Decomposing Bottled Water in France and Taiwan: A Hedonic Price Analysis

• Main Authors: Fabien Laventureux, 方恩儒
• Other Authors: David Emanuel Andersson
• Format: Others
• Language: en_US
• Published: 2010
• Online Access: http://ndltd.ncl.edu.tw/handle/10122239143344708718

碩士 === 國立中山大學 === 企業管理學系研究所 === 98 === Nowadays, bottled water is a common product, which can be easily found everywhere in developed and underdeveloped countries, and that usually has the main goal of reducing health risk. In Taiwan, tap water if often recognized as non-potable water, so, most of the people buy bottled water or filter their tap water. In France bottled water is popular for its convenience that consumers derive from it. However, bottled water became an important topic of discussion due to its importance and its negative aspects such as plastic waste, and its high price while having a similar composition with tap water. The aim of this study is to decompose the price of bottled water in France and Taiwan while using the hedonic price function in order to estimate the implicit price and the utility maximization that consumers estimate about it. A semi-log model has been used in order to obtain results. The findings show that the two markets have different preferences about bottled water attributes, but also have similarities which led to the conclusion that the that cultural and environmental differences play a large role in the preferences of bottled water attributes.