Nutrition information in the market: food labelling as an aid to the consumer

This research was conducted in order to find out how consumers perceive and use the information given on food labels. It included two different studies: (i) a pilot study consisting of in-depth interviews with the help of an interview guide in 25 households, (ii) a consumer survey of personal interviews with a representative sample of the Norwegian population, 1050 persons over 15 years of age. The data showed that, even though the food labels were perceived as difficult to understand, there were nevertheless many consumers who made use of them. The typical pattern was occasional use; 46% read them very or rather often. The typical reader is a women between 30 and 59 years of age, and with a high education. Of all the substances listed on the food labels, most people looked for the additives (60%) and amount of fat (58%). Only 10% reported that they were very satisfied with the food labels as they appear today, whereas about 40% were rather satisfied. Suggestions from the respondents to make the food labels more satisfactory are discussed.     

A holonic framework to understand and apply information processes in evolutionary economics: survey and proposal

Economists unsatisfied with the basic neoclassical assumptions of rational economic actors and economic evolution towards equilibrium states founded the evolutionary economic approach. Their goal was to provide more realistic assumptions regarding economic agents and their institutional environments. The Modern Synthesis (MS), the current conceptual paradigm for biological evolution, was used as a source of inspiration for conceptual development. Along the biologically inspired line of thought, the Generalized Darwinism (GD) initiative relies on the abstraction of the MS to provide a unifying conceptual framework for evolutionary economics. Despite its merits, GD has been subject to criticism, particularly regarding its level of abstractness and lack of an explicit account of the social and cognitive processes that drive economic evolution. The goal of this article is to introduce and explore an alternative conceptual framework for evolutionary economics: the Holonic Framework (HF). Contrary to GD, the HF is not biologically inspired, but builds upon the body of literature on the value of digital information networks. We discuss the analytical strengths and limitations of the HF relative to GD in light of several aspects pertinent to evolutionary economics (e.g. self-organization, culture, cognition, cooperation). Finally, by referring to an operationalization of the HF using Eurostat data, we show its practical strengths in comparison to GD.     

Creation of consumer loyalty and trust in the retailer through store brands: The moderating effect of choice of store brand name

Within the current economic context, store brands play an important role in differentiation strategies based on assortment and positioning in terms of distributor prices. To begin with, this study identifies three determining aspects of retail loyalty and trust: satisfaction with price levels, the perceived image of the assortment and loyalty to the store brands (SB). Secondly, this study proposes a theoretical relational model among the aforementioned aspects. Finally, this study analyzes the moderating role that the strategy of choosing SB name (umbrella brand label vs. brands different from the label brand) plays in the relationship between loyalty to SB and loyalty to and trust in the retailer. By including this moderating variable, we seek to contribute to current academic research and to provide insights into the importance that SB strategy (label vs. own name) has for the effect of loyalty to SB on the relative results of the retail company. Our research results show that making the umbrella SB name the same as the label brand name increases the positive effect of customer loyalty to SB on loyalty to the retailer, but not the effect of trust on this loyalty compared to chains that use SB names different from those of the label. These results have important implications for management.     

Volunteering personal information on the internet: Effects of reputation, privacy notices, and rewards on online consumer behavior

Accurate personal information provision is one of the most important determinants of the commercial development of the Web. However, consumers are usually reluctant to provide personal information or tend to provide false information online because of their concern about privacy violation risks. We employ a 2× 2× 2 experimental design to examine the effects of reputation, privacy notices, and rewards on online consumer behavior in volunteering two types of personal information on the Internet: demographic information and personally identifiable information. We discuss the theoretical and practical implications of the findings.     

Putting one-to-one marketing to work: Personalization, customization, and choice

The tailoring of a firm’s marketing mix to the individual customer is the essence of one-to-one marketing. In this paper, we distinguish between two forms of one-to-one marketing: personalization and customization. Personalization occurs when the firm decides what marketing mix is suitable for the individual. It is usually based on previously collected customer data. Customization occurs when the customer proactively specifies one or more elements of his or her marketing mix. We summarize key challenges and knowledge gaps in understanding both firm and customer choices in one-to-one markets. We conclude with a summary of research opportunities.     

How e-WOM recommendations influence product consideration and quality of choice: A motivation to process information perspective

A laboratory experiment examines the effects of electronic word-of-mouth (e-WOM) on consumer consideration and choice of an experience product. Specifically, we manipulated the number of consumer recommendations and the optimality of the recommended product in a realistic online shopping environment. The results indicate that e-WOM is likely to result in more time considering the recommended product. For consumers more motivated to process information, e-WOM recommendations lead to more time spent on the choice task overall. Further, consumers with less motivation to process information make suboptimal decisions based on e-WOM recommendations. Consumers with a high motivation to process information are willing to accept recommendations and switch from declared attribute preferences, but choose only optimal products.     

'One brand,three ways to shop': situational variables and multichannel consumer behaviour

To counter the growth in online retailing, high street retailers are increasingly adopting multichannel distribution strategies, seeking to target individual consumers via both physical and electronic channels as multiple routes to purchase. In order to develop successful marketing strategies within this environment, however, an understanding of consumer selection between available purchase channels is clearly needed. This paper explores the issue of shopping mode selection from an environmental psychology perspective, applying a traditional Belkian analysis of situational variables in a longitudinal study of consumer channel selection decisions. Preliminary findings from an empirical study of consumers of a leading UK fashion retailer are reported which reveal significant differences in the prevalence of different Belkian variables between shopping modes, suggesting a major role for situational influence during the channel selection process.     

Changing production patterns,poverty, and the role of consumer unions: Some conceptual notes with reference to Latin America

The purpose of this paper, first presented in the seminar on poverty of the Thirteenth World Conference of The International Organization of Consumers Unions, is to introduce the work of the Economic Commission for Latin America and the Caribbean containing a proposal for changes in the development strategy of Latin America in the 1990's (ECLAC, 1990a). A centerpiece in this proposal concerns the possibility to combine economic growth with social equity. In the first part of the paper, the main concepts in ECLAC's outline of a new development strategy are presented. The second part focuses specifically on the relationship between growth and poverty reduction. In the last part some ideas are launched to discuss what this might imply for the role of Consumer Unions in the context of development.

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Sich ändernde Produktionsstrukturen, Armut und die Rolle von Verbrauchervereinigungen: einige Überlegungen im Hinblick auf Lateinamerika

Zusammenfassung Ziel des Beitrages, der erstmals anläßlich eines Seminars über Armut der 13. Weltkonferenz der Verbrauchervereinigungen vorgestellt wurde, ist es, über die Arbeit der wirtschaftlichen Kommission der Vereinten Nationen für Lateinamerika und die Karibik und ihre Vorschläge zur Veränderung der Entwicklungsstrategie für diese Region für die 90er Jahre zu informieren. Kernstück dieser Vorschläge ist die Verbindung von ökonomischem Wachstum mit sozialer Gleichheit.Im ersten Abschnitt des Beitrages werden die Hauptkonzepte, die die Kommission bei der Analyse der Gründe für die Entwicklungsprobleme in Lateinamerika verwendet, und die politischen Vorschläge an die Regierungen der Region behandelt. Der zweite Abschnitt untersucht die Beziehung zwischen wirtschaftlichem Wachstum und Armutsbekämpfung und stellt dabei die Fähigkeit des Einzelnen, sozial sinnvoll zu handeln, und deren Förderung in den Vordegrund. Der dritte Abschnitt äußert einige Vorstellungen dazu, welche Rolle den Verbrauchervereinigungen in dieser Entwicklung zukommt.

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Rudolf M. Buitelaar is Economic Affairs Officer at the United Nations Economic Commission for Latin America and the Caribbean, Casilla 179 D, Santiago, Chile.     

Appetizing learning in Swedish comprehensive schools: an attempt to employ food and tasting in a new form of experimental education

The word taste has several meanings: biopsychological, and cultural and social. Taste also influences food choice, though there is a widespread belief that tasty food is not synonymous with healthy eating patterns. In Sweden compulsory school daily meals are provided and Home Economics is a compulsory subject, while tasting lessons form an additional experimental form of education. The aim of this study has been to make a general evaluation of tasting lessons in four fifth‐year classes. The focus of the results is on pupils’ learning about, and interest in, food, and the opinions and reflections of teachers, catering staff and school heads. The participants were three professional focus groups comprising staff from four schools, and 48 pupils (eight groups with boys and girls in separate groups) from the same schools. Results showed that the children were prepared to be exposed to different foodstuffs, and the adults were prepared to be exposed to new educational methods. Two stages of children's learning have been described in connection with tasting: practice and experience, and verbalization and reflection.     

Liar,liar, my size is higher: How retailer context influences labeled size believability and consumer responses to vanity sizing

The present research applies anchoring theory to investigate the influence of retail environments on consumer responses to vanity sized garments. The findings reveal that responses to vanity sized garments in classic retail environments and department stores are diminished, because these retailer environments foster greater anticipation of accurately sized apparel. Meanwhile, disbelief in vanity sized garments is suspended in trendy and off-price retail environments, because anchoring effects set up expectations that vanity sizing may be more likely in these environments. The findings are supported by the mediating explanation of believability for classic and department store contexts but not for trendy and off-price environments. Implications, limitations, and future research directions are discussed.     

Purchases,food habits and waste management in households: exploring responses to local composting

This exploratory study focuses on processes of food purchases, food habits and waste management in the household. The purpose of the study has been to investigate what influences the amount and type of waste generated in the household. Information was collected in 13 households in a residential area close to central Göteborg, Sweden, where a separation of waste and local composting experiment had just been launched. The households registered purchases, meals served, and weight of biodegradable waste, for 2 weeks. In-depth interviews were also carried out. At a general level, environmental concern was found not to influence purchase behaviour. The results show that the households produced a higher level of biodegradable than non-biodegradable waste. Variations between families were found to be considerable. There are clear indications that the experience of participation in the experiment which required local composting per se was a very powerful determinant for increasing the awareness in families of the relationship between consumption and the nature and quantity of waste produced.     

Consumer responses to price discrimination: Discriminating bases, inequality status, and information disclosure timing influences

This study broadly explores consumers' perceived unfairness, negative emotions, internal reference price, and store choice under five common methods of price discrimination using two experimental studies. Study 1 investigates the interaction between discriminating bases and inequality status. Results reveal that discriminating bases only influence perceived unfairness for advantaged consumers, but affect all four responses for disadvantaged consumers. For disadvantaged consumers, direct discrimination that complies with social norms evokes the weakest unfavorable responses, whereas direct discrimination against social norms triggers the highest perception of unfairness and negative emotions but has similar effects on internal reference price and store choice to indirect discrimination. Study 2 examines the effect of information disclosure timing by comparing pre- and post-purchase disclosure policies. Results show that post-purchase disclosure of discrimination information elicits higher negative emotions for indirect discrimination involving coupon and purchase quantity, but is rather inconsequential for direct discrimination or indirect discrimination through membership.     

Some people just want to read: The roles of age,interactivity, and perceived usefulness of print in the consumption of digital information products

With the advent of digital technologies, both academic researchers and marketing practitioners alike continually seek a richer understanding of the way information is produced and consumed. Against this backdrop, this study explores the relationship between interactivity, consumer satisfaction and adoption intention in the context of digital information products. Drawing broadly on the services marketing literature, interactivity literature and diffusion theory, the results of our study suggest that in a utilitarian context, consumers are more likely to adopt interactive books than more traditional static e-books. However, satisfaction with interactivity is moderated by the age of the consumer, with older “digital immigrant” participants more satisfied by static e-books and younger “digital native” participants more satisfied by interactive e-books. Also, the less useful consumers find print products, the more likely they will be to adopt interactive digital books, and this effect is also moderated by the age of the consumer. Finally, with the proliferation of digital devices only expected to continue, these findings have important implications for both product development and marketing communication programs.     

Mutuality as a control for information asymmetry: A historical analysis of the claims experience of mutual and stock fire insurance companies in Sweden, 1889 to 1939

We test two competing arguments regarding the influence of organisational form on underwriting performance using data from the Swedish fire insurance industry for the years 1889 to 1939 – a period of both economic growth and stagnation. Since mutuality is a response to information asymmetry problems, mutual insurers are expected to report lower annual claims relative to premiums than stock insurance companies. However, an alternative view is that stock insurers seek to reduce information asymmetry problems by issuing non-participatory rights insurance contracts with high deductibles that induce risk-sharing between the insurer's shareholders and policyholders. This implies that stock insurers are likely to report lower annual claims than mutual insurers. Our results show that organisational form is an important determinant of the claims experience of Swedish fire insurers, suggesting that mutuality acts as an effective control for information asymmetries in the market.