Spillover effects of food recalls: A milk recall scenario experiment in China

Abstract Food recall is a major ingredient in food safety with existing literature focusing mainly on its direct impacts. Few studies focus on possible spillover effects. It is hypothesized that food recalls have a spillover effect on the recalled brand and purchase channel. As a test of this hypoth...

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Main Authors: Na Hao, Yi Zhang, Qiujie Zheng, Michael Wetzstein
Format: Article
Language:English
Published: Nature Portfolio 2022-04-01
Series:npj Science of Food
Online Access:https://doi.org/10.1038/s41538-022-00139-1
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author Na Hao
Yi Zhang
Qiujie Zheng
Michael Wetzstein
author_facet Na Hao
Yi Zhang
Qiujie Zheng
Michael Wetzstein
author_sort Na Hao
collection DOAJ
description Abstract Food recall is a major ingredient in food safety with existing literature focusing mainly on its direct impacts. Few studies focus on possible spillover effects. It is hypothesized that food recalls have a spillover effect on the recalled brand and purchase channel. As a test of this hypothesis, a 2-purchase channel by 3-recall strategy scenario experiment was conducted on spillover effects of a milk recall in Beijing, China. The results indicate that food-safety scares have significant negative impacts on consumers’ purchase intention on the recalled brand and purchase channel, and the impacts are more significant for online than offline marketing. However, voluntary recalls by online firms help mitigate these negative effects and restore consumers’ purchase intention more than offline voluntary recalls. An online food incident creates an issue of trust toward general online platforms. Online vendors should take greater care in guaranteeing food safety and actively take restorative actions such as voluntary recalls after a food safety incident. Results provide empirical evidence for industry organizations and governments to stipulate a strict food safety and incident resolution system for e-commerce.
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spelling doaj.art-ac4d0731ffef42f2b40cefa0175bef9b2022-12-22T01:07:11ZengNature Portfolionpj Science of Food2396-83702022-04-01611810.1038/s41538-022-00139-1Spillover effects of food recalls: A milk recall scenario experiment in ChinaNa Hao0Yi Zhang1Qiujie Zheng2Michael Wetzstein3School of Economics, Beijing Technology and Business UniversitySchool of Economics, Beijing Technology and Business UniversitySchool of Economics, Guizhou UniversityDepartment of Agricultural Economics, Purdue UniversityAbstract Food recall is a major ingredient in food safety with existing literature focusing mainly on its direct impacts. Few studies focus on possible spillover effects. It is hypothesized that food recalls have a spillover effect on the recalled brand and purchase channel. As a test of this hypothesis, a 2-purchase channel by 3-recall strategy scenario experiment was conducted on spillover effects of a milk recall in Beijing, China. The results indicate that food-safety scares have significant negative impacts on consumers’ purchase intention on the recalled brand and purchase channel, and the impacts are more significant for online than offline marketing. However, voluntary recalls by online firms help mitigate these negative effects and restore consumers’ purchase intention more than offline voluntary recalls. An online food incident creates an issue of trust toward general online platforms. Online vendors should take greater care in guaranteeing food safety and actively take restorative actions such as voluntary recalls after a food safety incident. Results provide empirical evidence for industry organizations and governments to stipulate a strict food safety and incident resolution system for e-commerce.https://doi.org/10.1038/s41538-022-00139-1
spellingShingle Na Hao
Yi Zhang
Qiujie Zheng
Michael Wetzstein
Spillover effects of food recalls: A milk recall scenario experiment in China
npj Science of Food
title Spillover effects of food recalls: A milk recall scenario experiment in China
title_full Spillover effects of food recalls: A milk recall scenario experiment in China
title_fullStr Spillover effects of food recalls: A milk recall scenario experiment in China
title_full_unstemmed Spillover effects of food recalls: A milk recall scenario experiment in China
title_short Spillover effects of food recalls: A milk recall scenario experiment in China
title_sort spillover effects of food recalls a milk recall scenario experiment in china
url https://doi.org/10.1038/s41538-022-00139-1
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AT qiujiezheng spillovereffectsoffoodrecallsamilkrecallscenarioexperimentinchina
AT michaelwetzstein spillovereffectsoffoodrecallsamilkrecallscenarioexperimentinchina