Abstract

This study aims to investigate the effects of perceived brand globalness (PBG) on consumer affective and behavioral responses to brand failures and for how consumer perceives global and local brands and their responses in the event of failure present or absent related to brand performance and brand familiarity, brand presence and prestige, brand equity, product country match, country ethnocentrism.This research is conducted in regards to women consumers in two cities in North India related to global and local brands with impact of perceived brand globalness to brand failures present or absent scenario based on consumer responses. The research explored into four main factors as dependent variables on which PBG effects are examined and observed in failure present as well as failure absent scenario. This research consists of mainly two studies and two preliminary tests. Study 1 is executed basically to investigate and to test consumer responses towards brand failures of fictitious brands. Study 2 is designed to examine consumer responses to brand failures of established brands.The study found that PBG effects are more positive on Global brands as compared to the local brands and concluded that consumer is less negative and less impulsive to the global brands when they met failure scenario. The study could not find any significance and examined that customer ethnocentrism does not interrupt with buying behavior. This research was able to test whether global brands are still perceived superior to local brands in the context of Indian consumer and also test whether the effects of PBG on consumer responses to brand failures will be mediated by consumer attribution as blaming or fault accountable in the event of encountering.Int. J. Soc. Sc. Manage. Vol. 5, Issue-1: 18-30

Highlights

  • Globalization has become a development trend of the business world with no doubts

  • The advantages of global brands to brand value are well supported by literature, the effects of global brands in brand failure context are not yet tested

  • Since there are many original differences between the real brands, such as brand familiarity and brand equity, the effects of Perceived Brand Globalness on consumer responses to brand failures of fictitious brands in an assumed scenario presented to respondents are easier to test without interruption or presence of those confounding variables

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Summary

Introduction

Globalization has become a development trend of the business world with no doubts. The advantages of building global brands are well recognized in literature. The advantages of global brands to brand value are well supported by literature, the effects of global brands in brand failure context are not yet tested. Brand failures as common cases happen to our lives every day. Even big companies cannot guarantee their brands never ever fail their customers. Haig (2005) wrote a book listing up the most Even big companies cannot guarantee their brands never ever fail their customers. Haig (2005) wrote a book listing up the most

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