2017•Al-Barkaat Journal of Finance & ManagementRequires access

The Effect and Influence of Country of Origin on Consumers Perception of Product Quality and Purchase Intention

Amit Gautam

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Abstract

Global firms expanded their manufacturing units around the world, the country of origin cue turn out to be more vital as customers regularly assess nature of product in view of the nation where the product is produced. Past studies demonstrated that consumer perceptions on country of origin assume a noteworthy part in impacting a buyer's decision of product. This paper reports on a study of Indian consumers’ perception towards foreign products, and in particular looks at how the country of origin effect influences their behavior. The study purposes to measure the perception of the Indian consumers on the Country of Origin effects. Brand perception matters very much in case of country of origin. If a product is made in China and the same product is made in Japan or USA. This thing also clicks in customer mind and somehow it affects the purchase decision of customer towards that product. The research findings correlate the consumer perception about the country of origin and the product quality. Results showed that Indian consumers are inclined to attribute higher quality to products made in developed countries. The results demonstrated that the normal Indian customer does not give emphasis on country of origin while purchasing the product. Other characteristics come first, especially its quality, innovative ability and cost.

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Global firms expanded their manufacturing units around the world, the country of origin cue turn out to be more vital as customers regularly assess nature of product in view of the nation where the product is produced. Past studies demonstrated that consumer perceptions on country of origin assume a noteworthy part in impacting a buyer's decision of product. This paper reports on a study of Indian consumers’ perception towards foreign products, and in particular looks at how the country of origin effect influences their behavior. The study purposes to measure the perception of the Indian consumers on the Country of Origin effects. Brand perception matters very much in case of country of origin. If a product is made in China and the same product is made in Japan or USA. This thing also clicks in customer mind and somehow it affects the purchase decision of customer towards that product. The research findings correlate the consumer perception about the country of origin and the product quality. Results showed that Indian consumers are inclined to attribute higher quality to products made in developed countries. The results demonstrated that the normal Indian customer does not give emphasis on country of origin while purchasing the product. Other characteristics come first, especially its quality, innovative ability and cost.

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Available abstract

Global firms expanded their manufacturing units around the world, the country of origin cue turn out to be more vital as customers regularly assess nature of product in view of the nation where the product is produced. Past studies demonstrated that consumer perceptions on country of origin assume a noteworthy part in impacting a buyer's decision of product. This paper reports on a study of Indian consumers’ perception towards foreign products, and in particular looks at how the country of origin effect influences their behavior. The study purposes to measure the perception of the Indian consumers on the Country of Origin effects. Brand perception matters very much in case of country of origin. If a product is made in China and the same product is made in Japan or USA. This thing also clicks in customer mind and somehow it affects the purchase decision of customer towards that product. The research findings correlate the consumer perception about the country of origin and the product quality. Results showed that Indian consumers are inclined to attribute higher quality to products made in developed countries. The results demonstrated that the normal Indian customer does not give emphasis on country of origin while purchasing the product. Other characteristics come first, especially its quality, innovative ability and cost.

Key concepts: Country of origin, Quality (philosophy), Perception, Product (mathematics), Advertising, Business, Perceived quality, Marketing

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