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Rice consumption per capita in many Asian countries is decreasing constantly, but American and European citizens are eating more rice nowadays. A preference study among consumers was carried out with the aim of determining new rice product characteristics in order to support export of Thai rice. This paper aims to report the results

The research was based on both secondary and primary data collection. The secondary data included exploratory surveys of rice and its products which were conducted in some of Thailand's potential rice export markets. Exploratory primary data were collected through qualitative focus group research. A quantitative questionnaire with 1,128 consumers of target nationalities was conducted to access consumer attitudes and preferences with respect to rice and rice products.

Rice products were grouped with factor analysis and could be characterized by convenience (explained variance 33.9 per cent), grain variety (21.2 per cent), and tradition/naturalness (12.8 per cent). Rotated factor score plot of the preference for rice products among different nationalities showed a similarity in the preference for the tradition/natural products. Convenient products were preferred in higher income Asian countries and the non‐rice eating countries. These three product categories were correlated with consumers' ideas concerning the health‐supporting character of processed food.

Consumers' rice preferences differed greatly among nationalities. Rice exporters have to understand these different preferences in order to offer the right products to their customers. Assuming consumer preferences to be comparable to one's own country's preference can cause new product failure. This paper confirms existing differences and presents details and backgrounds of these differences.

The purpose of this paper is to investigate consumer preferences towards innovative rice products, and cross-cultural determinants of customers’ perceived value and loyalty.

A self-administered survey was designed to obtain participants’ perceptions about Thai rice, and preferences towards innovative Thai rice products. A total of 937 surveys were distributed and 908 valid surveys were returned, yielding a 96.7 per cent overall response rate. Confirmatory factor analysis was used to assure the reliability and validity of the measures used in the survey instrument. Structural equation modelling was employed to assess the five hypothesised relationships between the four elements of the marketing mix, customer perceived value, and post-purchase behaviour, and to compare the path coefficients across the two cultural groups.

The findings reported herein show that eastern and western customers’ perceptions of marketing mix variables positively impact their perceptions of value, in turn, enhancing their loyalty to Thai rice. A successful marketing strategy should meet changing customer needs through adopting new products, services and unique marketing mix bundles. Such strategies should be tailored to the differing needs across cultures, and can address issues arising from changing competitive and environmental landscapes.

The first limitation concerns the scope of the study. Specifically, the authors only conducted surveys during a two-month time period in 2018; the sampling sites were limited to several shopping malls in Bangkok; and the authors surveyed a high proportion of young, single, educated participants. The second limitation pertains to the selection and adaptation of constructs and their observed variables (such as the 4P indicators). Most of the observed variables were selected based on a literature review and the opinions of the scholars who participated in this study.

These results should be beneficial to members of the international rice industry, Thai rice exporters, the Thai government and to academics. Long-term success will be supported by focused attention on target segments and launch of innovative rice products that match differing preferences across nationalities.

Understanding consumers’ perspectives and preferences are critical to appropriate positioning and marketing of value-added Thai rice products. This study represents one of the first attempts to integrate marketing mix decisions, customers’ perceived value and loyalty within a Thai rice purchase behaviour context across eastern and western customers.

Rice is considered a high glycemic index food. However, the overall glycemic response to whole foods differs based on the presence of co‐components, cooking or processing technique, starch composition, and amount of food consumed. The purpose of this paper is to observe the relative glycemic impact (RGI) of foods based on postprandial glycemic response to equal quantities of test foods and standard‐bread expressed as glycemic bread equivalent (GBE), using rice and its products.

In total, five clinically healthy adult volunteers were fed 50 g test foods and bread on different days after an overnight fast. Blood sugar and insulin levels at fasting state and at 30, 60, 90 and 120 min after consuming food were recorded and corresponding area under the curve was calculated.

The GBE was highest for puffed rice at 107 g, whereas same amount of rice kheer and plain boiled rice induced glycemic response equivalent to 19.5 g and 11 g of bread, respectively. RGI of puffed rice was found to be significantly higher than that of rice kheer and boiled rice (p<0.01). Similarly, the total insulinemic effect of puffed rice (71 g) was found to be significantly higher than that of rice (6 g, p<0.01) and rice kheer (19 g, p<0.05).

Despite being prepared from common raw ingredient, all the three test foods produced varied glycemic and insulin responses. This can be attributed to the different processing conditions, change in nutrient composition and total quantity consumed.

The GBE values may constitute a simple and easy‐to‐use tool for consumers to select food in terms of their predicted glycemic and insulin responses, especially in the diabetic or insulin‐resistant group.

In spite of the government’s support for small-scale rice farmers in rural areas of Thailand, several problems still affect their production and marketing performance. This study aims to assess a rice production community enterprise (RPCE) through an in-depth investigation of its problems and capabilities; and formulate internal strategic guidelines for enterprise development.

This study used a qualitative approach through in-depth interviews with the community enterprise leader and committee members, and focus group discussion with eight farmer-members, purposively selected in Chachoengsao, Thailand. Data were transcribed, sorted and organised to determine themes and patterns. Strengths, weaknesses, opportunities and threats (SWOT) and threats, opportunities, weaknesses and strengths (TOWS) matrix situational analyses were done to develop strategic options. Strategic guidelines were formulated through a final deliberation with all members to ensure strategies aligned with the enterprise’s goals and objectives.

The results have identified three main problem categories encountered by the community enterprise in the areas of membership and labour; production and milling operations; and product design and marketing. The enterprise’s main strengths and opportunities include its product certifications and support from external organisations. Strategic points were developed, and policy support programmes are recommended for capacity building and product development as most problems identified relate to these aspects.

The utility of this study is its focus on an RPCE. The findings will help policymakers and concerned government agencies implement better programmes and policies to develop RPCEs. Furthermore, this study will be a source for future qualitative literature that will provide helpful information to other studies aiming to develop other types of community enterprises (CEs).

The purpose of this paper is to examine the development of rice supply chain in the context of the role of rice farmer organizations and cooperative networks in Thailand.

Primary data were solicited from the cooperatives and members of cooperatives for this study through questionnaire administration. The questionnaire containing a five-point Likert scale was posed to respondents to ascertain their problems before and after joining the network (for cooperative) and after joining the cooperative (for members). This study employed the independent two-sample student t-test (two-tailed) to test for significant difference in the means of scores regarding the problems of cooperatives before and after the cooperative network, and also to test for significant difference in the means of scores of the problems of members of the cooperatives before and after joining the cooperative.

The study revealed that key production and marketing problems such as increased transaction costs and market uncertainties confronting the cooperative organizations have been diminished as a result of the networks. Key problems of the members of the cooperatives such as exploitation and opportunistic behavior of traders to whom they sell their products have been reduced as a result of joining the cooperatives.

This paper is not without caveat. The governance structures in relation to leadership, financial arrangements and bargaining power balance have not been analyzed in this study and these are avenues for further research.

To the best of the authors’ knowledge, this study is the first that examined the combined roles of farmer organizations and cooperative networks in developing the rice supply chain in Thailand.

This teaching case aims to stimulate the debate over the issue of arsenic in rice and prepares students to make a decision by evaluating trade-offs and aligning moral values in a business context.

Rice feeds people in many parts of the world. This teaching case focuses on an entrepreneurial food producer who has strong sustainability values built into his business model. The CEO, Johan Henriksson, of Vegoganic faces a dilemma when a press release by the Swedish National Food Agency potentially threatens the core existence of the business. It challenges the CEO to take a stand on food safety and food security, as well as personal and societal values.

It is a discussion case, developed with undergraduate students in mind, but could be taken to a graduate level by including more advanced literature and questions.

Teaching Notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request teaching notes.

CSS 8: Marketing

Snack industry is one of the fastest growing food sectors globally, and people are nowadays conscious about intake of healthy snacks on regular basis. There is enormous variety of ready-to-snacks available in the market. Brown rice though highly nutritious in comparison to polished rice is consumed meagerly by masses. Each raw material/ingredient used in extrusion cooking requires specific control of processing variables to meet acceptable product characteristics and consumer demands, which in turn necessitates the need to optimize the conditions for development of brown-rice-based snacks. The aim of this study was to optimize the extrusion cooking conditions for development of brown-rice-based extrudates.

Extrusion conditions were optimized through design expert using central composite rotatable design (CCRD) experimental design. The effect of feed moisture (10–22%), screw speed (215–385 rpm) and barrel temperature (95–160 °C) on specific mechanical energy (SME), bulk density (BD), water absorption index (WAI), water solubility index (WSI), expansion ratio (ER), breaking strength (BS) and instrumental color (L*, a*, b*) was evaluated.

All the system and product responses were significantly (p < 0.01) affected by independent variables. Regression models obtained were highly significant with high coefficient of determination (R² = 0.992). The optimum extrusion conditions obtained by numerical optimization for development of snacks were moisture content of 12%, screw speed of 350 rpm and temperature of 133 °C. The vitamin B₁ content of brown-rice-based snacks was 0.45 mg/100 (50% of RDA) whereas no vitamin B₁ was detected in white-rice-based snacks used as control.

The developed snacks contain 0.45 mg/100 g of vitamin B₁. If a person on an average consumes 150 g of snacks in a day, 50% of RDA (1.2 mg/day) for vitamin B₁ can be sufficed. Therefore, developed snacks can prove to be a viable vehicle to reduce the vitamin B₁ deficiency burden among the target population. Large-scale production and consumption of such type of snacks could improve the nutritional status of vitamin B1 deficient people. Furthermore, it can also provide a good opportunity for snack industry to develop nutritious snacks through utilization of brown rice.

Brown rice flour contains nutrients such as iron, calcium, zinc, sodium and vitamin B₁ in appreciable portions and was thus explored for development of nutritious snacks. Moreover, developed snacks recorded an overall acceptability of 4.70 out of 5, which depicts it is acceptable for mass production and consumption.

The purpose of the present research is to examine the comparative values that urban Vietnamese consumers place on attributes of rice that is produced using environmentally friendly methods. The authors consider the impacts that this may have on the livelihoods of rural Vietnamese small farmers. Rice is an “impure public good” that includes both “private” and “public” attributes that consumers consider in their purchase decisions. Consumers make tradeoffs between environmentally and socially beneficial practices (public goods) and perceptions of product quality (private goods). The authors used latent class modeling to investigate the values associated with attributes of rice that is produced using sustainable farming practices.

The authors used a discrete choice experimental design in which consumers stated their choices among combinations of rice attributes. The survey provided responses from 360 urban Vietnamese consumers and allowed to estimate the preferences and nonpecuniary values for rice grown using different levels of environmentally beneficial production methods.

The results identify two segments of rice consumers: one group of consumers who are sensitive to price and the other group who are sensitive to environmental issues. The individual characteristics are reflected in the choices of production methods and in the willingness to pay for environmentally beneficial outcomes of those methods.

Given the number of independent variables measured, the sample was relatively small, such that confirmatory statistical methods were inconclusive. However, the authors used multiple analytical tools that provide corroboration of the significant determinants of the utility functions for the two segments.

The results provide directions for production of rice at a national level, as well as practical implications for consumer-oriented communications.

Results suggest that the emerging middle class of Vietnamese consumers are willing to pay more for rice that is produced using methods that are beneficial to the environment. Results also indicate challenges to provide sustainably-produced rice to poorer groups of consumers.

The study provides important context for consumer preferences within emerging economies. This also adds to a growing literature that uses the choice experiment method to estimate consumer valuation of the outcomes of various agricultural practices.

After having discussed the case, the reader will be able to analyse the dangers associated with product changes; contrast various strategic marketing issues that can be considered when implementing changes, including marketing communication and the use of social media; motivate an approach to customer complaints and comments on the launch of a new product; and comment on the ethical issues associated with new product launches.

Marketers are focused on satisfying customers’ needs, and no organisation would deliberately offend or alienate customers. Occasionally, organisations make decisions that anger customers as they do not understand the reasoning behind them. Sometimes, the decision is the correct one and once the company has clarified the reason behind it, the customer adjusts to the new situation. At other times, the consumer refuses to accept the decision and abandons the organisation or the specific product. This situation indicates some important negative outcomes for companies when making changes to product formulas. Social media allows customers to complain and comment, adding visibility to the situation. All these factors contribute to presenting management with a challenge in dealing with this situation, considering the needs of the company and balancing them with the customer reactions.

Third-year strategic marketing students MBA students (marketing courses)

Teaching notes (and necessary annexures) permissions.

CSS 8: Marketing.

Product quality standardization is the solution to market collapses due to quality-insensitive pricing regimes prevalent in West African (WA) rice value chains. However, access to local rice that is differentiated by quality standards is limited. This paper explores feasibility of quality standardization of local rice and evaluates how its price–quality connecting effect depends on retailer characters/reactions.

This study uses panel data from a wholesale randomized control trial (RCT) and three surveys of 135 rice retailers in Ghana.

Improved local food value chains and access to quality differentiated products are impactful entry points for import substitution policies. The strength of interretailer competition, retail infrastructure and wholesaler activities matter for a stronger connection of prices and quality, given uptake of quality-standardized local rice.

Access to quality-differentiated local rice can be increased via private and third-party certification. This addresses the prevailing inefficient pricing and its related problems. The positive impacts of such access would be magnified by designing quality certification interventions to elicit regular-frequent purchases by retailers and target retailers with adequate retail infrastructure in high competition areas. However, this study only explored profitability and opportunities for strategic behavior as the behavioral basis for quality-sensitive pricing. Other impact mechanisms could be explored in further research that includes consumer data.

Despite their difficulty and limited use in value chains studies, RCT and panel data methods are used. This study is the first to empirically analyze feasibility of introducing product standardization, a missing institution in the WA local rice markets.