Search results

The purpose of this paper is to analyze the competitiveness of the Greek virgin olive oil in the main destination markets (German, Italian, UK and US market).

In order to achieve the aim, in the first stage the Revealed Comparative Advantage (RCA₂) Index was employed showing that Greek virgin olive oil has a comparative advantage over the other suppliers (mainly Italy and Spain) in the markets under examination. In the second stage, the estimations of an import demand system for each market were estimated.

Results demonstrate clearly the competitive advantage of Greek virgin olive oil in the German market but not so clear in the rest of the markets. A strategic shift to export high-quality branded virgin olive oil instead of bulk seems necessity, in order the Greek virgin olive oil to dominate to the international markets.

Though there are similar works, especially for Spanish olive oil, there is no analogous research work for the Greek olive oil.

The purpose of this paper is twofold: first, to evaluate the claim that consumers are willing to compromise on taste in order to obtain the potential health benefits from functional snacks; and second, to investigate the effect of expectations for the snacks, blind tasting and product information on hedonic judgments and willingness to pay (WTP).

A sample of 160 subjects was recruited to participate in a lab experiment that combined hedonic evaluations and a series of non-hypothetical second-price Vickrey auctions, under blind or informed tasting conditions. Participants were also asked to complete a questionnaire about consumer preferences, purchasing habits and demographics.

Results indicate that tasting and information have economically and statistically significant effects on overall food assessment with respect to prior product expectations. Provision of information regarding functional food components shortly before consumption makes consumers less strict on their taste evaluation and increases their WTP. This indicates that consumers are willing to partly sacrifice the pleasure of taste in order to improve the healthfulness of their diet. When information is provided after taste, it only exerts influence with respect to the carob-based snack. Furthermore, blind tasting has a negative effect on liking, irrespective of the product being evaluated. Finally, the econometric results reveal that older respondents tend to bid higher for functional snacks.

This study contributes to the existing literature not only on the basis of the novelty of results but also on the methodological front, since it showcases the combined use of hedonic tests and auctions with real monetary incentives as a state of the art technique on eliciting consumers’ overall assessment for functional snacks. It also highlights important elements in the toolkit that marketers can use to influence products’ perceived health benefits, and thus consumption choices.

Since Greece became a member of the EU and after the implementation of plethora of structural funds programs regarding the agricultural sector, the situation has remained more or less the same as far as the structural characteristics of the agricultural sector is concerned.

The agricultural sector in Greece accounts for €6.67 billion and contributes 4.3% to the total GVA which is double compared with the average European one (1.6%). The Agricultural Factor income per annual work unit (AWU) has reached 94% of the EU average. During the economic crisis (2009–2013) the value of this index decreased 22% while in the next years an upward trend followed and in 2019 reached the same level as before the economic crisis. During the period 2005–2018, productivity in Greece showed moderate and negative TFP growth numbers while in the same period, the TFP growth was stronger in the EU presenting an increase of 10%. The trade balance of agri-food products in Greece is negative, although recently this trade deficit has been reduced following an improvement in the agri-food sector's export performance. The value of agri-food products exports amount to €6.04 billion, which are the third largest category of exported goods. Also, the value of exports of manufactured products rose 70% during the period 2009–2019 against the exports of commodities, which also rose with a lower rate (25%), something that it is positive for the Greek economy, given the higher added value of manufactured products. Under the current Common Agricultural Policy Action Plan (2014–2020), Greece has a guaranteed flow of around €20 billion for direct support of agricultural income through direct payments (Pillar I) and has earmarked €15 billion and the remaining €5 billion under the Rural Development Program, (Pillar II). However, the direct payments are not allocated fairly.

The COVID-19 pandemic crisis hit the entire Greek economy and the agri-food sector which has just recovered from the recent economic crisis. However, during this crisis, the Greek agro-food chain has demonstrated great resilience to guarantee the supply of food to consumers. In the era of COVID-19, the key factors that can be employed by agri-food industry as a strategy for penetrating in global markets, are (1) Focus on developed markets, (2) Marketing in branded form (not bulk), and ideally emphasis on the uniqueness of the raw material, and (3) Sufficient volume of products to gain a leading share in the premium segment of the market. In addition, knowledge and innovation have a key role to play in helping farmers and rural communities meet future challenges. Finally, the only way in order to achieve economies of scale in the agri-food sector is to increase the level of cooperation at all levels by any available means.