The Value of “Made in USA”: Impact of Chinese acquisition of a US Company on Consumer Willingness to Pay

Shaosheng Jin and Yu Zhang

No 169805, 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota from Agricultural and Applied Economics Association

Abstract: In this study, we explore how the acquisition of Smithfield, the world’s larger pork producer, by a Chinese firm Shuanghui, on Chinese consumers’ WTP to meat product using experimental auctions. We conducted two sets of experiments, one when the acquisition was still pending approval and the other after its approval. Our results indicate that the acquisition benefits Shuanghui in particular and other Chinese firms in general in terms of consumer’s willingness to pay. On the other firms, the general impacts on US firms might be negative, probably due to expected lower price or reduced perceived difference between domestic and imported meat products.

Keywords: Agribusiness; Agricultural and Food Policy; Consumer/Household Economics; Food Consumption/Nutrition/Food Safety; Industrial Organization; Institutional and Behavioral Economics; Marketing (search for similar items in EconPapers)
Pages: 14
Date: 2014
New Economics Papers: this item is included in nep-agr, nep-cna, nep-com and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://ageconsearch.umn.edu/record/169805/files/S ... eld0526_JinZhang.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:aaea14:169805

DOI: 10.22004/ag.econ.169805

Access Statistics for this paper

More papers in 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota from Agricultural and Applied Economics Association Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().