Overview of the Research- Research Problem: Many firms lack reliable data to expand the organic food market due tothe limited number of researches carried out on the demand for organic f
FOREIGN TRADE UNIVERSITY SCHOOL OF ECONOMICS AND INTERNATIONAL BUSINESS =====000===== RESEARCH PROPOSAL DEMAND FOR ORGANIC FOOD CONSUMPTION OF HOUSEHOLDS IN HANOI Student’s name : Nguyễn Khánh Chi Vũ Hồng Anh Thư Nguyễn Hà Anh Nguyễn Phương Anh Course Professor : KTE206E : Dr Pham Thi Cam Anh Hà Nội – 12/2021 No Student’s name Nguyễn Khánh Chi Vũ Hồng Anh Thư Nguyễn Hà Anh Nguyễn Phương Anh Student’s ID 2112140023 2112140099 2112140008 2112140013 Contribution level (%) 25 25 25 25 TABLE OF CONTENTS INTRODUCTION I The statement of Research Problem 1 Nutrition transition in Vietnam Covid 19’s lockdown and beyond II Overview of the Research .1 III Theory Organic Food Attitude/Intention vs Behavior Relation towards Organic Food 3 Household Units LITERATURE REVIEW I The Review of Organic Food Demand Over the World II The General Review of Organic Food Market and Demand in Vietnam 10 HYPOTHESIS 11 RESEARCH DESIGN AND METHODS 12 I Methodology 12 II Designing questionnaires 13 III Data analysis 15 SAMPLES AND DATA 16 I Samples 16 Sampling technique 16 Sampling errors 16 Sampling framework 17 II Data 17 Type of data .17 Feature of data 17 Operationalize data difficult-to-measure qualitative variables 18 EXPECTED OUTCOME AND CONTRIBUTION 18 LIMITATIONS AND FURTHER RESEARCH 18 THREATS TO INTERNAL AND EXTERNAL VALIDITY AND RELIABILITY 19 I Internal Validity and reliability .19 Possible threats to internal validity and reliability 19 Factors to improve internal validity and reliability .19 II External Validity and Reliability 19 Threats to external Validity and Reliability Threats 19 Factors that improve external validity and reliability 20 PROPOSED TIMELINE 20 REFERENCES .21 INTRODUCTION I The statement of Research Problem In the fast-changing world, where people are always in a rush for whatever they do, we have to face the reality of having unhealthy diets of Vietnamese people in general and people living in Hanoi in particular It is acknowledged that this is a recent concern, which unintentionally emerged due to unexpected events, one of which is the Covid19’s quarantine The researchers declare this concern over unhealthy diets may be attributed to two discernible reasons, which might be later explained in this research paper Nutrition transition in Vietnam This inevitable transition subsequently leads to the change in food supply, food prices and most importantly, diet and nutrition outcomes Many populations have transitioned from traditional diets that included locally-specific coarse grains, pulses, fruits and vegetables, and some meat or fish - largely depending on season - to a standardized global diet with rising levels of animal foods, fat, sugar, and processed packaged foods over varying time scales and in various locations Numerous research in Vietnam have identified a nutrition transition in terms of shifting nutrition outcomes Many socioeconomic and health factors, including a 20% higher provincial average monthly per capita income associated with a 17.4% higher prevalence of child overweight or obesity, have been linked to rising obesity in Vietnam, according to recent research that examined associations with upstream factors (Beal et al., 2020) Covid 19’s lockdown and beyond We have to admit that the Covid19 pandemic has taken its toll on people’s lives in various aspects, one of which is the unavoidable impacts on the diets of Hanoi’s urban dwellers According to the research, only 19% of the food consumed by Hanoi's urban poor was bought from supermarkets or convenience stores, while 70% came from local markets Additionally, only 7% of all ultra-processed food consumed was purchased in local markets, while an astounding 84% came from supermarkets and convenience stores (Sigrid WertheimHeck, 2020) These statistics demonstrate that although supermarkets and convenience stores provide a significant amount of ultra-processed food, they make up a very small portion of the city's overall diet II Overview of the Research - Research Problem: Many firms lack reliable data to expand the organic food market due to the limited number of researches carried out on the demand for organic food consumption of households in Hanoi - Research question: What is the relatively exact figure for organic food consumption of households in Hanoi needed for firms to define not only the potential customer segments but also the reasonable price for their organic product for consumption - Scope of Geography: We have decided to conduct research on the population living within Hanoi In broader terms, we expand our research a little to the area of Vietnam in general, but mostly that of Hanoi in particular - Research Subjects: We have decided to focus on different households, which are initially divided into various categories considering the size of each household, or in other words, the total members living in that household That is to say, we not provide data which relates to homeless people, orphans at local orphanages, or the elderly at local nursing homes - Research aims: We intend to propose this paper of our research proposal to targeted readers, who are firms in particular, with a view to achieving these three following objectives + Manage to identify the relatively accurate demand for organic food consumption of households in Hanoi, which are divided into different categories regarding not only the size of that household but also the income, area of living and other to-bementioned factors + Manage to compare the aforementioned demand for organic food among different household segments, which in turns define the household segment with the highest demand for organic food consumption + Manage to provide a trustworthy set of data to needed firms, in order to help them identify the potential customer segments and define the reasonable price for their organic product for consumption - Research framework Document continues below Discover more from: phương pháp nghiên cứu… PPH102 Trường Đại học… 549 documents Go to course ĐỀ LIVE 1605 ăgjawjguoawghljhaeg phương pháp… 100% (3) PHƯƠNG PHÁP 42 Nghiên CỨU KINH T… phương pháp… 100% (3) ĐỀ XUẤT PPNC CUỐI 11 KỲ - Siêu chi tiết và… phương pháp… 100% (2) Trắc nghiệm PPNC 28 phương pháp… 100% (2) Mentor A+ Logic học phương pháp… 100% (2) Phương Pháp Học 21 III Theory Tập NCKH phương pháp… 100% (1) Organic Food A clear definition of “Organic Food” used in this topic refers to certain kinds of food that are raised, grown, stored and produced/ processed with the absence of artificial food chemicals or fertilizers, herbicides, pesticides, fungicides, growth hormones and regulators or genetic modification According to the United States of Agricultural Department, organic products’ labels are divided into 04 groups based on the origin of their ingredients, as follows: ● 100% organic: No synthetic ingredients are allowed by law ● Organic: At least 95% of ingredients are produced in organic mode ● Made with organic ingredients: At least 70% of ingredients are organic, and the remaining 30% are from a list approved by the USDA ● Natural or All Natural: these mentions not mean organic This research concerns with the first three types of Organic Food Labels, which are 100% Organic, Organic and Made with organic ingredients Attitude/Intention vs Behavior Relation towards Organic Food Decisions to consume organic food are made based on several factors The most frequently cited theory on the attitude/intention vs behavior relation is the theory of planned behavior conducted and tested by Aertsens et al (2009) The norm-activation theory and value-belief-norm theory have been developed to explain the gap between consumer attitude/intention and behavior, explaining the attitude/intention and impact on the antecedents (i.e., value, attitude, beliefs, and norms) of the green consumer behavioral intention toward the actual green behavior Other researchers consider intention to be a factor in predicting behavior (Tran and Nguyen, 2021) An intention might be considered as people’s willingness to perform certain actions, and a behavioral intention was the closest indicator to a real behavior In general, the terms attitude and intention are often used interchangeably where psychological factors play an important role in the decision-making process It is suggested that the surroundings or external factors (family, friends, etc) play a role in people’s decision-making processes, whether or not they are consciously recognised, implying the presence of implicit drive towards food consumption habits Figure 1: Frequency level of organic food consumption in households in Hanoi (Tran and Nguyen, 2021) Specifically, 32.15% of respondents said that they did not buy or bought organic food infrequently, while these kinds of products were consumed by 67.75% (aforementioned data) of respondents’ families in spite of differences in consumption frequency After comparing the recent increasing trend in the consumption of organic food in Vietnam in particular with the data from a recent research, indicating the unpopular trend of organic food purchases by households in Hanoi, our researchers were motivated to find the correlation between different characteristics of households and demand of purchasing organic food Household Units The term “household” used throughout this research defines any kind of dwelling that consists of two or more persons living together (GSO, 2011) In other words, this research does not take into consideration data related to homeless people, orphanages, and local nursing homes Particularly, other research focuses on different categorizations of household’s situational factors including household size, average income, and geographical factors a Household size Figure 2: Household size by region in Vietnam in 2019 In regional comparison, the average household size in Vietnam in particular and urban areas specifically (including Hanoi) is 3.66 From this data, the research chose as the average number of household sizes Any household that has or more dwellers falls into the categorization of nuclear households Household size factors in the demand of organic food since the age proportion and its relative number in each household influence the purchase demand Figure 3: Proportions of Household Dependents per a nuclear household in Vietnam from 1999 to 2019 As the figure indicates, until 2019, the proportions of household dependents in nuclear households were high, suggesting that the majority of nuclear households have at least 01 dependents The data for nuclear household is further divided, as follows: Group 1: Nuclear household with children under the age of Group 2: Nuclear household with children under the age of 10 Group 3: Nuclear household with children under the age of 15 Group 4: Nuclear household with elderly aged 60+ Group 5: Nuclear household with elderly aged 65+ sample size and the studied variables There were some other variables affecting the intention of buying organic food, which were not included in the article (Nguyen and Trang, 2021) In Hanoi, the number of research on organic food demand is still limited to some extent In the article “Willingness to Pay for Organic Vegetables in Vietnam: An Empirical Analysis in Hanoi capital”, with the sample of 185 respondents at four big supermarkets, Hai, Moritaka and Fukuda (2013) stated that 15% of the consumers had purchased organic vegetables; however, 88% would like to buy if organic products existed in the market Average price willing to pay for organic vegetables was approximately 70% higher than that of conventional ones Additionally, those who have higher income were more concerned about safety and quality of vegetables (Hai et al., 2013) Price and availability of organic food were also evaluated to be important factors affecting Hanoi consumers in the article “Organic Food Consumption among Households in Hanoi: Importance of Situational Factors” of (Tran and Nguyen, 2021) In the context of existing literature, this research is expected to contribute to the theoretical basis of consumer demand as well as providing empirical evidence indicating determinants of organic food purchase in general and situational factors among households in Hanoi in particular This is a topic that has not been mentioned by many research papers in Vietnam Furthermore, this research is supposed to provide profound insights into how implicit, yet closest drive (household context) can lead to consumption behaviors, thus assisting organic food manufacturing firms with strategy to promote organic food purchases in Hanoi with its increasing organic trend among society nowaday HYPOTHESIS Yet, the findings on the variables influencing consumer preferences have not always been consistent Previous studies have proved the positive effects of sociodemographic characteristics on the consumption of organic food (Nie and Zepeda, 2011; Bravo et al., 2013; Lea and Worsley, 2005) Findings were inconsistent or counterintuitive when additional factors including income, the number of household’s members, and the presence of children were considered (Dimitri and Dettmann, 2012; Durham, 2007; Loureiro et al., 2001) Despite the fact that several studies have revealed that households with greater incomes are more inclined to buy organic items (Dettmann and Dimitri, 2009; Zhang et al., 2008), other studies have demonstrated that income is unrelated to green purchasing behaviour (Durham, 2007; Li, Zepeda and Gould, 2007; Zepeda and Li, 2007) These findings seem contradictory and maybe conflicting However, far too few researches have taken into consideration the connection between sociodemographic characteristics, along with available access to organic food, and green food’s consumption Besides, the outcomes of those previous researches are likely to be various among researching regions and countries In this research only, Ha Noi households’ sizes, leves of income and accessibility to organic food are going to be investigated and concluded whether or not they play their particular roles in green consumers’ 11 buying intention This section includes hypotheses, which provides more precise research questions for our three major aims Hypothesis 1: In Ha Noi, nuclear households (with a size of or more members) have more demand for organic food than those with a size of under members Hypothesis 2: In Ha Noi, the higher the income is, the higher the consumer’s buying intention on organic food is Hypothesis 3: In Ha Noi, households in the inlying areas have more demand for organic food than those on the outskirts RESEARCH DESIGN AND METHODS I Methodology The purpose of the research is to examine the factors which influence the organic food’s purchase behavior of the green consumers in Ha Noi Information from both primary and secondary sources is used to gather the necessary data Through a self-administrated questionnaire that contains different categories like geographically and demographically, the primary data should be gathered from both online and offline respondents Our research has an attempt on carrying out a social network survey with respondents who are online, and we are going to seek to conduct a semi-structured interview with respondents who are offline Semi-structured interviews comprise open-ended questions, which are questions that cannot be replied with a simple "yes" or "no," in contrast to surveys, which allow us to statistically analyze data We can take a close look at the research and widen the outcomes by asking follow-up questions based on the candidates' responses to elicit additional specific evidence regarding their strengths In terms of secondary data, we look through databases including Web of Science, Science Direct, Business Source Complete, and organic e prints In the title and abstract, the search terms "organic food," "demand," and "consumer" are utilized The following standards are supposed to be adopted for inclusion in the review: 1) studies conducted between 2000 and 2013, as the market evolved to a structure resembling the present around that time (Aschemann et al., 2007; Hamm et al., 2002; Wier et al., 2008), to ensure that findings are applicable to the current scenario, 2) Research done in Ha Noi or Vietnam, as these places consistently depict developed and comparable markets during the time period (Willer et al., 2013), and 3) literature that was included in English with the exception of Vietnamese because there was a significant amount of study on the subject at hand that was only available in Vietnamese 12 II Designing questionnaires Our research suggests several questions based on the research model for the following stages The respondent profile and survey content are the two key components of an online survey In the first part (respondent profile), respondents are asked to provide broad demographic details about themselves, including the number of people in their households, monthly income, and the neighborhoods where they live After answering how many people there are in their households (1-2-3-4 members), the respondents would encounter the second question about their monthly income ( under 10M - from 10M to 20M - from 20M to 30M from 30M to 40M - above 40M) Since this study concentrates on Ha Noi household consumption, there are two questions that are specifically asked: whether the respondents live in the city's inner or outer areas; whether they are in charge of purchasing food for their family The second part (survey content) has two main questions It goes without saying that respondents have to feel like purchasing organic food, their answers are useful and counted in the demand for organic food consumption of households in Hanoi Therefore, the survey’s first question is aimed at verifying respondents’ intention of buying organic food In other words, the respondents have to decide whether they want to buy organic food firstly The second question explores the present amount of money that the repliers are willing to pay for organic food monthly among households in Hanoi Thus, our research is able to measure and compare the green food’s expenditure with their household’s food expenditure monthly before deciding whether they spend much money on organic food To ensure the accuracy of responses, the research employs a variety of question types, such as closed-ended and open-ended inquiries as well as Likert-scale inquiries, which give respondents the opportunity to express how much they agree or disagree with a given statement on a scale of to (Supplementary Material Figure S1, "SURVEY CONTENT") Additionally, this survey is initially given to certain housewives and managers of organic food stores in Hanoi to confirm that questions are understandable to respondents and that there is no bias Before being posted on social media (Facebook and Gmail), every question is thoroughly reviewed and condensed based on their input Details of the questionnaire: Section A: Respondent profile Question 1: How many people are there in your household? (Số người hộ gia đình anh/chị?) A B C – D > Question 2: Your household’s monthly income? (Thu nhập hàng tháng gia đình anh/chị?) A < 10.000.000 VNĐ B 10.000.000 – 20.000.000 VNĐ C 20.000.000 – 30.000.000 VNĐ 13 D 30.000.000 – 40.000.000 VNĐ E > 40.000.000 VNĐ Question 3: Your household’s monthly expenditure on food? (Hàng tháng gia đình anh/chị chi tiền cho thực phẩm?) A < 5.000.000 VNĐ B 5.000.000 – 10.000.000 VNĐ C 10.000.000 – 20.000.000 VNĐ D 20.000.000 – 30.000.000 VNĐ E > 30.000.000 VNĐ Question 4: Where you live right now? (Anh/Chị sống đâu?) A The inner areas of Ha Noi (Nội thành Hà Nội) B The outskirts of Ha Noi (Ngoại thành Hà Nội) Note: The inner areas of Ha Noi (Nội thành Hà Nội) Ba Dinh Hoan Kiem Dong Da Thanh Xuan Cau Giay Hoang Mai Hai Ba Trung Tay Ho The outskirts of Ha Noi (Ngoại thành Hà Nội) Long Bien Gia Lam Nam Tu Liem Bac Tu Liem Ha Dong Thanh Tri Question 5: Are you in charge of purchasing food for your family? (Anh/ Chị có phải người mua thực phẩm cho gia đình khơng?) A Yes B No Section B: Survey content B.1 For those who tick “Yes” in Question Question 6: Would you like to purchase organic food for your household? (Anh/Chị có muốn mua thực phẩm hữu cho gia đình khơng?) A Yes B No Question 7: In the previous month, how much money did you spend on organic food? (Ở tháng gần nhất, anh/chị tiêu tiền cho thực phẩm hữu cơ?) A < 1.000.000 VNĐ B 1.000.000 – 5.000.000 VNĐ C 5.000.000 – 10.000.000 VNĐ D > 10.000.000 VNĐ Question 8: How much money are you willing to pay for organic food monthly? (Anh/Chị sẵn sàng chi trả tiền hàng tháng cho thực phẩm hữu cơ?) A < 1.000.000 VNĐ B 1.000.000 – 5.000.000 VNĐ C 5.000.000 – 10.000.000 VNĐ 14 D > 10.000.000 VNĐ B.2 For those who tick “No” in Question Question 9: Do your household usually consume organic food? (Gia đình anh/chị có thường xun tiêu thụ thực phẩm hữu không?) A Never B Rarely C Sometimes D Usually E Always Section C: Thank you for attending our survey III Data analysis We apply structural equation modeling (SEM) in AMOS with four unique stages to complete the research objective First, in SPSS, data are initially evaluated using Cronbach's alpha Scale reliability is said to be quantified by Cronbach's alpha "Acceptable" reliability is defined as a reliability coefficient of 0.70 Data must also have a corrected item-total correlation that is higher than or equal to 0.3 In particular, data should be carefully checked if the prior criteria is met yet Item Deleted's Cronbach alpha is larger than Cronbach's alpha The research only preserved relevant factors by deleting inappropriate variables from the data after checking Cronbach's alpha in SPSS In SPSS, appropriate variables are added to test EFA Second, the exploratory factor analysis assigns appropriate categories to variables Bivariate analysis that assesses the direction and degree of the relationship between two variables is called correlation The correlation coefficient's value ranges from + to -1 depending on how strong a connection is To gauge the strength of the association between variables that are linearly related, we employ Pearson correlation in this study Thirdly, the study does confirmatory factor analysis to determine whether data conform to a proposed measurement model or whether measures of a concept are consistent with the original study's understanding of the nature of factors Fourthly, in order to examine structural correlations between measured variables and latent constructs, structural equation modeling (SEM) is performed The SEM is chosen because it enables the estimation of dependency in a single analysis, which is very valuable for behavioral analysis SEM is also used to compare research findings for participants from three groups within a category 15