International Marketing Research Research Articles

Consumer Sentiment after the Global Financial Crisis

The present study seeks to analyse the predictive capacity of the Index of Consumer Sentiment (ICS) (a leading index in international market research) in Italy, before and after the global financial crisis. The analysis focuses on the period 2005–2013 and investigates the predictive power of the ICS with regard to two different outcomes: (1) the actual level of household consumption (considering both its absolute value as total spending and its quarterly variations) and (2) consumers' strategies (i.e. reducing their consumption, focusing on discounts and promotions, focusing on quality), both in general and in specific sectors (e.g. food, leisure, health). The study is based on a second-level analysis of data collected by the Italian Statistical Institute (ISTAT) and a tracking survey on Italian consumers' perceptions and strategic intentions (four waves per year, each consisting of 1,000 telephone interviews based on a structured questionnaire). The findings show that the ICS is predictive of quarterly variations in household consumption, and not of its absolute values; that the index is more predictive in the following trimester, while less predictive synchronously (i.e. in the same quarter); and that its predictive power was stronger between 2009 and 2013 compared to previous years. Furthermore, after 2008, the ICS was also predictive of consumer strategies, particularly those aimed at reducing expenses and focusing on quality (while no relation seems to exist between consumer sentiment and consumers' strategies aimed at discounts and promotions). Implications for marketing and market research are discussed.

Exploring Luxury Value Perceptions in China

Taking the case of China, this paper examines the relationship between different luxury value dimensions, and explores how these affect consumers' purchase intentions. China is now the second largest luxury market in the world. Most previous studies of luxury consumption have tested only the direct influences of luxury value perceptions on purchasing behaviour. For this paper, sample data were gathered through surveys administered to 409 Chinese nationals living in China. The model is empirically tested using structural equation modelling. The current research incorporates both personal- and social-oriented perceived values, and draws a holistic picture of consumers' decision-making processes in luxury consumption. The results suggest that perceived social value and perceived emotional value both directly influence luxury purchase intention. Perceived unique value exerts an indirect impact on luxury purchase intention Perceived quality value has both a direct and indirect effect on luxury purchase intention. We also account for cultural differences rather than simply replicating previous studies in China. We consider local culture in order to understand what consumers actually value from luxury products, and we discuss the implications of indigenisation for future international marketing research.

Corporate social responsibility in international marketing: review, assessment, and future research

Purpose– Although corporate social responsibility (CSR) has been an issue of major concern for marketers for more than half a century, only recently has it attracted the attention of international marketing researchers. During the last two decades, this body of research has experienced an increasing trend, which, however, is very fragmented and diverse. In response, the purpose of this paper is to review, assess, and synthesize extant research on the role of CSR activities in international marketing.Design/methodology/approach– The review and assessment covered the period from 1993 to 2013 and all relevant articles were traced, using both electronic and manual search methods. Altogether, the authors identified 132 studies published in 106 articles that appeared in 63 journals. Each article was content analyzed by two coders who worked independently from each other, using a structured coding protocol. Due to the nominal nature of the finalized codes, these were statistically analyzed taking the form of percentage frequencies.Findings– The results were organized in terms of theoretical, methodological, and empirical considerations. Theoretically, a third of the articles were not anchored on any theory, while the remainder employed various theoretical platforms, with stakeholder theory having a predominant role. Methodologically, this specific body of research is characterized by growing sophistication and rigor, with some room for improvement, especially as regards the use of longitudinal research, better sampling methods, wider geographic scope, and advanced statistical analysis. Empirically, a broad range of issues was covered, with the most widely studied being those focussing on the elements of international marketing strategy, external environmental influences, and CSR practices.Originality/value– The authors review and assess 21 years of research conducted on a crucial and contemporary dimension of international marketing, namely CSR. The findings provide useful insights for public policymakers, business managers, academic scholars, and marketing educators. The authors also provide detailed directions for future research, extracted from the articles reviewed.

Assessing endogeneity issues in international marketing research

Purpose – Endogeneity is a potential threat to the validity of international marketing (IM) research. The purpose of this paper is to draw the attention of IM researchers to issues of endogeneity, to provide a comprehensive overview of the sources of endogeneity, and to discuss the statistical solutions. Design/methodology/approach – The authors conduct the research in two steps. In the first step, the authors review the nature and sources of endogeneity specifically in IM research. In the second step, the authors review 60 IM papers on endogeneity published in the period 1995-2014 and assess the current practice of addressing endogeneity in the IM literature. Findings – Sample selection bias and simultaneity are prevalent sources of endogeneity in IM research. Internationalization-performance relationship and innovation-export nexus are the two most frequently adopted models subject to potential endogeneity. Simply lagging the main independent variable is statistically flawed in dealing with endogeneity despite its popularity in IM research. Research limitations/implications – First, a careful choice and application of methods are critical when addressing endogeneity. Second, the authors suggest the employment of multiple study methods to address endogeneity robustly. Third, to prevent or solve endogeneity in structural equation modeling, researchers may either collect data on independent and dependent variables from different respondents or employ a two-stage least squares approach. Finally, it is helpful to design dedicated models to prevent proactively potential endogeneity a priori. Originality/value – The contribution of this study is twofold. First, it is the first in the literature to discuss the endogeneity issue specifically in IM research. In particular, the study elaborates the origins and consequences of the three most frequently confronted types of endogeneity in IM research. Second, the authors assess the four major methods of addressing endogeneity in IM research with a systematic discussion of the literature from the last two decades. The authors offer suggestions on how to minimize endogeneity in model design and empirical implementation for future IM research.

Cross-country cross-survey design in international marketing research

Purpose – The purpose of this paper is to focus on the case where – by design – one needs to impute cross-country cross-survey (CCCS) data (situation typical for example among multinational firms who are confronted with the need to carry out comparative marketing surveys with respondents located in several countries). Importantly, while some work demonstrates approaches for single-item direct measures, no prior research has examined the common situation in international marketing where the researcher needs to use multi-item scales of latent constructs. The paper presents problem areas related to the choices international marketers have to make when doing cross-country/cross-survey research and provides guidance for future research. Design/methodology/approach – Multi-country sample of real data is used as an example of cross-sample imputation (292 New Zealand exporters and 302 Finnish ones) the international entrepreneurial orientation (IEO) data. Three variations of the input data are tested: first, imputation based on all the data available for the measurement model; second, imputation based on the set of items based on the invariance structure of the joint items shared across the two groups; and third, imputation based both on examination of the invariance structures of the joint items and the performance of the measurement model in the group where the full data was originally available. Findings – Based on distribution comparisons imputation for New Zealand after completing the measurement model with Finnish data (Model C) gave the most promising results. Consequently, using knowledge on between country measurement qualities may improve the imputation results, but this benefit comes with a downside since it simultaneously reduces the amount of data used for imputation. None of the imputation models leads to the same statistical inferences about covariances between latent constructs than as the original full data, however. Research limitations/implications – Considering multiple imputation, the present exploratory study suggests that there are several concerns and issues that should be taken into account when planning CCCSs (or split questionnaire or sub-sampling designs). Even if there are several advantages available for well-implemented CCCS designs such as shorter questionnaires and improved response rates, these concerns lead us to question the appropriateness of the CCCS approach in general, due to the need to impute across the samples. Originality/value – The combination of cross-country and cross-survey approaches is novel to international marketing, and it is not known how the different procedures utilized in imputation affect the results and their validity and reliability. The authors demonstrate the consequences of the various imputation strategy choices taken by using a real example of a two-country sample. The exploration may have significant implications to international marketing researchers and the paper offers stimulus for further research in the area.

Households in international marketing research

Purpose– The purpose of this paper is to respond to the call of alternative methodologies for studying household dynamics and aims to contribute to method development in international marketing research.Design/methodology/approach– Based on the Viennese Diary Study, a methodology was developed to study Vietnamese middle-class partners’ decision making. This allows for dyadic analyses and keeping track of the decision and mutual influence history in an emerging market.Findings– The methodology proved suitable to be used in a transitional economy, which is characterized by specific cultural aspects, such as the embeddedness of decisions in close relationships and traditional role specialization.Research limitations/implications– While the diary method is time and resource-costly with rather small sample size, it allows for detailed insight into everyday decision making. Further research might want to extend participation in the method to the extended family, which is of high importance in collectivistic cultures.Originality/value– Since partners in a household independently reported their perceptions and behaviours during decision processes each day, the methodology allows for dyadic analyses and keeping track of everyday decision making. In addition, the role in decision making of each spouse can be analysed.

Developing students’ knowledge, skills andsocial competences in international marketing research– cooperation of academia and business

IntroductionIn regard to the managerial courses there appears a need to include students in real-life managerial processes on the grounds of cooperation between the university and business practice. Only students' participation in actual managerial processes, directed at increasing the efficiency and effectiveness of operating on the international market, will enable them to gather the necessary wealth of experience. Gathering such experience allows students to consolidate the acquired knowledge, improve the skills and shape social competences.The aim of this paper is to present how students' knowledge, skills and social competences in regard to marketing research are developed within the international business curriculum. Furthermore the aim is to indicate the necessity to apply in the educational process diverse teaching methods oriented at building knowledge, skills and social competences expected by future employees.In the theoretical part of the paper determinants for market decision making by companies, especially those operating in the global market, are presented. Possessing up-to-date knowledge about the market in global scale based on marketing research results is indicated as valid managerial competence. Furthermore, institutional and systemic barriers that are faced by higher education institutions in the CEE region in the process of teaching business programs are discussed.The next part of the paper discusses the meaning of developing knowledge, skills and social competences in the scope of international marketing research among International Business graduates. With information being the key ingredient in developing successful international marketing strategies these areas seem to be a necessary condition to understand and take advantage of the changes occurring in the global environment. Hence the international marketing research course has been characterized, the syllabus of the course being oriented at filling the identified needs of diagnosing and analyzing global environment.The further parts of the paper discuss teaching methods and techniques applied within the course oriented at providing the students with most timely knowledge as well as skills and competences useful when operating on the global market. The exemplification of the teaching routines in the scope of international marketing research in the paper is a course offered by the University of Economics in Katowice within the International Business (IB) degree program. The whole program as well as the international marketing research syllabus has been inspired by the best standards and teaching routines elaborated in higher education institutions offering IB studies all over the world. This is why the challenges and barriers presented in the text may apply to teaching IB in a wider context.1.Theoretical backgroundThe 2011 report prepared by IBM, based on the opinions of more than 1700 marketing directors from all over the world (64 countries) representing 19 economy sectors indicated four key determinants for market decision making by companies [From stretched... 2011]:- exponential growth of data,- growing role of social media,- development of marketing channels and instruments,- change in the demographic structure of the clients.Companies face the challenge of gathering large amounts of information and its quick analysis. It is particularly important for the internationalized firms operating in rapidly changing international conditions, among others the evolution of clients' demographic structure. New markets are created in China and India as a result of increasing significance of younger generations with their specific consumption models and ways of company information search. In the USA and Western Europe companies face the necessity to adapt their offer the aging society of the population boom in the 1970s and 1980s. The changes occur also on the economic level and concern purchasing potential of the dynamically developing Asian countries. …

A review on the state of methodological trends in international marketing literature

The purpose of this paper is to determine the use of research designs and analytical techniques in the literature related to international marketing. To assess the methodological trends, the authors attempted to develop a general conceptual framework for the international marketing research process and also classified methodologies to substantiate the state of the methodological domain in the international marketing literature. This study is conducted as a systematic review based on an assessment of papers on international marketing published in academic journals between 1990 and 2012. It was found that the methodological domain is still lacking a significant theoretical basis. The authors classified methodologies and adjudged the advancements thereon by perusing 1787 research papers published between 1990 and 2012. They considered the seven established research streams of international marketing and found that, on the whole, preference was skewed towards quantitative techniques - 1219 papers prioritised quantitative research designs and 568 qualitative research designs.

Cross-cultural research in international marketing: clearing up some of the confusion

Purpose– The purpose of this paper is to shed light on the discussion of cross-cultural research, in particular the use of dimensions of national culture, for international marketing.Design/methodology/approach– Discuss definitions of values and culture, analyze cultural models as to purpose and design and applications of models to international marketing.Findings– International marketers benefit from applying dimensions of national culture, but researchers make mistakes in applying and interpreting such dimensions, thus discrediting useful means of research for international marketing.Practical implications– Researchers should understand the problems of multi-level research and interpret dimensions better when using them for research.Originality/value– The value of this paper is in clearing up some of the misunderstandings about dimensions of national culture.

Hierarchical Linear Modeling in International Marketing Research: A Review with an Application on Innovation and Export in China

当许多国际出售研究包含二时或更多的层次，在国际出售文学的有限工作使用检验不同水平效果的层次线性建模。这研究在层次线性建模上进行彻底的文学评论(HLM ) 在 28 篇国际出售论文，那从 2005-2014 采用了 HLM 并且在目标，操作层次，和另外的问题上在这些论文评估 HLM 的使用。我们为 HLM 的更多的应用召集国际出售研究，特别地为关于有重要亚公民和机构的变化的新兴的市场的研究。论文提供采用 HLM 在中国在在坚挺的革新和出口商性能之间的关系中测试工业级的政府津贴的节制的角色的解说性的实验研究。

Excellent prospects for beautiful minds: marketing international education

Purpose – The purpose of this paper is to examine how Finnish higher education institutions communicate market differentiation on the admissions webpages of their international business and technology programmes when attempting to appeal to prospective students and distinguish themselves from other institutions. Design/methodology/approach – The sample included admissions webpages of 68 bachelor’s and master’s programmes representing both Finnish universities and universities of applied sciences. The analysis method was a qualitative content analysis. Findings – The international programmes heavily accentuated their labour market relevance in their advertising and generated strong claims regarding the future career prospects of the graduates. In addition, the programmes emphasised their pedagogical methods and international atmosphere. References to non-academic life were not observed. Research limitations/implications – The analysis was only based on text and included two study fields. Practical implications – The results of this study can be used by marketers to critically examine their own marketing differentiation efforts and promises made to students. Social implications – Finnish business and technology programmes send an unequivocal marketing message that education has an instrumental value and students are considered consumers of education. Originality/value – This study is the first comprehensive study of the marketing communication practices of international higher education programmes in Finland. Moreover, this study contributes to the study of global international market mechanisms and research on marketing communication practised by higher education institutions.

The Relationship between International Marketing Resarch Process and Innovation Capacity

Market orientation, investment on R-D, leadership, culture are few key determinants of innovation capacity. According to our research, internationalization by exporting playing a role on improving innovation capacity, which requires proper international marketing research. In this study, qualitative data collected from exporters who are the members of Aegean Export Union in Izmir-Turkey. In depth interviews were conducted for investigating the relationship between international marketing research process and innovation capacity.

Multicultural marketplaces

Purpose – The purpose of this paper is to bring international marketing and consumer research attention to multicultural marketplaces as a new focal research lens. It develops a conceptualisation of multicultural marketplaces, demonstrating why they constitute new conceptual territory, before specifying five key areas for research development. Design/methodology/approach – The paper draws from seminal international marketing literature and other fields to propose perspective shifts, and suggest theories and frameworks of potential usefulness to the five research areas. Findings – The paper conceptualises multicultural marketplaces as place-centred environments (physical or virtual) where the marketers, consumers, brands, ideologies and institutions of multiple cultures converge at one point of concurrent interaction, while also being potentially connected to multiple cultures in other localities. Five key areas for research development are specified, each with a different conceptual focus: increasing complexity of cultural identities (identity), differentiation of national political contexts (national integration policies), intergroup conviviality practices and conflictual relationships (intergroup relations), interconnectedness of transnational networks (networks), and cultural dynamics requiring multicultural adaptiveness (competences). Research limitations/implications – For each research area, a number of research avenues and theories and frameworks of potential interest are proposed. Originality/value – The paper demonstrates why multicultural marketplaces constitute new conceptual territory for international marketing and consumer research; it provides a conceptualisation of these marketplaces and a comprehensive research agenda.

Building holistic brands: an exploratory study of Halal cosmetics

Purpose – Branding in faith-based consumer markets, in which marketing practices, religion, and consumption intersect, is largely unexplored. The purpose of this paper is to investigate how brands integrate religious concerns into their strategies through Halal branding. The central logic of authors’ view is that branding applied in a particular consumer market (i.e., Muslim) could enrich dominant (Western) branding theory. Design/methodology/approach – Although challenging, qualitative research offers a valuable lens in international marketing research in allowing researchers to study organizations and contexts in their natural settings, enabling a more holistic approach, instead of imposing one’s culturally informed pre-conceptions (Boyacigiller and Adler, 1991). In this regard, a multiple case study approach considering Halal cosmetic brands is used. A replication logic is applied in interpreting the data. Findings – Holistic branding is a broader concept than what mainstream theory acknowledges; brand attributes go beyond the functional and emotional, offering insights into a spiritual dimension. The proposed model identifies attributes that reflect the brand’s worldview and contribute to holistic branding: spiritual ethos and belief system, sustainable and eco-ethical philosophy, wholesomeness and inclusiveness. Research limitations/implications – This exploratory research represents the initial step for faith-based/Halal branding; the discussion is confined to the cases under study. The results are not conclusive and require further empirical research to validate their broader applicability. Practical implications – The study highlights the need for a comprehensive approach to branding of faith-based products. The Halal market (cosmetics and toiletries) may be attractive to companies that seek to widely develop products targeting faith-based Muslim consumer markets. Originality/value – The study contributes to an area of growing concern from an academic point of view (i.e. Halal branding) by proposing to add a spiritual dimension to holistic branding. Several questions remain and should stimulate further research. Hence, researchers would be able to understand more clearly the meaning of the religious environment and the impact that environmental forces are likely to exert on business decisions.

Standardisation versus adaptation of business practices in Europe: 20 years of the Single European Market and two decades of (scarce) research

Shortly before and after the creation of the Single European Market and, partially, in the early 2000s, international marketing researchers had shown a vivid interest in the effects of European Union harmonisation on marketing strategies. Questions about the benefits of standardisation or adaptation strategies were asked and propositions were made. The last decade, however, has shown a relative paucity of interest by management scholars in the topic - a void that is being explored by articles in this special section.

The role of mindfulness in response to product cues and marketing communications

This article aims at integrating mindfulness into consumer decision-making process. Specifically, it integrates consumer mindfulness as a moderator of the relationship between intrinsic and extrinsic product cues and product evaluation. Based on cue evaluation theory, elaboration likelihood model, and mindfulness literatures, a conceptual framework explaining how individual mindfulness moderates the relationship between product cues and marketing communication, and consumer quality perceptions and product evaluation is presented. While product cues have impact on mindful consumers' quality perceptions and product evaluations, intrinsic product cues nonetheless make a stronger impact than extrinsic product cues. Furthermore, marketing communications have less impact on mindful consumers' product evaluations. The proposed framework contributes to extant research on consumer product evaluations and consumer psychology literature in general by integrating the individual mindfulness concept into consumer cue utilisation processes, and highlighting its crucial role in consumer response to marketing communications. Marketers should carefully examine and consider the mindfulness level of the current and potential customers in each market environment before developing their marketing mix. It concludes with managerial implications for B2B and international marketing and future research directions.

Standardization and Adaptation of International Marketing Mix Activities: A Case Study

Despite increasing importance of international marketing for firms to survive and continue to prosper as well as increase their profitability in a rapidly changing environment, researchers pay more attention to domestic knowledge issues rather than international marketing. However; several factors (i.e. economies of scale, competitive strike, government incentives etc…) lead firms to international markets. In this context, all marketing activities in domestic level are undergoing a transformation to become international. Such that, the concept of marketing mix has become one of the key focus areas in international marketing research, practice and thought. In this study, we examined international marketing mix activities by conducting a descriptive holistic case study. We found three main findings. First, price and place elements of marketing mix are the most adapted elements. Second, while the product concept, colour and packet in product mix are adapted, the label and brand name are standardized. Third, promotion element of marketing mix is the most standardized element.

Consumer ethnocentrism: Reconceptualization and cross-cultural validation

Consumer ethnocentrism (CE) is a popular construct in international marketing research and is generally measured using the CETSCALE, a reliable scale with proven predictive validity but with limited evidence about its construct validity, dimensionality and cross-cultural measurement invariance. This note addresses these gaps by reconceptualizing CE as an attitude construct consisting of three dimensions: (1) affective reaction, (2) cognitive bias and (3) behavioral preference. A revised CE scale (CES) is developed and tested using two empirical studies with adult consumers from four different countries (China, India, UK and USA), showing that CES is a reliable, valid and cross-culturally invariant scale and it explains greater variance than the CETSCALE and other similar scales, in customer evaluations and behavioral intentions for a wide range of products and services.

The role of organizational mindfulness in firms’ globalization and global market performance

Purpose– This research aims at contributing to international marketing literature by reconsidering the drivers of firms’ globalization and global market performance in the light of organizational mindfulness concept.Design/methodology/approach– Based on industrial organization theory, resource-based view and literature on organizational mindfulness, a conceptual framework is presented to characterize how organizational mindfulness impacts firms’ globalization process and global market performance. In total, 14 propositions are extracted.Findings– This paper proposes that organizational mindfulness plays a significant role in firms’ entry into foreign markets, global extension and global market performance. More specifically, organizational mindfulness positively moderates the relationships between external globalization drivers and the extent of firms’ globalization. In addition, organizational mindfulness is an antecedent to strategic processes, whereas it positively moderates the relationships between other internal drivers and firms’ globalization and global market performance. Furthermore, this paper suggests that country equity is a significant external globalization driver that also moderates the relationship between the extent of firms’ globalization and global market performance.Research limitations/implications– The proposed framework contributes to international marketing research by integrating organizational mindfulness concept into the drivers of firms’ globalization and global market performance, and highlights its crucial role in the pursuit of opportunities in the global marketplace. The paper suggests that firms should create mindful organizations to expand its activities into global markets and achieve desirable global market performance. In other words, they should improve collective mindfulness to survive in today’s hyper-competitive markets.Originality/value– The paper represents the first attempt that incorporates organizational mindfulness concept into firms’ globalization process. Highlighting the importance of developing mindful organizations, it reconsiders the drivers of firms’ global expansion and global market performance. Furthermore, it is the first attempt that introduces the country equity construct as an external driver of firms’ global extension and as a moderator between organizational reform measures and global market performance.

Cross-cultural validation of switching costs: a four-country assessment

Purpose – The purpose of this paper is to develop a cross-cultural scale of customers’ perceived switching costs (PSCs). Customers’ PSCs function as a powerful defensive marketing tool that restrains customers from switching. Design/methodology/approach – Four sets of survey data were collected in the UK, Egypt, Germany, and China. An overall response rate of 86 percent was achieved across the four countries. Cross-cultural equivalence of the PSCs scale was assessed using multi-group confirmatory factor analysis. Findings – Tests of configural, metric, and factor variance invariance confirmed that the PSCs scale is appropriate for meaningful cross-cultural comparisons. Research limitations/implications – Data were collected in four countries from the financial service context. Future researchers should test the short-form PSCs (PSCs-S) scale across different cultural and industrial contexts to enhance its generalizability. Practical implications – The cross-cultural PSCs-S scale presented here will enhance international marketing researchers’ ability to test theory containing customers’ PSCs as central variables, and provide managers with a measurement tool that they can use to better segment and manage their customers. Originality/value – This study is one of the first to develop a cross-cultural PSCs scale. Despite the growth of research into customers’ PSCs, research on the topic has been limited by the lack of a cross-cultural measurement instrument. The latter now furnishes the research community with the opportunity to gain a fuller understanding of switching behavior, to establish the scale's generalizability, and to make meaningful comparisons of PSCs across cultures.