Valuation of observable attributes in differentiated beef products in Chile using the hedonic price method

Meat Sci. 2019 Dec:158:107881. doi: 10.1016/j.meatsci.2019.107881. Epub 2019 Jul 11.

Abstract

Beef imports in Chile have increase annually by close to 10% in the past 10 years, threatening the national industry. Understanding the importance of different attributes may help guide a strategy for the local beef industry. Thus, the goal of the study was to identify which attributes observable at the point of sale influence the beef buying process. The sample was a set of 406 price observations, search attributes (intrinsic and extrinsic cues), and credence attributes of differentiated beef. The study was conducted in 15 counties in the Metropolitana region in Chile, and the results indicated that among differentiated beef, the highest valued attributes were low fat and natural. In addition, Angus and Wagyu beef, breeds associated by consumers with increased tenderness and flavor, were highly valued. Finally, processed beef products (portioned, marinated, or seasoned) were more valued than unprocessed products. An important and unexpected result is that highlighting Chile as the country of origin is a negatively valued attribute.

Keywords: Beef; Credence attributes; Hedonic prices; Search attributes; Valuation.

MeSH terms

  • Animals
  • Cattle
  • Chile
  • Consumer Behavior / economics*
  • Cooking / methods
  • Food Labeling
  • Humans
  • Meat Products / standards
  • Red Meat / standards*