Abstract

This paper examines the reasoning mechanism behind the consumer acceptance of genetically modified foods (GMFs) in China, and investigates influence of source credibility on consumer acceptance of GMFs. Based on the original Persuasion Model—which was developed by Carl Hovland, an American psychologist and pioneer in the study of communication and its effect on attitudes and beliefs—we conducted a survey using multistage sampling from 1167 urban residents, which were proportionally selected from six cities in three economic regions (south, central, and north) in the Jiangsu province through face to face interviews. Mixed-process regression that could correct endogeneity and ordered probit model were used to test the impact of source credibility on consumers’ acceptance of GMFs. Our major finding was that consumer acceptance of GMFs is affected by such factors as information source credibility, general attitudes, gender, and education levels. The reliability of biotechnology research institutes, government offices devoted to management of GM organisms (GMOs), and GMO technological experts have expedited urban consumer acceptance of GM soybean oil. However, public acceptance can also decrease as faith in the environmental organization. We also found that ignorance of the endogeneity of above mentioned source significantly undervalued its effect on consumers’ acceptance. Moreover, the remaining three sources (non-GMO experts, food companies, and anonymous information found on the Internet) had almost no effect on consumer acceptance. Surprisingly, the more educated people in our survey were more skeptical towards GMFs. Our results contribute to the behavioral literature on consumer attitudes toward GMFs by developing a reasoning mechanism determining consumer acceptance of GMFs. Particularly, this paper quantitatively studied the influence of different source credibility on consumer acceptance of GMFs by using mixed-process regression to correct endogeneity in information sources, while taking into consideration of information asymmetry and specific preference in the use of information sources.

Highlights

  • Over the past decades, genetic modification, as a core outcome of biotechnology, has been developing rapidly in varietal breeding and industrial applications

  • We tested our claim that the reasoning mechanism determines the consumer acceptance of genetically modified foods (GMFs) and is affected by such factors as information source credibility, general attitudes, gender and education levels

  • We used mixed-process regression correcting endogeneity in information sources to examine the influence of source credibility on consumer acceptance of GMFs, and obtained some valuable and interesting results

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Summary

Introduction

Genetic modification, as a core outcome of biotechnology, has been developing rapidly in varietal breeding and industrial applications. There has been increasing discussion about genetically modified foods (GMFs) among politicians, activists, and consumers around the world, and it has severely restricted the research and development and industrial development of genetically modified technology (GMT) in China [1]. The news media has followed this trend and enthusiastically reported on the ensuing fierce dispute, but little reported information has been scientifically confirmed. This has resulted in a negative view of GMFs, due to dissemination of faulty information throughout the country. It is of important practical significance to analyze the influence of source credibility on consumer acceptance of GMFs in China for the scientific propaganda, research and development, and industrial development of GMT

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