IDEAS home Printed from https://ideas.repec.org/a/ags/aolpei/334668.html
   My bibliography  Save this article

Consumers’ Preference and Future Consideration Toward Organic Instant Noodles: Evidence from Indonesia

Author

Listed:
  • Toiba, Hery
  • Noor, Arif Yustian Maulana
  • Rahman, Moh Shadiqur
  • Hartono, Rachman
  • Asmara, Rosihan
  • Retnoningsih, Dwi

Abstract

The consumption of instant noodles in Indonesia is the second highest globally. However, people are now more aware of sustainable lifestyles and the health risks of consuming food additives, so some opt for more organic choices, including instant noodles. Research on customers’ preferences in this area remains lacking, so the current study aims to fill the gap. This study also analyses the relationship between the choices and consumers’ future considerations. Discrete Choice Experiment (DCE) method was used to reveal the perception of sustainable attributes in organic instant noodles. The future considerations were measured using the Future Consequences Consideration (FCC) scale. As many as 592 respondents participated in the study, selected using the convenience sampling method. Data were analyzed using conditional logit via package support.CEs on R software. The findings show that Indonesian consumers’ preferences are primarily based on the extrinsic attributes: organic labels and packaging materials, but they also consider the health claims. They will likely prefer instant noodles with organic characteristics for future considerations. The results of this study have implications for instant noodle product development. Young consumers take up a large portion of the market, and they are now more aware of sustainability and health. The current study can inform the product development and the approach to the targeted market. To the best of the authors’ knowledge, this is the first study on consumer perception on sustainability attributes in organic instant noodles.

Suggested Citation

  • Toiba, Hery & Noor, Arif Yustian Maulana & Rahman, Moh Shadiqur & Hartono, Rachman & Asmara, Rosihan & Retnoningsih, Dwi, 2023. "Consumers’ Preference and Future Consideration Toward Organic Instant Noodles: Evidence from Indonesia," AGRIS on-line Papers in Economics and Informatics, Czech University of Life Sciences Prague, Faculty of Economics and Management, vol. 15(1), January.
  • Handle: RePEc:ags:aolpei:334668
    DOI: 10.22004/ag.econ.334668
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/334668/files/571_agris-on-line-1-2023-toiba-noor-rahman-hartono-asmara-retnoningsih.pdf
    Download Restriction: no

    File URL: https://libkey.io/10.22004/ag.econ.334668?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Jianhua Wang & Jiaye Ge & Yuting Ma, 2018. "Urban Chinese Consumers’ Willingness to Pay for Pork with Certified Labels: A Discrete Choice Experiment," Sustainability, MDPI, vol. 10(3), pages 1-14, February.
    2. Hery Toiba & Tri Wahyu Nugroho & Dwi Retnoningsih & Moh. Shadiqur Rahman & Goodness Aye, 2020. "Food system transformation and its impact on smallholder farmers’ income and food security in Indonesia," Cogent Economics & Finance, Taylor & Francis Journals, vol. 8(1), pages 1854412-185, January.
    3. De Marchi, Elisa & Caputo, Vincenzina & Nayga, Rodolfo M. & Banterle, Alessandro, 2016. "Time preferences and food choices: Evidence from a choice experiment," Food Policy, Elsevier, vol. 62(C), pages 99-109.
    4. Thong Meas & Wuyang Hu & Marvin T. Batte & Timothy A. Woods & Stan Ernst, 2015. "Substitutes or Complements? Consumer Preference for Local and Organic Food Attributes," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 97(4), pages 1044-1071.
    5. Kelvin J. Lancaster, 1966. "A New Approach to Consumer Theory," Journal of Political Economy, University of Chicago Press, vol. 74(2), pages 132-132.
    6. Wongprawmas, Rungsaran & Canavari, Maurizio, 2017. "Consumers’ willingness-to-pay for food safety labels in an emerging market: The case of fresh produce in Thailand," Food Policy, Elsevier, vol. 69(C), pages 25-34.
    7. McFadden, Jonathan R. & Huffman, Wallace E., 2017. "Consumer valuation of information about food safety achieved using biotechnology: Evidence from new potato products," Food Policy, Elsevier, vol. 69(C), pages 82-96.
    8. Chakrabarti, Anwesha & Campbell, Benjamin L. & Shonkwiler, Vanessa, 2019. "Eliciting Consumer Preference and Willingness to Pay for Mushrooms: A Latent Class Approach," Journal of Food Distribution Research, Food Distribution Research Society, vol. 50(1), March.
    9. Yu-Hui Chen & Kai-Han Qiu & Kang Ernest Liu & Chun-Yuan Chiang, 2020. "Are Consumers Willing to Pay a Premium for Pure Rice Noodles? A Study of Discrete Choice Experiments in Taiwan," Sustainability, MDPI, vol. 12(15), pages 1-18, July.
    10. Charles F. Manski, 2001. "Daniel McFadden and the Econometric Analysis of Discrete Choice," Scandinavian Journal of Economics, Wiley Blackwell, vol. 103(2), pages 217-230, June.
    11. Hery Toiba & Anthon Efani & Moh Shadiqur Rahman & Tri Wahyu Nugroho & Dwi Retnoningsih, 2022. "Does the COVID-19 pandemic change food consumption and shopping patterns? Evidence from Indonesian urban households," International Journal of Social Economics, Emerald Group Publishing Limited, vol. 49(12), pages 1803-1818, July.
    12. Lin, Jiabao & Guo, Jinyuan & Turel, Ofir & Liu, Shan, 2020. "Purchasing organic food with social commerce: An integrated food-technology consumption values perspective," International Journal of Information Management, Elsevier, vol. 51(C).
    13. Wang, Erpeng & Gao, Zhifeng & Heng, Yan & Shi, Lijia, 2019. "Chinese consumers’ preferences for food quality test/measurement indicators and cues of milk powder: A case of Zhengzhou, China," Food Policy, Elsevier, vol. 89(C).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zhanguo Zhu & Qinyuan Shen & Zhifeng Gao, 2022. "Consumer choices in agricultural markets with multitier collective labels and private brands," Agribusiness, John Wiley & Sons, Ltd., vol. 38(4), pages 905-922, October.
    2. Lin Bai & Zhanguo Zhu & Tong Zhang, 2021. "How to Improve Food Quality in the Domestic Market: The Role of “Same Line Same Standard Same Quality”—Evidence from a Consumer Choice Experiment in China," Sustainability, MDPI, vol. 13(10), pages 1-16, May.
    3. Erpeng Wang, 2023. "Revitalize Traditional Agriculture: Chinese Consumer Perception and Preference of “Modern” Organic and Sustainable Traditional Rice Products," Sustainability, MDPI, vol. 15(12), pages 1-12, June.
    4. Giovanna Piracci & Fabio Boncinelli & Leonardo Casini, 2022. "Wine consumers' demand for social sustainability labeling: Evidence for the fair labor claim," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 44(4), pages 1742-1761, December.
    5. Amon, Kelvin & Wade, Tara & Gao, Zhifeng, 2024. "Willingness to pay for pest management information: Evidence from specialty crop growers," 2024 Annual Meeting, July 28-30, New Orleans, LA 344039, Agricultural and Applied Economics Association.
    6. Shi, Longzhong & Chen, Xuan & Chen, Bo & Qiu, Jingran & Li, Li, 2021. "Assessing Consumers’ Willingness to Pay for Covid-19-tested Food Labels," 2021 ASAE 10th International Conference (Virtual), January 11-13, Beijing, China 329403, Asian Society of Agricultural Economists (ASAE).
    7. Jianhua Wang & Jiaye Ge & Yuting Ma, 2018. "Urban Chinese Consumers’ Willingness to Pay for Pork with Certified Labels: A Discrete Choice Experiment," Sustainability, MDPI, vol. 10(3), pages 1-14, February.
    8. Liu, Ruifeng & ,, 2021. "What We Can Learn from the Interactions of Food Traceable Attributes? a Case Study of Fuji Apple in China," 2021 Conference, August 17-31, 2021, Virtual 315916, International Association of Agricultural Economists.
    9. Nikita Arora & Matthew Quaife & Kara Hanson & Mylene Lagarde & Dorka Woldesenbet & Abiy Seifu & Romain Crastes dit Sourd, 2022. "Discrete choice analysis of health worker job preferences in Ethiopia: Separating attribute non‐attendance from taste heterogeneity," Health Economics, John Wiley & Sons, Ltd., vol. 31(5), pages 806-819, May.
    10. Aluisio Goulart Silva & Maurizio Canavari & Alcido Elenor Wander, 2018. "Consumer preferences and willingness-to-pay for integrated production label on common beans," Economia agro-alimentare, FrancoAngeli Editore, vol. 20(1), pages 11-28.
    11. Savchenko, Olesya M. & Kecinski, Maik & Li, Tongzhe & Messer, Kent D. & Xu, Huidong, 2018. "Fresh foods irrigated with recycled water: A framed field experiment on consumer responses," Food Policy, Elsevier, vol. 80(C), pages 103-112.
    12. Ding, Ye & Nayga Jr, Rodolfo M. & Zeng, Yinchu & Yang, Wei & Arielle Snell, Heather, 2022. "Consumers’ valuation of a live video feed in restaurant kitchens for online food delivery service," Food Policy, Elsevier, vol. 112(C).
    13. Zhu, Zhanguo & Zhang, Tong & Hu, Wuyang, 2023. "The accumulation and substitution effects of multi-nation certified organic and protected eco-origin food labels in China," Ecological Economics, Elsevier, vol. 203(C).
    14. Azucena Gracia & Miguel I. Gómez, 2020. "Food Sustainability and Waste Reduction in Spain: Consumer Preferences for Local, Suboptimal, And/Or Unwashed Fresh Food Products," Sustainability, MDPI, vol. 12(10), pages 1-15, May.
    15. Zack Dorner & Daniel A. Brent & Anke Leroux, 2019. "Preferences for Intrinsically Risky Attributes," Land Economics, University of Wisconsin Press, vol. 95(4), pages 494-514.
    16. Panchalingam, Thadchaigeni & Howard, Gregory & Allen Klaiber, H. & Roe, Brian E., 2023. "Food choice behavior of adolescents under parent-child interaction in the context of US school lunch programs," Food Policy, Elsevier, vol. 115(C).
    17. Grashuis, Jasper & Su, Ye, 2023. "Consumer Preferences for State-Sponsored Designations: The Case of the Missouri Grown Label," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 48(1), January.
    18. Azucena Gracia & Ana María Sánchez & Francesc Jurado & Cristina Mallor, 2020. "Making Use of Sustainable Local Plant Genetic Resources: Would Consumers Support the Recovery of a Traditional Purple Carrot?," Sustainability, MDPI, vol. 12(16), pages 1-17, August.
    19. Kayode Ajewole & Elliott Dennis & Ted C. Schroeder & Jason Bergtold, 2021. "Relative valuation of food and non‐food risks with a comparison to actuarial values: A best–worst approach," Agricultural Economics, International Association of Agricultural Economists, vol. 52(6), pages 927-943, November.
    20. H. Holly Wang & Jing Yang & Na Hao, 2022. "Consumers’ Willingness to Pay for Rice from Remediated Soil: Potential from the Public in Sustainable Soil Pollution Treatment," IJERPH, MDPI, vol. 19(15), pages 1-22, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:aolpei:334668. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/fevszcz.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.