European Review of Agriculture Economics Vol 29 (1) (2002) pp.29-50
© 2002 Oxford University Press and the Foundation for the European Review of Agricultural Economics
Consumer response to a food safety incident: exploring the role of supplier differentiation in an experimental study
University of Giessen, Giessen, Germany
Summary
Differentiation between suppliers with respect to reliability is tested as a determinant of consumer response to a food scare in an experimental pilot study. The theory-based prediction that rising levels of differentiation increase the loss in consumer trust after a food scare is not supported by the data. Rather than the theoretically derived variables, three other variables are found to influence individual response to a food safety incident significantly. These are gender, personal experience with a food poisoning, and the subject's impression of the authenticity of the information provided in the experiment.
Keywords: consumer behaviour, risk perception, food safety, experimental economics, supplier differentiation