Impact of price and color availability on fair trade and organic apparel choice Public Deposited

http://ir.library.oregonstate.edu/concern/graduate_thesis_or_dissertations/8910jw934

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  • Working conditions in the international garment industry have long been a concern and a process to assess and certify fair trade practices was developed as a means by which to improve those conditions. Standards for fair trade apparel include safe working conditions, fair wages, compliance with laws, and reduced environmental impact. This study examines consumers' willingness to pay for fair trade clothing. A stated choice experiment was conducted through a survey of 100 Portland, OR metropolitan area residents to examine stated purchase preference between T-shirts with varied combinations of four attributes: color, fair trade certification, organic certification, and price. The surveys were administered at the Food Innovation Center in Portland, OR in November 2012. To resemble the actual market a limitation on color choice was tested. Conditional logit analysis was used to analyze the impact of product attributes and consumer characteristics on choice. Results revealed that consumers were willing to pay significantly more for fair trade certified than for organically certified T-shirts. Limiting color choice did significantly reduce selection of a T-shirt.
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