The Country of Origin (COO) Effect by Doreen Soutar

This literature review is divided into three main sections: This section looks at The Country of Origin (COO) Effect…

Introduction

Complementary to research on internal and external influences on purchase behaviour motivation, research has also been carried out which looks at the intrinsic and extrinsic cues individuals use when making purchasing decisions. The intrinsic cues are based on the product itself, such as the quality of the materials it has been make from. The extrinsic cues are those which are not directly related to the product, such as the brand label or the price. Some researchers (Lantz & Loeb, 2006; Okechuku, 2004) suggest that the country of origin of a product can be a stronger cue for purchasing behaviour that brand name, price, or quality. Scottish whisky or Egyptian cotton are prime examples of the COO effect. Read more…

Ethnocentrism and Country of Origin Effects: The Process of Purchasing by Doreen Soutar

The early models of purchasing behaviour were developed in the 1970s, and were informed by research in psychology into the relationship between the individual’s intention to act and their subsequent behaviour (Fishbein & Azjen, 1975).

These models relatively simplistic, suggesting that behaviour was a result of a reasoning process which took internal thought processes and external influences into account. As these models were applied to purchasing decisions and expanded, it became clear that purchasing decisions were only partly rational, and contained a much wider and more complex interaction of influences.
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Ethnocentrism and Country of Origin Effects: Introduction by Doreen Soutar

Ethnocentrism and Country of Origin Effects: Introduction and Literature Review by Doreen Soutar

Overview

Being able to predict the future purchasing intentions of consumers is a very important capability to any business, and attempts to understand the processes involved in purchasing decisions in consumers has developed and diversified over the last forty years. With the increase of globalisation, the country-of-origin (COO) effect is a line of enquiry which is highly relevant to businesses wishing to expand their range of operations. Read more…