Potential Causes for the Growth of Organic Food Market in UK - Dissertation Example

An Investigation into the Potential Causes for the Growth of Organic Food Market in UK Organic food has been evaluated from various perspectives and in several countries. It adds to a rising idea for food production which depends on environmental science, ecology and sociology other than one-dimensional chemical and physical supervision techniques. Food is a vital requirement for all the livings and customers need highest satisfaction on the products they select. Now customers are extra aware about their wellbeing and select nutritious food even if they are costly. Morden era customers are ever more unconvinced with GM (Genetically Modified) and conservative food and are consequently inspiring up to organic food (Pearson, Henryks and Jones, 2011). Organic food is not only better due to its fair habits of manufacture which do not use artificial chemicals and lay off preservatives as divergent to conservative food. It is also eco-friendly because of environment-cognizant technique the companies follow in manufacturing process. The advantages of organic food are more whereas the disadvantages (such as price payment) are small in contrast to its betterment. Customary buyers of organic food in UK are willing to neglect this slight drawback in contrast to its other shortcomings which concern their health. In spite of the debates, customers in UK prefer organic food to conservative food because it eradicates the question of eating food that is aberrant or food that is not eco-friendly (Stobbelaar, 2007). In this research work the consumer behaviour towards organic food in United Kingdom is studied and also the reasons behind the increasing number of organic consumers in UK. Table of Contents 2. Introduction 3 2.1. Relevance of Choosing the Research Topic 4 2.2. Importance of this Research 4 2.3. Research Gap 5 3. Research Questions and Objectives 5 3.1. Research Question 5 3.2. Research Objectives 5 4. Literature Review 6 4.1. People Consume Organic Food is increasing gradually in UK 6 4.2. Reasons for People in UK Buying Organic Food 7 4.3. Demographic Factors Which Involve Consumer Spending on Organic Food 8 5. Research Method 8 5.1. Research Design 8 5.2. Data Collection Method 9 6. Research Ethics 10 7. Timescale for Research 10 8. Resources Required for Research 12 Reference List 13 Appendices 15 2. Introduction Recently, customers and marketers respond to admired media about wellbeing and environmental impacts of pesticides, genetically-modified organisms and food protection as a consequence, individual’s awareness and demand in organic food has developed speedily and extraordinarily. Consciousness regarding organic foods and ill-effects of conventional foodstuff has led customers in UK to change from conventional to organic (Paul and Rana, 2012). Alertness and knowledge has turned out to be an essential and major factor in shifting the perception of customers on the way to organic foods. It is indispensable to be familiar with what customers view about organic food and the aspects that result them to demand organic food, because of the emerging organic market and its increasing potential to enlarge. Consequently, to amplify the demand for organic food, the customer should be educated aptly after tracing the motive for their demand for organic (Thomas and Magilvy, 2011). 2.1. Relevance of Choosing the Research Topic As elaborated above, familiarity is a significant aspect for the enlargement of the organic food market. Orlikowski, (2010) reported that according to the researchers’ individuals are uninformed about the practises and process employed for organic produces and lots of them are puzzled about the term ‘organic’. In view of the existing market conditions it very vital to identify what customer means by the term ‘organic’. The UK consumer’s awareness about organic food and the reasons that persuade them to demand organic food can be explored by this research. A foundation to appreciate what customers believe regarding organic food is presented by this research. To promote their products, marketers require exploring the motive for demands and apply it as an instrument to even target definite segments. 2.2. Importance of this Research Consumer’s awareness of the product and its production has an extremely significant role in their purchase decision making. The decision regarding purchasing a product can be influenced by familiarity. Even customer is encouraged to procure the particular product because of superior knowledge. It directs and transforms them into habitual purchasers and develops an optimistic attitude about the manufactured goods in them. To promote the product and to seek(target) different segments, causes for product’s demand may possibly be employed as a tool. Few researchers such as Miller and Tsang, (2011) have included in their research an outline of what customer perceives by the phrase organic but still the investigation is not sufficient in this area. Recognizing the reasons that are enlarging the organic foods demand assists the marketer to recognize what influences the customers in the direction of purchasing organic food and also supports them to focus on target groups. Despite the fact that many researches have been conducted on this subject, a large part of it has been conducted in the US. 2.3. Research Gap Many researchers have explored the importance of consuming organic food but there are very less research work on the reasons behind the increasing demands of organic food, particularly in UK. Following this gap, it is also crucial to identify the relationship between consumer behaviour and purchase intention towards organic food since earlier studies anticipated that approach towards an organic product could be capable to envisage or directly lead to buying behaviour. This research work will help in exploring the reasons behind the increasing number of organic food consumers in UK. 3. Research Questions and Objectives 3.1. Research Question The research question that will be addressed through this study is: 1) Why the number of people consume organic food is increasing gradually in UK? 3.2. Research Objectives The foremost objective of the research work is to explore the UK customers’ perception towards organic foods in UK. A qualitative study will be provided on the data and determinants of organic foods on the foundation of the present means of information. The research objectives that are outlined below are based on the literature that is elaborated in the next section. Research Objectives To identify what are the main reasons of people consuming organic food. To determine how influences effect decision making of consumers in UK. To examine the demographic factors which involve consumer spending on organic food. 4. Literature Review This chapter will help in forming the research objectives that will further help in conducting the research work. 4.1. People Consume Organic Food is increasing gradually in UK Organic food has been increasingly popular than ever and its market is increasing rapidly. Possibly, the market is rising at a rate much faster than the organic food production does. Organic food is developed by organic cultivation in soil rich in organic material called humus, which is the living element of the soil. According to UK government statistics and several researchers namely Wenstøp, (2010), the intensity of minerals in fruits and vegetables developed by conservative farming fell up to 76% amid years 1940 and 1991. In comparison to that, researchers such as Williams, (2011) debated that there is increasing evidence that organic fruits and vegetables usually include additional nutrients than non-organic food. The Soil Association, subsequent to reviewing different evidences contrasting the vitamin and mineral content of organic and conservative grown food gathered that organic food includes increased level of vitamin C and extra essential minerals such as calcium, magnesium, iron and chromium. Figure 1: Trend of organic food consumption in UK (Source: Williams, 2014) 4.2. Reasons for People in UK Buying Organic Food The consent of international research offers a clarified picture of the reasons why people purchase organic food in UK. In contrast to this, researchers such as Williamson, (2007) argued that significant issues due to the definite cultural and demographic factors, the major reasons, in order of main concern are: individual health, product ‘quality’ and worry in relation to degradation of the natural environment. These areas of research were identified few years ago by Miller and Tsang, (2011) and have constantly been sustained by following research. The Food Standards Agency in the UK has lately reported on a meta-analysis of the systematic evidence that inspects the impending human wellbeing advantages from consuming organic food. Wenstøp, (2010) indicates that the major concern under study in this report is whether there are quantifiable benefits from consuming organic food. The advantages of organics are measured to be the vitamins, minerals and other healing properties that they represent, while the apparent depressing aspects of non-organic food comprise the existence of artificial chemicals employed in the production, processing and storage of the manufactured goods. The third main reason pointed out for acquiring organics is concern for the surroundings. Wenstøp, (2010) stated that there is indication to sustain the fact that organic farming is less destructive on the natural surroundings. Certainly, the environmental advantages of organic production method are the rationale given by the government in the UK for providing added financial assistance to organic farmers. As this propagation of formerly mentioned articles indicates, understanding human behaviour in the perspective of food purchases remains a boundary for scientific enquiry. Marsden, (2010) stated that while it is usually accepted that people’s food habits are mainly determined by attitudes that are obtained in childhood and that these develop because of altering conditions and experiences, it is the multiplicity of individuals, the variety of products which, when united with the huge number of purchases over a lifetime, makes realising food purchases so difficult. 4.3. Demographic Factors Which Involve Consumer Spending on Organic Food As indicated by Marsden, (2010) certain demographic factors impact on consumers’ expenditure in organic food in UK. These factors can be social, psychological and personal. Personal factors include distinctiveness to a particular person which includes the demographic factors namely, sex, and race and age etc. e.g. young consumers purchase things for unlike reasons than older people. Marsden, (2010) indicated that the customer requirements, learning and motives etc. are also inclined by opinion leaders, persons family, reference groups, social class and culture as the income families are turning out to be more common, the decision maker in the family unit is varying. Psychological factors include a consumer’s motives, perception, abilities and knowledge, attitudes, personality and lifestyle that gradually impacts UK consumers spending on organic food. 5. Research Method This section deals with the methodology used for this study and the course of action taken to complete the research study for the purpose of this dissertation. 5.1. Research Design Research Philosophy- The research philosophy is all concerning the technique in which the research problems requires to be fundamentally approached and this includes of positivism, realism and interpretive. A descriptive research methodology will be undertaken in this research work. The basic theory of selecting descriptive philosophy is that it is denoted as the philosophy of regulation and includes of its techniques, principles and postulates (Grunert, 2011). Research Approach- Several researchers have indicated that at first a researcher necessitates to choose among the two main research approaches exclusively, deductive which endeavours to generate theory dependent on the available literature as well as the existing findings and scrutinize it through assessment. Another approach is inductive in which a researcher primarily makes the assessment and then instigate theory as a result of the data exploration. Deductive research approach will be engaged in this research work (Hole, 2005). Numerous researchers elected that realizing the inductive approach involves a profoundly understanding and expert knowledge with indication to the research objective and also authorizes the researcher to determine a range of substitute explanations of the issues. Research Strategies- Qualitative research will be employed in this research as is the type of research individuals achieve insight into a difficulty, problem or theory. Unlike quantitative research, which is alarmed with neutrally assessable variables, qualitative research seeks to put up a description concerning the issue; qualitative research attempts to appreciate the reasons why something is the way it is. It is further naturalistic or anthropological, while quantitative research is further systematic (Lindlof and Taylor, 2010). While this indicates qualitative research is more prejudiced, it also offers an approach to inspect variables in their normal setting as different to the clinical conditions mandatory in quantitative research methods. Time Horizon- The time horizon required to complete this research work is 6 months. The investigation will include questionnaire survey which is a time consuming procedure and as a result the selected time period will be appropriate for completing the research efficiently. 5.2. Data Collection Method Data collection is the most vital process in a research work or study and it includes two types of methods such as collection of primary and secondary data (Feilzer, 2010). A sample of 100 consumers in UK those prefer consuming organic food will be selected for the questionnaire survey. Data Collection Techniques and Procedures There are a range of qualitative data collection procedures namely, individual interviews, focus groups, observations and action research. The focus groups technique is on occasion used when it is better to achieve information from a group other than collecting information from individuals. Observation method might take place in natural surroundings and engage the researcher taking long-lasting and explanatory notes of what is taking place (Fisher Jr and Stenner, 2011). Limitations with observation comprise modification in respondents behaviour when they recognize they are being observed. The researcher will conduct focus group interview with 100 organic food consumers in UK in evaluating the reasons behind the increasing number of consumers’ preference for organic food. The significance of employing a focus group interview is, it requires: 1. Inadequate resources (time, manpower, finances) 2. The phenomenon under research needs a shared discussion in order to recognize the conditions, activities or opinions. The designed questionnaire consisted of 15-20 semi-structured questions for the respondents that will help in critically analyzing the behavior of the UK consumers towards organic food. 6. Research Ethics This research work confirmed to bring into line its conducts with the ethics of this investigation. It was guaranteed by the researcher that the secrecy with indication to the foundation of data collected was preserved (Erickson, 2012). The supposed and elementary assessment carried out in the research was in every respect the effort of the researcher and the concluding result was not subjective to any unimportant entities. In a précised sense, the researcher carried out the research work with legitimacy and complete reliability by taking into consideration the primary intention of the exploration and it dealt with all the apprehensions on the topic of intellectual assets rights of any individual being connected to the research work (Falguera, Aliguer and Falguera, 2012). 7. Timescale for Research The researcher predicts that the research work will take 6 months in its completion. The researcher has proposed an estimated timescale below where the list of tasks is listed that are required to be conducted in this research project (Creswell, 2012). Along with the specified tasks how much time it is predicted to require in terms of weeks and months are mentioned in the timeline. Research Tasks Time Required Make a decision on a theoretical framework for the project (Research Proposal) 10th – 12th September, 2015 Decide on quantitative /qualitative or mixed research method 13th – 20th September, 2015 Design and construct a questionnaire for research 20th- 24th September, 2015 Decide on either to use a focus group interview or not (numbers)(Focus Group Interview) 25th- 30th September, 2015 Decide on what research work to conduct 1st- 2nd October, 2015 Testing of samples and model development 3rd- -19th October, 2015 Construct abstract and submit the research proposal 20th- 28th October, 2015 Write decided bibliography 29th- 31st October, 2015 Write literature review 1st- 9th November, 2015 Decide on definite method of evaluating the findings 10th -19th November, 2015 Conduct practical study and gather data 20th- 30th November, 2015 Gather information from questionnaires and focus group 1st- 31st December, 2015 Analyse collected data 1st- 31st January, 2016 Write research paper 1st- 28th February, 2016 8. Resources Required for Research Several resources are required for the completion of this research work. Certain direct and indirect costs are associated with this research work. While conducting this study direct cost such as travel and accommodation expenses will be assembled as the researcher has to travel places in order to conduct the questionnaire analysis (Bernard, 2012). Indirect costs of the research are associated with the time that will be required to complete this research. As the research involves questionnaire analysis, as a result printings costs are also generated. Reference List Bernard, H. R., 2012. Social research methods: Qualitative and quantitative approaches. Journal of Research Approaches, 19(5), p. 224. Creswell, J. W., 2012. Qualitative inquiry and research design: Choosing among five approaches. Sage Publications, 15(6), p. 456. Erickson, F., 2012. Qualitative research methods for science education. In Second international handbook of science education, 18(11), pp. 1451-1469. Falguera, V., Aliguer, N. and Falguera, M., 2012. An integrated approach to current trends in food consumption: Moving toward functional and organic products? Food Control, 26(2), pp. 274-281. Feilzer, M. Y., 2010. Doing mixed methods research pragmatically: Implications for the rediscovery of pragmatism as a research paradigm. Journal of mixed methods research, 4(1), pp. 6-16. Fisher Jr, W. P. and Stenner, A. J., 2011. Integrating qualitative and quantitative research approaches via the phenomenological method. International Journal of Multiple Research Approaches, 5(1), pp. 89-103. Grunert, K. G., 2011. Sustainability in the food sector: A consumer behaviour perspective. International Journal on Food System Dynamics, 2(3), pp. 207-218. Hole, D. G., 2005. Does organic farming benefit biodiversity? Biological Conservation, 12(2), pp. 113-130. Lindlof, T. R. and Taylor, B. C., 2010. Qualitative communication research methods. Research Analytics Publications, 16(8), pp. 14-18. Marsden, T., 2010. Mobilizing the regional eco-economy: evolving webs of agri-food and rural development in the UK. Cambridge Journal of Regions, Economy and Society, 3(2), pp. 225-244. McEachern, M. G. and McClean, P. 2002, Organic Purchasing motivations and Attitudes: are they ethical? International Journal of Consumer Studies, 26(2), pp. 85-92. Miller, K. D. and Tsang, E. W., 2011. Testing management theories: critical realist philosophy and research methods. Strategic Management Journal, 32(2), pp. 139-158. Orlikowski, W. J., 2010. Practice in research: phenomenon, perspective and philosophy. Cambridge handbook of strategy as practice, 8(2), pp. 23-33. Paul, J. and Rana, J., 2012. Consumer behavior and purchase intention for organic food. Journal of Consumer Marketing, 29(6), pp. 412-422. Pearson, D., Henryks, J. and Jones, H. , 2011. Organic food: What we know (and do not know) about consumers. Renewable Agriculture and Food Systems, 26(02), pp. 171-177. Stobbelaar, D. J., 2007. Adolescents’ attitudes towards organic food: a survey of 15- to 16-year old school children. International Journal of Consumer Studies, 3(1), pp. 348-356. Thomas, E. And Magilvy, J. K., 2011. Qualitative rigor or research validity in qualitative research. Journal for specialists in pediatric nursing, 16(2), pp. 151-155. Wenstøp, F., 2010. Operations research and ethics: development trends 1966–2009. International Transactions in Operational Research, 17(4), pp. 413-426. Williams, C., 2011. Research methods. Journal of Business & Economics Research (JBER), 5(3), pp. 56-62. Williamson, C. S. 2007. Is organic food better for our health? British Nutrition Foundation Nutrition Bulletin, 3(2), pp. 104–108. Appendices Appendix 1: A covering letter that explains the purpose of the questionnaire Date Dear Participant: My name is and I am a graduate student at Central Michigan University. For my final project, that i am examining. Because you are the most suitable respondent for this study, I am inviting you to participate in this survey by carrying out the attached surveys. The subsequent questionnaire will need roughly 15 minutes to complete. There is no reward for responding nor is there any identified risk. In order to certify that all data will stay private, please do not incorporate your name. Copies of the project will be offered to my Central Michigan University instructor for grading my research work. If you prefer to participate in this survey, please respond all questions as sincerely as possible and return the finished questionnaires without delay. Participation is rigorously deliberate and you can refuse to participate at any point in time. Thank you for taking the time to help me in my learning endeavours. The information gathered will offer functional information on the subject of the behaviour of the consumer towards organic survey. If you would like a review copy of this study please complete and unfasten the “Request for Information Form” and return it in a separate envelope. Completion and return of the opinion poll will point to your enthusiasm to participate in this study. If you need further information or have queries, please contact me at the number listed below. If you are not contented with the approach in which this survey is being conducted, you might report (anonymously if you so choose) any complaints to the mentioned address. Sincerely, (Student’s Name) (Student Phone Number and/or e-mail address) (Instructor’s Name) (Instructor’s Phone Number and/or e-mail address) (This demand for information form is a not obligatory part of the cover letter and is not required for any authorization.) For information please send a photocopy of the study results to the address mentioned below. Name: Address: Please do not return this form with your study results. Return to :< E mail ID> Appendix 2: Proposed Questionnaire or Semi/Unstructured Interview Questions 1) What is the most significant attribute do you consider before buying? a) Price b) Quality c) Beneficial for wellbeing d) Eco friendly 2) Do you like better organic food instead of conservative food? a) Yes b) No c) Does not matter 3) Do you have the same opinion that organic food is helping the environment? a) Yes b) No 4) Would you think about switching over to organic food in the future? a) Yes b) No 5) Do you believe Organic food is overrated? a) Yes b) No 6) Organic food is tastier. a) Yes b) No c) Do not know 7) Do you feel that organic food over priced? a) Yes b) No c) Do not know 8) Do you get easy access to organic food? a) Yes b) No 9) What are the characteristics you prioritize while shopping for organic fruits & vegetables? a) Wellbeing b) Environment friendly c) Price 10) Where do you purchase for organic food? a) Retail shops b) Farmer markets c) Online 11) What are the sources of information regarding organic food? a) Sales staff b) Websites c) Advertisement d) Relatives 12) Monthly household Income (dollars) a) Below 1000 b) 1001-2000 c) Above 2000 13) Age Group: a) 25-35 years b) 36-45 years c) 46 and above 14) Occupation a) Private Sector b) Government sector c) Other business 15) Educational level: a) Junior high school b) College/University c) Post graduate or above Read More