Pathways to Global versus Local Brand Preferences: The Roles of Cultural Identity and Brand Perceptions in Emerging African Markets

Abstract

The effects of cultural identity on perceptions about and preference for global and local brands remain less understood. Using consumer cultural identity theory, this study tests assumptions that cultural identity drives perceived brand globalness and localness. It also examines how such perceptions shape brand value assessments and preference formation. The study draws on consumer data from two prominent emerging African markets, South Africa and Ghana, to test the hypothesized relations through structural equation modelling. The findings support predictions that individuals’ cultural identity drives their perceptions of brands as local/global. Specifically, global identity drives global brand preference in both countries, but local identity was a weak driver of local brand preference in Ghana. The perceived value of local brands impacts local brand preference more than foreign brand preference. The study highlights several contributions on the pathways to global or local brand preferences that should benefit international marketing scholars and branding professionals.