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Publication date: 13 June 2013

Durairaj Maheswaran, Cathy Yi Chen and Junhong He

Purpose – Extensive research in the area of consumer behavior has documented the “Country of Origin Effect,” which identifies country of origin as an important decision…

Abstract

Purpose – Extensive research in the area of consumer behavior has documented the “Country of Origin Effect,” which identifies country of origin as an important decision variable in evaluating products and services. Past research has mostly assumed that country of origin effect is driven by the performance of the products originating in that country. However, consumers can also form opinions about countries based on exposure to information that is unrelated to the product and may have roots in macro factors such as history, culture, and politics. These emotions, while extraneous to the product, can also influence product evaluations along with performance-related country information.Design/methodology/approach – This review examines research addressing both performance and emotional perceptions related to country of origin.Findings – This review presents an integrating framework termed “Nation Equity” to systematically understand and examine the influence of various dimensions of country of origin on consumer decision making.

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Review of Marketing Research
Type: Book
ISBN: 978-1-78190-761-0

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Article
Publication date: 14 November 2016

C. Min Han

The purpose of this paper is to investigate whether or not the strategy of pursuing a global brand identity by leading Asian firms will produce intended outcomes in…

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1473

Abstract

Purpose

The purpose of this paper is to investigate whether or not the strategy of pursuing a global brand identity by leading Asian firms will produce intended outcomes in consumer responses. For this purpose, the study empirically examines whether global Japanese brands (e.g. Toyota) are perceived as global or Japanese by consumers.

Design/methodology/approach

Surveys were conducted with Korean consumers for their evaluations of Japanese automobile brands with varying degrees of globalness. As for brands, the study divides Japanese brands into two groups – those with high brand globalness and those with low brand globalness – and to examine if Japanese-origin effects differ between these two groups.

Findings

In contrast to the hypothesis, global brands were found to be more subject to country-of-origin effects.

Research limitations/implications

The findings contribute to research on consumer choices and brand globalness by showing country-of-origin effects for global brands.

Practical implications

The findings suggest that even when Asian firms emphasize the globalness of their brands, they may still need to attend to country-of-origin effects.

Originality/value

This study examines an unexplored issue of country-of-origin effects for global brands.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 28 no. 5
Type: Research Article
ISSN: 1355-5855

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Article
Publication date: 1 January 1989

Hans B. Thorelli, Jeen‐Su Lim and Jongsuk Ye

The relative importance of country of origin, product warranty, andretail store image on consumers′ product quality perception, overallattitude toward the product, and…

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2092

Abstract

The relative importance of country of origin, product warranty, and retail store image on consumers′ product quality perception, overall attitude toward the product, and purchase intentions is investigated. A 2x2x2 full factorial design with two levels (high and low) of country of origin, warranty and retail store image is utilised. ANOVA results show that country of origin and warranty cues have significant impacts on the three dependent measures. The interaction effects of all three independent variables are significant for the quality perception and overall attitude towards the product but are not significant for the purchase intentions. In addition excellent warranty terms combined with store reputation has a greater impact on the dependent variables than the country‐of‐origin cue. Managerial implications of the research findings are discussed.

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International Marketing Review, vol. 6 no. 1
Type: Research Article
ISSN: 0265-1335

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Article
Publication date: 1 June 1998

Khalid I. Al‐Sulaiti and Michael J. Baker

This paper provides a comprehensive review of the literature regarding the effect of country of origin on consumer perceptions of products and services. Results reveal…

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27534

Abstract

This paper provides a comprehensive review of the literature regarding the effect of country of origin on consumer perceptions of products and services. Results reveal that consumer perceptions differ significantly on the basis of product/service and country of origin. The country of origin may be an important element in the perceptions consumers have of products and services especially where little other information is known. However, the question of how much influence the country of origin provides in product and service evaluations remains unanswered and a number of other major issues have yet to be resolved. Directions for future research are developed.

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Marketing Intelligence & Planning, vol. 16 no. 3
Type: Research Article
ISSN: 0263-4503

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Article
Publication date: 1 January 1989

Johny K. Johansson

Selected empirical findings on the effects of a product′s“made‐in” label are integrated with theoretical developmentsin consumer information processing and the economics…

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2115

Abstract

Selected empirical findings on the effects of a product′s “made‐in” label are integrated with theoretical developments in consumer information processing and the economics of consumer search. The result is an internally consistent theory of how country‐of‐origin effects vary across situations, individuals and products. The new perspective explains why country stereotyping influences decisions more among well‐informed buyers and dismisses the idea that country‐of‐origin cues are necessarily misleading or bad. It also generates predictions of when country‐of‐origin effects are greater and when they are smaller.

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International Marketing Review, vol. 6 no. 1
Type: Research Article
ISSN: 0265-1335

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Article
Publication date: 1 June 1999

Hwei‐Chung Chen and Arun Pereira

An experimental design is used to examine the effect of products’ country‐of‐origin on first‐mover advantage. Specifically, focuses on the effects of favorable/unfavorable…

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4145

Abstract

An experimental design is used to examine the effect of products’ country‐of‐origin on first‐mover advantage. Specifically, focuses on the effects of favorable/unfavorable country‐of‐origin on first‐mover advantage, as well as its effects with regard to “early followers” and “late followers”. The results have direct implications for products entering international markets as a first mover, “early” follower, or “late” follower. Results indicate that with increasing number of competitors entering an international market, a product’s favorable country image begins to lose its strategic importance. Consequently, the pursuit of first‐mover advantage may be more relevant than a positive country‐of‐origin effect. Also, the results suggest that for products from countries with a less than favorable image, it may be more useful to be a “follower” than a “first‐mover” because the advantage of being first in a market can be negated by the unfavorable country‐of‐origin effect.

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Journal of Product & Brand Management, vol. 8 no. 3
Type: Research Article
ISSN: 1061-0421

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Article
Publication date: 25 July 2013

Yi‐Ying Chang, Adam Smale and Seng‐Su Tsang

The purpose of this paper is to use a diachronic analysis to explore the influence of country of origin effect and country of management effect on the adoption of human…

Abstract

Purpose

The purpose of this paper is to use a diachronic analysis to explore the influence of country of origin effect and country of management effect on the adoption of human resource management (HRM) practices at different stages.

Design/methodology/approach

The methodology starts with an intensive literature review to establish an analytical framework by bringing country of origin and country of management effects on the HRM transfers. By using a longitudinal qualitative research design, a total of 164 interviews from four British subsidiaries of four Taiwanese multinationals were conducted to explore the change over time during the HRM transfer processes over a five‐year period.

Findings

The results provide evidence of the paradox as a result of country of origin effect and country of management effect on the adoption of HRM practices over time.

Research limitations/implications

It is problematic to conclude absolutely regarding the convergence or divergence of HRM practices. This is due to HRM practices being in a constant state of flux between global integration and local adaptation during the transfer process.

Originality/value

This is the first empirical study to examine the impacts of country of origin effect and country of management effect on the HRM transfers from emerging multinationals in the advanced economy from a diachronic perspective.

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Cross Cultural Management: An International Journal, vol. 20 no. 3
Type: Research Article
ISSN: 1352-7606

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Article
Publication date: 19 April 2011

Shamindra Nath Sanyal and Saroj Kumar Datta

The purpose of this paper is to explore the impact of country of origin image on brand equity of branded generic drugs.

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7726

Abstract

Purpose

The purpose of this paper is to explore the impact of country of origin image on brand equity of branded generic drugs.

Design/methodology/approach

Brand equity of branded generics is examined through an analytical review. Country of origin image is hypothesised to influence components of brand equity, i.e. brand strength and brand awareness, which in turn influence brand equity. An empirical investigation was carried out among professionally similar respondents, i.e. doctors of different categories in Kolkata megapolis, India.

Findings

Results showed that country of origin image had a positive and significant effect on components of brand equity, i.e. brand strength and brand awareness, derived from factor analysis conducted on brand equity components. The result also showed that country of origin image of branded generics significantly, but indirectly, affected brand equity through the mediating variables, brand strength and brand awareness.

Research limitations/implications

Different variables have influence on brand equity. This study dealt with only one type of variable, i.e. country of origin image, that may limit the total process of brand equity enhancement.

Practical implications

Marketing actions should be implemented to enhance brand strength and awareness levels. Country of origin image should be assessed as a multidimensional concept for enhancing brand equity. Marketers should be aware of the fact that physicians are influenced by the brand's original country image.

Originality/value

This research work has extended prior country of origin research by conceptualising the country of origin image as a brand equity enhancing tool in a new area called branded generic drugs.

Details

Journal of Product & Brand Management, vol. 20 no. 2
Type: Research Article
ISSN: 1061-0421

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Article
Publication date: 1 August 2006

Long‐Yi Lin and Chun‐Shuo Chen

The main purpose of this study is to explore the influence of the country‐of‐origin image, product knowledge and product involvement on consumer purchase decision.

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20450

Abstract

Purpose

The main purpose of this study is to explore the influence of the country‐of‐origin image, product knowledge and product involvement on consumer purchase decision.

Design/methodology/approach

Taiwan, China and the USA were the three countries selected for research into the country‐of‐origin, insurance and catering services. Structured questionnaires and convenience sampling were used. Samples were collected from consumers in the Taipei area. A total of 400 questionnaires were distributed with convenience sampling method, and 369 effective samples were collected, the effective rate being 92.25 percent. Stepwise regression analysis was adapted to test hypothesis.

Findings

The main findings were listed as follows: the country‐of‐origin image, product knowledge and product involvement all have a significantly positive effect on consumer purchase decision; the country‐of‐origin image has a significantly positive effect on consumer purchase decisions under different product involvement; and product knowledge has significantly positive effect on consumer purchase decisions under different product involvement.

Research limitations/implications

Limitations of the study are: it is unable to infer to national consumers and to other service areas and the explanatory power of some empirical models is relative low. Implications of the study are that: a more thorough structure about consumer purchase decisions should be provided and the relationship between product knowledge and information search quantity should be verified.

Practical implications

Practical implications pf the study are that the company must face competitive strategies from many countries and also the effect of consumer product knowledge on business competitive strategy.

Originality/value

The added value of this paper is to link between theory and practice, and explore the different country‐of‐origin image, product knowledge and product involvement on consumer purchase decisions.

Details

Journal of Consumer Marketing, vol. 23 no. 5
Type: Research Article
ISSN: 0736-3761

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Article
Publication date: 1 June 1989

Sevgin A. Eroglu and Karen A. Machleit

This article advances the country of origin research stream byaddressing some of the theoretical and methodological issues given aslimitations in past studies. A…

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1667

Abstract

This article advances the country of origin research stream by addressing some of the theoretical and methodological issues given as limitations in past studies. A conceptual model based on the cue paradigm was developed to investigate the relative impact of country of origin as a quality indicator in a causal framework. Results indicate that the country of origin cue is indeed a significant indicator of product quality; however, its relative effect varies by product category as well as by certain individual and product variables.

Details

International Marketing Review, vol. 6 no. 6
Type: Research Article
ISSN: 0265-1335

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