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Article
Publication date: 1 January 2014

Yue Meng-Lewis, Des Thwaites and Kishore Gopalakrishna Pillai

This study investigates Chinese consumers' responses to foreign and domestic sponsors engaged in the Beijing Olympic Games. It identifies direct causalrelationships between…

Abstract

This study investigates Chinese consumers' responses to foreign and domestic sponsors engaged in the Beijing Olympic Games. It identifies direct causal relationships between consumer ethnocentrism, attitudes towards the sponsor and product judgement. Findings reveal that event involvement mediates the positive relationship between consumer ethnocentrism and attitudes towards the domestic sponsor. Attitudes towards foreign sponsors are found to be a significant mediator in the relationship between consumer ethnocentrism and judgements of the sponsors' products. Theoretical and managerial implications are discussed.

Details

International Journal of Sports Marketing and Sponsorship, vol. 15 no. 2
Type: Research Article
ISSN: 1464-6668

Keywords

Article
Publication date: 18 March 2024

Amonrat Thoumrungroje, Adamantios Diamantopoulos and Nathalie Caroline Scherer

Drawing on cue utilization theory and the theory of motivated reasoning, we investigate the impact of consumer xenocentrism on product preferences in a situation where domestic…

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Abstract

Purpose

Drawing on cue utilization theory and the theory of motivated reasoning, we investigate the impact of consumer xenocentrism on product preferences in a situation where domestic products objectively outperform their foreign counterparts.

Design/methodology/approach

We develop and test a model linking xenocentrism to consumers’ preference towards domestic vs. foreign products by (1) examining the mediating role of consumers’ ability to identify the superior product and (2) assessing the role of product involvement in potentially moderating this relationship. An experimental design was employed, whereby respondents (Thai consumers, N = 579) were asked to compare two products in the same product category, one foreign and one domestic. In one condition, the foreign product outperformed the domestic one on a range of relevant product attributes, whereas in a second condition, the opposite was the case.

Findings

Our findings provide clear evidence that xenocentric consumers often cannot recognize the superiority of domestic products and, even if they do, they still exhibit preferences toward (inferior) foreign products. Thus, for xenocentric consumers, it seems that the country of origin (COO) overrides other cues and often results in suboptimal product choices.

Originality/value

Our study adds to our theoretical understanding of the functioning of the consumer xenocentrism construct and has important implications for foreign companies targeting xenocentric consumers as well as for local firms seeking to counteract xenocentric tendencies.

Details

International Marketing Review, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0265-1335

Keywords

Article
Publication date: 1 December 1998

Myung‐Soo Jo

This study examines whether consumers’ receptivity to ethnocentrism‐pitched advertisements differs by country and product category and, if so, why. The two countries surveyed are…

1342

Abstract

This study examines whether consumers’ receptivity to ethnocentrism‐pitched advertisements differs by country and product category and, if so, why. The two countries surveyed are Australia and India. Australia was chosen as a country where consumers should perceive a high level of foreign threat because it is quite open to foreign products and has a small economy and population. India was chosen as a country where consumers should perceive a low level of foreign threat because it is still tightly closed to foreign products. Findings show that the effectiveness of ethnocentrism‐pitched advertisements differs significantly not only by consumers’ perceptions of foreign threat, but also by consumers’ quality evaluations about domestic products, compared to corresponding foreign ones. Implications for international marketers and domestic manufacturers are discussed.

Details

International Marketing Review, vol. 15 no. 6
Type: Research Article
ISSN: 0265-1335

Keywords

Article
Publication date: 8 June 2023

Yi Zhang and Dongxin Zhang

The economy of China has developed rapidly, and its international status has quickly risen in the past 30 years. China is shifting from a major exporter into a major consumer…

Abstract

Purpose

The economy of China has developed rapidly, and its international status has quickly risen in the past 30 years. China is shifting from a major exporter into a major consumer, becoming an essential part of the international market. However, some global brands make wrong market decisions because of a lack of understanding of Eastern consumer culture.

Design/methodology/approach

Based on consumer xenocentrism, this paper helps global enterprises better understand Chinese consumers' psychology in foreign goods, which is conducive to the development of transnational trade. This study proposes a hypothesis model based on previous literature. The authors collected 300 questionnaires from China and tested the model by SPSS24 and AMOS24.

Findings

The findings show that curiosity and country of origin positively affect consumer xenocentrism, consumer xenocentrism has a positive impact on word-of-mouth and purchase intention, word-of-mouth plays a mediating role in xenocentrism and purchase intention and social comparison tendency plays a moderating role in consumer xenocentrism and purchase intention. Simultaneously, this paper develops a scale measuring consumer xenocentrism to provide some quantitative support for this research.

Originality/value

The authors propose some suggestions basing on the research of consumer xenocentrism and provide some further directions.

Details

Asia Pacific Journal of Marketing and Logistics, vol. 35 no. 12
Type: Research Article
ISSN: 1355-5855

Keywords

Article
Publication date: 20 October 2022

Yudha Dwi Nugraha, Rezi Muhamad Taufik Permana, Dedy Ansari Harahap, Mohsin Shaikh and Hofifah Ida Fauziah

This study aims to investigate how the social identity theory and emotional attachment theory influence the willingness of consumers to buy foreign cosmetic products

Abstract

Purpose

This study aims to investigate how the social identity theory and emotional attachment theory influence the willingness of consumers to buy foreign cosmetic products. Specifically, this study examines the relationship between consumer ethnocentrism, foreign product judgment and willingness to buy foreign products. Furthermore, the interaction effect of consumer affinity and patriotism are tested in the model.

Design/methodology/approach

An online survey of 208 millennial Muslim women consumers was used to collect the data. The structural equation modeling test was used to assess the six hypotheses. Moreover, the two-step estimation approach was used to test the interaction moderation of consumer affinity and patriotism.

Findings

The results indicate that consumer ethnocentrism has a positive and significant relationship with foreign product judgment. Foreign product judgment was also found to have a positive and significant relationship with willingness to buy. In addition, this study concludes that affinity was found to moderate the relationship between consumer ethnocentrism and foreign product judgment and strengthen the positive and significant effect of foreign product judgment on the willingness to buy. Finally, patriotism did not moderate the relationship between consumer ethnocentrism and foreign product judgment. However, patriotism moderated the relationship between foreign product judgment and willingness to buy.

Research limitations/implications

This study only focused on one category (i.e. low involvement product), and the authors recommend future studies to examine a high involvement product. Other individual orientation constructs, such as xenocentrism, need to be examined in future studies. Moreover, only intentional measures were investigated. Thus, further research could correlate intentional measures with product ownership. Finally, future research could examine how consumers behave differently across nations. Thus, the present model would require cross-cultural research.

Practical implications

Marketers focusing on global branding and international marketing can benefit from the findings of this paper by understanding the antecedents of consumers’ willingness to buy in the foreign cosmetic products setting. Additionally, foreign cosmetic marketers could focus on consumer affinity to strengthen the communication with and arouse the affinity of Muslim millennials women consumers in Indonesia. Finally, marketers can incorporate messages and signals of patriotism in their marketing communications to increase Muslim millennial women consumers’ love and pride.

Social implications

The growing obsession with beauty among women has led to the immense growth of the cosmetics industry. This phenomenon has spawned an abundance of cosmetic products on the market. The advancement of information technology has further increased competition for cosmetic products as more products can be quickly brought to market. Muslim millennials consumers must be aware and careful about raw materials, impacts on long-term health, impacts on the national economy, environmental impacts and halal certification when using various kinds of cosmetics.

Originality/value

This study contributes to the literature on international marketing research by incorporating the interactive effect of consumer affinity and patriotism in the acceptance of foreign cosmetic products.

Details

Journal of Islamic Marketing, vol. 14 no. 10
Type: Research Article
ISSN: 1759-0833

Keywords

Article
Publication date: 24 April 2009

Anders Pehrsson

The purpose of this paper is to extend the knowledge of marketing strategy antecedents of industrial value adding in foreign markets. It attempts to answer the following two…

2435

Abstract

Purpose

The purpose of this paper is to extend the knowledge of marketing strategy antecedents of industrial value adding in foreign markets. It attempts to answer the following two questions: how is the marketing strategy of a foreign subsidiary associated with the extent of its value‐adding activity? Is there an association between the extent of value‐adding activity and financial performance of the subsidiary?

Design/methodology/approach

A model is developed and hypotheses are tested. Data are collected from 191 subsidiaries of Swedish manufacturing firms in Germany, the UK, and the USA.

Findings

Product‐market breadth and market experience positively affect the extent of foreign value adding. Also, market experience has a moderating effect and strengthens the positive association between product‐market breadth and the extent of value adding. A foreign subsidiary's financial performance is positively associated with the number of value‐adding activities of the subsidiary.

Research limitations/implications

The study shows that the marketing strategy of a foreign subsidiary needs to be acknowledged to understand the antecedents of foreign value‐adding activity. In addition, the extent of value‐adding activity contributes to the implementation of an effective international strategy.

Practical implications

An industrial firm wanting to implement an effective international marketing strategy needs to pay attention to the links between the marketing strategy of a foreign subsidiary and the extent of the subsidiary's value‐adding activity.

Originality/value

The study is unique in that it applies a subsidiary perspective and focuses on foreign subsidiary strategy associations. The study both extends the common approach, which argues that the value adding of a foreign subsidiary is determined only by the corporate marketing strategy, and explores associations with foreign subsidiary performance.

Details

International Marketing Review, vol. 26 no. 2
Type: Research Article
ISSN: 0265-1335

Keywords

Article
Publication date: 19 May 2021

Mahmoud Abdulai Mahmoud, Tracy Nana Ebaskwa Mallen-Ntiador, Dominic Andoh, Mustapha Iddrisu and Adelaide Naa Amerley Kastner

The purpose of this study is to test consumer xenocentric tendencies on foreign goods purchase intention and to examine the mediating role of cultural openness on the relationship.

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Abstract

Purpose

The purpose of this study is to test consumer xenocentric tendencies on foreign goods purchase intention and to examine the mediating role of cultural openness on the relationship.

Design/methodology/approach

A total number of 204 respondents participated in the study. Web-based sampling technique was employed to select a cross-section of consumers. Structural equation modelling technique of AMOS 21 version was used to test the nature of relationships in the research hypotheses.

Findings

The results suggest that except country image and interpersonal influence, all other constructs had a positive significant relationship with the intention to purchase. Country of origin, self-confidence and self-esteem had impact on consumer intention to purchase foreign products, though exposure of consumers to other cultures did not endear them to the products of those foreign markets.

Practical implications

From a managerial perspective, management awareness of xenocentrism tendencies is the surest way to make prudent decisions with respect to stocking and distributing foreign and local products or services.

Originality/value

The current study brings newness to the phenomenon as it tests consumer xenocentric (C-XEN) constructs in an emerging economy, and cultural openness as a mediating variable.

Details

International Journal of Emerging Markets, vol. 18 no. 3
Type: Research Article
ISSN: 1746-8809

Keywords

Article
Publication date: 17 August 2012

Maria Elena Villar, Di Ai and Sigal Segev

Previous research is mixed regarding consumer reactions and concerns regarding product brands with foreign‐sounding names. This paper aims to study the perception and purchase…

4474

Abstract

Purpose

Previous research is mixed regarding consumer reactions and concerns regarding product brands with foreign‐sounding names. This paper aims to study the perception and purchase intent of foreign‐name brands in a sample of adult US and Chinese consumers.

Design/methodology/approach

US and Chinese consumers completed a 23‐item bilingual questionnaire to assess perceptions of foreign names on brand attitude and purchase intent for low‐involvement products, using two fictitious soft drink products.

Findings

The paper finds that there were no differences between US and Chinese consumers in attitudes towards foreign products or foreign brand names, except in the case of perceived deception. There were differences in perceptions that the product name was not authentic to the country of origin. Differences in purchase intent were driven by product type and price rather than country of origin or brand name.

Practical implications

When there is incongruence between product type and perceived country of origin, favorability for the product diminishes. Price, taste and packaging design may be more important in determining purchase intent.

Originality/value

While previous research looked at foreign brand names for high‐involvement products, this study addresses a low‐involvement product with mass‐market potential. China's and the USA's role as major consumers for global brands makes this study all the more relevant.

Article
Publication date: 27 March 2019

Rania W. Semaan, Stephen Gould, Mike Chen-ho Chao and Andreas F. Grein

Country-of-origin (COO) effects on product evaluations have been widely applied in international marketing, albeit with mixed results. One stream of research values its importance…

1096

Abstract

Purpose

Country-of-origin (COO) effects on product evaluations have been widely applied in international marketing, albeit with mixed results. One stream of research values its importance in decision-making, whereas another stream posits that COO has little effect when compared to the greater diagnosticity of other product attributes. This suggests that how and along what other attributes (extrinsic or intrinsic) COO is presented play an important role in its relative impact. The purpose of this paper is to address these mixed results by applying one such framing perspective based on evaluation mode (i.e. separate versus joint evaluation) and preference reversals and their biasing effects to a study of COO and willingness to pay (WTP) for a product.

Design/methodology/approach

A three between-subject (joint evaluation, separate evaluation-domestic and separate evaluation-foreign) experimental design was used to assess whether evaluation mode moderates COO effects on product evaluations.

Findings

Similar results are mirrored across three/four countries. When evaluated separately, consumers value an inferior domestic-made product more than a superior foreign-made one. However, when the domestic- and foreign-made products are presented in joint evaluations, the better foreign-made product is favored.

Research limitations/implications

A number of limitations in terms of countries, consumers within the countries and products studied are addressed along with future research that may address these factors and test the robustness of domestic–foreign preference reversals.

Practical implications

The results of this study reveal practical insights to marketers. Marketing managers for better-quality foreign brands are encouraged to engage in comparative advertising appeals and sell their products in retail stores that hold both domestic and foreign products, whereas marketers for domestic products should create a selling environment that facilitate only a separate evaluation mode to enhance WTP.

Originality/value

This paper provides insights on the diagnosticity of COO when presented alongside intrinsic attributes and the role of evaluation mode in shaping consumers’ preferences. This research suggests that COO has different effects in different evaluation modes, thus explaining some of the mixed results in literature regarding its importance. On the one hand, COO has a decisive effect on product evaluations when products are presented separately. On the other hand, COO effect is overridden by intrinsic cues, which become more apparent when products are presented jointly. Overall, these results demonstrate the robustness of the preference reversal effect across countries and products.

Details

European Journal of Marketing, vol. 53 no. 5
Type: Research Article
ISSN: 0309-0566

Keywords

Article
Publication date: 9 July 2021

Pablo Farías and Luis Torres

This paper explores which market and product category characteristics could influence the use of foreign language brand names (i.e. whether a brand uses a foreign language versus…

Abstract

Purpose

This paper explores which market and product category characteristics could influence the use of foreign language brand names (i.e. whether a brand uses a foreign language versus local language brand name) in some of the largest Latin American countries.

Design/methodology/approach

Hypotheses are tested using 880 brands from 39 product categories and nine Latin American markets using a hierarchical logistic regression.

Findings

Results revealed that foreign language brand names are more likely to be used in product categories related to local infrastructure, high-tech and global community. In contrast, local language brand names are more likely to be used in product categories associated to subscriptions. Findings also suggest that Hofstede's national cultural dimensions are significant factors. Finally, the results revealed that foreign language brand names are more likely to be used in markets with a low level of foreign language proficiency.

Originality/value

This paper shows the importance of considering market and product category characteristics and their potential influence on local versus foreign language branding in Latin America – an ignored issue in previous research.

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