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Positioning strategies of high-tech products: cross-cultural moderating effects of ethnocentrism and cultural openness

Bashar S. Gammoh (Department of Marketing and International Business, University of Toledo , Toledo, Ohio, USA)
Anthony C. Koh (Department of Marketing and International Business, University of Toledo , Toledo, Ohio, USA)
Sam C. Okoroafo (Department of Marketing and International Business, University of Toledo , Toledo, Ohio, USA)

Journal of Product & Brand Management

ISSN: 1061-0421

Article publication date: 8 October 2019

Issue publication date: 21 April 2020

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Abstract

Purpose

This study aims to extend current research efforts by utilizing the institutional theory to propose cross-cultural-based asymmetrical moderating effects of ethnocentrism and cultural openness on the effectiveness of global, foreign and local consumer culture brand positioning strategies of high-tech products.

Design/methodology/approach

This study used an experimental design in the USA (developed country) and India (developing country). Print advertisements across the two countries were used to explore the proposed moderating effects of ethnocentrism and cultural openness on consumer brand evaluations of a high-tech product under the three different consumer culture brand positioning strategies.

Findings

Overall, this study provided empirical evidence in support of the proposed cross-cultural asymmetrical effects. The study findings indicate that consumer ethnocentrism seems to be more important in influencing a subject’s brand evaluations across the positioning strategies in a developed country like the USA, while consumer cultural openness will be more important in influencing a subject’s brand evaluations across the positioning strategies in a developing country like India.

Originality/value

Despite existing research efforts on the potential benefits of positioning brands using global, foreign or local consumer cultures, there is a lack of empirical evidence regarding the effectiveness of these positioning strategies across different cultures. Theoretically, this research draws on the institutional theory to investigate the asymmetrical cross-cultural moderating effects of ethnocentrism and cultural openness on the effectiveness of the three-consumer culture brand positioning strategies. Managerially, this study provides empirically based suggestions for brand managers attempting to position their brands with different segments of consumers while highlighting the importance of cultural differences between developed and developing markets.

Keywords

Citation

Gammoh, B.S., Koh, A.C. and Okoroafo, S.C. (2020), "Positioning strategies of high-tech products: cross-cultural moderating effects of ethnocentrism and cultural openness", Journal of Product & Brand Management, Vol. 29 No. 3, pp. 369-385. https://doi.org/10.1108/JPBM-10-2018-2048

Publisher

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Emerald Publishing Limited

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