Consumer Willingness To Pay For Chicken With Traceability Information Label

Chicken as an original food in our life attracted a new attention on Food Safety after a scandal over tainted chicken at the end of2012. Meanwhile, establishing the traceability information label system of food quality and safety in the whole society was issued in18th CPC National Congress which pushed the traceability information label to reappear in the public. Wuhan as a capital city of Hubei province was not in the experimental point list of traceable label in2000. Corporations and consumers are both not familiar with traceability information system and traceability information label. As a new thing in our country, there are many issues need government and corporations focus on when it is going on. One of the most important points which government and company should face to in implementing the policy is the study of consumer’s willingness to pay on traceable foods. Deep study of consumer’s willingness to pay on chicken with traceable labels is great helpful for the establishing of policy in government and the improvement in related corporations.Based on the sample of Wuhan citizen, analyzed their consumer behavior and related factors which will impact their WTP on chicken with traceability information label by logistic model. The study focus on statistic analysis of consumer’s behavior and which related factors will impact the consumer’s willingness to pay on chicken with traceability information labels. The whole paper contains three parts:First part:chapter1and chapter2. Mainly introduce the important meaning of information traceable system and labels in foods safety. By literature review, summarize which theories and index will be used when analyze consumer’s willingness to pay. After literature review, we set up the study ideas, study ways and content of this paper. Detailed introduce the theory foundation of this study which including theories both model establishing and analysis.Second part:chapter2and3. Getting sample dates by questionnaire based on contingent valuation method. Descriptive analyze the situation of chicken market and consumer’s attitude on the traceability information labels in Wuhan city. According to the analysis result, chicken market in Wuhan is concentrated and regular。Consumers here are not familiar with traceable labels, and they do not trust the traceable labels, meanwhile, they don’t trust the professional ethics. Consumers think establishing an information traceable system is a part of social warfare and a public product which should be undertook by government and corporations. Via logistic regression analysis, finding related factors which impact consumers’WTP on chicken with traceable labels and analyzing the factors. WTP on traceable labeled chicken is significantly related to gender. family population, trust on labeled chicken and price tolerance of traceability information labels. The trust on traceability information label and gender play the most important decisive role on consumer’s WTP.Third part:chapter5. Summarize the whole paper and provide some suggestions. Based on the analysis on related factors, summed up how the consumers do and thinking when they are facing the chicken with traceability information labels. Focus on the features, suggest government and corporations how to establish a trusted image to consumer and they also need to disseminate information traceable system more widely. Both government and corporations should set up an information traceable system as soon as possible and promote information traceability labels to ensure the security of foods for consumers.