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Determination of Additional Willingness to Pay for Socially Responsible Technical Products Using Discrete Choice Analysis

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  • Florian Vincent Haase
  • Maria Kohlmeyer
  • Beatrice Rich
  • Ralf Woll

Abstract

Previous studies examined additional willingness to pay for socially responsible primary goods. However, technical products have not been considered. Therefore, the purpose of this study is to estimate additional willingness to pay for socially responsible technical products. Within an overview of given methods for measuring willingness to pay, the discrete choice analysis was applied to this study. As technical products, computer mice were chosen exemplary, since there is a partially fair mouse available. It was found that two of three fair labeled mice have a negative willingness to pay. Only consumers of the fair produced and labeled mouse has a positive willingness to pay. The consumers pay perhaps more attention to the aspect of social responsibility, if presented brands are comparatively unknown. In this connection, consumers allocate a higher value to social responsibility.

Suggested Citation

  • Florian Vincent Haase & Maria Kohlmeyer & Beatrice Rich & Ralf Woll, 2016. "Determination of Additional Willingness to Pay for Socially Responsible Technical Products Using Discrete Choice Analysis," Journal of Management and Sustainability, Canadian Center of Science and Education, vol. 6(1), pages 45-58, March.
    • Handle: RePEc:ibn:jmsjnl:v:6:y:2016:i:1:p:45-58
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    References listed on IDEAS

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    2. Hannes Koppel & Günther Schulze, 2013. "The Importance of the Indirect Transfer Mechanism for Consumer Willingness to Pay for Fair Trade Products—Evidence from a Natural Field Experiment," Journal of Consumer Policy, Springer, vol. 36(4), pages 369-387, December.
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    2. Friederike Paetz, 2021. "Personality traits as drivers of social preferences: a mixed logit model application," Journal of Business Economics, Springer, vol. 91(3), pages 303-332, April.

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    More about this item

    Keywords

    additional willingness to pay; socially responsible products; sustainable management; discrete choice analysis;
    All these keywords.

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

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