Acta Univ. Agric. Silvic. Mendelianae Brun. 2011, 59(4), 167-176 | DOI: 10.11118/actaun201159040167
Consumer preferences and willingness to pay for the health aspects of food
- Ústav regionální a podnikové ekonomiky, Mendelova univerzita v Brně, Zemědělská 1, 613 00 Brno, Česká republika
Agri-food systems in the Czech Republic are currently undergoing a profound transformation toward high-value products. Appropriate policies are needed to guide this transformation, presupposing good understanding of consumer preferences. Having established a general framework for the analysis of food choice and quality perception, second part of the paper gives overview of results of stated preference evaluation studies conducted in the Czech Republic. The objective of secondary data analysis is to evaluate consumer preferences and willingness to pay for the food quality with the special attention to an evaluation of consumer preferences for health aspects of the food. The consumers' relative preferences toward the different dimensions of a product's quality are measured from the consumers' perspective via their preference scores on various dimensions of quality derived from Analytic Hierarchy Process (AHP). Price premium consumers are willing to pay for the high quality product is investigated using Contingent valuation method (CV). In general, the empirical evidence supports the hypothesis that health ensuring and enhancing characteristics together with sensorial characteristics significantly affect consumers' preferences for food and most consumers are willing to pay a price premium in order to ensure required quality of food.
Keywords: food quality, consumer preferences, AHP, WTP, health aspects
Grants and funding:
The paper is a partial output of a Research project of FBE MUAF Brno, (MSM No 6215648904) "Czech economy in the process of integration and globalization, and the development of agrarian sector and the service sector under the new conditions of an integrated market" as a part of thematic direction 05 "Social-economic context of sustainable development of multifunctional agriculture, and actions of agrarian and regional policy".
Received: March 8, 2011; Published: May 29, 2014 Show citation
References
- ACZÉL, J., SAATY, T. L., 1983: Procedures for synthesizing ratio judgments. Journal of Mathematical Psychology 27: 93-102, 1983. DOI: 10.1016/0022-2496(83)90028-7
Go to original source...
- BURTON, M., RIGBY, D., YOUNG, T., & JAMES, S., 2001: Consumer attitudes to genetically modified organisms in food in the UK. European Review of Agricultural Economics, 28 (4), 479-498. DOI: 10.1093/erae/28.4.479
Go to original source...
- EASLEY, R. F., VALACICH, J. S., VENKATARAMANAN, M. A., 2000: Capturing group preferences in a multicriteria decision. European Journal of Operational Research, 125: 73-83, 2000. DOI: 10.1016/S0377-2217(99)00196-4
Go to original source...
- GASS, S. I., RAPCSŔK, T., 1998: A note on synthesizing group decisions. Decision Support Systems 22: 59-63, 1998. DOI: 10.1016/S0167-9236(96)00061-9
Go to original source...
- GROSSMAN, M., 1972: On the concept of health capital and the demand for health. Journal of Political Economy, 80(2): 223-255. DOI: 10.1086/259880
Go to original source...
- GRUNERT, K. G., LARSEN, H. H., MADSEN, T. K. and BAADSGAARD, A., 1996: Market Orientation in Food and agriculture. Boston, MA: Kluwer.
Go to original source...
- HRNČIŘÍKOVÁ, P., 2006: Společenská poptávka po kvalitě potravin a možnosti jejího tržního zhodnocení. Diplomová práce, MENDELU, Brno, 2006.
- KALLAS, Z., LAMBARRAA, F., GILA, J. M., 2010: Analytical Hierarchy Process versus the choice experiments: a stated preference analysis. Food Quality and Preference, 22 (2011) 181-192. DOI: 10.1016/j.foodqual.2010.09.010
Go to original source...
- LANCASTER, K. J., 1991: Modern Consumer Theory. Edward Elgar, England.
- LANCASTER, K. J., 1966: A new approach to consumer theory. The Journal of Political Economy. 74(2): 132-157. DOI: 10.1086/259131
Go to original source...
- MEIßNER, M., SCHOLZ, S. W., DECKER, R., 2008: AHP versus ACA - An empirical comparison. In: C. Preisach et al. (Eds.), Data analysis, machine learning, and applications (pp. 447-454), Berlin: Springer.
Go to original source...
- MIŠKOLCI, S., 2008: Multifunctional agriculture: Evaluation of non-market benefits using Analytical Hierarchy Process. Agricultural Economics: 2008. sv. 54, č. 7, s. 322-332.
Go to original source...
- PALKOVÁ, N., 2009: Hodnotenie významnosti vybraných atribútov kvality potravín pri formování spotrebitelského dopytu. Diplomová práce, MENDELU, Brno, 2009.
- PETRANOVÁ, K., 2010: Formování poptávky v oblasti zdravé výživy, Bakalářská práce, MENDELU, Brno, 2010.
- SAATY, T. L., TAKIZAWA, M. 1986: Dependence and independence: from linear hierarchies to nonlinear networks. European Journal of Operational Research, 26(1). 229-237. DOI: 10.1016/0377-2217(86)90184-0
Go to original source...
- SAATY, T. L., 1980: The Analytic Hierarchy Process. New York: McGraw Hill, 1980.
Go to original source...
- SCHOLZ, S.W., & DECKER, R., 2007: Measuring the impact of wood species on consumer preferences for wooden furniture by means of the Analytic Hierarchy Process. Forest Products Journal, 57(3), 23-28.
- TOLAROVÁ, L., 2008: Spotřebitelské vnímání kvality potravin. Diplomová práce, MENDELU, Brno, 2008.
- ZHIFENG G., SCHROEDER, T. C., 2009: Effects of label information on consumer willingness-to-pay for food attributes, American Journal of Agricultural Economics, 91 (3), 795-809 (15).
Go to original source...
This is an open access article distributed under the terms of the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License (CC BY NC ND 4.0), which permits non-comercial use, distribution, and reproduction in any medium, provided the original publication is properly cited. No use, distribution or reproduction is permitted which does not comply with these terms.