Country of Origin Effect and Animosity on The Attitude and Purchase Intention of Foreign Products

Xiaomi smartphone is a smartphone vendors from China newly entered the smartphone market in Indonesia, in contrast to the smartphone with low price and low quality. Xiaomi markets its products with a premium price and high quality products, positioning as a brand management newcomer. This study aims to analyze and discuss the influence of perceived quality and country of origin effect of the Xiaomi smartphone purchase intention (studies in the visitors of Plaza Marina Surabaya). The population in this study is a person aged 19-50 years old who is visiting Plaza Marina Surabaya. In this study, researcher used 220 samples. Sampling method is a non-probability sampling. Data were analyzed using multiple linear regression. In multiple linear regression analysis results show the influence of variables perceived quality and country of origin effect for the purchase intention in the show of the value of Adjusted R Square of 0.407. From the results of the t test that has been done can be seen that the variable perceived quality and country of origin effect has a significant influence partially on the purchase intention.

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Consumer Perception of Product Quality and the Country-of-Origin Effect1

Journal of International Marketing ◽

10.1177/1069031x9400200204 ◽

1994 ◽

Vol 2 (2) ◽

pp. 49-62 ◽

Cited By ~ 143

Author(s):

Gregory R. Elliott ◽

Ross C. Cameron

Keyword(s):

Product Quality ◽

Consumer Choice ◽

Country Of Origin ◽

Positive Influence ◽

Brand Name ◽

Product Categories ◽

Foreign Products ◽

Marked Preference ◽

Technical Features ◽

Origin Effect

Consumer attitudes to local and foreign products and the likely “country-of-origin” effect in “Buy Local” and “Made In …” campaigns are surveyed. First, the importance of country of origin in relation to other product attributes is considered. Second, country of origin is assessed as a surrogate indicator of product quality. Third, the likely effect of country of origin on consumer choice across a range of product categories is studied with brand name and price held constant. Across the product categories studied, respondents rated country of origin as significantly less important as a choice determinant than product quality and price. In addition, clear country-of-origin effects are identified. Consumers rate products as being of significantly different quality when the only variation between products is stated country of origin. Further, consumers express a marked preference for locally made products when price, technical features, and brand name are invariant, and where the locally made product is perceived to be superior or, at least, not significantly inferior to an overseas-made product. Where the locally made product is perceived to be of inferior quality to the imported product, consumers generally prefer an imported product. Thus, while consumers rate country of origin after product quality and price, when these other factors are equivalent, the fact that the product is promoted as locally made is a positive influence on product choice.

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A Conceptual Study on the Country of Origin Effect on Consumer Purchase Intention

Asian Social Science ◽

10.5539/ass.v8n12p205 ◽

2012 ◽

Vol 8 (12) ◽

Cited By ~ 25

Author(s):

Samin Rezvani ◽

Goodarz Javadian Dehkordi ◽

Muhammad Sabbir Rahman ◽

Firoozeh Fouladivanda ◽

Mahsa Habibi ◽

...

Keyword(s):

Purchase Intention ◽

Country Of Origin ◽

Consumer Purchase Intention ◽

Conceptual Study ◽

Origin Effect

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Country-of-origin and emerging countries: revisiting a complex relationship

Qualitative Market Research An International Journal ◽

10.1108/qmr-04-2012-0019 ◽

2015 ◽

Vol 18 (1) ◽

pp. 48-68 ◽

Cited By ~ 10

Author(s):

Mourad Touzani ◽

Smaoui Fatma ◽

Labidi Mouna Meriem

Keyword(s):

Country Of Origin ◽

Emerging Countries ◽

Brand Names ◽

Content Type ◽

Foreign Products ◽

Explanatory Factors ◽

Local Campaigns ◽

Depth Interviews ◽

Origin Effect

Purpose – The purpose of the current study is to attempt to contribute to the understanding of some socio-cultural factors likely to explain the preference for international products in emerging countries, and more specifically those characterising former colonised countries in the Middle East and North Africa. Design/methodology/approach – The chosen approach is exploratory and of a qualitative inductive nature. It was based on a series of semi-structured and unstructured in-depth interviews with Tunisian consumers about their relationship to local and foreign products. Findings – A set of complex and inter-related explanatory factors of the country-of-origin phenomenon emerged through the analysis, notably the complex of the decolonised, acculturation in situ, frustration towards the West and sensitivity to the Western fashion system. Research limitations/implications – The main limitation of this research is that the interviews were carried out among people living in the three main cities of Tunisia, which are urban settings. Practical implications – This research proposes a general framework and a set of new constructs that may be used by leaders of businesses, communications agencies or distribution companies. These elements may help them for segmentation, assortment and range decisions, and brand names. Social implications – Given the failure of “buy local” campaigns, this research shows the importance to revive Tunisian consumers’ feeling of identification with their local culture and to reconcile them with their own identity. Suggestions are given to reach these objectives. Originality/value – This research proposes a framework explaining how the country-of-origin effect in emerging countries operates in a different manner from what has been suggested in the studies conducted in Western contexts.

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Interaction Effect of Country of Manufacture and Brand Awareness on Malaysian Young Adults Purchase Intention of Low Involvement Product

Marketing of Scientific and Research Organizations ◽

10.2478/minib-2021-0004 ◽

2021 ◽

Vol 39 (1) ◽

pp. 67-92

Author(s):

Chui Seong Lim ◽

Kay Tze Hong ◽

Siew Chin Wong ◽

Louisa Hew Wei Yee

Keyword(s):

Young Adults ◽

Interaction Effect ◽

Purchase Intention ◽

Country Of Origin ◽

Study Data ◽

Price Impact ◽

Brand Awareness ◽

Cue Utilization ◽

Consumer Purchase Intention ◽

Origin Effect

Abstract This study aims to examine the interaction effect of country of manufacture and brand awareness, packaging and price impact on the purchase intention of toothpaste among young adults in Malaysia. As previous studies show, the country of origin should not be taken as a single clue, as it exaggerates the country of origin effect. This study evaluates the effect of the country of origin effect on the low-involvement good (toothpaste). The Cue Utilization Theory was used to explain how the consumer uses product cues to rate a product before making a purchase decision. Study data are analysed using SmartPLS. The results of this study showed that all variables influence consumer purchase intention for toothpaste. IPMA analysis showed that the interaction effect of the country of manufacture and brand awareness are important factors.

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Country of Origin as a Constraint to Internationalization

GATR Journal of Business and Economics Review ◽

10.35609/jber.2019.4.2(5) ◽

2019 ◽

Vol 4 (2) ◽

pp. 105-113

Author(s):

Raquel Meneses ◽

Sara Santos

Keyword(s):

Grounded Theory ◽

Country Of Origin ◽

Evaluation Process ◽

Important Variable ◽

Jel Classification ◽

Political Crisis ◽

Foreign Products ◽

International Visibility ◽

Negative Effect ◽

Origin Effect

Objective – Globalization has enabled the increase of competitiveness and opportunities for companies to sell their goods to worldwide consumers. Due to the wider range of products offered and increasing similarity of those products, the country of origin becomes an important variable when studying the evaluation process of foreign products. The origin of a product acts as a mark of quality, which ultimately influences the purchase intentions of consumers. When negative, this may act as a constraint on internationalization, making it difficult to accept a product from a certain origin. There is, therefore, a gap in how companies can mitigate and overcome a negative country of origin effect (COE). This study seeks to fill this gap and suggest strategies to overcome this issue. Methodology/Technique –The methodology applied in this study is the Grounded Theory. The data was collected from interviews with Portuguese entities, so different cases can be compared and discussed. Although Portugal’s image has changed over time, there remains a stigma associated with it. The most recent financial and political crisis has damaged the perception of Portugal in the international sphere, hence, it has been selected for the formation of a negative COE. Findings and Novelty – Some firms currently have existing strategies to resist the negative effect of country of origin, such as improvement of brand awareness, credibility and international visibility. To achieve that, companies must adopt a wide set of strategies which involve both defensive and offensive approaches. Type of Paper: Empirical Keywords: Country of Origin; Country of Origin Effect; Internationalization; Constraints; Grounded theory. Reference to this paper should be made as follows: Meneses, R.; Santos, S. 2019. Country of Origin as a Constraint to Internationalization, J. Bus. Econ. Review 4 (2): 105 – 113 https://doi.org/10.35609/jber.2019.4.2(5) JEL Classification: F6, F60, F69.

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