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This paper studies how Chinese consumers respond to foreign goods in the post‐WTO era. Specifically, it examines brand sensitivity as a mediator and product cues as moderator of purchase intention. Additionally, it examines consumer preferences for different products and consumption plans for the subsequent five years. The survey sample is drawn from a population of foreign product users from 34 cities in 18 provinces in China. Results provide evidence that brand sensitivity mediates the relationship between consumer ethnocentrism and purchase intention; product cues moderate the effect of ethnocentrism on purchase intention. As the first study to link consumer ethnocentrism directly to brand sensitivity and purchase intention, this research provides some managerial implications. Global marketers can offset the negative effect of ethnocentrism by emphasizing brand image of its products, taking advantage of specific product cues, or by providing more comprehensive after‐sale service to reduce the perceived risk of purchasing imports. Also, price is still a hurdle that prevents Chinese consumers from mass consumption of foreign products. Global firms should not overestimate the purchasing power of Chinese consumers. This study represents a “snapshot” of Chinese consumers’ decision making at a time when their economic system is undergoing rapid change.

This paper follows a presentation made at the Public Relations World Festival in Rome on 21st June, 2003. It is based on observation of how the position of nongovernmental organisations (NGOs) has changed over time in the representation of public opinion considered as a social consensus around the common good and common interest. It discusses the impact of those changes on the position of companies in the public debate, and draws from the growth of intangible assets in companies’ book value.

This study investigates if females fashion leaders and fashion followers differ in their attitudes toward buying imported and domestic apparel products. A sample of 283 female consumers between 18 and 25 years of age completed a mailed questionnaire. Repeated measures analysis of variance and t‐tests were performed to determine if differences exist between fashion followers and leaders regarding their attitudes toward buying domestic and imported apparel. Results showed that fashion followers have the same overall attitude toward buying American or imported apparel. However, fashion leaders have a more positive attitude toward buying imported apparel than buying domestic apparel. In addition, fashion followers and fashion leaders have similar attitudes toward buying American apparel, but fashion leaders have a significantly more positive attitude than followers toward buying imported apparel.

A minority of consumers, the heavy users, account for the bulk of purchases in many product categories. The present paper applies the concept of heavy usage to the study of clothing purchase because little scholarly research has attempted to define general characteristics of heavy clothing spenders. Data from two surveys of adult women (n = 641 and 285) showed that those who spent more were more likely to be fashion innovators, shopped more for clothes and had higher fashion media exposure. Few demographic characteristics, however, distinguished these women from light and non‐users. These findings may be useful to managers seeking to market to the heavy users of clothing and to clothing theorists developing theories of clothing usage.

Using Rogers’ theory of diffusion of innovation, this paper reports the results of a study that had two objectives: the first objective was to compare the number of male and female adolescents in each of Rogers’ five categories of consumer adopters. The second, was to verify if there were differences among the five distinct categories of adopters with respect to brand sensitivity. Results show that, as with other market segments, there are more female than male adolescents in the categories “innovators” and “early adopters”, and more male than female adolescents in the categories “late majority” and “laggards”. Further, it appears that brand sensitivity is an increasing function of fashion “adoptiveness” among adolescents.

Describes the results of a survey of 281 adult women in the state of Florida. We used the 15 adjective pairs of the Malhotra self‐concept scale to measure their self‐image. A valid and reliable self‐report scale measured their fashion innovativeness, thus identifying those consumers most likely to buy new fashions after they first appear in the market. T‐tests compared the mean scores on the self‐image adjective pairs between 30 innovators and 251 later adopters. Pearson correlation analysis was also performed. The results of both analyses showed that the fashion innovators described themselves uniquely as more comfortable, pleasant, contemporary, formal, colorful, and vain than the later adopters. The results were quite consistent with an earlier published study of college students, lending confidence to this approach to profiling fashion innovators and suggesting that using self‐image could be a fruitful way to appeal to these important consumers.

At the dawn of the twenty-first century, Boeing and Airbus, the leading manufacturers of large aircraft, were locked in a battle for market share that drove down prices for their new planes. At about the same time, the two industry heavyweights began developing new aircraft families to address the future market needs they each projected.

Aircraft take many years to develop, so by the time the new planes made their inaugural flights, significant changes had occurred in the global environment. First, emerging economies in the Asia-Pacific region and elsewhere were growing rapidly, spawning immediate and long-term demand for more aircraft. At the same time, changes to the market for air travel had created opportunities for new products. These opportunities had not gone unnoticed by potential new entrants, which were positioning themselves to compete against the market leaders.

In October 2007, the Airbus superjumbo A380 made its first flight. The A380 carried more passengers than any other plane in history and had been touted as a solution to increased congestion at global mega-hub airports. Four years later the Boeing 787, a smaller long-range aircraft, was launched to service secondary cities in a point-to-point network.

The case provides students with an opportunity to analyze the profit potential of the global aircraft manufacturing industry in 2002 and in 2011. Students can also identify the actions of participants that weakened or intensified the pressure on profits within the industry.

Audio format (.mp3 file) available with purchase of PDF. Contact cases@kellogg.northwestern.edu for access.

The purpose of this paper is to examine the relationship between the expectations that small business entrepreneurs hold in relation to the future returns from the commercialisation of innovations, and key organisational elements including inputs, knowledge, culture, strategy, portfolio, project management and commercialisation. More specifically, this research aims to deepen the knowledge of how small- and medium-sized enterprises (SMEs) manage their innovation and identify critical factors determining the potential innovation outcomes.

This study draws on a large sample of innovative SMEs from multiple Organisation for Economic Co-Operation and Development countries. Data were collected using a questionnaire administered face-to-face with owners-managers or executives of SMEs who made critical decisions for the innovation management of the firm. First, a factor analysis is conducted to identify the most appropriate measures for each variable. Second, the authors test for multicollinearity among independent variables. The final step integrates results from the general linear model analysis that measures the relationship between organisational factors and the anticipated returns.

Findings suggest that positive expectations over future investment in innovation – as measured by the anticipated rent – are influenced by organisational factors, including innovation strategy, portfolio management, project management, and organisational culture and commercialisation process. Conversely, the resource endowment is not perceived as a barrier to innovation and to the development of a competitive advantage. In addition, industrial knowledge management has an indirect effect on the anticipated returns.

Despite extensive research in innovation management, the role of organisational factors on anticipated returns in SMEs has not been investigated to date. The study provides researchers with new insights into the resource-based view and the theory of entrepreneurial rent from the perspective of innovation management. The findings offer guidance to managers as to potential success factors in enhancing the rent, but also reflect entrepreneurial optimism in the management of innovation.