A Study of Consumer's Price Sensitivity for Pork

Abstract

The price of pork in China has been soaring since 2019, which has attracted much attention of the public. The price sensitivity of pork is an important reference for enterprises' pricing strategy. The paper studied consumer's price sensitivity of pork by 217 consumer questionnaires of Chuxiong in Yunnan province. The results show that: 1) the price sensitivity for pork between men and women is almost the same, indicating that gender shows no difference in pork price sensitivity. 2) Age is positively correlated with pork price sensitivity. 3) Those consumers, who bought pork at shopping malls, food markets and affordable supermarkets, are high in price sensitivity, while the ones who bought pork online were low. 4) Household income is negatively correlated with pork price sensitivity. 5)When the price of pork rises to a price that consumers can't afford, the proportion of consumers who choose chicken, duck, fish, beef and mutton as substitutes is 37%, 18%, 28%, 10% and 7%, respectively. Enterprises should develop pricing strategy accordingly.