander Gruber, 2017. "Do the altruists lie less?," Working Papers 2017-18, Faculty of Economics and Statistics, Universität Innsbruck, revised 09 Nov 2017.
    9. Luigi Roselli & Domenico Carlucci & Bernardo Corrado Gennaro, 2016. "What Is the Value of Extrinsic Olive Oil Cues in Emerging Markets? Empirical Evidence from the U.S. E‐Commerce Retail Market," Agribusiness, John Wiley & Sons, Ltd., vol. 32(3), pages 329-342, July.
    10. Lim, Xin-Jean & Cheah, Jun-Hwa & Ng, Siew Imm & Kamal Basha, Norazlyn & Liu, Yide, 2021. "Are men from Mars, women from Venus? Examining gender differences towards continuous use intention of branded apps," Journal of Retailing and Consumer Services, Elsevier, vol. 60(C).
    11. Sylvaine Poret, 2019. "Corporate–NGO Partnerships through Sustainability Labeling Schemes: Motives and Risks," Post-Print hal-02154666, HAL.
    12. Chang, Juin-Jen & Chen, Jhy-Hwa & Tsai, Ming-Fang, 2022. "Corporate social responsibility, social optimum, and the environment-growth tradeoff," Resource and Energy Economics, Elsevier, vol. 69(C).
    13. Vecchi, Martina, 2022. "Groups and socially responsible production: An experiment with farmers," Journal of Economic Behavior & Organization, Elsevier, vol. 196(C), pages 372-392.
    14. Engelmann, Dirk & Friedrichsen, Jana & Kübler, Dorothea, 2018. "Fairness in Markets and Market Experiments," Rationality and Competition Discussion Paper Series 64, CRC TRR 190 Rationality and Competition.
    15. Sylvaine Poret, 2019. "Corporate–NGO Partnerships through Sustainability Labeling Schemes: Motives and Risks," Sustainability, MDPI, vol. 11(9), pages 1-19, May.
    16. Chin-Wen Chang & Sheng-Hsiung Chang, 2023. "The Impact of Digital Disruption: Influences of Digital Media and Social Networks on Forming Digital Natives’ Attitude," SAGE Open, , vol. 13(3), pages 21582440231, August.
    17. Sundararaj, Vinu & Rejeesh, M R, 2021. "A detailed behavioral analysis on consumer and customer changing behavior with respect to social networking sites," Journal of Retailing and Consumer Services, Elsevier, vol. 58(C).
    18. Sören Harrs & Bettina Rockenbach & Lukas M. Wenner, 2022. "Revealing good deeds: disclosure of social responsibility in competitive markets," Experimental Economics, Springer;Economic Science Association, vol. 25(5), pages 1349-1373, November.
    19. Xu, Xun & Loke, Matthew K. & Leung, PingSun, 2015. "Is There a Price Premium for Local Food? The Case of the Fresh Lettuce Market in Hawaii," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 44(1), pages 1-14, April.
    20. Sarstedt, Marko & Radomir, Lăcrămioara & Moisescu, Ovidiu Ioan & Ringle, Christian M., 2022. "Latent class analysis in PLS-SEM: A review and recommendations for future applications," Journal of Business Research, Elsevier, vol. 138(C), pages 398-407.

    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:gam:jsusta:v:15:y:2023:i:4:p:3778-:d:1073152. 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: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.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.