INTRODUCTION
Background
Vietnam's climate supports year-round vegetable cultivation, but excessive focus on productivity has led farmers to misuse fertilizers and pesticides A report by Mr Nguyen Xuan Hong, Director General of the Plant Protection Department, reveals that 80% of plant protection chemicals are misapplied, with farmers able to cut usage by 50% without impacting yields (MARD, 2014) This overuse not only contributes to environmental pollution and financial waste but also poses serious health risks, including food poisoning and diseases like cancer and kidney dysfunction Consequently, ensuring the safety of vegetables has become a critical issue in Vietnam, aligning with the Foot Safety National Strategic Programme's goal of having 30% of farms implement VietGAP standards by 2015 (MOF, 2011).
Vegetables are considered as safe when the nitrate and heavy metals, pesticide, and microbial contamination levels are below the standard level which is issued by the MARD
The term "Organic Vegetable" has become increasingly common, referring to vegetables cultivated and processed without synthetic materials, including chemical pesticides, synthetic fertilizers, or growth stimulants (FAO, 1999) This growing awareness has led to a surge in investment in the organic food sector, with companies like An Hòa Co., Organic Farm, Golden Garden, Nông nghiệp GAP, Ánh Ban Mai, Homefood, Mr Sạch, Tràng An, and Bác Tôm actively participating in the market.
According to Ms Regina Loo, the Marketing Director at Big C Vietnam, the growing demand for organic foods is driven by heightened awareness of health, food safety, and environmental issues, alongside rising per capita income in Vietnam This trend reflects a significant shift towards healthier eating habits among consumers.
6 households who choose organic vegetables for their meals They are willing to pay a premium for organic vegetables.
Problem statement
Despite the growing demand for organic vegetables, a promising market is not guaranteed due to several challenges One significant drawback is the high price of organic produce For instance, data from the State Management Information of Price and Valuation in February 2014 indicates that cabbage in traditional markets was priced at approximately 12,000-15,000 VND per kilogram, while organic cabbage ranged from 25,000-30,000 VND per kilogram, making it nearly twice as expensive This price disparity raises concerns among consumers regarding the actual safety and quality of the more expensive organic options.
The high cultivation costs and limited availability of organic vegetables restrict supply, making it difficult for customers to purchase their preferred products conveniently As a result, despite a growing interest in organic options, the demand for these vegetables remains low.
To enhance the acceptance of organic vegetables among Vietnamese consumers, it is essential for managers and marketers to identify key factors influencing purchasing decisions Understanding these factors will clarify the motivations and barriers to buying organic products, ultimately improving knowledge and informing effective management strategies.
Previous studies have primarily examined consumer awareness of organic vegetables among the general local Vietnamese population (Truong et al., 2012; Mergenthaler et al., 2009) Consequently, these findings may not accurately represent the actual patterns of organic vegetable consumption, making it challenging to determine how factors such as price, convenience, and consumption trends influence the willingness to purchase organic vegetables.
Bien Hoa City, located in Dong Nai Province, serves as a key case study for testing the model Situated just 30 kilometers from the center of Ho Chi Minh City, the city has experienced rapid growth in recent years.
A recent study in Bien Hoa City has identified seven new food stores, malls, and supermarkets, focusing on the awareness of family food buyers regarding health, trust, and perceptions of certified organic vegetables The research also examines how price consciousness and buying convenience impact consumers' willingness to purchase organic vegetables.
The findings can benefit organic vegetable sellers and retailers in developing appropriate sales and marketing strategies by improving understanding of potential
Vietnamese consumers – the family food purchaser It may also help government to design strategies for consumer education on the benefits of going organic.
Research objectives and aims
This study will evaluate a proposed model specifically in Bien Hoa City, Vietnam, focusing on identifying key factors that influence consumers' willingness to purchase organic vegetables The research aims to inform future awareness campaigns, advocacy efforts, and marketing strategies within Vietnam's organic sector.
Thesis structure
The structure of this research is organized in five chapters
Chapter 1 is concerned with the introduction of the thesis which includes research background, research problems and research objectives
Chapter 2 examines the literature related to Icek Ajzen's Theory of Planned Behavior and initial studies on organic vegetables This discussion will lead to the formulation of hypotheses and a research model, which will be tested in the subsequent chapter.
Chapter 3 introduces the design of the research This chapter starts with research validity and reliability and goes to stage of data collection in assessing the h
This chapter explores consumer perception and awareness regarding organic vegetables, focusing on the key factors that influence their purchasing decisions It also discusses the research population, sample selection, data collection methods, and the regression model used for hypothesis testing.
Chapter 4 shows the strategy of data analysis and discusses the findings This chapter will provide a summary of testing results for hypotheses given in the chapter 2
Chapter 5 relates to the conclusions, implications and limitation Suggestions of further research are also mentioned in this chapter h
LITERATURE REVIEW
Theoretical review: Theory of Planned Behavior
To understand the factors influencing consumer willingness to purchase organic vegetables, it is essential to identify the elements that shape their intentions and trends The Theory of Planned Behavior (TPB), proposed by Ajzen in 1988, serves as a framework for this exploration.
The theory presents a model that predicts human behavior based on an individual's intention to act, which is influenced by their attitudes toward the behavior, the subjective norms regarding what significant others believe about the behavior, and the person's perceived control over their ability to perform the behavior.
The Theory of Planned Behavior (TPB) evolved from the earlier Theory of Reasoned Action, developed by Ajzen and Fishbein in 1980 This transition occurred due to the realization that human behavior is not entirely voluntary or within individual control, leading to the incorporation of perceived behavioral control into the model As a result, the theory was redefined as the Theory of Planned Behavior (Rebecca et al., 2012).
Figure 2.1 Theory of Planned Behavior
Research indicates that only one or two cognitive determinants—attitudes, social norms, and perceived behavioral control—often significantly influence intentions For instance, Budden and Sagarin's (2008) study revealed that attitudes towards exercise and perceived behavioral control are linked to intentions to exercise, while subjective norms do not uniquely contribute to these intentions.
Buying motives and buying barriers of organic vegetable
Preliminary research indicates that several factors influence consumers' willingness to purchase organic foods, including income, education, gender, family size, and the presence of children Higher income and education levels correlate with a greater likelihood of buying organic products, reflecting consumers' awareness and social status (Idda et al., 2008; Gracia and Magistris, 2007) Additionally, gender plays a significant role, as women tend to buy organic foods in larger quantities and more frequently than men.
Research indicates that smaller households are more inclined to invest in organic products, while the presence of children within the family positively impacts the decision to purchase organic food.
Research by Baker et al (2004) highlights that consumers are motivated to purchase organic food due to health concerns, superior nutrition, environmental impact, food safety, sensory attributes, and ethical considerations However, perceived barriers to organic food consumption include higher prices, limited availability, trust issues, and product appearance Additionally, financial resources play a crucial role in consumers' perceived ability to buy organic products.
Hughneret al (2007), below summarizes the most important beliefs that have been connected to organic food in previous studies and that contribute to forming an attitude towards organic food
Figure 2.2 Beliefs connected to organic food
A study by Tran Tri Dung and Phan Hoang Ngan (2012) reveals that the demand for organic vegetables among Vietnamese consumers significantly surpasses supply, despite organic produce being priced 1.5 to 2 times higher than the market average These consumers, primarily well-educated urban households with above-average incomes, prioritize food safety and family health over cost Their purchasing decisions are driven by a strong belief that organic vegetables protect their families from the harmful effects of chemicals commonly used in conventional farming, leading to a high demand for superior quality products.
Research hypothesis and research model
This study examines the Theory of Planned Behavior to identify key factors influencing consumers' willingness to purchase organic vegetables, with willingness as the dependent variable Six critical factors were selected: health concerns, subjective norms, self-awareness, perceived price, perceived benefits, and perceived convenience, all of which have been shown to significantly impact purchasing decisions in previous research The proposed research framework is illustrated in Figure 2.3.
The demand for organic foods has significantly increased due to increasing awareness on health, food safety and environmental concerns (Briz and Ward, 2009;
Awareness, defined as consciousness, plays a crucial role in marketing by enhancing consumer knowledge of specific products and companies, ultimately enabling consumers to maximize their purchases (Loureiro et al., 2001; Thomas, 2011) Kumar (2011) emphasizes that awareness and knowledge have become significant positive factors influencing consumer attitudes and behaviors toward purchasing organic foods.
In this research model, self-awareness represented the consumers’ attitude, beliefs and knowledge toward organic vegetable
H1 Self-awareness impact on the Willingness to purchase organic vegetable h
Health consciousness best describes consumers “Who are aware and concerned about their state of well-being and are motivated to improve and/or maintain their health and quality of life, as well as preventing ill health by engaging in healthy behaviors and being health conscious regarding health Such individuals tend to be aware of, and involved with, nutrition and physical fitness.” (Kraft and Goddell, 1993)
Extensive research has highlighted the significant relationship between organic food and health, with numerous studies indicating that "health" is a primary motivation for consumers purchasing organic products (Michaelidou et al., 2008; Molyneaux, 2007; Saher et al., 2006; Lockie et al., 2002; Fotopolous et al., 2000) The assessment of health concerns focused on whether healthcare plays a crucial role in enhancing individuals' willingness to buy organic vegetables by fostering greater self-awareness.
H1a Health Concerns impact on the Self-awareness
Subjective Norms refer to social individual, which affect the willingness to purchase vegetable, such as relatives, friend, or colleagues, condone, social media As current the situation of food consumption trend in Vietnam, which is more concentrate on health and food safety issue (Loo, 2014), this variable is likely to have a significant positive impact on self-awareness of organic vegetable To assess Subjective norms, the questions revolved around whether family, friends, colleagues and social media would encourage one to buy organic vegetable by increasing self-awareness
H1b Subjective Norms impact on the Self-awareness h
Perceived benefits of organic vegetables are indicated as healthy and tasty for users, fresher, cleaner, more nutritious and environment friendliness Idda’s study (2008) showed that 89% participants agreed that organic food is healthier, 72% agreed that organic food tend to safeguard environment and 39% agreed that organic vegetable is more tasteful Another research showed that the perceived quality and taste of organic food products were better than conventional products (Ulf, 2010) Hence, in this research, the author proposes a positive influence of perceived benefits on willing to purchase organic vegetable
H2 Perceived Benefits of using organic vegetable impact on the Willingness to purchase organic vegetable
Perceived convenience plays a crucial role in consumers' willingness to purchase organic food, as many prefer shopping at nearby supermarkets rather than visiting multiple stores When these supermarkets lack a diverse selection of organic products, consumers often resort to non-organic options Therefore, for organic food to become a regular part of shopping habits, it must be readily available and varied Additionally, the convenience of using organic vegetables, which are free from chemical pesticides and synthetic fertilizers, reduces the time and effort required for washing, cleaning, and cooking, further enhancing their appeal to pragmatic consumers.
H3 Perceived Convenience impact on the consumer’s Willingness to purchase h
In the health product market, opinions vary on how price affects consumer purchasing decisions Many in the organic trade believe that organic sales do not always correlate with price and income levels.
Group, 2006); while other believed that personal income is important for the organic consumer because organic food is often more expensive than non-organic food (Ulf, 2010)
In the early stages of the organic food market, sales were primarily limited to niche markets like natural and specialty food stores, targeting affluent consumers who valued the health and environmental benefits of organic products and were willing to pay a premium However, as organic agriculture has rapidly evolved, these products have become accessible to a broader, more price-conscious consumer base, indicating a shift in the influence of price and income on organic food sales.
H4 Perceived Price impact on the willingness to purchase h
RESEARCH METHOD
Research method
This research utilized a quantitative approach, which proved to be more efficient and cost-effective, allowing for inferences about a larger population based on a small representative sample Additionally, this method facilitated hypothesis testing and the examination of related variables while adhering to established standards of validity and reliability (Creswell, 2003).
There were two main phases in the present study: pilot study and main study
A pilot study was conducted to evaluate the validity and reliability of the questionnaire prior to its distribution, involving face-to-face interviews with 10 participants experienced in purchasing organic vegetables This preliminary research aimed to refine the questions for clarity, estimate an appropriate sample size, and enhance the study design before launching a full-scale project Additionally, Cronbach’s alpha and exploratory factor analysis (EFA) were employed to assess the measurement scales.
The main study was conducted using prepared questionnaire survey The purposes are to confirm the measurement scales, to test the hypotheses and to confirm the research model h
Measurement scale
A paper-based questionnaire was created to gather data for validating the constructs and theory outlined in the research framework Initially developed in English and later translated into Vietnamese, the questionnaire consists of three sections The first section serves as a screening tool to identify appropriate respondents The second section includes items measuring seven constructs from the proposed model, utilizing a five-point Likert scale ranging from 1 (strongly disagree) to 5 (strongly agree) These items were adapted from prior research to specifically address the willingness to purchase organic vegetables The final section of the survey collects information on respondents' demographic and socioeconomic status.
Table 3.1 Summary of scales used in survey questionnaire
HEALTH CONCERNS: Relating to the interviewees’ concerns of health
(Health01) You always care about health
(Health02) You are interested in getting health information
(Health03) You will immediately stop using a product if you find out it is harmful for your health
SUBJECTIVE NORMS: Refer to social individual, which affect the willingness to purchase vegetable, such as relatives, friend, or colleagues, condone, social media
To assess Subjective norms, the questions revolved around whether family, friends, colleagues and social media would encourage one to buy organic vegetable by increasing self- awareness
(SuNorm04) You buy organic vegetable because people around you use it (colleagues/ friends/ relatives)
(SuNorm05) You buy organic vegetable because doctor said it is good for health
(SuNorm06) Relatives/ friends think organic vegetable is good for your health
(SuNorm07) Using organic vegetable is modern trend
(SuNorm08) You buy organic vegetable because TV/newspapers warn about lots of vegetable over fertilized with chemical synthetic
SELF-AWARENESS: The demand for organic foods has increased sharply due to increasing awareness
(Aware09) You believe organic vegetable do not have harmful chemical synthetic
(Aware10) You believe organic vegetable help prevent h
19 on health, food safety and environmental concerns (Briz and
According to Kumar (2011) stated that awareness and knowledge has turn into a significant positive elements in consumer attitude towards buying organic foods illness
(Aware11) You think using organic vegetable is health caring
(Aware12) Using organic vegetable help you feel more assured
Relating to perceived benefits of interviewees toward organic vegetables
(Benefit13) You think organic vegetable have better taste than other vegetables
(Benefit14) You think organic vegetable is more nutritious than other vegetables
(Benefit15) You think organic vegetable is more environment friendliness
Relating to perceived convenience in buying and using organic vegetables
(Conven16) You can easily buy organic vegetable
(Conven17) Organic vegetable have the species you need
(Conven18) Using organic vegetable help you save time from washing compare to other vegetables
PERCEIVED PRICE: Relating to perceived price of interviewees toward organic vegetables
(Price19) You think price of organic vegetable is too much higher than normal vegetable
(Price20) Price of organic vegetable is cheap
(Price21) Price of organic vegetable is worth
The questionnaire outlines various actions for consumers, allowing us to gauge their agreement with specific hypotheses This assessment helps us understand their willingness to purchase organic vegetables, thereby enabling us to predict their future buying behavior.
(Willing22) You will surely buy organic vegetable
(Willing23) You will buy safe vegetable which may contain a determined amount of chemical synthetics, but price is cheaper
(Willing24) You will continue buying vegetables sold at traditional markets
(Willing25) You made buying decision without caring it is organic vegetable or not
(Willing26) You will introduce organic vegetable to your relatives, friends and colleagues h
Data collection method
Reliable sample statistics are essential for accurately representing population parameters According to Hair et al (2006), the minimum sample size for factor analysis should be at least five times the number of items analyzed In this study, with 26 items requiring analysis, a minimum sample size of 130 is recommended to ensure robust results.
To ensure robust survey results, a minimum of 130 completed questionnaires is recommended While a larger sample size is generally advantageous (Field, 2005), it's important to note that "big" is not always synonymous with effective survey design (Bell, 1991), and practicality must also be considered (Field, 2005; Fink, 2003).
Based on the findings and recommendations, it is both reasonable and reliable to gather data from approximately 200 individuals using a convenience sampling method This research will be conducted in Bien Hoa City, targeting decision-makers responsible for family food purchases, including both males and females aged 18 and older.
Data analysis method
The database after cleaning and reversing would be analyzed via two steps:
Descriptive statistics analyses were employed to assess the current consumption of organic vegetables in Bien Hoa City This approach offers valuable insights into consumer demographics, including age, education level, occupation, family characteristics, and monthly food expenditures.
Then, to measure consumer willingness to pay for organic vegetables, the regression method will be applied
All analyses will be conducted using SPSS software h
RESULTS & DISCUSSIONS
Profile of respondents
The study involved a sample of 190 participants, predominantly female (94.1%), indicating that women are the primary decision-makers in food purchasing within families The most common age groups were 41-50 years (33.7%) and 31-40 years (31.7%), while those aged 21-30 comprised 23.8% Individuals aged 50 and above represented 7.4%, and only 3.5% of participants were under 20 years old.
The survey respondents exhibited diverse educational backgrounds, with 37.6% having completed high school, 35.1% holding college degrees, 22.3% possessing a bachelor's degree or higher, and 5.0% educated up to class 9 or below In terms of occupational classifications, the workforce included 36.1% workers, 32.2% office staff, 16.8% homemakers, 11.9% business professionals, 2.0% students, and 1.0% engaged in other occupations.
Demographic profile Category Frequency Percentage
The relationship between monthly food expenses and the frequency of purchasing organic vegetables reveals that families with lower food budgets tend to favor traditional market vegetables due to the higher costs of organic options In contrast, potential consumers of organic vegetables are typically families with 1-2 members who spend over 3 million monthly on food, with at least 75.5% of these families using organic vegetables more than once a week Additionally, families with 3-5 members also show a significant interest in organic produce.
23 and monthly expense for food more than 5 million (at least 78.4% within this range had used organic vegetable more than 1 time/week)
According to the data, one-third of families had never used organic vegetables, with nearly 50% of these families consisting of 3-5 members and spending between 3-5 million VND on food monthly Another one-third reported using organic vegetables 1-3 times per week, while 19.3% consumed them more than three times a week, and 13.4% used them less than once a week Among those who do use organic vegetables, over 50% incorporate them into their diet 1-3 times a week, 29% consume them more than three times a week, and only 20% use them once a week This indicates a growing trend in the frequency of organic vegetable consumption over time.
Figure 4.1 Using organic vegetable frequency
A study on the correlation between age and the preference for organic vegetables reveals that older consumers are increasingly inclined to select organic options for their family meals Notably, the majority of organic vegetable users fall within the age range of 41 and above, highlighting a significant trend among older demographics in prioritizing organic produce.
50 years old (25.2%) and 31-40 years old (20.8%)
33.7% had not used organic vegetable before
66.3% had already used organic vegetable
21% used 1 time only or less than 1 time/week
At least 79.8% continued using organic vegetable
36.4% used more than 3 times/week h
Table 4.2 Age range * Using organic vegetable frequency
% had used organic vegetable within 134 families using
% had used organic vegetable within age range Never
Families with children showed a significant preference for organic vegetables, with 84% of such families consuming them, compared to only 60.5% of families without children Among families with children, 37% were one-child households, 28.4% had two children, while only 19.4% were childless, and 14.9% had more than two children Additionally, education played a crucial role in organic vegetable consumption; 82.2% of consumers with a bachelor's degree or higher reported using organic vegetables, indicating that lower educational levels corresponded with reduced usage of organic produce.
Figure 4.2 Relationship between organic vegetable using and number of children in the family and family food purchaser educational level h
Scale validity and reliability
To ensure the validity and reliability of the scales, the approach used by Flynn et al (1994) was adopted Initially, the unidimensionality of the seven measures was evaluated through principal component analysis, which should yield a single factor This outcome is essential to confirm the validity of the scales.
Prior to the extraction of the factors, the test of Kaiser-Meyer-Olkin (KMO) Measure of Sampling Adequacy (Kaiser, 1974; 1970) and Bartlett's Test of
Sphericity, as introduced by Bartlett in 1950, is a crucial statistical concept The Kaiser-Meyer-Olkin (KMO) measure of sampling adequacy assesses whether the sample size is sufficient for reliable factor extraction, as noted by Field in 2009 The KMO index ranges from 0 to 1, indicating the adequacy of the sample for analysis.
For factor analysis to be deemed appropriate, a Kaiser-Meyer-Olkin (KMO) value of 0.50 or higher is recommended (Tabachnick & Fidell, 2007; Haier et al., 1998) Additionally, Bartlett's Test of Sphericity must yield a significant result (p 50% (Hair et al., 1998) Final results of scale validity tests were reported in the table below.
Table 4.3 EFA for individual scales
During the validation process, the item Conven18 was deleted as loading factor < 0.5 and the scale Willingness to Purchase was splitted into two factors: