Analysis of Consumer Preferences and Willingness-to-Pay for Organic Food Products in Germany
This study employs a choice experiment approach to investigate consumers’ preferences and willingness-to-pay (WTP) for organic food products. We use mixed logit and latent class models to examine preference heterogeneity. The results revealed significant heterogeneity in preferences for organic apples, milk, and beef product attributes among consumers. The WTP results obtained from mixed logit indicate gender-specific differences for the examined products of this study. Female respondents have a significant higher WTP for apple attributes, while significant higher WTP values for beef attributes are observed for male respondents. The findings of the latent class models indicate that consumers’ trust tend to influence their preferences for organic food products.
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