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Country of origin and willingness to pay for pistachios: a chinese case

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  • Pei Xu
  • Zhigang Wang

Abstract

Using 360 questionnaire data collected in Beijing, China, this study examines consumers’ acceptance and willingness to pay (WTP) for pistachios produced in China, California and Turkey. The impact of country of origin (COO), price, flavor, package size and package type was analyzed. A conditional logit model shows that consumers are willing to pay a statistically significant premium for California and Chinese pistachio, but the Turkish pistachio is less preferred. Using a mixed logit model to estimate the income effect, this study shows that wealthier consumers tend to purchase California pistachio. The marginal effect shows that every 1% increase in income will result in a 1.2% increase in the probability of purchasing California pistachio. However, the purchase of Chinese pistachio does not depend on income. Price and COO are the two most influential attributes and package size and type are the two least important attributes to change derived utility. Copyright Xu and Wang; licensee Springer. 2014

Suggested Citation

  • Pei Xu & Zhigang Wang, 2014. "Country of origin and willingness to pay for pistachios: a chinese case," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 2(1), pages 1-16, December.
    • Handle: RePEc:spr:agfoec:v:2:y:2014:i:1:p:1-16:10.1186/s40100-014-0014-1
    DOI: 10.1186/s40100-014-0014-1
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