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Consumer Preferences and Influencing Factors for Purchase Places of Organic Food Products: Empirical Evidence from South India


Affiliations
1 Doctoral Researcher, Institute of Agricultural Economics and Social Sciences, Division of Horticultural Economics, Humboldt University of Berlin, Robert Koch-Platz 4, D-10099, Germany
2 Head of the Department, Institute of Agricultural Economics and Social Sciences, Division of Horticultural Economics, Humboldt University of Berlin, Robert Koch-Platz 4, D-10099, Germany
3 Doctoral Researcher & DAAD Scholar, Institute of Agricultural Economics and Social Sciences, Division of Horticultural Economics, Humboldt University of Berlin, Robert Koch-Platz 4, D-10099, Germany
4 Post-Doctoral Researcher, Institute of Agricultural Economics and Social Sciences Division of Horticultural Economics, Humboldt University of Berlin, Robert Koch-Platz 4, D-10099, Germany
     

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The market for organic products in India is in its infancy, and knowledge about organic consumers in the country is definitely under-researched. The objective of this paper is to gain knowledge about consumers' preferences regarding the purchase places of organic products in Bangalore, the capital of Karnataka state, India. The consumers' preferred places of purchase and their socio - demographic characteristics were collected by means of face to face interviews with 201 consumers by using the stratified simple random sampling technique at different locations in Bangalore. The data obtained from the survey were analyzed with descriptive statistics, Friedmen's test, Kendall's W test, and seemingly unrelated regression. The results revealed that the most preferred purchase places for organic food products were specialized organic stores and supermarkets. The least preferred purchase places were the local open markets and conventional retail shops. Furthermore, the results from seemingly unrelated regression showed that the preferences about places to purchase organic food products were mainly influenced by gender, education, family size, and family income. Policy makers in agricultural marketing, institutions who are involved in organic food marketing, and producers should consider the differences in consumer preferences and their socio-demographic attributes for determining and supporting efficient marketing channels for organic food products.

Keywords

Consumer Preference, Seemingly Unrelated Regression Model, Organic Food Products, Purchase Place

Paper Submission Date: October 15, 2013; Paper sent back for Revision: January 1, 2014; Paper Acceptance Date : March 1, 2014.

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  • Consumer Preferences and Influencing Factors for Purchase Places of Organic Food Products: Empirical Evidence from South India

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Authors

Ravi Nandi
Doctoral Researcher, Institute of Agricultural Economics and Social Sciences, Division of Horticultural Economics, Humboldt University of Berlin, Robert Koch-Platz 4, D-10099, Germany
Wolfgang Bokelmann
Head of the Department, Institute of Agricultural Economics and Social Sciences, Division of Horticultural Economics, Humboldt University of Berlin, Robert Koch-Platz 4, D-10099, Germany
Nithya Vishwanath Gowdru
Doctoral Researcher & DAAD Scholar, Institute of Agricultural Economics and Social Sciences, Division of Horticultural Economics, Humboldt University of Berlin, Robert Koch-Platz 4, D-10099, Germany
Gustavo Dias
Post-Doctoral Researcher, Institute of Agricultural Economics and Social Sciences Division of Horticultural Economics, Humboldt University of Berlin, Robert Koch-Platz 4, D-10099, Germany

Abstract


The market for organic products in India is in its infancy, and knowledge about organic consumers in the country is definitely under-researched. The objective of this paper is to gain knowledge about consumers' preferences regarding the purchase places of organic products in Bangalore, the capital of Karnataka state, India. The consumers' preferred places of purchase and their socio - demographic characteristics were collected by means of face to face interviews with 201 consumers by using the stratified simple random sampling technique at different locations in Bangalore. The data obtained from the survey were analyzed with descriptive statistics, Friedmen's test, Kendall's W test, and seemingly unrelated regression. The results revealed that the most preferred purchase places for organic food products were specialized organic stores and supermarkets. The least preferred purchase places were the local open markets and conventional retail shops. Furthermore, the results from seemingly unrelated regression showed that the preferences about places to purchase organic food products were mainly influenced by gender, education, family size, and family income. Policy makers in agricultural marketing, institutions who are involved in organic food marketing, and producers should consider the differences in consumer preferences and their socio-demographic attributes for determining and supporting efficient marketing channels for organic food products.

Keywords


Consumer Preference, Seemingly Unrelated Regression Model, Organic Food Products, Purchase Place

Paper Submission Date: October 15, 2013; Paper sent back for Revision: January 1, 2014; Paper Acceptance Date : March 1, 2014.




DOI: https://doi.org/10.17010/ijom%2F2014%2Fv44%2Fi5%2F80374