2.2.6.3 Normative Dimension of COO
Verleigh and Steenkamp (1999) defined normative dimension as social or personal norm who shapes consumers buying processes, e.g. using local brand/products in order to back national economy. Normative dimensions can be split into 3 main topics: Foreignness Effect, Animosi-ty Effect and Home-Country Bias Effect.
2.2.6.3.1 Foreignness Effect
This point is really similar to which was established earlier in this study (developed vs devel-oping countries), as Nes and Bilkey (1982) produced findings which showed that people be-lieved that high-quality goods are produced just by those brands who are developed countries because of their advancements in technology and highly educated personnel. This trend is re-ally …show more content…
Eldor et al (1988) identified that consumers preferred brands which are produced locally as it meant that money are spent on those brands stays inside local economy. Abelhauser (2012) spotted that home country bias effect German consumers, as majority of them are driving Garman branded cars in order to support their local economy (also basing their believes on logic that locally produced cars are best in the world). Consumers gain emotional benefits by using local brands, as this gain comes from affiliations with local environment (perceptions of authenticity and cultural sensitivity) along with pride that comes from using brands which support and represent national economy, national identity and cultural heritage (Schuiling and Kapferer, 2004, Dimofte et al, 2008). Curran and Zignago (2012) have found that clothing industry is highly effected by home country bias effect as in Italy, France and USA as people are buying branded clothing which is produced in home-country as they feel pride in wearing it. In many countries it is morally and socially appropriate to use brands and products which are produced locally (Eastwood et al, 1987; Brown 2003). Of course it is important to under-stand that home-country bias effects vary across different nations, for example Gurham and Maheswaran (2000) found that Japanese customers are preferring local brands and products regardless of foreign …show more content…
He said that it is unethical practice as companies are gaining huge profits on imitation which was created by marketers. Balabanis and Diamantopoulos (2011) added ‘fuel to this fire’ by claiming that this activity is breaching the promise which firstly was promised by the brand, for example those people who are using certain brands in order to show their sympathy to this company are fooled as actually their product may be manufactured somewhere else. There-fore, perceived quality of the brand which was formed on the basis of COO are actually in-correct and inaccurate. Recently Nike was criticised for displaying their brand image as American even though all of their products are produced in developing countries, nevertheless some of the factories there were threated employees unfairly and even using child labour (Daily Mail, 2011). Hence making people who bought their Nike’s as promise of western life literally supporting unethical
Verleigh and Steenkamp (1999) defined normative dimension as social or personal norm who shapes consumers buying processes, e.g. using local brand/products in order to back national economy. Normative dimensions can be split into 3 main topics: Foreignness Effect, Animosi-ty Effect and Home-Country Bias Effect.
2.2.6.3.1 Foreignness Effect
This point is really similar to which was established earlier in this study (developed vs devel-oping countries), as Nes and Bilkey (1982) produced findings which showed that people be-lieved that high-quality goods are produced just by those brands who are developed countries because of their advancements in technology and highly educated personnel. This trend is re-ally …show more content…
Eldor et al (1988) identified that consumers preferred brands which are produced locally as it meant that money are spent on those brands stays inside local economy. Abelhauser (2012) spotted that home country bias effect German consumers, as majority of them are driving Garman branded cars in order to support their local economy (also basing their believes on logic that locally produced cars are best in the world). Consumers gain emotional benefits by using local brands, as this gain comes from affiliations with local environment (perceptions of authenticity and cultural sensitivity) along with pride that comes from using brands which support and represent national economy, national identity and cultural heritage (Schuiling and Kapferer, 2004, Dimofte et al, 2008). Curran and Zignago (2012) have found that clothing industry is highly effected by home country bias effect as in Italy, France and USA as people are buying branded clothing which is produced in home-country as they feel pride in wearing it. In many countries it is morally and socially appropriate to use brands and products which are produced locally (Eastwood et al, 1987; Brown 2003). Of course it is important to under-stand that home-country bias effects vary across different nations, for example Gurham and Maheswaran (2000) found that Japanese customers are preferring local brands and products regardless of foreign …show more content…
He said that it is unethical practice as companies are gaining huge profits on imitation which was created by marketers. Balabanis and Diamantopoulos (2011) added ‘fuel to this fire’ by claiming that this activity is breaching the promise which firstly was promised by the brand, for example those people who are using certain brands in order to show their sympathy to this company are fooled as actually their product may be manufactured somewhere else. There-fore, perceived quality of the brand which was formed on the basis of COO are actually in-correct and inaccurate. Recently Nike was criticised for displaying their brand image as American even though all of their products are produced in developing countries, nevertheless some of the factories there were threated employees unfairly and even using child labour (Daily Mail, 2011). Hence making people who bought their Nike’s as promise of western life literally supporting unethical