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When Consumers and Products Come From the Same Place: Preferences and WTP for Geographical Indication Differ Across Regional Identity Groups

Lookup NU author(s): Dr Luca Panzone

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This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License (CC BY-NC-ND).

Abstract

Abstract This article contributes to the existing literature on geographical indications by observing consumers’ stated preference for extra-virgin olive oil in two groups differing in their regional identity. In particular, consumers from two groups were asked to rank products in a contingent ranking survey. One group (insiders, Sicilian consumers) shared origin with a good (Sicilian oil); the other group (outsiders Rome and Milan) presented no association consumers-product. Results indicate that insiders are willing to pay more for goods originating from the region they identify with compared to outsiders. Identity seems to give a bias by which a local product is not necessarily perceived as superior in absolute terms, but in relative terms: outside products are never considered better than inside options, but are either inferior or equal in perceived value.

Publication metadata

Author(s): Panzone L, DiVita G, Borla S, DAmico M

Publication type: Article

Publication status: Published

Journal: Journal of International Food & Agribusiness Marketing

Year: 2016

Volume: 28

Issue: 3

Pages: 286-313

Online publication date: 11/05/2016

Acceptance date: 29/01/2016

Date deposited: 04/03/2016

ISSN (print): 0897-4438

ISSN (electronic): 1528-6983

Publisher: Routledge

URL: http://dx.doi.org/10.1080/08974438.2016.1145611

DOI: 10.1080/08974438.2016.1145611

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