Objective: The objective of the study is to learn how the customer’s willingness pay after a price increase differs given different product conditions. Specifically, how it differs between high and low involvement products and hedonic and utilitarian products. The objective is also to understand what value drivers it is that affect the customers willingness to pay after a price increase. Methodology approach: An online survey was distributed through social media. The research study was conducted using multiple linear regression and one-way ANOVA using data from 270 participants. Research limitation: The survey used in the study uses scales that have been revised. This means that other important value dimensions that were a part of the original scales have been neglected. Results/conclusion: No significant difference was found between the different product groups. The variables; product quality, service quality were both found to have a positive impact on the outcome variable customer’s willingness to pay after a price increase. The variable transaction cost had on the other hand a negative impact on the outcome variable. Future recommendations: The results of the study indicate that lowering the transaction cost can increase customer’s willingness to pay after a price increase. It also indicates that increasing the product quality and service quality can increase the customer’s willingness to pay after a price increase. Previous research has showed the significant profitability firms can make when they adapt to value-based pricing. Therefore, further studies to investigate the customer’s willingness to pay after a price increase may be of interest.

The research utilizes a Discrete Choice Experiment to assess consumer preferences and determine blockchain-based food traceability's relative importance and utility in the food purchasing process. The study specifically tests five selected attributes of olive oil, including price, organic label, olive oil type, country of origin, and blockchain traceability. Additionally, a survey is conducted to evaluate Swedish consumers' knowledge levels concerning blockchain technology and its application in the food system to improve transparency. The study also explores consumer evaluations of safety and sustainability information and their willingness to pay price premiums for food products verified for safety and environmental claims. The findings indicate that while Swedish consumers possess moderate knowledge of blockchain technology, their understanding of its specific application in food traceability is limited. Nevertheless, consumers highly value access to accurate information about the safety and sustainability of their food purchases. A considerable portion of respondents express a willingness to pay a premium for products verified for safety, authenticity, and sustainability. The choice experiment results reveal that blockchain-based food traceability ranks lower in relative importance than the price and organic label but higher than olive oil type and country of origin. The findings of this study contribute to bridging the existing gap in the understanding of blockchain-based food traceability technology among Swedish consumers.

<p>Drawing from research on the halo effect and protected values, consumers’ adoption intentions and willingness to pay a premium for renewable energy were explored. A moderated mediation was tested through two-instance repeated-measures linear regressions in a behavioral experiment with an Amazon MTurk sample. Besides, non-parametric tests were also used to test moderations of protected values and consumers’ demographics. In line with the expected halo effect, the effects of the renewability of the energy sources on consumers’ adoption intentions were mediated through consumers’ perceived comfort. These mediation effects were stronger among consumers with high protected values compared to those with low protected values. The non-parametric tests revealed that people with protected values were also found reluctant to pay a premium price for fossil fuels. Future directions to study the relationship between the renewability of energy sources and consumers’ willingness to pay a premium considering consumers’ demographics are also discussed </p>

<p>The overarching theme of this research is about environmental microplastic pollution, and how much various entities are willing to sacrifice economically to obtain a cleaner environment. To gauge such willingness, this research utilizes various economic measures that have been widely used, albeit with novel modifications. The focus of this research is on stated preferences about microplastic pollution. The topic of microplastics is still very novel, and market players on the demand side or on the supply side have yet to provide products that deal with this new pollutant. This lack has necessitated the need for stated preference research. This research delves into this novel environmental problem from various viewpoints.</p> <p> Chapter 1 of this research is about how much the US adult population is willing to sacrifice to obtain an environment that is less impacted by microplastic pollution. The results show that US adults in general possess a willingness to obtain an environment free from microplastics. However, a sizable minority of US adults do not show such willingness as well. Such results remained true even when information about microplastic pollution were provided to all respondents before preference elicitation. </p> <p> Chapter 2 investigates how much consumers in different countries will diverge about their willingness to pay for seafood that has less microplastic contamination. The countries chosen differed widely in their seafood consumption habits. Thus, it was hypothesized that such differences will lead to contrasts in their willingness to pay for less contaminated seafood. The hypothesis was found to be true but not in the way that was expected. The results show that frequent consumers of seafood had less willingness to pay when compared to others, although in whole all consumers showed willingness to avoid microplastics in their seafood. </p> <p> Chapter 3 makes use of the same data as Chapter 2 but looks at possible reasons for the disparity in responses besides factors explored in Chapter 2. Chapter 3 focuses on the cultural differences to explain the differences in behavior. To do so, it utilizes the Value-Belief-Norm theory widely employed in past research but modifies it to account for a form of hypothetical bias. The research delves into the relationships between many factors of interest that affect environmentally friendly consumption behavior and the findings show that a certain cultural tendency is central to such behavior, at least for microplastics. </p> <p> The research has done its best to research into the economic relationship between microplastic contamination of the environment and how much various individuals are willing to sacrifice to obtain an environment that is less impacted by such pollution. The findings here show that there is room for improvement in the way the microplastic pollution problem is being handled. However, in all settings the results show that a sizable majority want to be less impacted by microplastic pollution, a key takeaway for all interested parties.</p>

<p>Chapter 1: Currently there is no hunting or trapping season on bobcats in Indiana. While a season is being considered by wildlife administrators, there is no basis for establishing a price or understanding potential demand for this species. We use contingent valuation to estimate furbearer hunter and trapper willingness-to-pay (WTP) for a hypothetical bobcat harvest permit in Indiana, USA. Using a mail survey of 2000 randomly selected Indiana registered hunters and trappers, we presented respondents with a description of a hypothetical harvest season, including season dates, equipment restrictions, check-in procedures, counties open for the legal harvest, bag limit (the number of animals that can be legally harvested per individual), and statewide quota (the number of animals that can be legally harvested in aggregate). Following the description, respondents were asked a single-bounded dichotomous choice question about purchasing the proposed permit. By applying the Turnbull estimation method to our collected data, we estimate mean WTP of $21.73 for the proposed permit. Our estimates are sensitive to scope effects, which may be linked to perceived congestion: if hunters believe the bag limit may not be filled, WTP may actually decrease with the bag limit due to perceived congestion, necessitating the simultaneous examination of the bag limit and statewide quota.</p> <p><br></p> <p>Chapter 2: One Health initiatives employed by the Centers for Disease Control and Prevention place emphasis on the interconnectedness of animals, people, plants, and the environment. As new disease threats emerge, the interactions of humans and animals with their environments becomes increasingly important. Deer represent a large, prolific, and suitable host for several diseases that are potentially threatening in the One Health context. Previous works have studied deer-related diseases, such as Bovine tuberculosis and Lyme Disease, and examined risks of transmission in households of varying compositions, such as with and without pets or children. However, research quantifying public perceptions of deer and their role(s) in modern society is lacking. Our research applies social media listening to study perceptions of deer among the general U.S. population through volume (number of mentions) and assessment of tone, in terms of positivity versus negativity (analyzed as online media net sentiment). We study media about five prominent deer-related diseases from January 2018 through December 2021 and demonstrate that while aggregate mentions of the deer diseases we study compose a small proportion of total mentions for deer, net sentiment surrounding outbreaks reflects the seriousness of the health consequences these present. Additionally, we explain fluctuations in deer-disease mentions and net sentiment through real-world events, and demonstrate seasonality in mentions and net sentiment for some diseases of interest. Better understanding of public perceptions of the roles of wildlife, particularly deer who are generally perceived as non-threatening wildlife, is particularly important in today’s One Health context.</p> <p><br></p> <p>Chapter 3: The presence of deer in shared environments with humans may result in both positive and negative affinity towards deer. While literature shows deer-related damages to humans and their property, literature also suggests that deer are a way for humans to connect with nature. Managing deer populations is vital to balancing the positive and negative impacts of deer. Currently, hunting is the most cost-effective way to manage deer populations. We are interested in how hunting impacts the affinity for deer, in addition to how the COVID-19 pandemic plays a role in the perception of deer. Online media posts were analyzed using a social media listening platform, NetBase, for the time period of January 1, 2018 to December 31, 2021. Volume of mentions and affinity via net sentiment were collected at the state level on a weekly basis, and the national level on a daily basis. We utilize an OLS regression with dummies for deer hunting season and COVID at the state level to determine the impacts of hunting seasons and the pandemic on net sentiment. We find that deer hunting being open negatively impacts net sentiment of deer. We utilize Pearson correlations to study the impact of deer management via OTC deer hunting privilege issuance in relation to affinity for deer. We find that OTC privilege issuance is positively correlated with affinity for deer in some states, but the impact on affinity may diminish over time.</p>

<p>Wildlife species generate value through their consumptive and non-consumptive uses. Consumptive uses of these species include hunting and trapping, while wildlife watching is an example of a non-consumptive use. Understanding the value of various wildlife is imperative for public agencies’ management decisions regarding different wildlife areas (e.g., nature preserves, state forests/parks, reservoirs, county/city parks). Individuals’ values for wildlife interactions on public lands can depend on the context in which these interactions occur as well as the probability of an interaction occurring. We utilize a stated preference choice experiment to estimate Indiana residents’ willingness to pay (WTP) for a marginal increase in the chance of seeing white-tailed deer and five furbearing species (bobcat, coyote, river otter, raccoon, red fox) while engaging in their favorite activities at Indiana recreational areas. Our WTP estimates are analogous to value of statistical life (VSL) calculations, and hence we refer to them as the “value of a statistical species” (VSS). We find that the VSS of a bobcat ranges from $22.73 to $41.30, the VSS of a coyote ranges from -$1.94 to $9.74, the VSS of a raccoon ranges from $5.25 to $21.69, the VSS of a red fox ranges from $43.31 to $62.52, the VSS of a white-tailed deer ranges from $22.70 to $27.00, and the VSS of a river otter ranges from $23.18 to $45.98. Our analysis suggests that individuals’ values for wildlife depend on the activity they are undertaking when they see the wildlife.  </p>

Titel: Konsumenters uppfattningar som påverkar köpbeslut av lokalproducerad mat Författare: Kim Andersson och Klara Dandic Handledare: Jasenko Flodin Arsenovic Syfte: Syftet med denna undersökning är att analysera de faktorer som styr konsumenternas beslut vid köp av lokalt producerade livsmedel genom att analysera förhållandet mellan konsumenternas uppfattningar om skepticism, kvalitet, välbefinnande i förhållande till betalningsvilja. Metod: Denna studie har en kvantitativ forskningsstrategi tillsammans med en deduktiv ansats. Data samlades in från svenska och kroatiska konsumenter från fyra undersökningar (n = 405 deltagare), där kroatiska och svenska konsumenter slumpmässigt gavs en scenariobaserad undersökning om lokalt eller icke-lokalt producerad mat. Slutsats: De erhållna forskningsresultaten visade att det inte fanns någon förstärkt effekt av demografiska faktorer på förhållandet mellan matens ursprung och betalningsvilja, med undantag för utbildningsnivån, som hade en signifikant men liten effekt. Forskningen visade också att konsumenterna uppfattar lokalt producerade livsmedel som mer högkvalitativa och att de upplever att de ökar det subjektiva välbefinnandet. Det påpekades att kvalitet förmedlar förhållandet mellan matens ursprung och välbefinnande. Skepticism visade sig vara en direkt faktor som påverkar konsumenternas betalningsvilja, och dessutom fastställdes att skepticism bland kroater och svenskar är diametralt olika, där kroater visade sig vara mycket skeptiska och svenskar mindre skeptiska, vilket gav rätt att betrakta skepticism som representativ för geografisk tillhörighet. Mindre skeptiska respondenter upplevde högre kvalitet och välbefinnande jämfört med mer skeptiska respondenter. Både kvalitet och välbefinnande förmedlade sambandet mellan skepticism och betalningsvilja, där mindre skeptiska respondenter var villiga att betala mer än mer skeptiska respondenter. Det är viktigt att påpeka att lokalproducerad mat inte har någon effekt på uppfattningen om skepticism, men att skepticism är en viktig förutsägelse när det gäller viljan att betala för lokalproducerad mat. Nyckelord: Lokalproducerad mat, Skepticism, Kvalitet, Välmående, Betalningsvilja / Title: Consumers' perceptions that influence purchase decisions of locally produced food Authors: Kim Andersson och Klara Dandic Supervisor: Jasenko Flodin Arsenovic Purpose: The aim of this study is to analyse the factors that control consumers' decisions when buying locally produced food by analysing the relationship between consumers' perceptions of scepticism, quality, well-being in relation to willingness to pay. Method: This study has a quantitative research strategy together with a deductive approach. Data were collected from Swedish and Croatian consumers from four surveys (n = 405 participants), where Croatian and Swedish consumers were randomly given a scenario-based survey about locally or non-locally produced food. Conclusion: The obtained research results showed that there was no enhanced effect of demographic factors on the relationship between food origin and willingness to pay, apart from the level of education, which had a significant but small effect. The research also showed that consumers perceive locally produced food as being of higher quality and that they perceive it as increasing subjective well-being. It was noted that quality mediates the relationship between food origin and well-being. Scepticism was found to be a direct factor influencing the consumer's willingness to pay, and furthermore, it was established that scepticism among Croatians and Swedes is diametrically different, with Croatians found to be highly sceptical and Swedes less sceptical, justifying considering scepticism as representative of geographical affiliation. Less sceptical respondents experienced higher quality and well-being compared to more sceptical respondents. Both quality and well-being mediated the relationship between scepticism and willingness to pay, with less sceptical respondents willing to pay more than more sceptical respondents. It is important to note that locally produced food has no effect on perceptions of scepticism, but that scepticism is an important predictor of willingness to pay for locally produced food. Keywords: Local food, Scepticism, Quality, Well-being, Willingness to pay

Product labeling is increasingly used as a tool to differentiate products with public and private benefits that cannot be readily evaluated by a consumer at the time of purchase. Our research investigates how a labeling program may be applied in the sale of ornamental plants to address two key issues; plant disease and irrigation water use. A choice modeling survey was utilized to estimate consumers' willingness to pay a premium for six ornamental plants with disease-free and/or water conservation certification labels. The results of the mixed logit models show consumers are willing to pay a premium for plants certified as disease-free and/or produced with water conservation practices. The results strongly suggest producers can recoup some of the costs of implementing water conservation measures such as water recycling and disease control measures amid regulatory and drought concerns. Our research also investigated consumers' preferences for multiple third party certifying authorities and whether preferences for the labels varied among consumers. The results showed ornamental plant consumers did not reveal a preference for a particular certifying authority. The results are mixed as to whether willingness to pay for the labels varies among respondents. We show willingness to pay does vary among respondents for three of the plant models indicating preference heterogeneity. / Master of Science

This study is one of the first of its kind to examine actual consumer purchasing decisions for forest products certified by the Forest Stewardship Council (FSC). Consumer purchasing was examined based on the presence or absence of a promotional brochure and a price premium for red oak and yellow poplar surfaced-four-sides (S4S) boards. This research also compared typical demographic factors for purchasers and non-purchasers of FSC certified S4S boards. Finally, the study examined subscales from a previously designed ecoscale to determine whether two of the subscales were effective predictors of the sale of FSC certified boards. Due to significant interactions between the price premium and the promotional brochure, Analysis of Variance (ANOVA) statistics could not be interpreted. However, these strong interactions indicate that these two factors are interdependent. Examining respondents' understanding of the trade term, "certification," showed that most did not understand the term as it is used by the forest products industry. Respondents did not link certification directly with the environment, but rather stated that it was a measure of quality excellence. This illustrates that the forest products industry must use more specific descriptions that consumers will understand when referring to certification. Based on survey results from this study, a large proportion of respondents who paid more for FSC certified boards were unable to recall whether they had cost any more than the alternative product. Respondents of this study were not found to have a high level of confidence in the environmental claims of any group. These included forest products companies, industry associations, and independent organizations. The subscales of a previously designed ecoscale were not found to be strong indicators of a respondents' likelihood to purchase FSC certified S4S boards. This project should be seen as a starting point for additional researchers interested in studying actual purchase decisions of consumers of environmentally conscious products, such as certified hardwood boards. / Master of Science

<p> </p> <p>This dissertation consists of three essays that examine the response of small businesses to disruptions in their environment. The first two essays focused on small non-farm businesses in the United States and how they deal with natural disasters. The last essay examined smallholder farm households in Malawi, and how their household labor allocation decisions are affected by land allocation to estates in their communities. The individual essays are summarized as follows:</p> <p>Essay 1: <em>A Conditional Process Approach to Understanding the Role of Adjustment Strategies and Disaster Experience in Racial Disparities in Small Business Performance. </em>Considering that most minority owned businesses have limited access to formal systems, this essay explored how race could indirectly affect business performance (measured as percentage revenue growth) through the adoption of three informal strategies: customer base expansion, supplier base expansion and family adjustment strategies. It also explored whether these indirect effects are moderated by experience with natural disaster. The results showed that being a racial minority was positively associated with revenue growth such that on average, minority business owners experienced 29% higher revenue growth than white-owned businesses (p<0.05) on business performance. It also showed a modest indirect effect of race on revenue growth through each mediating strategy (p<0.5). However, the results did not support a moderating role for disaster experience. </p> <p>Essay 2: <em>Willingness to Pay for Comprehensive Cyclone Insurance Coverage by Small Business Owners: Evidence from the Coastal States of the United States</em>. Small businesses in the coastal United States are usually uninsured or underinsured for cyclone events. The underinsuring of these businesses could be a result of limited insurance coverage as well as individual characteristics of small business owners. Using a discrete choice experiment, this essay used a hypothetical comprehensive cyclone insurance to understand what insurance attributes are important to small business owners. It also examined the role of previous disaster experience, charity hazard as well as temporal orientation on the willingness to pay for the disaster insurance. This study used a discrete choice experiment to elicit insurance preferences from small coastal businesses which employed less than 100 employees. A mixed logit model was used to analyze the data. The results showed that business owners exhibited positive marginal utilities from policies that covered flood, windstorm, and business interruption regardless of the combination. Notably, the mixed logit model showed that on average, business owners were willing to pay up to 450%, 472%, and 482% more than their total monthly business insurance premium payment for insurance that covers flood and business interruption, windstorm and business interruption, and flood, windstorm and business interruption respectively. Ordinary Least Squares (OLS) regression showed that respondents who had previously experienced cyclones were more willing to pay for the presented insurance policies than those who have not. Future orientation was also found to be positively associated with the marginal willingness to pay for the insurance policies.</p> <p>Essay 3: <em>Estates and Small-Holder Agricultural Labor Dynamics in Sub-Saharan Africa:</em> <em>A Case Study of Malawi. </em>Estates are larger than the average farm holdings, which mostly grow one crop, require large capital investment, are centrally managed and rely a lot on hired labor. With such large investments in agricultural land, the labor decisions of smallholder households in Africa will likely be altered. This essay therefore examined the role of estate farms on smallholders’ allocation of labor between on-farm, and off-farm demand and supply of casual labor using the <em>ganyu</em> system of Malawi as a case-study. Using the Malawi Integrated Household Panel survey covering the years 2010, 2013, 2016, and 2019, we estimated the effect of estates on the participation of smallholders on these labor decisions as well as the number of days spent in each activity. We also investigated the effect of these estates on community agricultural labor (<em>ganyu) </em>wage rates and the share of income accruable to ganyu and crop production. Linear probability (LPM), as well as tobit-correlated random effects (CRE) regressions were used to test these effects. Both models showed that the share of estates had a negative correlation with <em>ganyu </em>demand. The Tobit CRE regression showed that on average a 1% increase in the percentage share of agricultural land occupied by estates was associated with a modest 0.04% (p<0.01) decrease in the number of days <em>ganyu </em>labor was demanded, and a 0.02% increase in the number of days household members spent on their own farms. Further results showed that households in communities with higher shares of estates participated in less non-crop farming activities especially wage employment. We also found that the negative relationship between estates and <em>ganyu </em>demand was accentuated among households with higher levels of assets, and farm income. Finally, we found a modest negative relationship between share of estates and community <em>ganyu </em>wage rates </p>