Demand for Secondhand Goods and Consumers' Preference in Developing Countries: An analysis using the field experimental data of Vietnamese consumers

Using the data from a series of field experiments that were carried out in in Hanoi, Thai Ping, and Thai Hong in Vietnam, we examined the relationship between consumers' preference for secondhand products and consumers' and products' attributes. In particular, we extracted their risk, time, and social cooperative preferences through the experiments. In addition, we surveyed their personal attributes and conducted a type of conjoint questionnaire about motorbikes and fridges. Regarding product attributes, we focused on the age, brand, size, quality labeling, origin, and so on. We found that product attributes influence consumer utility as expected. For example, the Honda brand positively influences consumer utility. Moreover, we obtained several important results about the relationship between personal attributes and demand, in particular, about preference for secondhand products. For example, consumers who are more far-sighted and/or older have stronger preference for secondhand goods compared with the less far-sighted and/or younger consumers; the older and/or male consumers have stronger preference for Japanese brands as compared with the younger and/or female consumers. It is also possible that environmental consciousness affects the preference for secondhand products. We also provide policy implications on quality certification and international trade of secondhand goods.