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Social and environmental attributes of food products in an emerging mass market: Challenges of signaling and consumer perception, with European illustrations

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Abstract

This paper focuses on the environmental and ethical attributes of food products and their production processes. These two aspects have been recently recognized and are becoming increasingly important in terms of signaling and of consumer perception. There are two relevant thematic domains: environmental and social. Within each domain there are two movements. Hence the paper first presents the four movements that have brought to the fore new aspects of food product quality, to wit: (1) aspects of environmental ethics (organic agriculture and integrated agriculture), and (2) social ethics (fair trade and ethical trade). Next, it describes how the actors in the movements (producers, retailers, NGOs, and governments) are organized and how consumers perceive each of the movements. From the perspective of the actors in the movements themselves, the movements are grouped into two “actors’ philosophies.” The first is a “radical” philosophy (the organic production and fair trade movements that arose in radical opposition to conventional agriculture or unfair trade relations), and the second is a “reformist” philosophy (the integrated agriculture and ethical trade movements that arose as efforts to modify but not radically change conventional agriculture). From the point of view of consumers, the classification of the movements is based on perceptions of the “domain” of the movements. That is, consumers tend to perceive the organic production movement and the integrated agricultural movement as a single group because they both deal with the environment. By contrast, consumers tend to group the fair trade movement and the ethical trade movement together because they both deal essentially with social ethics. Recently, key players such as large retailers and agribusinesses have adopted as part of their overall quality assurance programs both environmental and ethical attributes. Their involvement in and adoption of the goals of the movements have, however, generated tensions and conflicts. This is particularly true within the radical movements, because of concerns of cooptation. Finally, the paper identifies challenges faced by those promoting food products with environmental and social/ethical attributes as they attempt to communicate coherent signals to consumers at this crucial moment in the emergence of a mass market for these products.

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Acknowledgements

The authors are grateful for the useful comments of three anonymous external reviewers and to comments from David Boselie.

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Correspondence to Jean-Marie Codron.

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Jean -Marie Codron is a Senior Researcher at INRA and co-director of MOISA, a public joint research laboratory involved in the social sciences. His research interests focus on three main lines of research: economics of contracts, economics of the firm, and economics of market institutions, with applications to “complex” food sectors, where product quality is difficult to measure and/or to signal to the consumer.

Lucie Sirieix is Professor of Marketing and Consumer Behaviour at SupAgro Montpellier, France, a national higher education establishment under the Ministry of Agriculture, Fisheries and Food. Within the MOISA research unit, her main research topics are variety seeking, risk and trust, environmental and ethical consumer concerns, and sustainable consumption. Her specific research areas include organic products, fair trade, and regional products.

Thomas Reardon is Professor of Agricultural Economics at Michigan State University. His work focuses on globalization, consolidation in the retail and processing sectors, and their effects on agrifood systems and trade as well as on the economics of private quality and safety standards.

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Codron, JM., Siriex, L. & Reardon, T. Social and environmental attributes of food products in an emerging mass market: Challenges of signaling and consumer perception, with European illustrations. Agric Hum Values 23, 283–297 (2006). https://doi.org/10.1007/s10460-006-9000-x

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