Year-end Sale % OFF 
Abstract
The purpose of this paper is to study the relationship between the (i) country image of Peru, (ii) cotton’s product image, (iii) familiarity with Peru, and (iv) cotton’s product familiarity with the purchase intention of Peruvian cotton. Survey techniques were used to collect the primary data, applying a closed question questionnaire in two samples that represent the consumers of two countries with different levels of familiarity with Peru: France and the United States. This study has found that there is a positive association between the studied variables, in at least one sample. One of the main managerial implications is that Peruvian cotton exporters could innovate their global marketing strategies using Peru’s country image to improve the positioning of Peruvian cotton in international markets.
Highlights
Since pre-Inca times, cotton has been a strategic sector of the regional economy, being one of the most critical agroindustrial crops in Peru and representing the livelihood of 20,000 farming families (Ministry of Agriculture and Irrigation., s.f.; Institute of Economic and Social Studies, 2016)
H1 should be accepted in cases when the foreign consumer has a high level of familiarity with Peru, and it should not be accepted for the cases when familiarity is low
It means that when the studied sample has a high level of familiarity with Peru, they have a positive perception of Peru and cotton from Peru (Lee & Ganesh, 1999; Roth & Romeo, 1992)
Summary
Cotton is the main non-food agricultural product with the most extensive international trade in the world (Mallqui, Quispe & Rabanal, 2017). Peruvian cotton producers do not have high bargaining power in the industry (Calderón, Leyva, Miranda & Pais, 2017). There is a more competitive environment composed of China, India, the United States, and Pakistan, which have a market share in the international cotton trade of 28%, 12%, 10%, and 7%, respectively (Trade Map, 2016). They intensively invest in research and development, increasing their productivity and reducing costs. Indian cotton is produced from genetically modified seeds, making it more economical than Peruvian cotton (Silva, 2005)
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