Organic Enterprises Case

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Describe the Problem
Cost of organic commodities can range between 50% and 300% more than conventional products (Greene). This results in a significant amount of individuals amongst the low-income households unable to purchase organic dairy products. A 10-percent increase in household income raises the probability of purchasing organic milk from 3 to 3.7 percent (Dong). If the general public comprehended the obstacles that low-income families face, they would support programs and organizations that increase this population's fresh organic dairy products. The future of organic dairy production is in the hands of consumer demand, as without a perceptible demand, production will decrease. From the perspective of individuals within low-income households, organic dairy products are price elastic, which refers to the capability of substituting organic dairy products for conventional products that tend to be inexpensive in comparison. Due to the lack of knowledge amongst our populace about the benefits of organic dairy products, it is
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How?
I will ask both groups involved in the experiment the exact same question such as “Do you purchase organic dairy products versus conventional product and why or why not?” “If organic dairy products were more affordable than the current prices would this incentivize you to purchase more?” The answers to these questions will first verify if these households are basing their purchases centered around their income, or furthermore will allow me to conclude that our nation is not cognizant upon the benefits of organic dairy products as elaborated within the Natural Sciences sector.

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