Comparison of country of origin effects on household and organizational buyers′ product perceptions

Abstract

Presents the results of a study in which judgement of quality and purchase value of three different product categories were obtained from 173 purchasing managers and 190 household consumers. The products varied according to the country where they were designed, the country where they were assembled, their brand name, their price and their warranty. In addition, the respondents rated 13 developed and newly industrializing countries by their capacity to design and assemble products in general. Indicates that the respondents′ perceptions of newly industrializing countries are more negative than their perceptions of developed countries. However, when additional information concerning the product′s brand name, price and warranty is available, their perceptual differences between developed and newly industrializing countries are considerably reduced. Shows significant differences between household and organizational buyers in the relative importance given to country‐of‐origin and other product cues. Discusses strategic implications of these findings for global marketing.

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