1. The willingness to pay for circular products : the role of production information for the promotion of sustainable consumption
- Author
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Campagnolo, Carmen and Campagnolo, Carmen
- Abstract
The textile industry is detrimental to social and environmental levels worldwide. As such information is increasingly coming to light, people are becoming more aware of the need to change both our consumption and production habits to be more sustainable. Thus the transition from a linear to a circular model is becoming increasingly popular for producers, however, for such an economy to succeed, it is vital for consumers to adopt this. There is a limited understanding of consumers’ perception of such products in the textile industry, especially when provided with information on the benefits of both social and environmental attributes of circular products. Thus, this paper investigates whether the provision of such information has a significant influence on consumers’ willingness to pay for circular products. This was assessed via an online experiment in the form of a between-subjects two-by-two factorial design. Subjects are randomly assigned to one of four treatment groups which determine what kind of information is presented to the subject prior to performing the tasks. Three different elicitation procedures are applied to measure willingness to pay (WTP) within each treatment group. This allows for additional insights into the main research question with regard to hypothetical bias and how these may differ across treatments. The results do not support a significant effect of information on consumer WTP. I find that providing pro-social and environmental information does not increase the willingness to pay for the respective circular product., submitted by: Carmen Campagnolo, Masterarbeit Universität Innsbruck 2023
- Published
- 2023