Analysis of consumer demand for traceable pork in China based on a real choice experiment

2015 ◽  
Vol 7 (2) ◽  
pp. 303-321 ◽  
Author(s):  
Linhai Wu ◽  
Hongsha Wang ◽  
Dian Zhu

Purpose – The purpose of this paper is to reveal the actual consumer demand for traceable pork by investigating consumer preferences for pork with combined levels of traceability information based on differences in individual consumer preferences, in order to support the government in decision making regarding the gradual construction of safe food markets. Design/methodology/approach – Combinations of four types of traceability information, including farming, slaughter and processing, distribution and sales, and government certification, with price were randomly designed. To identify consumer preferences for these attribute combinations of traceable pork, 215 consumers in Wuxi, Jiangsu Province were investigated using a real choice experiment and the mixed logit model. Findings – Significant heterogeneity was observed in consumer preferences for traceable pork. The information of farming, slaughter and processing, distribution and marketing, and government certification could significantly improve consumer utility. Moreover, consumers had the highest preference for government certification information. Originality/value – Although numerous studies have been performed on consumer preferences for food safety attributes using a real choice experiment, almost none of them focus on Chinese consumers. Therefore, this study is an attempt to fill this gap. The conclusions of this study can serve as a reference for the Chinese government in developing safe food consumption policies. Although Chinese consumers have cried out for improvement of pork safety, they have different preferences for traceability information; thus, the government must promote traceable food step-by-step, using consumer preferences as a starting point.

2016 ◽  
Vol 118 (9) ◽  
pp. 2140-2156 ◽  
Author(s):  
Jiao Lu ◽  
Linhai Wu ◽  
Shuxian Wang ◽  
Lingling Xu

Purpose The purpose of this paper with pork as a case is to analyze Chinese consumer preference and demand for traceable food attributes, in order to provide a useful reference for Chinese Government in developing the safe food market and preventing food safety risks. Design/methodology/approach This research surveyed 1,380 consumers in seven pilot cities that designated by the Chinese Ministry of Commerce for the construction of a meat and vegetable circulation traceability system. A choice-based conjoint analysis and multinomial logit model were used to study consumer preferences and demand for traceable pork attributes. Findings The results demonstrated that certification of traceable information was the most important characteristic, followed by appearance and traceable information. Significant heterogeneity was obtained in consumer preferences for the attributes of traceable pork. Also, consumers’ preferences for traceable attributes were memorably influenced by age, education level, and income level. Social implications Based on these results, the government should encourage and support the production of traceable food with different certification types and different traceability levels. Meanwhile, the development of food traceability systems should be combined with a quality certification labeling system. Originality/value This study extends the applicability of the setting of traceable food attributes and levels in China, and it will improve Chinese food traceability systems through multilateral cooperation.


2017 ◽  
Vol 119 (4) ◽  
pp. 817-829 ◽  
Author(s):  
Shaosheng Jin ◽  
Haoyang Li ◽  
Yao Li

Purpose In recent years, fresh produce (fresh vegetables and fruit) has been circulated widely via e-commerce in Chinese large cities in the form of fresh produce portfolios (FPPs). The purpose of this paper is to analyze the preferences of Chinese consumers for specific FPP attributes. Design/methodology/approach A choice experiment approach was used to explore consumer preferences. The authors conducted a means-end-chains evaluation to select the attributes for the choice experiment. The authors used a fractional factorial design and finally obtained 18 choice scenarios. The authors collected 166 effective consumer questionnaires in Beijing. Findings The authors found that among the four attributes considered, certification and the diversity of the FPP had significant effects on the willingness to pay (WTP) among consumers. Residents had heterogeneous preferences for FPP diversity and certification, but certification was the major concern when considering fresh produce in the FPP. With regard to the WTP for attributes in the portfolio, the WTP values for “green” and “organic” attributes were high, but the WTP for the diversity of FPPs was low. Originality/value This study is the first attempt to explore the preferences of Chinese consumers regarding the attributes of FPP in an e-commerce environment.


2020 ◽  
Vol 23 (5) ◽  
pp. 735-746
Author(s):  
Bo Hou ◽  
Linhai Wu ◽  
Xiujuan Chen

The food-traceability system is considered to be one of the main measures to fundamentally prevent food-safety problems. It is of great value to study consumer demand for traceable food and market simulations that can adjust the production and supply structure of traceable food and promote traceable market development. Having sampled and interviewed 2,121 consumers in China, consumer preferences for traceable pork with different levels of safety information, and the respective market share of traceable pork with different product profiles were investigated using conjoint value analysis and the randomized first choice method. Results showed that Chinese consumers prioritized the certification of a traceable-pork safety-information attribute. Furthermore, consumers were willing to pay extra costs in order to obtain traceable safety information. However, this additional expenditure should account for no more than 30% of the price of ordinary pork, or consumer demand for safe pork decreases. Results of a market simulation also identified a type of traceable pork that had an optimal combination of attributes and met the needs of Chinese consumers. Consequently, the government should gradually promote a multilevel traceable-food market system in China by developing a combination of a certification mechanism and traceability system, and increasing financial subsidies for the construction of the traceability system.


Author(s):  
Xiaoke Yang ◽  
Qiuhua Chen ◽  
Nenmei Lin ◽  
Mengzhu Han ◽  
Qian Chen ◽  
...  

Repeated food scandals in China have prompted growing consumer consciousness on food safety and health. Organic food, considered to be of higher quality, is being increasingly demanded by Chinese consumers. This study examines preferences for organic labels to provide insight on the sustainable development of the Oolong tea industry. Research was conducted using the choice experiment (CE) method in Fujian and Guangdong Provinces. The results demonstrate that place of origin, organic label, and brand attributes are all significant factors affecting the purchase of Oolong. Also, people demonstrated significantly positive attitudes toward organic labels and preferred Oolong tea from Fujian Province to those from Guangdong Province and Taiwan. Increasing trust can enhance consumer preference and willingness to pay (WTP) for organic labels. Contrary to previous studies, people have a higher WTP for Chinese organic labels than Japanese and American ones. This is probably because respondents are more familiar with domestic Oolong tea and trust more in Chinese organic certification. This provides an opportunity for domestic producers to tailor their organic food labels and better satisfy consumer demands. These findings suggest that the Chinese government should take more responsibility for reducing food-related fraud and thus improve consumer trust regarding organic food.


2021 ◽  
pp. 183933492199950
Author(s):  
Canie K.Y. Chu Lo ◽  
Suzan Burton ◽  
Regan Lam ◽  
Paul Nesbit

Limited research has described a segment of consumers who prefer subtly branded luxury products, rather than conspicuous consumption. However, in comparison with the enormous amount of research mentioning conspicuous consumption, there has been only very limited research into “inconspicuous consumption,” leading to calls for more research in the area. In this article, we describe a discrete choice experiment examining the luxury product preferences of Chinese consumers, the largest market segment for luxury products. We describe and test a theoretical model investigating how product characteristics (logo prominence, price, and brand), peers’ attitudes and behaviors, and other individual characteristics influence consumers’ choice of a luxury bag. For each brand, a prominent logo was preferred, but a very large minority preferred a subtle logo. However, the effect of price, attitudinal and social factors varied across luxury brands. Implications for research and practice are discussed.


2015 ◽  
Vol 117 (5) ◽  
pp. 1440-1452 ◽  
Author(s):  
Xiaolin Liu ◽  
Lingling Xu ◽  
Dian Zhu ◽  
Linhai Wu

Purpose – The purpose of this paper is to examine consumer attitudes toward and willingness to pay (WTP) for traceability of tea in China. Design/methodology/approach – The authors used the payment card method to elicit WTP for certified traceable tea and logistic regression model to analyze the factors that affected consumers’ WTP. Findings – The results revealed that most consumers in China were concerned over tea safety; however, their WTP for certified traceable tea was limited. Only income and the degree of concern over tea safety affected the consumer’s WTP for certified traceable tea greatly. When it came to consumers’ WTP a positive price premium, income level, education, and attitude toward traceability of tea significantly influenced the actual premium consumers were willing to pay. Practical implications – The Chinese government and tea producers should pay attention when implementing tea traceability system. First, raising the consumers’ income contributes to the premiums that consumers are willing to pay for certified traceable tea. Second, social groups, consumer organizations and tea producers should popularize knowledge of tea traceability. Third, given the low price premiums that consumers are willing to pay, the establishment of viable traceability of tea in China requires the producers and the government to bear some of the cost associated with the implementation of this system. Originality/value – In past studies on WTP for certified traceable food, the study is focussed on meat in developed countries, and the research has expanded range of study, by conducting a survey in China to determine consumers’ WTP for certified traceable tea, and by empirically examining the main factors that influence the willingness of consumers to pay a price premium for certified traceable tea, as well as the premium that these consumers are willing to pay.


2019 ◽  
Vol 9 (1) ◽  
pp. 4-25 ◽  
Author(s):  
Yang Ma ◽  
Markus Kurscheidt

Purpose In 2017, the Chinese Super League (CSL), the first professional football division in the People’s Republic of China (PRC), became the highest-spending league in the international players’ transfer market, with a total spending of €377m. Moreover, the government of the PRC is backing the CSL with an ambitious football plan. Therefore, the purpose of this paper is to examine the governance of the CSL by questioning the organisational viability of the league. Design/methodology/approach In addition to the relevant international literature, this study is based on 14 recent scholarly articles published in Mandarin from 2013 to 2018 to reflect the national academic debate. Moreover, website research on all CSL clubs has been conducted. The institutional analysis follows the integrative change model of Cunningham (2002) complemented by agency and bureaucracy theory. Findings The CSL still faces substantial governance problems caused by the divergence of goal setting, organisational inefficiencies and compliance issues. The organisational change is notably constrained by internal competitive value commitments and external power dependency. Research limitations/implications The institutional findings on the CSL provide a starting point for empirical studies. The approach contributes to the theory of sport governance processes. Practical implications The material and insights are informative for decision makers to evaluate the competitiveness of the CSL. Originality/value This paper is the first international in-depth analysis of the governance of the CSL using the body of knowledge published in Mandarin.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tongwei Qiu ◽  
Qinying He ◽  
S.T. Boris Choy ◽  
Yifei Li ◽  
Biliang Luo

PurposeThis study investigates the effect of renting in land on farm productivity, and the impacts of rented-in land size and transaction partner type on farm productivity.Design/methodology/approachData from the 2015 China Household Finance Survey are analyzed using an extended regression model and the two-stage least squares method.FindingsFarm households that rent in land are likely to achieve higher farm productivity, and ignoring endogeneity underestimates the positive effect of land renting-in. Further evidence indicates that rented-in land size has an insignificant impact on farm productivity, and that there is no difference in farm productivity between lessees renting-in land from acquaintances and those renting-in land from non-acquaintances. These results may be caused by the higher degree of marketization of land rentals between acquaintances in China. With increasing competition in agricultural factor markets, in theory, rented-in land size should not affect farm productivity.Practical implicationsOverall, the analysis suggests that renting in land improves farm productivity, which supports the land transfer policies that have been rolled out in recent decades in China. However, our finding that rented land size does not affect farm productivity, consistent with the results in the literature, implies that the Chinese government should no longer subsidize or prefer large farms with low productivity. More attention should be paid to small lessees and market-oriented land rentals between acquaintances. Promoting the marketization of land transfers inside acquaintance networks could realize the potential of the land market, especially if land transfers decrease.Originality/valueThis study identifies the effects of renting in land, rented-in land size and type of rental transaction partner on farm productivity using nationally representative data. The findings imply that the government should pay more attention to the marketization of land rentals between acquaintances. Although existing studies regard land rental between acquaintances as informal and of low efficiency, the recent evidence shows that China's land markets are changing, and policy makers should adjust their policies accordingly.


2019 ◽  
Vol 37 (2) ◽  
pp. 545-564 ◽  
Author(s):  
Liqiong Lin ◽  
Mohamad Dian Revindo ◽  
Christopher Gan ◽  
David A. Cohen

PurposeThe rapid growth of credit card use in China poses the potential for card overuse and the accumulation of increased debt. The purpose of this paper is to report on an investigation into the determinants of overall credit card spending and card-financed debt by Chinese consumers.Design/methodology/approachThis study focusses on two dependent variables: credit card monthly spending and card debt. The spending measure is based on consumer outlay for the month preceding the survey. Card debt is the consumers’ outstanding credit card debt when the survey was conducted. Three groups of independent measures are used: socio-demographic characteristics, card features and consumer attitude towards money. Both card spending and card debt are estimated with OLS methods. Data was obtained from the 2013 China Household Finance Survey of 1,920 households in 29 provinces and 262 counties across China that used credit cards over the survey period.FindingsThe empirical findings suggest consumers’ attitude towards money is more important in explaining card spending and debt variation than socio-demographic characteristics and card features. The credit limit set for a card, obligations to other loans and the method of paying for ordinary shopping exhibit positive effects on both card spending and card debt, while age exhibits a negative effect. Further, card spending is positively correlated with card debts, but the factors that determine card spending do not necessarily affect card debt and vice versa. Minimum card debt payments, cash advances, card tenure and interest-bearing debt have no effect on card spending but have positive effects on card debt. In addition, gender and income have opposite effects on card spending and debt.Practical implicationsThe relationships we have documented suggest several actions the Chinese Government could consider dealing with credit card debt risk. Controlling the aggressive promotional campaigns that card issuers use to attract consumers and aggressive credit policies should be a focus of attention. The Chinese Government might, for example, impose minimum age and income requirements for granting credit cards and prohibit issuance of new cards to applicants who are already in debt with other types of credit. In addition, more stringent criteria to curb increases in card limits and tighter control over cash advances made on cards should be applied. Minimum payment amounts can also be increased in order to reduce credit card debt risk.Originality/valueDespite ample documentation of consumers’ credit card behaviour, the literature is deficient in at least two areas of enquiry. First, most previous research has investigated either credit card spending behaviour or card debt, but not both. Second, with few exceptions, most research has investigated a range of specific factors that affect credit card use. In contrast, this study investigates card spending as well as card debt behaviour using a wide variety of consumer dimensions particularly relevant to credit card use and resulting debt. In addition, this study focusses on Chinese consumers, who traditionally prefer to save first and delay spending. The impact of the rapid growth of credit card use on this traditional Chinese orientation towards spending is dynamic. Documenting the influence of the individual factors examined in this study is likely to be of value to both policy makers and institutions that offer and manage credit in this changing environment.


2019 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Elisa Barbieri ◽  
Marco Rodolfo Di Tommaso ◽  
Mattia Tassinari ◽  
Marco Marozzi

Purpose China’s experience of industrial growth is noteworthy for several reasons, not least because it has made a massive use of selective industrial policies. The industrial development guidelines set by the Five-Year Plans are extensively based on the choice of “strategic” or “pillar” industries to be promoted and supported. What remains unclear is the way in which such industries are identified among many. The purpose of this paper is to propose a debate on how to improve the government choice of strategic sectors and suggests a methodology to make this choice more transparent and rigorous. Design/methodology/approach The methodology allows ranking the different industries according to their strategic importance in the Chinese economy. The authors employ an uncertainty analysis methodology to verify the robustness of the ranking. Findings The results point to a list of strategic sectors for China. Comparing the ranking of the strategic sectors to the list of strategic priorities described in the Twelfth Five-Year Plan, we find that, by and large, the ranking coincides with the list of strategic sectors of the Chinese government. Social implications The authors argue that improving the transparency and the rigor of the choice of pillar industries can be crucial for the Chinese government to maintain social legitimization in the transition to a “market” economy. Originality/value Very little is known about the choice of strategic sectors in China in the international literature. By addressing the debate on the choice of pillar industries in China, the paper discusses a topic scarcely studied offering a unique and original contribute.


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