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3. Structure of the hedonic price function is difference between production centers
and centers of marketing. 3.a. Organic rice prices of centers of marketing is higher than in the central of
production. 3.b. Hedonic price function area of centers of marketing is more sensitive due to
the changes in the characteristics than in the centers of production. 4.
Consumer demand for organic rice is affected by own price, the price of non- organic rice, family income, education of housewife, familial reference, collegial
reference, neighborhood reference, and consumer preference. 5.
Structure of consumer demand function for organic rice is difference among the consumers of production centers and the consumer of the marketing centers.
5.a. Organic rice demand in marketing centers is higher than in production centers.
5.b. Organic rice demand in marketing centers is more sensitive due to the changes in the price of organic rice, the price of non-organic rice, family
income than in production centers.
E. Research Methods
The sample size was a number of 61 organic rice consumers of Sragen, 59 consumers of Surakarta and 69 consumers of Semarang. Sample of consumers in
each region are taken by convenience method Malhotra, 2004, i.e. customers of organic rice retail outlet. In this study, respondents were taken from organic rice
buyers of retail outlet that were willing to be the respondent. Survey of consumers conducted by distributing questionnaires to be filled out by the respondents at the
point of purchase after shopping or filled in the consumers home. To test the hypothesis 1 conducted an analysis to determine the factors
that influence consumer preference. To analyze the factors that influence consumer
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preferences, conducted a binomial logit regression analysis with the dependent variable of the consumer preference and the independent variable of the perception
of organic farming, organic rice purity, environmental concern, education of housewife and dummy of location. To test the hypothesis 2 semi logarithmic
regression analysis, with the dependent variable of the price of organic rice, while the independent variable of the grain head, grain color, chalky grain, brown grain,
foreign matter, texture, aroma, volume of cooked rice, sweetness, and shelf life. To test the hypothesis 3 a Chow method is conducted and be continued by a
regression analysis with expanded variable of the interaction between variable grain head, chalky grain, texture and sweetness and the dummy location.
To test the hypothesis 4 be conducted an analysis of double logarithmic regression models of demand function of organic rice. Factors that were suspected
to influence consumer demand for organic rice were the organic rice price, price of non-organic rice, family income, education housewife, the familial reference, the
collegial reference, neighborhood reference, and consumer preference. To test the hypothesis 5 is done by the Chow method is conducted and be continued by a
regression analysis with expanded variable of the interaction between the variable price of organic rice, familial reference, collegial reference, neighborhood
reference, consumer preference with dummy location.
F. Results
The analysis showed that the variable perception of organic farming, organic rice purity, family income and the dummy location are factors that
influence consumer preferences. Better consumer perception towards organic farming and organic rice purity will increase consumer preference. Consumers with
higher family income have a better preference to organic rice. Consumers of Surakarta and Semarang have a better preference of organic rice. Similar to Rimal
