Valuing the influence of underlying attitudes and the demand for organic milk in Japan

Shunsuke Managi, Yasutaka Yamamoto, Hiroyuki Iwamoto, Kiyotaka Masuda

Research output: Contribution to journalArticle

16 Citations (Scopus)

Abstract

Subjective perceptions about a product affect consumer choice. Accordingly, acquiring the underlying demand characteristics that consumers find desirable is vital for firms planning future marketing strategies. However, the extent to which product-specific perceptions affect consumer choice is poorly understood. New agricultural standards for organic livestock were introduced in Japan in November 2005 and are expected to influence the market significantly. Choice modeling (CM) is used to explore how consumers evaluate the latent demands and conventional attributes (or tangible values) of organic milk. The results suggest that latent demands, along with socioeconomic characteristics and conventional attributes, provide strong incentives for consumers to move from the purchase of conventional milk to organic milk. The analysis indicates that latent demands reflecting the safeness of organic milk, the better taste of organic milk, the image of environmental friendliness in the production process, and the image of the health and comfort of the cows are important factors that influence consumers' purchasing decisions. However, each specific factor has a corresponding conventional tangible attribute that needs to be targeted in marketing strategy.

Original languageEnglish
Pages (from-to)339-348
Number of pages10
JournalAgricultural Economics
Volume39
Issue number3
DOIs
Publication statusPublished - Nov 1 2008
Externally publishedYes

Fingerprint

Japan
milk
marketing strategies
consumer preferences
consumer expenditure
socioeconomics
livestock
planning
Milk
markets
cows
Marketing strategy
Consumer choice

All Science Journal Classification (ASJC) codes

  • Agronomy and Crop Science
  • Economics and Econometrics

Cite this

Valuing the influence of underlying attitudes and the demand for organic milk in Japan. / Managi, Shunsuke; Yamamoto, Yasutaka; Iwamoto, Hiroyuki; Masuda, Kiyotaka.

In: Agricultural Economics, Vol. 39, No. 3, 01.11.2008, p. 339-348.

Research output: Contribution to journalArticle

Managi, Shunsuke ; Yamamoto, Yasutaka ; Iwamoto, Hiroyuki ; Masuda, Kiyotaka. / Valuing the influence of underlying attitudes and the demand for organic milk in Japan. In: Agricultural Economics. 2008 ; Vol. 39, No. 3. pp. 339-348.
@article{750275567ed94fee995554a36ffe9325,
title = "Valuing the influence of underlying attitudes and the demand for organic milk in Japan",
abstract = "Subjective perceptions about a product affect consumer choice. Accordingly, acquiring the underlying demand characteristics that consumers find desirable is vital for firms planning future marketing strategies. However, the extent to which product-specific perceptions affect consumer choice is poorly understood. New agricultural standards for organic livestock were introduced in Japan in November 2005 and are expected to influence the market significantly. Choice modeling (CM) is used to explore how consumers evaluate the latent demands and conventional attributes (or tangible values) of organic milk. The results suggest that latent demands, along with socioeconomic characteristics and conventional attributes, provide strong incentives for consumers to move from the purchase of conventional milk to organic milk. The analysis indicates that latent demands reflecting the safeness of organic milk, the better taste of organic milk, the image of environmental friendliness in the production process, and the image of the health and comfort of the cows are important factors that influence consumers' purchasing decisions. However, each specific factor has a corresponding conventional tangible attribute that needs to be targeted in marketing strategy.",
author = "Shunsuke Managi and Yasutaka Yamamoto and Hiroyuki Iwamoto and Kiyotaka Masuda",
year = "2008",
month = "11",
day = "1",
doi = "10.1111/j.1574-0862.2008.00337.x",
language = "English",
volume = "39",
pages = "339--348",
journal = "Agricultural Economics (United Kingdom)",
issn = "0169-5150",
publisher = "Wiley-Blackwell",
number = "3",

}

TY - JOUR

T1 - Valuing the influence of underlying attitudes and the demand for organic milk in Japan

AU - Managi, Shunsuke

AU - Yamamoto, Yasutaka

AU - Iwamoto, Hiroyuki

AU - Masuda, Kiyotaka

PY - 2008/11/1

Y1 - 2008/11/1

N2 - Subjective perceptions about a product affect consumer choice. Accordingly, acquiring the underlying demand characteristics that consumers find desirable is vital for firms planning future marketing strategies. However, the extent to which product-specific perceptions affect consumer choice is poorly understood. New agricultural standards for organic livestock were introduced in Japan in November 2005 and are expected to influence the market significantly. Choice modeling (CM) is used to explore how consumers evaluate the latent demands and conventional attributes (or tangible values) of organic milk. The results suggest that latent demands, along with socioeconomic characteristics and conventional attributes, provide strong incentives for consumers to move from the purchase of conventional milk to organic milk. The analysis indicates that latent demands reflecting the safeness of organic milk, the better taste of organic milk, the image of environmental friendliness in the production process, and the image of the health and comfort of the cows are important factors that influence consumers' purchasing decisions. However, each specific factor has a corresponding conventional tangible attribute that needs to be targeted in marketing strategy.

AB - Subjective perceptions about a product affect consumer choice. Accordingly, acquiring the underlying demand characteristics that consumers find desirable is vital for firms planning future marketing strategies. However, the extent to which product-specific perceptions affect consumer choice is poorly understood. New agricultural standards for organic livestock were introduced in Japan in November 2005 and are expected to influence the market significantly. Choice modeling (CM) is used to explore how consumers evaluate the latent demands and conventional attributes (or tangible values) of organic milk. The results suggest that latent demands, along with socioeconomic characteristics and conventional attributes, provide strong incentives for consumers to move from the purchase of conventional milk to organic milk. The analysis indicates that latent demands reflecting the safeness of organic milk, the better taste of organic milk, the image of environmental friendliness in the production process, and the image of the health and comfort of the cows are important factors that influence consumers' purchasing decisions. However, each specific factor has a corresponding conventional tangible attribute that needs to be targeted in marketing strategy.

UR - http://www.scopus.com/inward/record.url?scp=54849441869&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=54849441869&partnerID=8YFLogxK

U2 - 10.1111/j.1574-0862.2008.00337.x

DO - 10.1111/j.1574-0862.2008.00337.x

M3 - Article

AN - SCOPUS:54849441869

VL - 39

SP - 339

EP - 348

JO - Agricultural Economics (United Kingdom)

JF - Agricultural Economics (United Kingdom)

SN - 0169-5150

IS - 3

ER -