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The competitiveness of fair trade and organic versus conventional coffee based on consumer panel data
Ecological Economics ( IF 6.6 ) Pub Date : 2021-02-21 , DOI: 10.1016/j.ecolecon.2021.106986
Yinjin Lee , Alexis Bateman

This paper analyzed the competitiveness of premium and regular Fair Trade and Organic (FTO) coffees relative to conventional coffee using consumer panel data. The coffees were categorized into four groups based on their certification labels and prices: Premium or Regular Conventional, and Premium or Regular FTO. Competitiveness was measured in terms of price sensitivity and substitution behavior in the entire market and in segments of core consumers who spent most of their coffee budgets on FTO coffees. We found that most consumers were more likely to substitute both FTO products for conventional products, and less likely to substitute out of conventional products. Even the core consumers of Premium FTO coffees, who had inelastic demand for that type of coffee, were more likely to switch to Regular Conventional coffees than to Regular FTO coffees, even though both alternatives were similarly low-priced. The results suggest that even core FTO market segments were not strongly committed to certified products. Companies making and selling certified products need to do more beyond matching prices and using sustainability certification labels to increase their market competitiveness and potential options are discussed in this paper.



中文翻译:

根据消费者调查数据,公平交易和有机咖啡与传统咖啡的竞争力

本文使用消费者面板数据分析了优质和常规公平贸易与有机(FTO)咖啡相对于传统咖啡的竞争力。这些咖啡根据其认证标签和价格分为四类:特级或常规常规,特级或常规FTO。根据整个市场以及将大部分咖啡预算用于FTO咖啡的核心消费者群体中的价格敏感性和替代行为来衡量竞争力。我们发现,大多数消费者更有可能用FTO产品代替常规产品,而不太可能用常规产品替代。即使是对此类咖啡需求缺乏弹性的高级FTO咖啡的核心消费者,也更倾向于使用常规FTO咖啡,而不是常规FTO咖啡,即使两种选择的价格都差不多。结果表明,即使是核心FTO市场细分市场也没有强烈致力于认证产品。制造和销售认证产品的公司需要做更多的工作,而不是匹配价格,并使用可持续性认证标签来提高其市场竞争力,并讨论潜在的选择。

更新日期:2021-02-21
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