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(1)國立政治大學國際傳播英語碩士學位學程 International Master’s Program in International Communication Studies College of Communication National Chengchi University. 碩士學位論文 Master’s Thesis. 立. 政 治 大. 影響俄國民眾購買有機食品的因素之研究. ‧ 國. 學. The Study of the Factors Influencing Organic Food Purchase in Russia. ‧ sit. y. Nat. n. al. er. io. 指導教授:Kuo Cheng 郭貞. Ch. engchi. i n U. v. 研 究 生:Elena Korableva 林娜. 中 華 民 國 104 年 3月 March 2015.

(2) 立. 政 治 大. ‧. ‧ 國. 學. n. er. io. sit. y. Nat. al. Ch. engchi. i n U. v.

(3) Table of Contents Acknowledgements ........................................................................................................................ iii Abstract .......................................................................................................................................... iv Chapter 1: Introduction ................................................................................................................... 1 Chapter 2: Literature Review .......................................................................................................... 4 Theory of Planned Behavior ........................................................................................................ 5 Attitudes....................................................................................................................................... 6 Health-consciousness ................................................................................................................... 8. 治 政 大 Environment-consciousness ...................................................................................................... 10 立 Trend-consciousness .................................................................................................................. 11. ‧ 國. 學. Knowledge of organic food ....................................................................................................... 12. ‧. Trust in organic food claims ...................................................................................................... 13. sit. y. Nat. Trust in organic food labels ....................................................................................................... 14. io. n. al. er. Subjective norms ....................................................................................................................... 15. i n U. v. Chapter 3: Research Methodology ................................................................................................ 17. Ch. engchi. Research Framework ................................................................................................................. 17 Data Collection .......................................................................................................................... 18 Measurement of Research Variables ......................................................................................... 19 Demographics. ....................................................................................................................... 23 Organic food attitude. ............................................................................................................ 23 Health-consciousness. ............................................................................................................ 24 Environment-consciousness. .................................................................................................. 25 Trend-consciousness. ............................................................................................................. 25.

(4) Trust in organic food claims. ................................................................................................. 26 Organic food knowledge. ....................................................................................................... 26 Trust in organic labels. ........................................................................................................... 27 Subjective norms. ................................................................................................................... 27 Willingness to pay premium price. ........................................................................................ 28 Chapter 4: Results ......................................................................................................................... 29 Descriptive analysis ................................................................................................................... 29. 政 治 大 Influence of organic attitudes立 on willingness to pay premium price. .................................... 34. Hypotheses testing ..................................................................................................................... 31. ‧ 國. 學. Influence of independent variables on attitude towards organic food. .................................. 35 Influence of independent variables on willingness to pay premium price for organic food. . 36. ‧. Influence of gender differences on dependent and independent variables. ........................... 38. y. Nat. er. io. sit. Chapter 5: Discussion .................................................................................................................... 40 Conclusions and Implications .................................................................................................... 41. al. n. v i n Ch Limitations and Future Research ............................................................................................... 44 engchi U References ..................................................................................................................................... 46 Appendix 1: Questionnaire............................................................................................................ 52.

(5) List of Tables Tables. Page. 1.. Measurement Items……………………………………………….. 20. 2.. Demographic Information……………………………………….... 30. 3.. Additional Findings……………………………………………….. 31. 4.. Hierarchical Multiple Regression Analysis of Attitude toward Organic Food…………………………………………………….... 32. 5.. Hierarchical Multiple Regression Analysis of Willingness to Pay Premium Price…………………………………………………….. 33. 學. ‧ 國. 6.. 政 治 大 T-test Results Comparing Gender Differences on Organic 立 Attitudes…………………………………………………………... T-test Results Comparing Gender Differences on Healthconsciousness…………………………………………………….... 8.. T-test Results Comparing Gender Differences on Organic Food Knowledge ………………………………………………………... 9.. Results from Addressing Research Hypotheses…………………... ‧. 7.. n. er. io. sit. y. Nat. al. Ch. engchi. i n U. v. 39. 39. 39. 40.

(6) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. iii. Acknowledgements First of all, I would like to say thank you to the lovely country that opened its heart to me and welcomed me so kindly –Taiwan, you became my second home during these past years that I have spent here studying. I am very grateful for the opportunity, and I will never forget this exciting and fulfilling journey! I would like to express the deepest appreciation to my adviser Dr. Kuo Cheng for helping me and supporting me throughout this challenging process of thesis writing, which she made so much easier by sharing her knowledge and helping me in the analysis of data and its statistical. 治 政 大I would not be able to successfully computations. Without her guidance and valuable suggestions 立 complete this paper.. ‧ 國. 學. I would also like to thank professor Yu-Chien Chang and Wen-Ying Liu form Shih-Hsin. sit. y. Nat. insights and suggestions.. ‧. University who kindly agreed to join my thesis committee and provided me with valuable. io. al. er. I would never be able to finish my thesis without help from friends and support from my. v. n. family. I am very grateful to my parents for their love and words of reassurance. They always. Ch. engchi. i n U. believe in me, supporting and encouraging me with their best wishes. Finally, I would like to thank my good friend Abby Moreno who put her time and effort into helping me with statistics and introducing me to the magical world of SPSS. She helped me a lot by showing her support and simply being there for me..

(7) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. iv. Abstract The aim of this paper is to explore consumers’ attitudes and identify factors influencing willingness to pay within the context of Russian organic food market. The Theory of Planned Behavior informs the research framework and the hypotheses are tested via hierarchical multiple regression analysis. The survey was distributed online and a total sample of 231 questionnaires was used for this study. The findings indicate that health concerns, knowledge of organic food and trust in organic food claims are all important predictors of consumers’ attitudes, as well as willingness to pay a premium price for organic food, while environment-consciousness appears. 治 政 大 Additionally, subjective norms to be unimportant in contrast to findings from previous research. 立 are also found to have a strong influence on willingness to pay premium price for organic. ‧. ‧ 國. 學. products.. Key words: Organic food, Food products, Russia, Consumer behaviour, survey, Theory of. n. al. er. io. sit. y. Nat. planned behaviour. Ch. engchi. i n U. v.

(8) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 1. Chapter 1 Introduction Due to the rapid development of science, just in a matter of few years food we eat became synthesized and genetically modified. Fascination with these new super possibilities created vegetables the size of a football, seemingly ideal fruits and polished cereals which are well stored, but do not contain vitamins. The long-term damages caused by these biological experiments could be irreversible. While government agencies argue they are perfectly safe, the jury is still out. All this inevitably gave rise to the reverse trend - organic.. 政 治 大. Nowadays more and more people begin to doubt quality of the products they buy in. 立. supermarkets. It is not only taste and esthetic qualities that concern them – modern consumers. ‧ 國. 學. are worried about what kind of impact food will have on their health. And these concerns are not. ‧. without its reasons. People are becoming more aware of the direct correlation between their diet. sit. y. Nat. and potential diseases. According to the Scientific Research Institute of Nutrition, more than 30%. io. al. diseases in Russia is much higher than in developed countries.. er. of all diseases in Russia are associated with malnutrition. Mortality from nutrition-related. n. v i n C hby level of mortality Today Russia takes up 10th place e n g c h i U in the world among all countries,. neighboring in this list Somalia and Swaziland1. Among various other factors killing Russians, insufficient consumption of fruits and vegetables equals to 13%, and is fourth after tobacco use (Scientific Research Institute of Nutrition). Most of the diseases related to nutrition, such as cardiovascular, cancer, obesity, diabetes, and others belong to pathologies that can be controlled, in other words mortality from these diseases can be reduced through better nutrition. Russian consumers are gradually recognizing the importance of their diet and becoming more and more concerned with healthy eating and increasingly choosing organic products that 1. The World Factbook, Cia.gov. Retrieved 2015-02-12.

(9) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 2. are free of additives, preservatives, etc.2. Given the choice, more and more people are expected to go for products with ecological or quality certification labels on their packaging, promising consumer the absence of chemicals. In spite of the growing interest in organically produced food such products still has not gained a high share in Russia’s food market. However, as people in Russia are gradually becoming more health and environment conscious, the demand for organic food products is rising accordingly. Currently, most of the organic products in Russia are imported from other countries and. 治 政 大 and Canavari, 2014). The cost of positioned at premium prices (Meixner, Haas, Perevoshchikova 立 these products on the shelf is significantly higher due not only to the organic nature of the. ‧ 國. 學. products but also to transportation expenses, customs fees, etc. As a result, organic goods in. ‧. Russia can range drastically from 6 percent to 799 percent more expensive than their. sit. y. Nat. conventional equivalents. Store characteristics and whether the products were imported. io. al. er. contribute to the drastic price differences3.. v. n. So, what is it that makes consumers be willing to pay extra cost? What are the main. Ch. engchi. i n U. reasons for which the consumer is willing to pay more money in order to purchase organic food? Previous studies on organic food consumption focused primarily on United States and Western European countries (Dimitri and Oberholtzer, 2009; Padel and Foster, 2005). Relatively little is known of consumers’ perception of organic food in Russia. Being one of the BRICs growing economies, Russia has received increasing scholarly attention in recent years, as there has been a widespread realization that Russian market will grow at fast rates and increase its relative importance in the world’s economy (Taylor, 2012). 2 3. “Russian Organic Market Continues to Grow,” GAIN Report, February, 2013 “Russian Organic Market Continues to Grow,” GAIN Report, February, 2013.

(10) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 3. Taking into account country’s growing importance and a vast potential for organic food market expansion, this paper seeks to explore consumers’ perceptions and attitudes toward organic food products in Russia and identify the factors that affect consumers’ willingness to pay premium price for such products. Findings will provide more evidence on consumers’ underlying purchase motivations and, therefore, help to establish appropriate market strategies for developing future demand.. 立. 政 治 大. ‧. ‧ 國. 學. n. er. io. sit. y. Nat. al. Ch. engchi. i n U. v.

(11) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 4. Chapter 2 Literature Review In order for promotional communications to be effective and yield results, first of all, marketers must have a firm understanding of the factors that influence consumers’ decision making process. This is particularly relevant today in the market for organic food products, where exponential growth has recently been observed. Being perceived as good for health and environment organic food is becoming more and more popular among consumers all around the world. Yet, Europe and USA are absolute leaders in today’s organic market. In 2012 European. 政 治 大. market accounted for 22.8 billion euros, which is 6% growth compared to 2011 (Willer and. 立. Lernoud, 2014). The largest market for organic products in 2011 was Germany with a turnover of. ‧ 國. 學. 6.6 billion euros, followed by France (3.756 million euros) and United Kingdom (1.882 million. ‧. euros)4.. io. al. er. value, with 14% attributed to Germany and 8% to France 5.. sit. y. Nat. With respect to the global market USA accounted for 44% of the worldwide retail sales. As we can see organic food markets in Western European countries and United States are. n. v i n C hother markets, onUthe contrary, still have vast potential already quite well-developed, while some engchi for growth and, thus, are of special interest to the researchers. Russia’s organic market is in its early development stage, yet, it is quickly expanding. In 2012, organic sales accounted for about $148 million which is 7.8 percent growth compared to 20116. However, organic packaged food remained one of the smallest categories within health-. 4. FiBL‐AMI Surveys 2006 – 2014, Organic Data Network Survey 2013. FiBL‐AMI‐Organic Data Network survey 2014, based on retail sales with organic food. 6 Gain report of Global Agricultural Information Network, 2013. 5.

(12) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 5. positioned food in Russia, accounting for about a 0.2 percent share of total packaged food retail sales in the Russian market in 20127. This exponential growth in Russian organic food market calls for further research on what drives organic consumption and makes consumers opt for organic food in spite of its higher price. In recent years, new media’s swift expansion has been the catalyst behind a new wave of globalization in our society. Number of environmentally aware individuals increased due to the pervasive media attention. It now includes even more categories of consumers representing different social groups and classes. Due to this media trend it is no longer possible to identify. 治 政 大(Dimitri, 2009). organic consumers based solely on demographic characteristics 立. That being said, this paper seeks to explore factors influencing willingness to pay a higher. ‧ 國. 學. price for organic food above and beyond demographics variable, exploring existent motivational. ‧. and psychographic factors. It is apparent that theoretically derived strategic approaches are. n. al. er. io. sit. y. Nat. crucial for successful communication between marketers and green consumers.. Theory of Planned Behavior. Ch. engchi. i n U. v. Current paper approaches the organic food consumption in Russia with the Theory of Planned Behavior (TPB). The TPB is one of the attempts to relate attitudes and other motivational factors to behavioral intention and actual behavior. The theory proposed by I. Ajzen (1985, 1991) is a direct extension of the theory of reasoned action (Fishbein and Ajzen, 1975) and builds on a critique of previous attitudinal theories. It argues that behavioral intention can be derived from a combination of the consumer’s attitude toward purchasing the product and the subjective norms about the behavior (person’s perceived relevance and importance of opinions of 7. Gain report of Global Agricultural Information Network, 2013..

(13) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 6. significant others) and behavioral control (i.e. a person’s sense of control over behavior) (Ajzen 1991). TPB borrows from the leaning theory (Doob, 1947; Osgood, Suci, and Tannenbaum, 1957) the idea that the formation of attitudes is shaped by cognitive beliefs. To date, TPB has been applied in over 1000 empirical studies (Ajzen, 2012). The TPB has been widely and effectively applied to numerous research studies on consumer behavior (Conner and Sparks, 1995) and on health behaviors in particular (Godin and Kok, 1996). There are several applications of the TPB in the domain of pro-environmental behavior (Staats, 2003). The predictive power of the model has been empirically proved in a number of studies.. 治 政 大 examined 185 studies and For example, Armitage and Conner (2001) in their meta-analysis 立 found that the TPB accounted for 27% and 39% of the variance in behavior and intention,. ‧ 國. ‧ sit. y. Nat. Attitudes. 學. respectively.. n. al. er. io. Personal values and attitudes can help explain consumers’ choice. They represent an. i n U. v. important guiding force in human life in general, as well as in the food context. Jung defines. Ch. engchi. attitude as "readiness of the individual to act or react in a certain way”, in other words attitudes are understood as tendencies to evaluate objects or entities positively or negatively. Attitude toward the behavior refers to the degree to which a person has a favorable or unfavorable evaluation of the behavior in question (Ajzen, 1991). According to Ajzen (1991) the more favorable the attitude with respect to a behavior, the stronger is the individual’s intention to perform the behavior under consideration. An individual’s attitude towards a product is known to be one of the most important and strongest antecedents for predicting and explaining consumers’ purchase intentions (Honkanen,.

(14) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 7. Verplanken and Olsen, 2006). Smith and Paladino (2009) in their study on motivations behind organic purchases surveyed undergraduate students at an Australian University and found that consumers’ purchase intentions can be explained by organic attitudes. In another study, Voona, Nguib and Agrawalc (2011) found that attitude had a significant direct positive effect on willingness to purchase organic food among Malaysian consumers. Likewise, Honkanen, Verplanken and Olsen (2006) in their study of the role ethical motives play in consumers’ choice of organic food among found a significant relation between attitude and intention to consume organic products.. 治 政 大a significant relationship with As previous studies found that organic attitudes exhibit 立. organic purchase behavior, therefore, consequent with these observations it is hypothesized as. ‧. ‧ 國. 學. following:. y. sit. io. n. al. er. price for organic food. Nat. H1: Positive attitude towards organic food will enhance the willingness to pay premium. Ch. engchi. i n U. v. A variety of factors that can potentially influence organic food consumption have been identified in relevant literature. It suggested that several dispositional variables may impact consumers’ attitudes and, therefore, intentions to purchase organic food. Namely, it has found that such variables as health-consciousness, environment-consciousness, trust of organic food claims and knowledge of organic food shape consumers’ attitudes toward organic food and, in this way, have a capacity to predict consumers purchase intentions (Smith and Paladino 2010; Aryal, Chaudhary, Pandit, and Sharma, 2009; Hughner, McDonagh, Prothero, Clifford, Shultz and Stanton, 2007). Additionally, some previous studies suggest that consumers perceive.

(15) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 8. organic food products as being trendy, thus we can assume that among other factors influencing and shaping consumers’ attitudes trend-consciousness may also contribute to an overall perception of organic food (Roitner-Schobesberger, Darnhofer, Somsook and Vogl, 2008).. Health-consciousness Consumers’ attitudes towards the health aspect and the environment are the most important predictabilities of decision-making process for organic food products (Padel and Foster,. 政 治 大 Relevant studies have found 立health concerns to be strong motivating factors in organics’. 2005; Ahmad and Juhdi 2010).. ‧ 國. 學. perceptions, attitudes and consumption (Ozcelik and Ucar 2008). Organic produce is widely recognized to be healthier and safer than its non-organic alternatives (Lea and Worsley, 2005;. ‧. Radman, 2005). Previous research has stated that consumers view organic food as having higher. Nat. sit. n. al. er. io. Worsley, 2005).. y. vitamin and mineral content in comparison to its conventionally grown counterparts (Lea and. i n U. v. The effects of pesticides and artificial fertilizers have been scientifically proven seriously. Ch. engchi. damaging to both the environment and human health. Health-conscious individuals tend to be concerned with residues from synthetic chemicals used in agriculture and view conventionally grown food not as safe and healthy as organically produced one. Roitner-Schobesberger et al. (2008) found that health consciousness was a strong factor influencing the decision to purchase organic food in Thailand. Numerous studies support these findings showing that the majority of consumers opt for organic food as they consider it to be a healthier choice (Chinnici, D’Amico and Pecorino, 2002; Padel and Foster, 2005; Squires, Juric and Cornwell, 2001). Additionally, Tsakiridou, Boutsouki, Zotos and Mattas (2007) in their study of consumers’ attitudes and.

(16) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 9. behavior towards organic consumption among Greek consumers found that health concerns were the driving force behind organics consumption for older consumers and pensioners as well as families with children. Baker (2004) in the study on the impact of cultural differences and values driving organic food choice among consumers in Germany and United Kingdom, the researchers reported that while the impact of cultural dimensions varied among the two countries, consumers still considered health and well-being as the prime motive for consumption if organic food. As shown in previous studies health-conscious consumers are interested in food. 治 政 大 as possible and prefer eating containing as little chemicals, preservatives, additives, or pesticides 立. food that are not irradiated or genetically modified. In other words, they prefer eating food that is. ‧ 國. 學. all natural.. ‧. Due to the widespread perception of organic food as being more nutritious and safer than. sit. y. Nat. conventionally-grown food, health-conscious individuals are expected to hold positive attitudes. io. al. n. Hence, it is hypothesized that:. er. towards organic food because of its health enhancing attributes (Michaelidou and Hasson 2008).. Ch. engchi. i n U. v. H2a: The more concerned consumers are about their health the more positive attitudes they will hold toward organic food. H2b: There is a correlation between health concerns and willingness to pay premium price for organic food..

(17) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 10. Environment-consciousness Environmental concern represents another often cited motivator in the organic food purchase decisions (Kareklas, Carlson and Muehling, 2014; Tsakiridou et al, 2008). Kareklas et al.(2014) in their study of egoistic and altruistic considerations for purchasing organic food found that it is the blending of egoistic concerns for personal welfare (e.g., health concerns) and altruistic concerns for collective welfare (e.g., environmental concerns) that drives organic food purchases. While most consumers choose organic food for its potential health characteristics,. 政 治 大. these same consumers generally believe that organic farming is beneficial for the environment. 立. and thus worth supporting. Research has demonstrated the mediating role of attitudes in. ‧ 國. 學. willingness to purchase organic food, proving that environmental attitudes do have an impact on consumers’ green purchase intentions (Alwitt and Pitts, 1996).This was reinforced by more. ‧. recent studies, showing that consumers holding positive attitudes toward environment purchase. y. Nat. sit. more organic products than those without green attitudes (Squires et al. 2001, Honkanen et al.. n. al. er. io. 2006). Several studies have proved that environmental and animal rights issues had a strong. Ch. i n U. v. influence over attitudes towards organic food (Honkanen et al. 2006; Kareklas, et al. 2012).. engchi. These findings suggest that organic purchase decisions are extending beyond personal concerns and include altruistic concerns as well, i.e. societal and ecological concerns. Evidently, in addition to concern for one’s health and well-being, concern for the environment may also influence consumers’ attitudes toward organic food. Therefore, consequent with these findings I hypothesize the following:. H3a: The more concerned consumers are about the environment the more positive attitudes they will hold toward organic food..

(18) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 11. H3b: There is a correlation between environmental concerns and willingness to pay premium price for organic food.. Trend-consciousness Previous research has found that consumer’s search for new trendy products, is another important motive to purchase organic food (Roitner-Schobesberger, B. et al., 2008). An individual, who is aware of the latest fashions and wants to be up-to-date with popular. 政 治 大 considered trend-conscious. For these 立 type of customers, being in trend is a strong determinant trends, such as wearing fashionable clothes, spending time in popular places, etc., may be. ‧ 國. 學. affecting their decision making process. Therefore we can assume that this category of people is much more likely to buy any product that is believed to be popular as well as to adopt a lifestyle. ‧. that is considered trendy.. Nat. sit. y. It is a matter of fact that in the last several years healthy lifestyle has been getting more. n. al. er. io. and more popular. Many people start to consider healthy lifestyle, giving up their bad habits. i n U. v. (such as smoking, drinking, gluttony, etc.) and turning to sport activities. Mass media via. Ch. engchi. numerous TV shows and glossy magazines create an image of healthy and stylish people, therefore imposing a strong correlation between leading a healthy way of life and being in trend. Due to the fact that a healthy nutrition is a significant part of following a healthy lifestyle and presuming that organic food is much healthier than conventionally grown one, and it also meets the needs of health-conscious people, we may come to a conclusion that rapidly growing popularity of healthy lifestyle and its trendy image is much likely to affect customers’ decision to purchase organic food, therefore resulting in a significant growth of organic food market (Meixner O. et al., 2014)..

(19) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 12. Hughner et al. (2007) among other reasons for organic food consumption identifies the fact that organic products are considered trendy and some people are buying organic food simply due to that reason. Consequent with these assumptions it is hypothesized as following:. H4a: The more concerned consumers are about being trendy the more positive attitudes they will hold toward organic food. H4b: There is a correlation between concerns for being trendy and willingness to pay premium price for organic food.. 立. 政 治 大. ‧ 國. 學. Knowledge of organic food. ‧. Additionally, it has been stated that better knowledge about organic food positively. Nat. sit. y. influences consumers’ attitudes towards organic food products (Gracia and Magistris, 2007;. n. al. er. io. Aryal et al. 2009; Pieniak, Aertsens and Verbeke, 2010). Likewise, Smith and Paladino (2009). i n U. v. have found that an increase in organic knowledge increases the level of positive attitudes held. In. Ch. engchi. another study exploring the relationship between knowledge and buying behavior of consumers in Spain, in which virgin olive oil was taken as an example, the researchers reported that knowledge positively influences the decision to pay a premium price for organic food products (Gil and Soler, 2006). Consequent with previous research, it is hypothesized that:. H5a: Increased knowledge of organic food will result in more positive attitude towards organic food..

(20) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 13. H5b: There is a correlation between knowledge of organic food and willingness to pay premium price for it.. Trust in organic food claims According to Hofstede's (1991) cultural dimensions theory, Russia is characterized by high Uncertainty Avoidance. Its score is much higher in comparison to Western countries. This fact may be explained by complicated historical events: Russian society has experienced frequent. 政 治 大 feel insecure and suspicious. Simply 立put, people do not know what to expect tomorrow. Such. changes of leaders, regimes and wars. All these have affected peoples’ mentality making them. ‧ 國. 學. societal characteristics provide significant implications for marketing specialists and advertisers in order for their promotional efforts to be effective. It is believed that Uncertainty Avoidance. ‧. Index has a significant effect on consumer's acceptance of unfamiliar brands in the retail market. Nat. sit. n. al. er. io. (Singh, 2006).. y. and consumers tend to be uncomfortable with changing their established consumption habits. i n U. v. Due to the credence nature of organic food, trust in organic food claims is another. Ch. engchi. important factor influencing people’s purchase decisions. Credence products are those with qualities that cannot be observed by the consumer after purchase, therefore, it is difficult for a customer to determine whether the product or service is the best match for his or her needs. As a result, Russians are expected to be more doubtful and skeptical of the organic food claims and are less likely to take risks in purchasing organic food products unless they are assured of their benefits and genuineness. Voon et al. (2011) found that that trust of organic food claims was an important factor influencing the decision to purchase organic food in Malaysia, another high Uncertainty.

(21) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 14. Avoidance country. The researchers concluded that Malaysian consumers rely heavily on product labeling, the media, reputation of producers and other observable attributes of organic food as measures of trustworthiness and quality. Similarly, Perrini, Castaldo, Misani and Tencati (2009) in their study of Italian consumers found that people were more likely to trust retailers of organic products if they believed the retailer to be committed to respecting their rights and the environment. It becomes apparent, that trust of organic food claims is a strong determinant of intention to consume organic food. Consequently, the extent to which consumer has trust in organic food. 治 政 大it is hypothesized that: claims will, therefore, influence the willingness to pay. Hence, 立 ‧ 國. 學. H6a: The more consumers trust in organic food claims the more positive attitudes they. ‧. will hold toward organic food.. y. sit. io. n. al. er. premium price for it.. Nat. H6b: There is a correlation between trust in organic food claims and willingness to pay. Ch. engchi. i n U. v. Hypothetically, the more concerned consumers are about these issues, the more positive their attitudes will be and the more likely they will be willing to pay premium for organic food.. Trust in organic food labels Russians do not have much trust in local systems of certification. This stems from the post-perestroika era when more than half the product labels and lists of ingredients did not correspond to the facts8. The survey conducted by AgriCapital shows that currently 45 percent of 8. Gain report of Global Agricultural Information Network, 2013.

(22) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 15. Russian manufacturers place on their labels the words “BIO”, “natural” or “eco-friendly” without any appropriate certification. Consequently, this study incorporates trust in organic labels as a behavioral control variable to see whether such consumer doubts may inhibit willingness to pay a premium price for organic food. Hence, it is hypothesizes as following:. H7: Trust in organic labels will influence willingness to pay premium price, so that the. 治 政 大 higher the trust is the greater is the willingness to pay. 立. ‧. ‧ 國. 學. Subjective norms. Through the concept of ‘subjective norms the TPB acknowledges the power of other. Nat. sit. y. people in influencing consumer behavior (Solomon, Bamossy, Askegaard and Hogg, 2006).. n. al. er. io. McClelland’s (1987) theory of needs suggest that individuals tend to perform behavior. i n U. v. that is regarded as favorable by loved ones. In this vain, if consumers feel that purchasing. Ch. engchi. organic food is what they ought to be doing as the people they care about approve and even encourage such behavior then it will have a significant impact on their intentions to purchase organic food. Additionally, individuals’ intentions to consume organic food are likely to be strengthened by the prevalence and popularity of a behavior, due to their need for affiliation and group identification, as well as the desire of social approval (Park and Smith, 2007). Therefore, we can assume that consumers may be more willing to pay premium price for organic food products if they believe that their loved ones expect them to do so, or if they wish to be identified with other individuals who are consuming organic food..

(23) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 16. Previous research has found that subjective norms can have a significant effect on buying intentions of organic food (Tarkiainen and Sundqvist, 2005; Smith and Paladino 2010). Tarkiainen and Sundqvist (2005) studied the importance of subjective norms in an organic food buying context among Finnish consumers and have found that a significant relationship exists between subjective norms and intentions to buy organic food. Hofstede characterizes Russia by high power distance, which implies that consumers are likely to be influenced by the advice, opinions or behavior of significant others, particularly those whom they respect and look up to. Likewise, consumers tend to conform to the consumption. 治 政 大 through advice or opinions, as choices of significant others, thus, they may be influenced actively 立 well as passively, through observed behaviors.. ‧ 國. 學. It is therefore hypothesized that:. ‧ sit. y. Nat. H8: Subjective norms will influence willingness to pay premium price for organic food, so. io. n. al. er. that the greater the subjective norms are the greater is the willingness to pay.. Ch. engchi. i n U. v.

(24) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA Chapter 3 Research Methodology Research framework is introduced, followed by the research hypotheses, research procedure, data collection, research variables, measurement of variables, and lastly with data analysis for this research. This study incorporates TPB as its theoretical framework. Research Framework H3b. Health concerns. 政 治 大 H2b. Environmental concerns. H2a. H3a. Organic food attitude. 學 ‧. ‧ 國. 立. H4a. Trendconsciousness. n Knowledge of organic food Trust in organic food claims. H5a. al. Ch. H4b. i e n g c hH5b. H6a H6b. er. io. sit. y. Nat. H1. i n U. v. Willingness to pay premium price for organic food. H7 H8. Trust in organic labels. Figure 1 – Research Framework. Subjective norms. 17.

(25) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 18. Data Collection The focus of this paper is to investigate the factors influencing willingness to pay premium price for organic food products in Russia. In order to obtain empirical data the questionnaire was developed and distributed online to those who currently live in the country and are at least 18 years old (in order to ensure respondents’ purchasing power). The online questionnaire was chosen for convenience reasons and time restrains. The questionnaires were distributed via Russian networking site VKontakte (literally “in touch”), which is the largest social networking site in Russia.. 治 政 大messages publicly or privately, Like other social networks, VK allows users exchange 立. create groups, public pages and events, share and tag images, audio and video, and play browser-. ‧ 國. 學. based games. Russians are the most socially engaged users on the Internet – 82 percent. ‧. participate on at least one social media platform and they spend 12.8 hours per month on social. sit. y. Nat. media, which is twice the worldwide average 9. VK is the clear market leader in Russia, with 44. io. al. er. million users versus 12.8 million on Facebook10.. v. n. A sample of 300 respondents was used in the study. Respondents were recruited from. Ch. engchi. i n U. popular VK health themed community “Let Us Be Healthy”, which is a popular community on VK and has over a hundred thousand members. The list of community members is available to the general public online and the respondents were chosen using systematic random sampling. A considerably high response rate was achieved and 231 questionnaires were used for data analysis. The questionnaire was originally developed in English and then translated into Russian. Items were measured on a 5-point Likert scale, consistent with previous research on organic attitudes and purchase behavior, where 1 was “strongly disagree” and 5 was “strongly agree”, 9 10. “Russian workforce stuck on social networks,” Russia Beyond the Headlines, July 3, 2013 ComScore MMX, February 2013.

(26) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 19. except for knowledge of organic food variable for which the survey used “multiple choice” and “true or false” questions. First a pilot study, using convenience sample, was conducted among 50 willing participants in order to test the questionnaire and identify any potential problems that might lead to biased answers. Reliability and factor analysis were employed to assess and ensure appropriate questionnaire items.. 政 治 大 Independent variables of this 立study are respondents’ health-consciousness, environmental-. Measurement of Research Variables. ‧ 國. 學. consciousness, trend-consciousness, trust in organic food claims, knowledge of organic food, trust in organic labels and subjective norms.. ‧. So as to convey their precise meanings all the research variables are measured on a 5. Nat. sit. y. point Likert scale and operationally defined.. n. al. er. io. The measurement items used in this research were partly constructed by the researcher. i n U. v. and partly adapted from previous research. Nevertheless, all the variables have undergone. Ch. engchi. reliability tests to see whether the items were reliable, as well as exploratory factor analysis to confirm items were significant and had patterned relationships (see table 1). The questionnaire consisted of 4 items for demographics, 3 items for attitude toward organic food (Kareklas et al., 2014), 5 items for health-consciousness (constructed by the researcher), 3 items for environment-consciousness (Grunert and Juhl, 1995), 6 items for trendsconsciousness, 5 for trust in organic food claims (Kareklas et al., 2014), 3 items for trust in organic labels, knowledge of organic food (Meixner O. et al., 2014; Roitner-Schobesberger et al.,.

(27) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA 2008), 3 items for subjective norms (Voon, P. Jan et al., 2011) and 4 for willingness to pay premium price (Voon, P. Jan et al., 2011). Then these composite measures are used for hierarchical multiple regression analysis.. Table 1 Measurement Items Measurement of Health Concerns Measurement Items It is important for me to have a balanced diet and make healthy choices. I avoid eating food that is considered unhealthy, such as processed food, food high on sugar or fat (ex. Sweet soft drink, junk food). I always think about my health as my first priority when shopping for groceries. It frightens me to think that much of the food I eat is contaminated with pesticides. I always read nutrition facts and ingredients on the package before buying a new product.. 政 治 大. .851. .861. sit. n. i n U. v. Factor Loadings .831. engchi. Measurement of Trend Consciousness (part 1) Measurement Items I don’t associate organic food with being trendy.* I think eating organic food is a popular trend among celebrities nowadays. I consider following healthy lifestyle to be currently hip and trendy.. y. .794. er. io. Ch. .878. ‧. .851. Nat. al. Measurement of Environmental Concerns Measurement Items I would donate a day's pay to a foundation to help improve the environment. I would be willing to stop buying products from companies guilty of polluting the environment, even though it might be inconvenient for me. I am not willing to pay a pollution tax even if it would considerably decrease the air pollution.*. 學. ‧ 國. 立. Cronbach’s α. Factor Loadings .749. .832. Cronbach’s α. .790. .854. Factor Loadings .861 .826 .775. Cronbach’s α .758. 20.

(28) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. Measurement of Trend Consciousness (part 2) Measurement Items I prefer visiting places that are talked about and considered to be popular and trendy. I spend substantial amount of money purchasing new trendy things in order to stay up to date (gadgets, clothes, etc.) It is important to me to be up to date and follow popular trends. Measurement of Trust in Organic Food Claims Measurement Items I believe that organic food contains more vitamins and minerals than conventional food. I believe that organic food is more nutritious than conventional food. I believe that organic food does not contain any additives. I believe that organic food does not contain any artificial ingredients. I believe that organic food does not contain any chemical and hormone residues.. .922. .866. Factor Loadings .655. 學. .703. .705. y. sit er. n. Ch. Factor Loadings .883. iv. n U i engch .900. Measurement of Subjective Norms Measurement Items My close friends and family consume organic food. Nowadays, organic food is widely regarded as a better alternative to conventional food. My loved ones expect me to purchase more organic food for them.. .884. ‧. io. al. Cronbach’s α. .675. Nat. Measurement of Trust in Organic Labels Measurement Items In my opinion most of the “Organic” labels are used as a marketing plot targeted at naive customers. I always get suspicious of “Organic” labels and whether the product with such label is really organic. I don’t think manufacturers would place organic labels on their products unless they had an appropriate certification.*. Cronbach’s α. .866. 政 治 大 .654. ‧ 國. 立. Factor Loadings .877. Cronbach’s α. .852. .853. Factor Loadings .807 .709 .823. Cronbach’s α .680. 21.

(29) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. Measurement of Willingness to Pay (WTP) Measurement Items I’m willing to pay premium price for organic food because the benefits outweigh the cost. Buying organic food is the right thing to do even if they cost more. I would still buy organic food even though conventional alternatives are on sale. I don’t think there is anything special about organic food that justifies its higher price.* Measurement of Attitude Measurement Items Silly/ Wise Unimportant/Important Bad/Good Note: * reverse coded items. 立. Cronbach’s α. Factor Loadings .929 .937. .934. .917 .870. Loadings 政 治Factor 大 .925 .925. Cronbach’s α .901. .895. ‧. ‧ 國. 學. n. er. io. sit. y. Nat. al. Ch. engchi. i n U. v. 22.

(30) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 23. Demographics. The demographics variable was used in this study to obtain the basic information about the consumers. For gender respondents had to specify between male and female. For age, education and income respondents checked from age groups of 18 to 25, 26 to 35, 36 to 45, 46 to 55, last 56 and above. For education respondents were to select from high school and below, high school graduate, University graduate, master degree and above. In terms of income respondents were to choose from 500 USD and below, 500 USD to 1,000 USD, 1,000 USD to 1,600 USD and over 1,600 USD.. 治 政 大 Organic food attitude. Health-, environment-, trend-consciousness, trust and knowledge 立. of organic food do not influence willingness to purchase directly, but rather shape consumers’. ‧ 國. 學. attitude towards organic food, which in turn, impacts an individual's intentions. An individual’s. ‧. attitude towards consuming a product is known to be one of the most important antecedents for. sit. y. Nat. predicting and explaining consumer behavior. Respondents were asked to rate how good,. io. al. er. important, and wise they think it is to buy organic food. Five-point bipolar scales were used. n. ranging from “very bad” to “very good”, “very unimportant” to “very important”, and from “very foolish” to “very wise”.. Ch. engchi. i n U. v. Consistent with scales employed in the previous studies of organic food (e.g., Loo, Van, My Nguyen Hoang Diem, Pieniak and Verbeke, 2013; Magnusson, Arvola, Hursti, Å berg and Per-Olow Sj¨od´en, 2001), measure of attitude was global in nature, while the specific beliefs underlying attitude were measured separately..

(31) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 24. Health-consciousness. Health consciousness is described as a gauge of a person’s inherent drive to maintain good health (Dutta-Bergman, 2005, Kaskutas and Greenfield, 1997). This drive motivates people’s health actions (Dutta-Bergman, 2005; Moorman and Matulich, 1993), such as their health preventive and health maintenance behaviors (Moorman and Matulich, 1993). A health conscious person actively seeks out information and resources that are oriented toward enhancing health, and engages in those activities that lead to better health, including eating healthy, prevention health behaviors (Jayanti & Burns, 1998), searching for health information, and engaging in physical exercise (Dutta-Bergman, 2005; Moorman & Matulich,. 治 政 1993), while avoiding health threatening activities (Kraft & 大 Goodell, 1993). In fact, there is 立. evidence that people with higher levels of health consciousness tend to lead a healthier lifestyle. ‧ 國. 學. than people with lower levels of health consciousness (Dutta-Bergman, 2005).. ‧. Organic food is generally perceived healthier, safer and more nutritious than non-organic. sit. y. Nat. alternatives. Hence, health-conscious individuals are expected to have positive attitudes towards. io. al. er. organic food due to its health enhancing attributes.. v. n. In order to measure their health-consciousness respondents are asked to evaluate 5. Ch. engchi. i n U. statements according to their level of agreement or disagreement: “I always think about my health as my first priority when shopping for groceries”; “I avoid eating food that is considered unhealthy, such as processed food, food high on sugar or fat (ex. Sweet soft drink, junk food)”, etc..

(32) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 25. Environment-consciousness. Another often cited motivator for organic food purchases is environmental concerns. In this study environment-consciousness is defined as the degree to which a person is oriented toward concern for the environment (Dunlap and Jones 2002); prior research indicates that people vary in levels of environmental consciousness depending on their socio-demographic characteristics (Diamantopoulos et al. 2003). Those who have a proenvironmental orientation have been found to exhibit pro-environmental behavior and green purchasing behavior (Schlegelmilch, Bohlen, and Diamantopoulos, 1996). Ecologically oriented consumers are more likely to form intentions to consume organic. 治 政 大 The questionnaire includes 6 food, thus making them a natural target for organic food marketers. 立 statements measuring respondent’s level of environment-consciousness, for instance:. ‧ 國. 學. “I would donate a day's pay to a foundation to help improve the environment”;. ‧. “I would be willing to stop buying products from companies guilty of polluting the. al. y. er. io. sit. Nat. environment, even though it might be inconvenient for me”, etc.. v. n. Trend-consciousness. Healthy lifestyle is very popular nowadays. And for some. Ch. engchi. i n U. consumers, especially those sensitive to popular trends, it can potentially be a strong determinant in the decision to purchase organic food. Trend-conscious person – is a person who is aware of the latest fashions and wants to be up-to-date with popular trends, such as wear fashionable clothes, spend time in popular places etc. Respondents will be asked to evaluate 3 statements, such as: “I think eating organic food is a popular trend among celebrities nowadays”; “I do not associate organic food with being trendy”, etc..

(33) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 26. Trust in organic food claims. Due to the credence nature of organic food, trust in organic food claims is another important factor influencing people’s purchase decisions. Credence products are those with qualities that cannot be observed by the consumer after purchase, making it difficult to assess its utility. Consequently, the extent to which consumer has trust in organic food claims will, therefore, influence the willingness to purchase. Luhmann (1979) defines trust as “confidence in one’s expectations, where desirable conducts are viewed as certain, while undesirable conducts are removed from consideration”. Thus, trust in organic food claims is defined as confidence that organic food is healthier, safer and more beneficial to one’s health than conventionally grown food.. 立. 政 治 大. Four items will be included in the questionnaire in order to measure respondents’ trust in. ‧ 國. 學. organic food claims. The statements such as. sit. y. Nat. food”;. ‧. “I believe that organic food contains more vitamins and minerals than conventional. io. al. er. “I believe that organic food does not contain any artificial ingredients”;. n. “I believe that organic food does not contain any chemical and hormone residues”, etc.. Ch. engchi. i n U. v. will be evaluated by the subjects according to their level of agreement.. Organic food knowledge. Consumers’ organic food knowledge is another important factor that constitutes consumers’ attitude towards organic food and, therefore, impacts the decision-making process. Knowledge of organic food is defined as objective knowledge a person has towards organic food and its potential impact on one’s health. In order to measure respondents’ knowledge of organic food questionnaire will include one “multiple choice” and two “true or false” questions, such as:.

(34) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 27. “Organic farming does not use synthetic pesticides or herbicides”; “The rules for organic production are stricter than for other production methods (e.g. safe)”; “Organic food products does not contain GMOs”, etc.. The researcher sums up the scores and the final score is used to identify respondent’s knowledge of organic food.. 政 治 大. 立. Trust in organic labels. The extent to which consumer has trust in organic food labels. ‧ 國. 學. will influence the willingness to purchase organic food. In order to examine respondents’ doubts. ‧. and measure level of trust in organic labels the questionnaire includes 3 items, such as:. sit. y. Nat. io. al. n. really organic”;. er. “I always get suspicious of “Organic” labels and whether the product with such label is. Ch. engchi. i n U. v. “I don’t think manufacturers would place organic labels on their products unless they had an appropriate certification”, etc.. Subjective norms. Subjective norms – a person’s perceived relevance and importance of opinions of significant others (Ajzen, 1991). Individuals’ subjective norms reflect their beliefs about how others, who are important to them, would view them engaging in a particular behavior, namely paying premium price for organic food products. To measure consumers’ subjective norms survey includes 3 statements, such as:.

(35) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 28. “My close friends and family consume organic food”; “Nowadays, organic food is widely regarded as a better alternative to conventional food”, etc.. Willingness to pay premium price. Certified organic products are generally more expensive than their conventional counterparts. Currently, most organic products in Russia are positioned at premium prices. This study aims to investigate the underlying factors influencing consumers’ willingness to pay this extra amount of money in order to purchase organic food.. 治 政 Respondents are required to evaluate 5 statements according大 to their level of agreement. The 立 survey includes statements such as:. ‧ 國. 學. “I’m willing to pay premium price for organic food because the benefits outweigh the. ‧. cost”;. sit. y. Nat. “Buying organic food is the right thing to do even if they cost more”;. io. al. n. etc.. er. “I don’t think there is anything special about organic food that justifies its higher price”,. Ch. engchi. i n U. v. Moreover, respondents were asked to pick product types for which they would be willing to pay a higher price (vegetables and fruits, dairy products, etc.)..

(36) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 29. Chapter 4 Results The online questionnaires were distributed from February 17, 2015 through March 3, 2015. Responses of 231 Russian consumers were used in this research. The statistical analyses were conducted using SPSS 20.0 to analyze the data, as well as test the hypotheses. The first section of this chapter is based on the descriptive analysis that illustrates the frequency distributions for the demographic variable and some additional findings. The second section of this chapter is focused on the statistical findings obtained through hierarchical multiple regression analysis.. ‧ 國. 學. Descriptive analysis. 立. 政 治 大. Out of 300 respondents 231 responded to the questionnaire. Among 231 respondents of. ‧. Russian consumers 30.7% (n=71) were male and 69.3% (n=160) were female. The age range for. Nat. sit. y. this research varied from 18 to 50 and above. 48.1% of respondents were aged 25 to 29 which is. n. al. er. io. a highest percentage out of the 5 age groups. The majority of the respondents were mostly. i n U. v. university graduates (70.1%). The monthly income was mostly (47.2%) 500 USD to 1,000 USD.. Ch. engchi. The following information shown in table 2 summarizes the demographic information. The majority of the sample demonstrates positive attitudes towards organic food. Over 45% of the respondents consider buying organic food to be wise, 42% think of it as important and almost 40% consider buying organic food is good. The findings of the study indicate that 55% of the interviewees are willing to pay up to 25% above regular price for the organic food products, while 18% reported that they are not ready to pay higher price for organic food. Additionally, 36% of the respondents purchase organic food at least once a month, while 18% never do. Additionally, out of different types of products 72% of.

(37) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA the interviewees are willing to pay a higher price for fruits and vegetables. These findings are shown in table 3.. Table 2 Demographic Information. 30,7% 69,3% 100,0%. 37 111 61 13 9 231. 16,0% 48,1% 26,4% 5,6% 3,9% 100,0%. n. engchi 60 109 27 12 23 231. y. sit er. io. Ch. 2 28 162 38 1 231. ‧. Nat. al. 71. 160 政 治 大 231. ‧ 國. 立. Percentage %. 學. 1. Gender Male Female Total 2. Age 18-24 25-29 30-39 40-50 Over 50 Total 3. Education High school and below High school graduate University graduate Master degree and above Missing Total 4. Income 500$ and below 500$-1000$ 1000$k-1600$ Over 1600$ Missing Total. Number of Cases n. i n U. v. 0,9% 12,1% 70,1% 16,5% 0,4% 100,0% 26,0% 47,2% 11,7% 5,2% 10,0% 100,0%. 30.

(38) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA Table 3 Additional Findings How much more are you willing to pay? (%) Not ready Up to 25% 26% - 50% 51% - 75% 76% - 100% More than 100%. n 42 129 37 16 3 2. % 18.2% 55.8% 16% 6.9% 1.3% 9%. n 42 84 64 28 10 3. % 18.2% 36.4% 27.7% 12.1% 4.3% 1.3%. How often do you buy organic food?. ‧. ‧ 國. 立. 政 治 大. 學. Never At least once a month At least 2-3 times a month At least once a week At least 2-3 times a week Always. n. al. 35%. er. io. Eggs. 63%. Dairy products Legumes/Grains/Nuts Flour products None. sit. Nat. Meat. y. For what types of products are you willing to pay a higher price? Fruits and Vegetables 72%. Ch. engchi. i n U. v. 59% 16%. 16.5% 8%. Hypotheses testing The independent variables such as health-consciousness, environment-consciousness, trend-consciousness, knowledge of organic food, trust in organic food claims, trust in organic labels and subjective norms were studied in this research study to see if they can influence. 31.

(39) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 32. organic attitudes and willingness to pay premium price for organic products. In order to test the hypotheses, while comparing relative influences of each predictor hierarchical multiple regression analyses were conducted. The dependent variables for this study are attitude towards organic food and willingness to pay premium price for organic food. Table 4 Hierarchical Multiple Regression Analysis of Attitude toward Organic Food Model. Variables. β. 1. Gender Age Education Income. .242 -.033 .078 -.076. 立. er. ‧ 國. .158 -.041 .021 -.081 .412 .125 -.020. * N.S. N.S. N.S. *** N.S. N.S.. .156 -.046 -.016 .000 .298 .058 -.063 .268 .248. ** N.S. N.S. N.S. *** N.S. N.S. *** ***. ‧. Gender Age Education Income Health-consciousness Environment-consciousness Trend-consciousness. 2. n. Adjusted R = .259 3. Ch. engchi. Gender Age Education Income Health-consciousness Environment-consciousness Trend-consciousness Knowledge Claims. sit. io. al. y. Nat. 2. ** N.S. N.S. N.S.. 學. Adjusted R2 = .063. 政 治 大. Sig. (p). i n U. v. Adjusted R2 = .422 Dependent variable: Attitude Towards Organic Food, *p < .05, **p. < .01, ***p < .001, N.S. = not significant.

(40) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA Table 5 Hierarchical Multiple Regression Analysis of Willingness to Pay Premium Price Model. Variables. β. 1. Gender Age Education Income. .069 .106 .032 -.022. N.S. N.S. N.S. N.S.. Gender Age Education Income Health-consciousness Environment-consciousness Trend-consciousness. -.031 .099 -.027 -.029 .447 .152 .020. N.S. N.S. N.S. N.S. *** * N.S.. Sig. (p). Adjusted R2 = -.002. 立. .028 .069 -.010 .065 .242 .081 -.065 .198 .294 .098 .308. io. n. Ch. engchi. y. Gender Age Education Income Health-consciousness Environment-consciousness Trend-consciousness Knowledge Claims Labels Subjective norms. al. -.024 .066 -.055 .102 .302 .078 -.045 .223 .380 .137. sit. ‧ 國. i n U. Nat. Gender Age Education Income Health-consciousness Environment-consciousness Trend-consciousness Knowledge Claims Labels. ‧. 3. 學. Adjusted R2 = .243. 政 治 大. er. 2. v. N.S. N.S. N.S. N.S. *** N.S. N.S. *** *** **. Adjusted R2 = .502 4. Adjusted R2 = .571. N.S. N.S. N.S. N.S. *** N.S. N.S. *** *** * ***. 33.

(41) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 5. Gender Age Education Income Health-consciousness Environment-consciousness Trend-consciousness Knowledge Claims Labels Subjective norms Organic attitude. -.026 .089 -.016 .062 .157 .061 -.071 .120 .227 .066 .267 .317. 34. N.S. N.S. N.S. N.S. ** N.S. N.S. * *** N.S. *** ***. Adjusted R2 = .625 Dependent variable: Willingness to Pay Premium Price, *p < .05, **p. < .01, ***p < .001, N.S. = not significant. 立. 政 治 大. ‧ 國. 學. Hypothesis 1: Influence of organic attitudes on willingness to pay premium price.. ‧. The hierarchical multiple regression test for H1 examines the influence of attitudes towards. Nat. sit. y. organic food on the willingness to pay premium price for it (See table 5). The predictor variable. n. al. er. io. was added to the analysis as the last step of the regression in order to see whether organic. i n U. v. attitudes can explain the willingness to pay premium price above and beyond other variables.. Ch. engchi. Model 5 shows the variable to be statistically significant after all other variables were incorporated into the regression, allowing in this way to control for the effects of any confounding or covariate variables. The regression table shows that organic attitudes are positively related to willingness to pay (β = .317, p <.001). This proves that consumers with more favorable attitudes towards organic food tend to be more willing to pay premium price for it. Therefore, we conclude that hypothesis 1 is supported..

(42) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 35. Influence of independent variables on attitude towards organic food. This stage of hierarchical multiple regression examines the influence of independent variables on attitudes towards organic food (See table 4). Variables are entered into the regression in 3 steps, taking into account the impact of all the sets of independent variables. Firstly, a set of demographic variables is entered into the regression, allowing us to control for their effects on the dependent variable. Psychological variables (health-, environment- and trend-consciousness) are added next and then thirdly, believes about the product (knowledge and trust in organic food claims) are also incorporated into the analysis.. 政 治 大 Hypothesis 2a, 3a and 4a:立 Influence of health-, environment- and trend-consciousness. ‧ 國. 學. on attitude towards organic food. The hierarchical multiple regression analysis indicates that H 2a is strongly supported. Model 3 shows that the health-consciousness variable stays highly. ‧. significant even after all of the other variables are incorporated and taken into account. This. Nat. sit. y. proves strong relationship between the health-concerns and organic attitudes. Hence, the more. n. al. er. io. concerned consumers are about their health the more positive attitudes they tend to hold towards organic food (β = .298, p<.001).. Ch. engchi. i n U. v. Hypotheses 3a & 4a were not supported in any of the models. Thus, neither environment-, nor trend-consciousness has a significant impact on organic food attitudes. Hypotheses 5a and 6a: Influence of knowledge and trust in organic food claims on attitude towards organic food. Regression examines the influence of believes about the organic food (knowledge and trust in organic food claims) on attitudes consumers hold towards organic food. Hypothesis 5a and hypothesis 6a are both strongly supported. 42 % of the variance in organic attitudes is explained by independent variables. In Model 3 after all variables are.

(43) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 36. incorporated into the regression controlling for ones in the first two blocks, we see that knowledge is still highly significant at predicting organic attitudes (β = .268, p<.001). Hence, it can be concluded that increased knowledge of organic food indeed results in more favorable attitudes toward organic food. The same can be said of the trust in organic food claims variable, which has found to be very significant predictor of organic attitudes according to Model 3 (β = .248, p<.001). Having controlled for the demographics and psychological sets of variables, trust in organic food claims. 政 治 大 we can state that the more consumers 立 trust in organic food claims the more positive attitudes they still shows high predictive capacity for predicting attitudes towards organic food. Consequently,. ‧ 國. 學. tend to hold towards it.. ‧. Influence of independent variables on willingness to pay premium price for organic food. Next stage of the hierarchical multiple regression examines influence of sets of. y. Nat. n. al. er. io. sit. independent variables on willingness to pay premium price for organic food (See table 5).. v. Variables are entered into the regression in 5 steps, taking into account the impact of all. Ch. engchi. i n U. the sets of independent variables. Following the same pattern as before, when predicting organic attitudes, a set of demographic variables is entered into the regression first, so that we can account for any effects it may have on the dependent variable. Psychological variables (health-, environment- and trend-consciousness) and believes about the product (knowledge, trust in organic food claims and trust in organic labels) are entered within the second and third steps respectfully. Next subjective norms variable is incorporated into the regression to see if it has any significant predictive capacity in predicting the willingness to pay above other variables. Finally, organic attitude variable is added to the analysis to test H1..

(44) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 37. Hypotheses 2b, 3b and 4b: Influence of health-, environment- and trend-consciousness on willingness to pay premium price for organic food products. Having all of the variables entered to the equation, Model 5 still shows a very significant correlation between health concerns and willingness to pay premium price for organic food. These results suggest that health-consciousness has strong explanatory power over dependent variable, providing support for hypothesis 2b (β = .157, p<.01). Environment-consciousness is only significant when first added to the regression in. 政 治 大 entered. Therefore, we fail to reject 立the null hypothesis and can conclude that environment-. model 2 (β = .152, p<.01). However, it quickly becomes insignificant after other variables are. ‧ 國. 學. consciousness has no significant impact on willingness to pay premium price.. ‧. Hypotheses 4b was not supported in any of the models indicating no significant correlation between the variables. Thus, we can conclude that trend-consciousness do not have. n. er. io. al. sit. y. Nat. any impact on willingness to pay premium price for organic food.. i n U. v. Hypotheses 5b, 6b and 7: Influence of knowledge of organic food, trust in organic. Ch. engchi. food claims and trust in organic labels on willingness to pay premium price for it. Next regression examines the influence of believes about the organic food (knowledge, trust in organic food claims and organic labels) on willingness to pay premium price for it. Hypothesis 5b and hypothesis 6b are both supported. In Model 5 after all the variables are entered into the regression controlling for their effects on the dependent variable, a significant correlation between the knowledge and willingness to pay still may be observed, providing the support for H5b (β = .120, p<.05). Hence, we can conclude that increased knowledge of organic food and willingness to pay premium price are positively related..

(45) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 38. According to model 5 trust in organic food claims has proved to be a highly significant predictor of willingness to pay premium price (β = .227, p<.001). The model indicates that trust in organic food claims allow us to predict willingness to pay above and beyond other variables, such as demographics and psychological variables. Thus, the more consumers trust in organic food claims the more positive attitudes they tend to hold towards it. Additionally, the relationship between trust in organic labels and willingness to pay premium price is highly significant in model 3(β = .137, p<.01) and it stays relatively significant. 政 治 大 after the last variable (organic attitudes) 立 is added to the equation. This indicates complete. in model 4 (β = .098, p<.05), however, losing its status and becoming insignificant in model 5. ‧ 國. 學. mediating effect of organic attitudes. Hence, H7 is only partly supported.. ‧. Hypothesis 8: Influence of subjective norms on willingness to pay premium price for organic food products. It has been found that subjective norms significantly affect willingness to. y. Nat. er. io. sit. pay premium price for organic food. According to model 5 subjective norms variable has very high predictive capacity at predicting willingness to pay (β = .267, p<.001). These results indicate. al. n. v i n C the that the greater the subjective norms are is willingness to pay. Therefore, hypothesis 8 h egreater ngchi U is strongly supported.. Influence of gender differences on dependent and independent variables. Amongst all of the demographic variables gender was the only one that showed any significant correlation with the organic attitudes. Model 3 shows high predictive capacity of gender in predicting organic attitudes (β = .156, p<.01). Gender, however, was not significant in predicting willingness to pay (see table 4 and 5)..

(46) THE STUDY OF THE FACTORS INFLUENCING ORGANIC FOOD PURCHASE IN RUSSIA. 39. The researcher conducted a t-test to compare the differences of gender on organic attitudes (see table 6). According to the table there is a significant difference in gender on organic attitudes. Table 6 T-test Results Comparing Gender Differences on Organic Attitudes N Male 71. Organic Attitudes ***p<.001. Female 160. Mean Male Female 3.39 3.9. t. Sig. (2-. - 4.75. tailed) ***. 政 治 大 Additionally, the researcher has conducted t-tests to compare gender difference on all of 立. ‧ 國. 學. the independent variables. The results of these tests indicate that there is a statistically significant difference in the mean scores for health-consciousness and organic food knowledge for males. ‧. and females (see table 7 and 8).. io. sit. y. Nat. Table 7. n. a lN. er. T-test Results Comparing Gender Differences on Health-consciousness. Health-consciousness **p<.01. Male 71. C hengchi Female 160. i n U. v. Mean Male Female 3.2 .3.68. t. Sig. (2-. - 3.44. tailed) **. Table 8 T-test Results Comparing Gender Differences on Organic Food Knowledge N Organic Knowledge **p<.01. Male 71. Female 160. Mean Male Female 3.63 4.26. t. Sig. (2-. - 2.93. tailed) **.

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