Organic and local food consumer behaviour: Alphabet Theory

Semi‐structured interviews are conducted to understand why consumers buy organic and/or local foods. The interview findings are consistent with existing theoretical frameworks for explaining environmentally significant behaviour: Value‐Belief‐Norm (VBN) theory and Attitude‐Behaviour‐Context (ABC) theory. Findings show that organic food shoppers in particular are motivated by values, beliefs and the creation of norms. However, the interviews indicate that knowledge (K), information seeking (IS) and habit (H) are also important in understanding why consumers choose organic and local foods. Incorporating demographics (D) as well, the resulting VBN‐ABC‐D‐K‐IS‐H or ‘Alphabet Theory’ is presented as a new framework to explain organic and local food purchase behaviour.     

Farmers' Market consumers: a Scottish perspective

Farmers' Markets in Scotland have gradually developed since 1999 as an alternative retail outlet for consumers. Throughout the UK, shoppers have become increasingly concerned about the quality and safety of their food and as a result seek healthier, locally grown organic and non‐organic produce. Thus, the growth of Farmers' Markets is directly related to consumer demand for fresh foods, direct from source, with the high quality of products being a primary reason for shopping. Farmers' Markets are not only seen as a place to buy ‘good food’ but also as a means to express consumer values associated with food choices. Scottish Government efforts to revitalize rural economies through local enterprise initiatives is evidenced by funding the initial establishment of the Scottish Association of Farmers' Market (SAFM), formed in 2000 by market organizers to further their development. The benefits of fresh local produce for Scottish consumers, the revival of a sense of community and the concept of ‘new consumption spaces’ tied to locality means the rural economy benefits from the increase in activity and profits through direct sales. This research investigates consumption habits at farmers' markets through the use of attitudinal theories along with food behaviours and motivations for purchasing. The results demonstrate that a positive attitude is important but the influence of others and barriers are not. Consumers are particularly motivated towards resource conservation and there are distinct differences in attitude between urban and rural shoppers. This research provides a unique insight into the attitudes that influence and motivate Farmers' Market consumers in Scotland.     

FDI and economic growth: the role of local financial markets

In this paper, we examine the various links among foreign direct investment (FDI), financial markets, and economic growth. We explore whether countries with better financial systems can exploit FDI more efficiently. Empirical analysis, using cross-country data between 1975 and 1995, shows that FDI alone plays an ambiguous role in contributing to economic growth. However, countries with well-developed financial markets gain significantly from FDI. The results are robust to different measures of financial market development, the inclusion of other determinants of economic growth, and consideration of endogeneity.     

Which little piggy goes to market? Characteristics of US farmers' market shoppers

The growth in farmers' markets in the US has raised questions about whether they are a niche market or appeal to a broader population. Using a simple, random sample of US food shoppers, this study uses a test of means to examine whether there are differences in characteristics between those who shop at farmers' markets and those who do not. A key finding was that there was no significant difference in the level of food expenditures between shoppers and non‐shoppers. In addition, a probit model was used to examine the marginal effects of attitudinal, behavioural and demographic variables on the probability of shopping at a farmers' market. The probability was significantly increased by the following: enjoyment and frequency of cooking, being female and the presence of another adult in the household. Income did not significantly influence the probability of shopping at a farmers' market. However, the probability of shopping at a farmers' market was significantly reduced if respondents perceived that cost was the most important characteristic of food. These characteristics imply limited appeal of farmers' markets currently to convenience‐oriented, single‐person, and single‐parent households.     

How to serve online consumers in rural markets: Evidence-based recommendations

Online shopping is growing significantly among rural consumers interested in overcoming product assortment limitations in their local markets. Retailers are taking notice, and some are looking for first-mover-advantage opportunities in rural areas where they see greater potential for growth when compared to saturated urban markets. However, expanding to these areas presents significant and unresolved challenges related to last mile fulfillment caused by low levels of population density as well as other socioeconomic and demographic characteristics. In this article, we present an integrated set of recommendations for online retailers to differentiate strategies to serve rural markets efficiently. To that end, we partnered with an online grocery retailer to examine differences between rural and urban consumers across online shopping preferences that significantly impact fulfillment costs. We draw on those differences and existing knowledge on last mile fulfillment operations to propose a tailored consumer value proposition and operational model for last mile fulfillment in rural markets.     

Challenges and opportunities of new retail horizons in emerging markets: The case of a rising coffee culture in China

Economic growth and a rising middle class consumer base make emerging markets an attractive prospect for many international businesses. Changing patterns of retail in these countries present opportunities for business expansion that many are keen to capitalize on, but also present challenges for reaching their ambitions. This article examines the growth of the coffee shop industry in China—considering its key dynamics and drivers—in order to address questions about successful retail expansion in emerging markets. We aim to explore how changing consumer cultures have contributed to a rapidly growing industry and what strategies businesses have used to enter the market and maintain growth, as well as considerations for potential retail success in the future.     

Differentiation strategies in emerging markets: The case of Latin American agribusinesses

This study furthers the research agenda on Porter's generic strategies by exploring their implementation by firms that suffer from under representation in the literature. It focuses on agribusinesses based in emerging markets that specialize in high value added products. Relying on information collected through interviews, and a survey with 66 agribusinesses based in eight countries of Latin America, it examines the factors that distinguish firms implementing a differentiation strategy (DS). The findings provide interesting insights for scholars and practitioners alike, illustrating the strategic initiatives that DS firms use to ensure they command higher than average prices.     

Critical consumer issues in St. Lucia: an examination of consumer challenges and related learning among rural adults according to income levels

Consumer education is a relatively new and growing interest in St. Lucia. Neither the government nor the National Consumer Association has established a consumer education programme to address the growing consumer concerns in the country. The purpose of this study was to examine critical consumer issues, related learning challenges and strategies among rural adults in St. Lucia according to income levels. Rural adult consumers are most disadvantaged in terms of levels of education, income and access to resources, which may help to prevent and mediate consumer concerns. The specific research questions examined were: (1) What is the nature of problems experienced by rural St. Lucian adult consumers in the marketplace? (2) How do rural St. Lucian adult consumers solve the challenges they encounter in the marketplace? (3) What is it like for rural St. Lucian adult consumers as they go about trying to learn to solve the consumer issues they face? and (4) What do rural St. Lucian adult consumers perceive to be the requisites for effective decision making in the marketplace? Data were collected using a questionnaire comprising of 29 questions divided into four sections (problems, strategies, solving consumer problems and making effective decisions) and two biographical questions. A total of 500 rural adult consumers were surveyed verbally through door‐to‐door contact. The findings of this study revealed that middle‐income rural adult consumers experience more problems in the marketplace than those with each lower or higher level of income. Middle‐income rural adult St. Lucian consumers in particular seek more information and are comfortable with using more strategies than the lower‐ and higher‐income rural adult consumers. This research gives us a better understanding of the problems faced by rural adult consumers based on their income. Research results will be useful to the government of St. Lucia and the National Consumer Association when they decide to establish an adult consumer education programme for St. Lucia.     

Ambiguous framings of political consumerism: means or end,product or process orientation?

For dealing with various societal problems, ‘political’/‘ethical’/‘responsible’ consumerism is often discussed as an effective democratic and participatory tool. However, political consumerism – along with its tools, such as product labelling – is often conceived and discussed in oversimplified ways. Instead, the tension between scientific complexity, knowledge uncertainty and a codified, standardized label involves extensive political strategy, interest conflicts and simplified framings of the consumers’ roles as political decision makers. The purpose of this paper is to analyse how criteria for organic food labelling have been simplified, or framed, within various versions of political consumerism in policy debates. The more general purpose is to examine variations of what consumerism may entail theoretically and practically. Examples are chosen of organic food labelling in the US. The analysis is based on framing theory. The first distinction is made between framings surrounding the extrinsic and intrinsic values of consumerism (i.e. consumer empowerment towards an external goal, or as an overriding principle of democracy). The second distinction is between product‐ and process‐oriented consumerism (i.e. consumer empowerment with regard to the purchased goods or concerning the ‘invisible’ production and disposal processes). These distinctions may facilitate critical examinations of criteria, processes and communication of consumer‐related policies.