Designing enhanced labeling information to increase consumer willingness to pay for genetically modified foods

2020 ◽  
Vol 123 (1) ◽  
pp. 405-418
Author(s):  
Jintao Zhan ◽  
Yubei Ma ◽  
Pengcheng Deng ◽  
Yinqiu Li ◽  
Meng Xu ◽  
...  
Keyword(s):  
Willingness To Pay ◽  
Sample Size ◽  
Risk Perceptions ◽  
Consumer Preferences ◽  
Genetically Modified ◽  
Food Labeling ◽  
Consumer Group ◽  
Content Type ◽  
Gm Food ◽  
Gm Foods

PurposeThe regulations for qualitative genetically modified (GM) food labeling do not effectively eliminate the information asymmetries pertaining to the consumption of GM products. China's GM food labeling law requires the presentation of certain categories of GM products on GMO labels on packages. Such information is invaluable for understanding whether the disclosure of more information on GM foods can help alleviate information asymmetry while reducing consumer fear and risk perceptions of GM foods, and thus cause changes in their behaviors. The purpose of this paper is to explore the heterogeneity of consumer preferences for enhanced GM food labeling, how consumer preferences are influenced by labeling information, and how these preferences vary in different consumers.Design/methodology/approachBoth descriptive statistics and econometric techniques, including the multivariate ordered Probit model, were applied to a sample of 566 urban consumers in the Yangtze River Delta region of China. All respondents were divided into two groups: people who would definitely not buy GM foods before selecting enhanced labeling information (“consumer group 1”, sample size 282) and people who would definitely not object to buying GM foods before selecting enhanced labeling information (“consumer group 2”, sample size 274).FindingsThe findings suggest that urban consumers have a preference for different types of enhanced labeling information about GM foods, that such a preference significantly influences their willingness to pay for GM foods, that there exists a large difference in the preferences of different consumer groups, and that enhanced GM food labeling information has a greater impact on those consumers who would not accept GM foods.Originality/valueThis research identifies the GM information disclosures that most affect consumer preferences and how these preferences vary across different segments of consumers, which is a current gap in the literature. The study has demonstrated that enhanced labels of GM foods with diverse information would not alter a consumer's WTP for GM foods who does not perceive the value of information from the enhanced labels, but change positively consumers with uncertainty willingness to pay before disclosure.

The Economics of GM Labeling and Implications for Trade

2017 ◽  
Vol 15 (1) ◽  
Author(s):  
Jill J. McCluskey ◽  
Jason Winfree
Keyword(s):  
Willingness To Pay ◽  
Risk Perceptions ◽  
Genetically Modified ◽  
Trade Agreement ◽  
Consumer Welfare ◽  
Food Labeling ◽  
Gm Food ◽  
Consumer Risk ◽  
The Impact

AbstractIn this article, we model the effects of both voluntary and mandatory genetically modified (GM) food labeling on profits and consumer welfare. The non-GM firms weakly benefit from having the option to voluntarily label their product and will increase their quantities produced if labeling makes their non-GM product more valuable to consumers relative to the increased costs of labeling. GM producers make lower profits when non-GM firms voluntarily label because of increase in non-GM firms production. Mandatory labeling can be a different scenario. Costs of mandatory labeling are borne by the GM producers, and the benefits are reaped by the non-GM producers as it differentiates their product. We also consider the possibility that consumers will view the mandatory GM labels as a warning, such as a mandatory health label on cigarettes. The combination of increased costs along with decreased willingness to pay could be damaging to GM producers. The level of consumer concern about consuming GM food greatly affects the impact of labeling policies. Coordination of policies for a trade agreement will have different effects depending on consumer risk perceptions in that country and the number of GM firms.

Can product-information disclosure increase Chinese consumer’s willingness to pay for GM foods? The case of Fad-3 GM lamb

2017 ◽  
Vol 9 (3) ◽  
pp. 415-437 ◽  
Author(s):  
Qihui Chen ◽  
Gaoshuai Liu ◽  
Yumei Liu
Keyword(s):  
Willingness To Pay ◽  
Information Disclosure ◽  
Product Information ◽  
Contingent Valuation Method ◽  
Food Product ◽  
Chinese Consumers ◽  
Content Type ◽  
Gm Food ◽  
Valuation Method ◽  
Gm Foods

Purpose The purpose of this paper is to examine Chinese consumers’ level of perception of genetically modified (GM) foods and the determinants of their willingness to pay (WTP) for Fad-3 GM lamb, a newly developed GM product. Design/methodology/approach Based on a randomized choice experiment involving 576 consumers in Beijing, the authors adopt a double-bounded contingent valuation method to estimate consumers’ WTP for Fad-3 GM lamb, as well as the causal impact of (randomized) product-information disclosure on it. Findings The econometric result indicates that the randomly disclosed product information describing details about Fad-3 GM lamb, the potential risks associated with the consumption of it, and the related governmental regulation policies raised consumers’ WTP by 6.2 yuan per Jin (or US$2/kilogram). Originality/value This paper provides new experimental evidence of the effect of product-information disclosure on consumers’ WTP for a newly developed GM food product.

scholarly journals The Chinese public’s awareness and attitudes toward genetically modified foods with different labeling

2019 ◽  
Vol 3 (1) ◽  
Author(s):  
Yawei Zhao ◽  
Haiyan Deng ◽  
Changxin Yu ◽  
Ruifa Hu
Keyword(s):  
Genetically Modified ◽  
Negative Attitude ◽  
Food Labeling ◽  
Public Confidence ◽  
Gm Food ◽  
Gm Foods ◽  
The Media ◽  
The Government ◽  
The Impact ◽  
Chinese Public

Abstracts This paper analyzes the awareness and attitudes of the Chinese public toward genetically modified (GM) foods with different types of labeling and evaluates the impact of public confidence in the government management of GM food labeling has on their attitude. From 2015 to 2016, we conducted a series of surveys to collect data from 1730 respondents, which included consumers, farmers, media, and local agricultural officials in agricultural departments. The results show ~60% of the Chinese public do not know that they usually consume or purchase GM products or products containing GM ingredients. Nearly 80% of the Chinese public are accepting foods labeled as not containing GM ingredients, 57% are accepting foods without labeling, and ~40% are accepting GM-labeled foods. The respondents with a lack of confidence in the government are less likely to embrace GM foods. Those that are more aware of GM products are more likely to accept GM labeled foods. The group having the most positive attitude toward GM-labeled foods is the media, followed by agricultural officials, while the group having the most negative attitude toward GM labeled foods is farmers. Our findings provide an empirical basis to inform GM food labeling policy discussions and possible revisions, which may promote the development of GM foods in China.

Why Consumers Don't see the Benefits of Genetically Modified Foods, and what Marketers can do about It

2018 ◽  
Vol 82 (5) ◽  
pp. 125-140 ◽  
Author(s):  
Sean T. Hingston ◽  
Theodore J. Noseworthy
Keyword(s):  
Laboratory Experiment ◽  
Genetically Modified ◽  
Purchase Intentions ◽  
Food Labeling ◽  
Perceived Benefits ◽  
Gm Food ◽  
Consumer Panel ◽  
Gm Foods ◽  
Online Consumer ◽  
Promotion Strategies

Evidence from four studies suggests that the moral opposition toward genetically modified (GM) foods impedes the perception of their benefits, and critically, marketers can circumvent this moral opposition by employing subtle cues to position these products as being “man-made.” Specifically, if consumers view the GM food as man-made, and if they understand why it was created, moral opposition to the product diminishes, and the GM food's perceived benefits increase, which subsequently increases purchase intentions for the product. This effect is replicated in the field (in both controlled and naturalistic settings), in a laboratory experiment, and with an online consumer panel. The results suggest that marketers can help consumers better consider all information when assessing the merits of GM foods by using packaging and promotion strategies to cue consumers to view the GM food for what it is (i.e., a man-made object created with intent). The findings have implications for the recent GM food labeling debate.

A structural equation model for the analysis of genetically modified foods consumption

2016 ◽  
Vol 46 (5) ◽  
pp. 706-716 ◽  
Author(s):  
Pasquale Sarnacchiaro ◽  
Roberta Di Gennaro ◽  
Raffaela Palma
Keyword(s):  
Human Health ◽  
Structural Equation Model ◽  
Food Consumption ◽  
Structural Equation ◽  
Genetically Modified ◽  
Equation Model ◽  
Content Type ◽  
Gm Food ◽  
Gm Foods ◽  
The Impact

Purpose The spread of genetically modified (GM) foodstuffs is related to consumer scepticism in Europe, and particularly in Italy. Consumer scepticism in turn depends on the low level of public knowledge about the health consequences, in terms of risks and benefits, of consuming these GM foods. This paper aims, first and foremost, to investigate the phenomenon of GM foodstuffs consumption in Italy and, then, to construct a statistical model for analysing the Italian habits regarding this consumption. Furthermore, this model allows us to formalize the origins of behaviour regarding GM foodstuffs consumption and to detect the drivers of their purchase. Design/methodology/approach From January 2009 to May 2009, 1,061 public high school students in 25 randomly selected schools of a metropolitan area (Naples, South Italy) were questioned. More precisely, each student was given a questionnaire regarding, in the first part, school cultural characteristics and, then, awareness and GM food consumption. A Likert scale was used to answer the questions. After collecting data, the authors chose to apply structural equation modelling, as it is one of the general and powerful multivariate analysis technique useful to simultaneously analyse and evaluate multivariate hypotheses. Findings The findings showed that GM food consumption by Italian students depended on the knowledge of genetically modified organisms (GMOs) and on the impact of this organisms both on human health and the environment. Therefore, in order to help consumers to choose whether or not to eat GM foods, a standardized evaluation system of human health and environmental consequences produced by GMO and GM foods should be created. In particular, the authors introduced a general framework that could help researchers/users to select and assess a hierarchy of the influence of factors on Italian habits regarding the consumption of GM foodstuffs. Originality/value In this research, the authors propose a structural equation model – full formative measurement model – that allows to define the origins of behaviour towards GM food consumption and to detect the drivers of their purchase. Particularly, the authors showed that GM food consumption depended on the knowledge of GMOs and on the impact of the GMOs on human health and the environment.

To eat or not to eat? The case of genetically modified (GM) food

2016 ◽  
Vol 46 (5) ◽  
pp. 647-658 ◽  
Author(s):  
George Vlontzos ◽  
Marrie Noelle Duquenne
Keyword(s):  
Genetically Modified Organisms ◽  
Genetically Modified ◽  
Food Selection ◽  
Health Belief ◽  
Field Research ◽  
Special Focus ◽  
Consumer Decision Making ◽  
Content Type ◽  
Gm Food ◽  
Gm Foods

Purpose Since the moment genetically modified organisms (GMOs) and genetically modified (GM) foods first came into the market, there has been a continuous debate between those who are supporters and opponents of them. This paper aims to identify the rationale of acceptance or denial of GM foods into the market. Design/methodology/approach The Health Belief Model (HBM) successfully elucidates the consumer decision-making process for food selection. The questionnaire for this field of research consists of three parts. The first part refers to socioeconomic information, like sex, monthly income and educational level. The second part contains questions derived from the HBM. Interviewees had to use a 1-5 Likert scale for their answers, with 1 representing Total Denial, 3 for Neutral and 5 for Total Agreement. Finally, the third part consists of one question about the willingness to pay for GM foods or not. Findings There are significant differences between Greek consumers and consumers from other European countries – the most important one being their focus on food safety and nutritional issues – with their importance not being reduced by possible pricing discounts. Increase in the market share of GM food can occur only if special focus will be given in the implementation of promotion strategies verifying about the safety of use and increased nutritional value of them, having as a second priority, the implementation of an aggressive pricing policy towards non-GM foods. Originality/value This is an original field research, identifying the rationale of the food selection in the Greek market towards GM foods.

Knowledge and attitudes toward genetically modified (GM) food among health sciences university students in Karachi, Pakistan

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Rafat Amin ◽  
Sadaf Khan ◽  
Tehseen Fatima Zeb ◽  
Shaukat Ali ◽  
Neha Baqai ◽  
...  
Keyword(s):  
University Students ◽  
Genetically Modified ◽  
Health Sciences ◽  
Academic Disciplines ◽  
Cross Sectional Survey ◽  
Content Type ◽  
Gm Food ◽  
Gm Foods ◽  
Significant Difference ◽  
Knowledge And Attitude

Purpose Genetically modified (GM) foods have global importance as they can significantly improve food security challenges. However, risks associated with the consumption of GM foods have affected consumers’ acceptance. This study aims to assess the student’s awareness regarding GM foods. Design/methodology/approach A cross-sectional survey-based study was conducted to explore the knowledge and attitude of health sciences university students toward GM foods. Students (n = 400) from different academic disciplines were participated in the study. Findings The majority of the university students heard about GM organisms and GM food (67.5% and 60.8%, respectively) and have correctly defined GM foods (48.2%). The mean percentage score of knowledge and attitude toward GM foods among university students was 36.0 ± 29.4% and 29.8 ± 23.1%, respectively. No significant difference was observed in knowledge and attitude between undergraduate and postgraduate students. A significant difference was found toward the acceptability of GM food in students from different health sciences disciplines (p = 0.006). Originality/value The findings indicate that educational programs are needed to improve the knowledge of students about GM food and food safety challenges.

scholarly journals Consumer Attitudes toward the Use of Gene Technology in Breakfast Products: Comparison between College Students from the U.S. and China

2015 ◽  
Vol 4 (6) ◽  
pp. 143 ◽  
Author(s):  
Nanying Wang ◽  
Jack E. Houston ◽  
Gregory Colson ◽  
Zimin Liu
Keyword(s):  
College Students ◽  
Consumer Preferences ◽  
Genetically Modified ◽  
Marketing Strategies ◽  
Chinese Market ◽  
Developed Country ◽  
Information Campaigns ◽  
Gm Foods ◽  
Survey Results ◽  
The U.S

Second-generation Genetically Modified (GM) crops are associated with consumer-oriented benefits such as improvement of nutritional quality. Given such an evolving market environment, this paper presents differences in consumer preferences and valuations for genetically modified breakfast grain products. The perception of consumers from a developing country, China, is discussed and compared to attitudes in a developed country, the U.S. The survey results reveal that there are notable differences in the attitude and perception of college students across these two countries. Purchase intent for GM foods was low, unless a benefit was promised, and some modifications are viewed more positively than others. Overall, it appears that GM foods may be acceptable in the U.S. and Chinese market. The findings in this study have potential implications for establishing various GM marketing strategies and information campaigns.

scholarly journals Public Perception on Labeling Genetically Modified (GM) Foods in Ghana: Implications for Food Policy

2020 ◽  
pp. 25-37
Author(s):  
Richard Ampadu-Ameyaw ◽  
Johnny Owusu-Arthur ◽  
Kwame Dei Asamoah-Okyere
Keyword(s):  
Public Perception ◽  
Food Policy ◽  
Genetically Modified ◽  
National Policy ◽  
Public Understanding ◽  
Food Ingredients ◽  
The Public ◽  
Gm Food ◽  
Gm Foods ◽  
Choice Variable

Labeling of genetically modified (GM) food and other food ingredients from GM source has become an important national policy issues receiving serious attention not only in Ghana but globally.   This paper focused on public perceptions of labeling of GM foods in Ghana as a way of garnering a view of the public understanding of the technology that has become so much controversial for which several millions of public sector money is spent on education in the last few years. The survey which elapsed over a period of three months, shows results that indicate a dearth of knowledge on the technology and yet a high demand for labelling of the products, even though not many people read the labels on food products. This leads to the question as to ‘who is doing the listening’. The authors conclude that the limited knowledge and technology essentials among others explain why the public seems to reject the technology and call for labelling of the products in spite of the fact that labelling is nothing but a choice variable, which has nothing to do with safety measure. Modifying the present attitude of the opponents of the technology and the demanders of labelling ignoring the cost that may be involved require extensive education and awareness creations throughout the country using tailor made communication forms to address various different groups.

Towards quality consumption

2019 ◽  
Vol 31 (4) ◽  
pp. 602-617 ◽  
Author(s):  
Erika Hlédik ◽  
Dávid Harsányi
Keyword(s):  
Sample Size ◽  
Design Methodology ◽  
Online Survey ◽  
Large Sample Size ◽  
Measurement Scales ◽  
Consumer Group ◽  
High Quality ◽  
Content Type ◽  
The Past ◽  
Wine Experts

Purpose Hungarian wine culture has been developing steadily over the past decades. The number of wineries offering quality wine is growing as consumer interest in quality consumption increases. The purpose of this paper is to study the segmentation of the Hungarian wine consumers based on their purchase habits and preferences to identify how this shift towards quality consumption is represented in these segments. Design/methodology/approach An online survey was conducted in Hungary. Nearly 28,000 consumers filled in the questionnaire. The TwoStep Cluster analysis could handle the large database and variables measured on different measurement scales. Findings The growing interest towards quality wine in the market is reflected in the study’s segmentation results. The large sample size made it possible to identify a special Hungarian wine consumer group, which has different buying habits than traditional wine consumer segments. Four segments were evolved: ordinary wine consumers, unsophisticated wine consumers, wealthy wine-experts and open-minded consumers. The last two segments seem to be the most valuable groups for high-quality wine producers. Originality/value The sample size allowed a relatively novel segmentation, whereby the preferences and purchasing habits of smaller, high-quality wine consumer groups became measurable.

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