2018•Asian Journal of Multidimensional ResearchRequires access

Factors affecting customers’ willingness to purchase organic food in India: A logistic regression model

Sama Vijaya Lakshmi, Samala Nagaraj

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Abstract

Concern for health, environment and food safety is increasing demand for chemical free, ecofriendly green products such as organic food across the globe. Indian is one such nation with potential market for organic food. Customers though are willing to pay, exhibit various reasons for purchase and non-purchase of organic food. The present study is focused in highlighting those reasons and analyzes the effect of various factor on customer's willingness-to-pay. A sample of 418 responses has been tested using a logistic regression model. It is observed that health, safety, environmental concern, price of the product along with income and trust affect the purchase decision. Interesting results related to income and convenience to purchase along with remarks to marketers is highlighted in this study.

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What this paper is about

Concern for health, environment and food safety is increasing demand for chemical free, ecofriendly green products such as organic food across the globe. Indian is one such nation with potential market for organic food. Customers though are willing to pay, exhibit various reasons for purchase and non-purchase of organic food. The present study is focused in highlighting those reasons and analyzes the effect of various factor on customer's willingness-to-pay. A sample of 418 responses has been tested using a logistic regression model. It is observed that health, safety, environmental concern, price of the product along with income and trust affect the purchase decision. Interesting results related to income and convenience to purchase along with remarks to marketers is highlighted in this study.

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Available abstract

Concern for health, environment and food safety is increasing demand for chemical free, ecofriendly green products such as organic food across the globe. Indian is one such nation with potential market for organic food. Customers though are willing to pay, exhibit various reasons for purchase and non-purchase of organic food. The present study is focused in highlighting those reasons and analyzes the effect of various factor on customer's willingness-to-pay. A sample of 418 responses has been tested using a logistic regression model. It is observed that health, safety, environmental concern, price of the product along with income and trust affect the purchase decision. Interesting results related to income and convenience to purchase along with remarks to marketers is highlighted in this study.

Key concepts: Logistic regression, Willingness to pay, Product (mathematics), Marketing, Business, Globe, Sample (material), Affect (linguistics)

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