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1 – 10 of 97Marzanna Katarzyna Witek-Hajduk and Anna Grudecka
The objective of the study is to identify both reasons for ignoring and for paying attention to the country of origin (COO) by consumers when choosing brands of durable goods.
Abstract
Purpose
The objective of the study is to identify both reasons for ignoring and for paying attention to the country of origin (COO) by consumers when choosing brands of durable goods.
Design/methodology/approach
In this paper a qualitative approach was applied, i.e. 25 in-depth semistructured interviews with Polish consumers of durable goods purposively selected out of those who had previously participated in a quantitative survey conducted by the authors.
Findings
Among the reasons for paying attention to the COO when choosing brands of durable goods, cognitive (rational), affective (emotional) and normative factors have been identified, while among the reasons for ignoring the COO by consumers, the authors identified only cognitive (rational) and affective (emotional) factors.
Research limitations/implications
The conclusions can be applied by brand managers, e.g. when making decisions whether and why to communicate COO dimensions.
Originality/value
This paper contributes to the international marketing literature as it develops a deeper insight into consumer behavior with reference to the consumers’ reasons for paying attention to and ignoring the COO, with very little published on the latter in particular. Furthermore, it is one of still relatively few qualitative studies conducted so far on COO taking a perspective of a consumer, especially the one from an emerging market from the European Union (EU).
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The production process of processed food products may involve several countries. This multi-dimensionality of the country of origin (COO) may affect consumer preferences for the…
Abstract
Purpose
The production process of processed food products may involve several countries. This multi-dimensionality of the country of origin (COO) may affect consumer preferences for the products. We apply Case 2 best–worst scaling to measure Japanese consumers’ preferences for three dimensions of the COO of a vegetable juice product.
Design/methodology/approach
The three dimensions of the COO include these: the country where the raw materials of the product were grown (the country of growing), the country where the raw materials were processed (the country of processing) and the country where the food company producing the product is headquartered (the country of the company). Japan, Australia, Thailand and China are the countries considered for the three COO-related attributes. Sixteen juice products (profiles) were created from the three four-level attributes. A survey queried 416 consumers to select the best and worst ones from among the three attribute levels shown in each profile.
Findings
The average utility of the country of growing is the highest among those of the three COO-related attributes. However, consumers evaluate the country of growing as the least preferred among the three attributes with respect to a country with a negative food quality reputation.
Originality/value
This is the first Case 2 best–worst scaling study to measure consumer preferences for the three dimensions of the COO of processed food products. It suggests marketing strategies for domestic and international juice companies.
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Adamantios Diamantopoulos, Ilona Szőcs, Arnd Florack, Živa Kolbl and Martin Egger
Drawing on the stereotype content model (SCM), the authors investigate the stereotype content transfer (in terms of warmth and competence) from country to brand and the…
Abstract
Purpose
Drawing on the stereotype content model (SCM), the authors investigate the stereotype content transfer (in terms of warmth and competence) from country to brand and the simultaneous impact of these two stereotypes on consumer responses toward brands.
Design/methodology/approach
The authors test a structural equation model conceptualizing brand stereotypes as full mediators between country stereotypes and consumer outcomes. In addition, in a moderated mediation analysis, the authors investigate the role of brand typicality and utilitarianism/hedonism in potentially moderating the country to brand stereotype content transfer.
Findings
Country warmth and competence, respectively, impact brand warmth and competence, thus confirming the hypothesized stereotype content transfer. This transfer is found to be robust and not contingent on brands' perceived typicality of their country of origin. However, brands' utilitarian nature amplifies the positive impact of country competence on brand competence. Finally, brand stereotypes fully mediate the impact of country stereotypes on consumers' brand attitudes and behavioral intentions.
Originality/value
The authors provide the first empirical attempt that (1) explicitly differentiates between consumers' stereotypical perceptions of countries and stereotypical perceptions of brands from these countries, (2) empirically examines the transfer of stereotypical dimensions of different targets (i.e. country to brand), (3) explores boundary conditions for such transfer and (4) simultaneously considers the impact of both kinds of stereotypes on managerially relevant consumer outcomes.
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Thomas Koerber and Holger Schiele
This study aims to examine decision factors for global sourcing, differentiated into transcontinental and continental sourcing to obtain insight into locational aspects of…
Abstract
Purpose
This study aims to examine decision factors for global sourcing, differentiated into transcontinental and continental sourcing to obtain insight into locational aspects of sourcing decisions and global trends. This study analyzed various country perceptions to reveal their influence on sourcing decisions. The country of origin (COO) theory explains why certain country perceptions and images influence purchasing experts in their selection of suppliers.
Design/methodology/approach
This study used a two-study approach. In Study 1, the authors conducted discrete choice card experiments with 71 purchasing experts located in Europe and the USA to examine the importance of essential decision factors for global sourcing. Given the clear evidence that location is a factor in sourcing decisions, in Study 2 the authors investigated purchasers’ perceptions and images of countries, adding country ranking experiments on various perceived characteristics such as quality, price and technology.
Findings
Study 1 provides evidence that the purchasers’ personal relationship with the supplier plays a decisive role in the supplier selection process. While product quality and location impact sourcing decisions, the attraction of the buying company and cultural barriers are less significant. Interestingly, however, these factors seem as important as price to respondents. This implies that a strong relationship with suppliers and good quality products are essential aspects of a reliable and robust supply chain in the post-COVID-19 era. Examining the locational aspect in detail, Study 2 linked the choice card experiments with country ranking experiments. In this study, the authors found that purchasing experts consider that transcontinental countries such as Japan and China offer significant advantages in terms of price and technology. China has enhanced its quality, which is recognizable in the country ranking experiments. Therefore, decisions on global sourcing are not just based on such high-impact factors as price and availability; country perceptions are also influential. Additionally, the significance of the locational aspect could be linked to certain country images of transcontinental suppliers, as the COO theory describes.
Originality/value
The new approach divides global sourcing into transcontinental and European sourcing to evaluate special decision factors and link these factors to the locational aspect of sourcing decisions. To deepen the clear evidence for the locational aspect and investigate the possible influence of country perceptions, the authors applied the COO theory. This approach enabled authors to show the strong influence of country perception on purchasing departments, which is represented by the locational effect. Hence, the success of transcontinental countries relies not only on factors such as their availability but also on the purchasers’ positive perceptions of these countries in terms of technology and price.
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Alessio Trentin, Thomas Aichner, Enrico Sandrin and Cipriano Forza
The operational capability of mass customization (MC) allows consumers to obtain products tailored to their idiosyncratic needs. This study aims to provide insights into the…
Abstract
Purpose
The operational capability of mass customization (MC) allows consumers to obtain products tailored to their idiosyncratic needs. This study aims to provide insights into the potential of this capability for countering a product's liability of foreignness – the negative effect of the out-group status of a product's country of origin (COO) on consumers' evaluations of the product.
Design/methodology/approach
Based on the social identity approach, it is hypothesized that this liability is reduced when a consumer product is mass-customized rather than standardized as per a mass-production strategy. This hypothesis is tested using a mixed between- and within-subject experiment.
Findings
When evaluating mass-produced sneakers, native German-speaking (Italian-speaking) South Tyrolean consumers rated the quality of Italian (German) sneakers significantly lower than that of German (Italian) sneakers. However, when the sneakers were mass-customized, this difference in perceived product quality was non-significant for both groups of consumers, supporting the research hypothesis.
Research limitations/implications
Future research could replicate this study in other samples, with other product types, COOs and countries of destination, as well as at different degrees of product customization.
Practical implications
Business-to-consumer firms contemplating the development of their MC capability are made aware that the benefits of this operational capability might go beyond the typical advantages highlighted by the existing literature.
Originality/value
This paper joins the discussion on MC value by offering a theoretical explanation and empirical support for another mechanism through which the operational capability of MC can create value, at least in business-to-consumer industries: by countering a product's possible liability of foreignness and thus increasing perceived product quality in export markets.
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Deli Dotse Gli, Ernest Yaw Tweneboah-Koduah, Raphael Odoom and Prince Kodua
Customer loyalty is of growing interest to many service firms due to the many tangible and intangible benefits it offers them. However, building customer loyalty is challenging…
Abstract
Purpose
Customer loyalty is of growing interest to many service firms due to the many tangible and intangible benefits it offers them. However, building customer loyalty is challenging for many service firms. This study aims to examine the impact of corporate reputation on customer loyalty. It also assesses the moderating role of the firm's country of origin in this relationship.
Design/methodology/approach
Survey research design was used to collect data from 367 universal banks' customers. Data were analysed using structural equation modelling.
Findings
The findings shed light on several crucial aspects of corporate reputation that influence customer loyalty. Specifically, signals of corporate social responsibility, corporate credibility, product attributes and relationship marketing were found to have a substantial impact on customer loyalty. Additionally, the study uncovers a noteworthy insight that the firm's country of origin plays a moderating role in the relationship between corporate reputation and customer loyalty, particularly in the context of the banking sector.
Originality/value
This research stands out due to its utilisation of signalling theory, making it one of the pioneering works in the bank brand management literature. It presents a comprehensive corporate reputation framework and its profound implications for customer loyalty. Furthermore, the study underscores the significance of considering the strength of the country-of-origin effect in shaping customer loyalty relationships.
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Barbara Francioni, Ilaria Curina, Sabrina M. Hegner, Marco Cioppi and Tonino Pencarelli
The paper analyzes the effect of country of origin (COO) image, word-of-mouth (WOM) and brand distinctiveness toward overall brand equity (OBE) and its dimensions (brand…
Abstract
Purpose
The paper analyzes the effect of country of origin (COO) image, word-of-mouth (WOM) and brand distinctiveness toward overall brand equity (OBE) and its dimensions (brand awareness/associations; perceived quality; brand loyalty) in the brewing sector.
Design/methodology/approach
A quantitative research has been conducted by adopting the survey technique and structural equation modeling based on a sample of 401 Italian beer consumers.
Findings
Results corroborate a positive effect of (1) COO image and brand distinctiveness on brand awareness/associations, perceived quality and brand loyalty; (2) WOM on perceived quality and brand loyalty; (3) brand awareness/associations and brand loyalty on OBE. Findings also verify the mediating effects of the OBE dimensions on the relationships between the analyzed antecedents (COO image, WOM and brand distinctiveness) and OBE.
Research limitations/implications
Although the selection of a sample composed of Italian students guarantees good research internal validity, findings are not generalizable.
Practical implications
The study offers valuable strategies for brewing firms to reach high levels of brand equity. In particular, it identifies the key role of COO image, WOM, brand distinctiveness and OBE dimensions in realizing careful brand management processes.
Originality/value
The paper focuses on analyzing the influence of COO image on brand equity in the brewing industry, thus enriching an area of investigation that requires further insights within an under-investigated sector.
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Kaveh Moghaddam, Elzotbek Rustambekov, Thomas Weber and Sara Azarpanah
Transnational entrepreneurship can be considered a new stream of research where migrant entrepreneurship and international business research fields intersect. The purpose of this…
Abstract
Purpose
Transnational entrepreneurship can be considered a new stream of research where migrant entrepreneurship and international business research fields intersect. The purpose of this paper is to offer a theoretical framework to address the following research question: How do transnational entrepreneurs (TEs) develop their competitive advantage to succeed in a global market?
Design/methodology/approach
Based on the strategic entrepreneurship approach and dynamic capability perspective, this paper suggests a theoretical framework to extend the understanding on how TEs may develop their competitive advantage to succeed in a global market.
Findings
The suggested theoretical framework exhibits how the social ties of TEs affects their firm performance through the mediating effect of a bundle of two organizational processes (opportunity sensing and opportunity seizing) and the moderating effect of institutional distance between countries of origin and residence.
Practical implications
TEs should not solely focus on their ethnic social ties. That is why this paper suggests that ethnic ties in the country of origin and the country of residence (COR) may lead to higher firm performance only if systematically used alongside nonethnic ties in the COR. Furthermore, it is crucial for TEs to understand the importance of dynamic capabilities in developing and sustaining their competitive advantage.
Originality/value
Based on the strategic entrepreneurship approach, this paper suggests a social tie-based model of the dynamic capability to address the theoretical void in the transnational entrepreneurship literature. The linkage between social tie and performance which has been in a black box is examined in terms of how strong and weak social ties may affect different underlying processes of TEs’ dynamic capabilities differently. In contrast to the common conceptualization of institutional distance as a negative moderator in international business literature, institutional distance is theorized as a positive moderator in the suggested theoretical model of transnational entrepreneurship.
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