Determinants of willingness to pay towards malaysian organic food

Siddique Ahmed, Chamhuri Siwar, A. S.A. Ferdous Alam, Basri Abdul Talib, Norshamliza Chamhuri, Nor Diana Mohd Idris

Research output: Contribution to journalArticle

Abstract

Organic food market is very challenging in Malaysia. As the growth of this sector is consumer driven, a huge amount of studies conducted worldwide about consumer behavior towards organic food. The objective of this article is to investigate into the factors of consumers’ purchase decisions regarding organic food in Malaysia. Research dealing with various aspects of WTP and Actual Purchase were reviewed and an initial conceptual framework has been developed to carry out research objectives. Data have been collected from Federal Territory and Selangor State of Malaysia. Structural Equation Modeling was employed to measure factors and test the research hypotheses. Results shows that about 58% of the variances of WTP for organic food can be explained by health concern, affordability, subjective norms and convenience and WTP has a significant impact on Actual Purchase. Perception has no impact on individual’s willingness-to-pay for organic food. Based on these empirical findings a model for WTP and Actual Purchase has been proposed for organic food.

Original languageEnglish
Pages (from-to)1086-1090
Number of pages5
JournalInternational Journal of Recent Technology and Engineering
Volume7
Issue number6
Publication statusPublished - 1 Apr 2019

Fingerprint

Consumer behavior
Willingness-to-pay
Organic food
Health
Purchase
Malaysia
Factors
Purchase decision
Consumer behaviour
Subjective norm
Structural equation modeling
Affordability
Food markets
Conceptual framework

Keywords

  • Malaysia
  • Organic Vegetables and Fruits
  • Structural Equation Modelling (SEM)
  • Willingness-to-pay (WTP)

ASJC Scopus subject areas

  • Engineering(all)
  • Management of Technology and Innovation

Cite this

Determinants of willingness to pay towards malaysian organic food. / Ahmed, Siddique; Siwar, Chamhuri; Ferdous Alam, A. S.A.; Abdul Talib, Basri; Chamhuri, Norshamliza; Idris, Nor Diana Mohd.

In: International Journal of Recent Technology and Engineering, Vol. 7, No. 6, 01.04.2019, p. 1086-1090.

Research output: Contribution to journalArticle

Ahmed, Siddique ; Siwar, Chamhuri ; Ferdous Alam, A. S.A. ; Abdul Talib, Basri ; Chamhuri, Norshamliza ; Idris, Nor Diana Mohd. / Determinants of willingness to pay towards malaysian organic food. In: International Journal of Recent Technology and Engineering. 2019 ; Vol. 7, No. 6. pp. 1086-1090.
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