A Case Study of Probit Model Analysis of Factors Affecting Consumption of Packed and Unpacked Milk in Turkey

Abstract

This paper focused on the effects of some sociodemographic factors on the decision of the consumer to purchase packed or unpacked fluid milk in Sivas, Turkey. The data were collected from 300 consumers by using face-to-face survey technique. The sample size was determined using the possibility-sampling method. Probit model has been used to analyze the socioeconomic factors affecting milk consumption of households. Four estimators (household size, income, milk preferences reason, and milk price) in the probit model were found statistically significant. According to empirical results, consumers with lower household size and higher income levels tend to consume packed milk consumption. Our study findings suggest that consumers who were sensitive to price were less likely to consume packed milk and believe that packed milk price is expensive compared to unpacked milk price. Also, milk price was effective factor concerning packed and unpacked milk consumption behavior. The majority of consumers read the contents of packed fluid milk and are affected by safety food in their shopping preferences.