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Globalisation issues and consumers' purchase decisions for food products: evidence from a laboratory experiment

Author

Listed:
  • Anne-Célia Disdier

    (PSE - Paris-Jourdan Sciences Economiques - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique, PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris sciences et lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement)

  • Stéphan Marette

    (ECO-PUB - Economie Publique - INRA - Institut National de la Recherche Agronomique - AgroParisTech)

Abstract

A laboratory experiment is conducted to evaluate the impact of globalisation on consumers' willingness to pay (WTP) for food products. Successive messages on the products' origin and the multinational firm's strategy are delivered to participants. Interestingly, the significant decrease in WTP resulting from negative messages about foreign sourcing and the closure of processing facilities is reversed after the revelation of positive information linked to the multinational firm's new products/services and investments made in the domestic country. The experiment also studies the effects of two labels (geographic indication and fair trade). The introduction of labels increases the consumer surplus.

Suggested Citation

  • Anne-Célia Disdier & Stéphan Marette, 2013. "Globalisation issues and consumers' purchase decisions for food products: evidence from a laboratory experiment," Post-Print hal-00812719, HAL.
    • Handle: RePEc:hal:journl:hal-00812719
    DOI: 10.1093/erae/jbr065
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    Cited by:

    1. Jongeneel, Roel & Baltussen, Willy H.M., 2014. "Analyzing the impacts of mandatory country of origin labeling in EU pork and poultry sectors on markets, cost of production and trade," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 182688, European Association of Agricultural Economists.
    2. Rutten, Martine & Achterbosch, Thom J. & de Boer, Imke J.M. & Cuaresma, Jesus Crespo & Geleijnse, Johanna M. & Havlík, Petr & Heckelei, Thomas & Ingram, John & Leip, Adrian & Marette, Stéphan & van Me, 2018. "Metrics, models and foresight for European sustainable food and nutrition security: The vision of the SUSFANS project," Agricultural Systems, Elsevier, vol. 163(C), pages 45-57.
    3. Lucio CECCHINI & Biancamaria TORQUATI & Massimo CHIORRI, 2018. "Sustainable agri-food products: A review of consumer preference studies through experimental economics," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 64(12), pages 554-565.

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