Authors: Saleem Ur Rahman
Addresses: Department of Marketing, University of Vaasa, P.O. Box 700, FI-65101, Vaasa, Finland
Abstract: The purpose of this study is to examine the influence of consumer ethnocentrism (CE), country of origin (COO) and consumers' attitude towards grey market goods/parallel imports on foreign products' quality and purchase intention (PI). This study also investigates the indirect effects of independent variables on PI mediated by foreign products' quality. This study uses structural equation modelling (SEM) to test the hypothesised relationships. The empirical results show that CE negatively influences PI, but positively influences foreign products' quality. Consequently, COO and consumers' attitude towards grey marketing goods positively influences foreign products' quality and PI. Mediation results show that foreign products' quality plays a role of full mediator variable in the path from CE, COO and consumers' attitude towards grey market goods to PI. This study has several managerial implications for local and foreign companies.
Keywords: consumer ethnocentrism; COO; country of origin; grey market goods; foreign products' quality; purchase intention.
Journal for Global Business Advancement, 2018 Vol.11 No.2, pp.193 - 212
Received: 19 May 2016
Accepted: 05 Dec 2016
Published online: 31 Aug 2018 *