Globalization and Reluctant Buyers
Globalization and reluctant buyers-
A study on consumer behavior in Visakhapatnam
[pic]
Submitted By
Group- 4
MBA (F) Section A
Gitam Institute of Management
Globalization and Reluctant Buyers
Key Words: International Marketing, Globalization, Age Group, Consumer Behavior,
Abstract
This study attempted to empirically test a debatable hypothesis that globalization has an effect on the consumer buying behavior and consumer awareness across the various age and income groups in Visakhapatnam, in terms of choosing local or a foreign brand. Samples from various age groups ranging from fifteen years to fifty years were collected. The findings indicated that, in the various age and income groups, consumer ethnocentrism plays a mediating role between global openness and the reluctance to buy, although it is on the decrease with the increasing level of global openness. Consumer ethnocentrism is still an important factor in determining the magnitude of reluctance to buy a foreign product in all samples, while product judgment also plays an important role. It is concluded, therefore, that consumers in a different income and age group, who are different in their attitudes and perceptions, tastes and preferences, and values, are still different even after being exposed to the massive wave of globalization.
Introduction
The notion that global thinking would gradually break the wall of economic nationalism and chauvinism (e.g., Levitt, 1983) seems to be no longer taken for granted. There have been counter arguments that it is dangerous to assume that consumers are as well globalizing as companies, and that there is neo-nationalism that resists the globalism in buying behaviors (Belk,1996; Keillor and Hult, 1999; Schütte and Ciarlante, 1998; Thomas, 1991). Schütte and Ciarlante(1998) argue that globalization will not obliterate cultural differences and standardize consumer behavior around the globe. The current literature has yet to address how
A study on consumer behavior in Visakhapatnam
[pic]
Submitted By
Group- 4
MBA (F) Section A
Gitam Institute of Management
Globalization and Reluctant Buyers
Key Words: International Marketing, Globalization, Age Group, Consumer Behavior,
Abstract
This study attempted to empirically test a debatable hypothesis that globalization has an effect on the consumer buying behavior and consumer awareness across the various age and income groups in Visakhapatnam, in terms of choosing local or a foreign brand. Samples from various age groups ranging from fifteen years to fifty years were collected. The findings indicated that, in the various age and income groups, consumer ethnocentrism plays a mediating role between global openness and the reluctance to buy, although it is on the decrease with the increasing level of global openness. Consumer ethnocentrism is still an important factor in determining the magnitude of reluctance to buy a foreign product in all samples, while product judgment also plays an important role. It is concluded, therefore, that consumers in a different income and age group, who are different in their attitudes and perceptions, tastes and preferences, and values, are still different even after being exposed to the massive wave of globalization.
Introduction
The notion that global thinking would gradually break the wall of economic nationalism and chauvinism (e.g., Levitt, 1983) seems to be no longer taken for granted. There have been counter arguments that it is dangerous to assume that consumers are as well globalizing as companies, and that there is neo-nationalism that resists the globalism in buying behaviors (Belk,1996; Keillor and Hult, 1999; Schütte and Ciarlante, 1998; Thomas, 1991). Schütte and Ciarlante(1998) argue that globalization will not obliterate cultural differences and standardize consumer behavior around the globe. The current literature has yet to address how
References: Arbuckle, J. and Wothke, W. (1995), Amos 4.0 User’s Guide, SmallWaters Corporation, Chicago, IL. Balabanis, G., Diamantopoulos, A., Mueller, R. and T. Melewar (2001), “The impact of nationalism, patriotism, and internationalism on consumer ethnocentric Belk, R. (1996), “Hyperreality and globalization: culture in the age of Ronald McDonald”, Journal of International Consumer Marketing, Vol Bhuvaneswari G (1225109104) M Sridevi (1225109122) Ch Sandilya (1225109106) N Naveen Kumar (1225109124) Deena V (1225109108) Karunasree M (1225109128) Deepak (1225109111) Sharath B (1225109138) M Goutham Reddy (1225109112) Sruthi Tetali (1225109139) U Haneesh (1225109113) Subramaniam (1225109141) K Madhu (1225109116) Krishna Sundeep (1225109146) K Jayakanth (1225109118) N Dayanand (1225109407) Shiva Prakash (1225109121)