Research on factors affecting consumer decision on purchasing organic agricultural products in Danang, Vietnam

Abstract

The study analyses the factors that influence consumer decisions on purchasing organic agricultural products in Danang. By synthesizing previous research, the authors establish Ordinal Logistic Regression (OLR) through survey questionnaires for 300 consumers in Danang in March 2019. The empirical model shows that there are eight factors, which have significantly positive impacts on the consumer decisions to purchase organic agricultural products, including: (i) the quality of products; (ii) trademarks, product labels; (iii) advertising, media, cultural factors; (iv) the understanding of the consumers about products of organic agriculture; (v) the convenience of the point of sale; (vi) income of consumers; (vii) psychological factors (attitudes, interests, taste, age, gender, etc.); (viii) the consumer’s career. The research also finds out the two factors affecting negatively on decision of consumers, including: (i) the value-added tax for the import of organic agricultural products; (ii) the age of the consumer. Based on quantitative results, the study proposes recommendations to promote the purchase of organic agriculture products in Danang.