• Title/Summary/Keyword: Country of Origin Effect

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The Effects of China's Country-of-Origin Image on Korean Consumers' Perceived Value and Purchase Intentions: Comparison between Country-of-Manufacture (COM) and Country-of-Brand (COB) (중국 원산지이미지에 따른 한국 소비자의 지각된 가치와 구매의도: 제조 및 브랜드 원산지 효과를 비교)

  • Cui, Ming;Lee, Seung Sin
    • Human Ecology Research
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    • v.55 no.5
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    • pp.507-526
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    • 2017
  • To infer the true state of a regional product's attributes, consumers use the image they have of the product's region of origin; however, products may have multiple countries of origin in their design, branding, sourcing and manufacturing becuase more products are increasingly a result of multi-firm and multi-country efforts. We examined how the country-of-origin image (country image and product image) affect international consumers' perceived value (function value and symbolic value) and purchase intentions of made-in China goods by extending and deepening the flexible model. Second, to investigate the differences of COO effects according to different types of country-of-origin we divided the traditional country-of-origin into two components: country-of-manufacture (COM) and country-of-brand (COB). We then explore how the impact of China's country image on consumers' perceived value and purchase intentions varies when China is the COM or COB of the same product. Six hypotheses were proposed to test our anticipations. We recruited 800 Korean adult consumers who previously purchased made-in China products to participate in the online investigation. Data analyses were conducted with confirmatory factor analysis and structural equation modeling using SPSS and AMOS. The main results are discussed as follows. First, the effects of China's COO image on Korean consumers' perceived value and purchase intentions vary when China is the COM or COB of a product. Second, a positive effect of the function value and symbolic value on the purchase intentions was found. Literature and practical implications of findings are discussed and suggested in the conclusion.

The Effect of the Country of Origin on Brand Trust: A Case Study for COVID-19 Vaccines in Vietnam

  • VO, Minh Sang;NGUYEN, Trung Hau;THACH, Thao Vy;TRAN, Doan Vy;HOANG, Nguyen Huong Giang;PHAM, Ngoc Phuong Trang
    • The Journal of Asian Finance, Economics and Business
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    • v.9 no.4
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    • pp.357-366
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    • 2022
  • Many factors influence brand trust, including manufacturer prestige, product value and quality, country of origin, media marketing, experience, and brand relationship. The purpose of this study is to assess the impact of the nation of origin on brand trust, using Vietnam as a case study for India's COVID-19 vaccine. A total of 407 Vietnamese people aged 18 and up participated in the survey. The findings of the study show that the nation of origin has a significant impact on brand trust. Specifically, the perceived country image has a negative effect on brand trust, the other two components of the country of origin are perceived value and perceived quality of product have a positive impact on brand trust in India's COVID-19 vaccine. Research results show that if the perceived country image of the country of production is perceived negatively, then there will be a negative impact on brand trust. According to research findings, people in Vietnam who are 30 years old or older, have steady occupations, know about India, have used Indian products in the past, and have strong brand trust in India's COVID-19 vaccinations. India needs to boost its country's image and develop communication to increase brand trust in Vietnam.

A Study on the Market Penetration of Imported Apparel and Consumer Attitude toward the Country-of-Origin (시장 개방하에서 수입 의류의 시장 침투와 의류상품의 원산지에 대한 소비자 태도 조사)

  • 전경숙;민신기
    • Journal of the Korean Society of Clothing and Textiles
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    • v.21 no.2
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    • pp.357-367
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    • 1997
  • The success of apparel goods mainly depends on the purchase behavior of end use consumers. The decision making processes of apparel merchandise are very complicated according to the many information cues available to the consumers. The country-of-origin is one of the extrinsic cues to affect the consumers 'decision. To study the effect of country -of-origin, the Polo style knit shirts were chosen as stimuli to the male and the female subjects (total 527) aged from 18 to 35. The identical nine shirts (3 countries$\times$3 levels of price) were carefully manipulated for the treatments. The three countries labelled are Italy as industrialized country, China as less developed one, and Korea. In addition to the country-of -origin, the prices of the shirts were exposed to the respondents. The price levels were 14,000 won for the low, 39,000 won for the moderate, and 64,000 won for the high price level. The findings were as follows: 1) As price was increased, the perceived value and purchase intention were decresed. Price was not statistically significant to perceived quality, but it was significant to perceived value and willingness to buy. 2) The merchandise of "Made in Italy" was evaluated higher than those of "Made in Korea" and "Made in China" The country-of-origin had statistically significant influences on the perceived quality, perceived value and also willingness to buy. 3) The interaction between the two factors, country-of-origin and price, was not observed.n and price, was not observed.

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A Study on the Role of Cultural-Psychological Variables in the Country-of-Origin Effect (원산지효과에 대한 문화심리적 변인의 역할에 관한 연구)

  • Yoon, Sung-Joon
    • Asia-Pacific Journal of Business
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    • v.11 no.3
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    • pp.291-306
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    • 2020
  • Purpose - This study attempts to expand the realm of country-of-origin theory to incorporate the relevant cultural-psychological variables (i.e., ethnocentricism and psychological distance). Design/methodology/approach - This sttudy verified the effects of the two antecedent variables on the consumers' purchase intention of Korean prducts. For this purpose, the study implemented survey questionnaire mathod on respondents living in Liaoning Province of China. Findings - The study result confirmed the relationship betweencountry image, product attitude, and purchase intention of Korean products. Also, the study found that ethnocentrism adversely affects Chinese consumers' purchase decision on Korean products. Finally, the study confirmed the that psychological distance moderates the relationship between country image (ad product image) on purchase intention. Research implications or Originality - The study provides useful implications on the studies focusing on the country-of-origin effect in that it confirmed the effets of cultural-pychological variables such as ethnocentrism and psychological distance. The result also offers useful corporate strategies for the companies entering Chinese market particularly in segmenting the market based on such cultural-psychological variables.

Country of Origin, Religiosity and Halal Awareness: A Case Study of Purchase Intention of Korean Food

  • ASTUTI, Yuni;ASIH, Daru
    • The Journal of Asian Finance, Economics and Business
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    • v.8 no.4
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    • pp.413-421
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    • 2021
  • This research empirically analyzed whether the foods which came from a non-Muslim majority country, such as South Korea, could play an important role in affecting the consumer intention in a predominantly Muslim country. Online survey methods were used to investigate the proposed hypothesis. 318 responses were used for further analysis. Forty-six reflective constructs were adapted from literature and designed by using a five-point Likert scale to facilitate measurement. Estimation models and structural models were examined through SEM-PLS analysis techniques using SmartPLS 3.0 application as the data processing tool. The results showed that religiosity and halal awareness had a positive and significant effect on attitude toward halal labels, including the mediating effect from consumer attitudes towards halal labels which had a positive but insignificant effect on purchase intention. Halal awareness plays an important role for Muslims in the decision-making process for purchasing food. In contrast to the initial hypothesis, the country of origin actually did not have a positive effect on attitudes towards the halal label. In a Muslim-majority country like Indonesia, findings halal food is not difficult, so this research basically is a reminder to marketers to follow those halal principles in implementing their marketing strategies.

Effects of Meat Country-of-Origin on the Consumer Evaluations of Restaurant Menus - Focused on University Students - (외식 메뉴의 식육 원산지가 메뉴 평가에 미치는 영향 - 대학생을 중심으로 -)

  • Kim, Young-Gab;Hong, Jong-Sook
    • Journal of the East Asian Society of Dietary Life
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    • v.19 no.4
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    • pp.650-657
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    • 2009
  • This study was designed to determine the effects of meat country-of-origin on the perceived quality, perceived risk, perceived value, and purchase intension of restaurant menu items. A total of 237 university students in Seoul were used in the final statistical analyses, which included factor analysis, ANOVA and Duncan's test. The results were as follows: First, in the case of perceived quality, the participants gave higher evaluations of restaurant menu items better when the origin of the foodstuff was Korea. Second, the effects of origin on perceived value were not statistically significant. Third, the effect of origin on the purchase intension of fried chicken was statistically significant, but the effects of origin on the purchase intension of boned rib and fillet were not statistically significant. Lastly, the limitations of this study and suggestions for further research are presented.

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The Antecedents and Consequences of Korean Brand Equity in Myanmar: Focusing on Country of Origin Image and Advertising Awareness

  • Oo, Thunt Htut;Jung, Sung-Hoon;Lee, Keon-Hyeong
    • Journal of Korea Trade
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    • v.25 no.3
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    • pp.87-115
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    • 2021
  • Purpose - Brand equity has emerged as an indispensable marketing tool for firms engaging their business in developing nations. This study proposes that the country of origin image and advertising will affect the Korean brand equity formation, which leads to repurchase intention of Korean brands. In the study, attitude factors are applied in brand equity theory to predict repurchase intention of Korean brands. Cognitive brand equity, such as brand awareness, brand association, brand image and attitudinal brand equity, such as perceived quality and brand loyalty are considered with regards to their attitude towards the Korean brand. Design/methodology - A total of 178 Myanmar consumers out of 200 participants who have used Korean brands answered the survey and data were analyzed through SmartPLS 3.3.2 version. PLS-SEM is considered a more suitable analysis to pin down and evaluate the cause-effect relationship among all of the constructs with relatively complex models. Findings - Our results substantiate that the country of origin image positively affects brand awareness, brand associations, and brand image and advertising awareness positively affects brand awareness. Brand awareness gives positive effect only on brand association, which sustains a positive effect on brand image and brand loyalty. Brand image only has a positive effect on perceived quality, which again affects repurchase intention and brand loyalty. Brand loyalty also shows a positive effect on repurchase intention. Originality/value - Brand equity dimensions were viewed as cognitive and attitudinal outcomes of brand equity which affects repurchase intention. The drivers of brand equity were considered from the perspective of country of origin image that firms cannot control or mange, and advertising awareness which firms can control and manage. The findings also explored the relationships between cognitive and attitudinal brand equity.

The Relationship among Country of Origin, Brand Equity and Brand Loyalty: Comparison among USA, China and Korea (원산지효과, 상표자산 및 상표충성 간의 관계에 관한 연구: 미국, 중국, 한국의 비교분석)

  • Ko, Eun-Ju;Kim, Kyung-Hoon;Kim, Sook-Hyun;Li, Guo-Feng;Zou, Peng;Zhang, Hao
    • Journal of Global Scholars of Marketing Science
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    • v.19 no.1
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    • pp.47-58
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    • 2009
  • The marketing environment has become competitive to an extent that requires firms to target their products at markets that span national boundaries. However, competitive clout cannot be achieved in global consumer markets unless firms thoroughly understand and adequately respond to the core values and needs of those consumers. Brand equity is one of the most important assets to a company. Especially in sportswear markets, brand equity is the crucial value added to a product by its brand name. Factors such as country of origin also influence customer's attitude towards brand equity. Therefore, this paper discusses the relationship between country of origin effect and brand equity, and how they influence consumers' loyalty for respective brands. This paper focused on the sports shoes market, because it is an increasing area of opportunity for world manufacturers. The objectives of this study were the following. (1) Test the effect of country of origin on brand equity. (2) Test how brand equity influences consumers' brand loyalty. (3) Find whether there are differences in the effects of country of origin and brand equity among the three countries. (4) Find whether there are differences in the effects of country of origin and brand equity among the different lifestyles. Based on the review of literature results, the hypotheses are concluded as the following: H1-a: Country image has positive influence on country of origin. H1-b: Product perception has positive influence on country of origin. H2-a: Perceived quality has positive effect on brand equity. H2-b: Perceived price has positive effect on brand equity. H3: Country of origin has positive effect on brand equity. H4: Brand equity has a positive impact on brand loyalty. Research model was constructed (see Fig. 1). After data analysis, the following results were concluded: sports shoes purchase behavior showed significant differences among Korean, Chinese, and American consumers for favorite brand, purchased brand, purchased place, information usage, and favorite sports games. The results of this study also extend the research of the relationship among country of origin, brand equity and brand loyalty to the sports shoes market. Brand equity was proven to have a significant relationship with brand loyalty for all countries. The factors which can influence brand equity are different for different countries. The third finding of this paper is that we identified different three lifestyles, adventurer, follower, and laggard, for Korean, Chinese and American consumers. Without the nationality boundary, seeing the emergence of a new group of consumers who have similar preferences and buy similar brands is more important. All of the consumers consider brand equity to keep their brand loyalty. Perceived price is the only factor which can influence brand equity for adventurers; brand is more important for them. The laggards were not influenced by any factor. All of the factors expect perceived price are important for the followers. Marketing managers should consider brand equity when introducing their brand into a new market. Also localization is the basic strategy that all the sports shoes companies should understand. But as a global brand, understanding the same characteristics for each country is more important to build global strategy.

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Issues and Improvements on the Country of Origin Labeling System for Consumer Protection in Korea (소비자보호를 위한 한국 원산지표시제도의 문제점과 개선방안)

  • Jin, Byung-Jin;Lim, Byeong-Ho
    • Korea Trade Review
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    • v.44 no.2
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    • pp.143-157
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    • 2019
  • The purpose of this study is to review domestic and foreign origin labeling system in order to implement origin labeling system in the perspective of protecting the interests of consumers, and to suggest governmental improvements by analyzing problems embedded in current labeling system. The results analysis show complexity of related legal system, lack of expertise at the stage of labeling, and inefficiency of crackdown authority. The improvement could be suggested in two ways: supporting plans for the ones who have duty of labeling and improvement plans in origin management system. As supporting plans, we suggest the need for an automatic origin determination system, appropriate education on origin stakeholders, and introduction of origin certification system. For improvement plans, there are unification of country of origin labeling related laws, utilization of FTA product specific rules, and QR code, expert confirmation system. Since the origin labeling issue has become important, proactive and quick responses must follow with thorough examination the effect of the origin labeling on consumer welfare.

A Comparison of the Benefits for Online Clothing Purchase between Korean and U.S. Consumers (한국과 미국 소비자의 온라인 의복구매시 추구혜택비교)

  • Kim, Eun-Young
    • Journal of the Korean Society of Clothing and Textiles
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    • v.33 no.7
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    • pp.1074-1085
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    • 2009
  • This study compares the benefits for online clothing purchases between Korean and U.S. consumers. A total of 464 usable questionnaires were obtained from respondents who resided in Korea (n=253) and the United States (n=21l). Data were analyzed by descriptive statistics, factor analysis, and MANOVA. For online clothing purchases, the benefit consisted of five factors: product attribute, transaction services, security, country of origin, and brand symbolism. Results showed that the main effect of nationality and gender on the benefit factors were significant; there was an effect of nationality on product attributes, transaction services, and country of origin. Compared with Korean consumer, U.S. consumers were more likely to consider the benefits of product attributes, transaction services, and country of origin for clothing in online purchases. In addition, there was a gender difference in benefit factors of product attributes, transaction services, country of origin, and brand symbolism. Females were more likely than males to consider the benefits for clothing in online purchases. An interaction effect of nationality and gender was not significant in online purchases for clothing. The managerial implications are discussed for global fashion marketing across the countries.