Changing Perception of Consumer towards Brand Choice and the role of culture in it: A Pakistan perspective An Argumentative Paper on the Bond between Brand Choice, Consumer’s Perception and Culture influence Ikra Nasir Bachelor of Business Administration, Comsats University of Science and Technology, Islamabad campus, Pakistan Haider Ahmed Qazi Bachelor of Business Administration, Comsats University of Science and Technology, Islamabad campus, Pakistan Abstract
The main purpose of this paper is to investigate and discuss the importance of analyzing the consumer perception towards local and foreign brands. An argumentative approach has been used to reveal the importance of Consumer perception. Local and foreign brand choice is affected by brand image, country of origin, brand awareness, brand quality, Materialism. With the increasing trend of globalization consumer have become much more aware and their perceptions are changing at rapid pace, it has been seen that price, quality are considered to be major determinants of making their brand choice.
Consumer’s value local brands because of low price but they prefer foreign brands because of better quality and durability and for status enhancement reasons. In order to understand consumer perception we need to understand culture so that necessities and behavior of consumers are well understood. The paper shows a link among three concepts and how they are interconnected. The discussion section views the concepts based on the findings of the research. A theoretical framework has been described which exhibit the antecedents on which the three concepts are being measured.

Lastly the paper conclude that a cross-culture study is essential to understand the changing perception of consumers when making a brand choice between local and foreign products Keywords: Brand Choice, Perception, Globalization, Culture, Local and Foreign Brands Contents 1. Introduction3 1. 1. Problem Statement5 1. 2. Objectives of the study5 1. 3. Significance of the research5 1. 4. Scope of the research6 1. 5. Limitation of research6 2. Literature Review6 2. 1 Local and Foreign Brands6 2. 2 Consumer Perception8 . 3 Role of Culture9 2. 4 Link between Local and Foreign brands, Consumer Perception, Culture. 10 3. Theoretical Framework and antecedents of variables11 4. Hypothesis12 5. Data Analysis12 5. 1Population13 5. 2Sample size13 5. 3Sampling Method14 5. 4Data Description14 6Discussion16 6. 1Consumer perception and culture18 7. Conclusion19 8. Recommendations19 References20 Appendix25 1. Introduction ‘People are pawns in the hands of giant companies with huge advertising budgets and global reach.
Brands bring something that people think is better than what they feel’ . – (The Economist, 2004) The study aims to understand the consumer perception towards local and foreign brands in the Pakistani market not only in fast moving consumer goods segment but also in other industries as retailing, clothing. Through consumer perception of price quality and value are considered pivotal determinants of shopping behavior and product choice (Bishop 1984; Doyle 1984; Jacoby and Olson 1985, Sawyer and Dickson, 1984) ( Valarie A. Zeithaml, 1988).
Pakistani market is taken into study because of increased globalness many international companies are now entering into the market on the strength of rising affluence level of the young Pakistani population along with the heightened awareness of foreign brands, international shopping experiences the demand for foreign products are increasing in Pakistan The increased global competition among foreign firms operating in different parts of the world are not only offering products but also offering increased standard for living and improved lifestyle of consumers around the world.
So now the markets need to understand the consumer perceptions and Assessments of foreign products more than ever before (Simriti Bajaj, 2007). We are also interested in understanding and considering the factors that affect the consumer Assessment and perception of foreign products against local products Consumers when come in a market are faced with a choice between local and foreign brands how they make this choice is obviously worth researching Studies already show that the consumer perception towards brand quality and acceptability is perceived directly from where the brand is from.
This shows that brand country of origin play an important role in determining the quality of brand which influences their attitude and purchase intentions. In developing country like Pakistan brand origin (that the brand is from which country) affects the perception of consumers for foreign products (Kaynak et al. , 1999) and this foreign product can be more favorable if the brand is from the western or developed country.
Consumers evaluate products more positively which are particularly from the USA, Japan, Germany, Italy, the UK and France (Bhuian, 1997) brands are well recognized by consumers around the world, and are perceived as to representing a high status and quality we believe that this effect consumer assessment of brand quality rating (Lee,M,Y. , Knight,D. , Kim,Y,K. , 2008) Looking at how consumers perceive local brands. The study revealed that local brands benefit from a better value.
As it is mention by Simriti Bajaj (2007) that Value is linked with the fact that prices of local brands are usually lower than those of international brands, providing consumers as sense of better value for money. As tell by (Sankar,S,M. , 2006) Local brands are perceived as more “down to earth” than an international brand, Research shows that perceived brand globalness for global brands could create consumer perceptions of brand superiority (Shocker et al. , 1994)(Sankar, S. M. , 2006) Consumers prefer global brands because they usually offer more quality and better guarantees than other products.
Consumers look to global brands as symbols of cultural ideas “Local brands show them what they are while global brands show them what they want to be” Shocker et al. , (1994) cited by Sankar, S. M. , (2006) Consequently when companies are doing marketing of brands across cultures firms make strategies that assert a standardized brand through the use of advertising, symbols and other imagery Marketers seek to develop brand that is rational for all the consumers in the world. ( Foscht,T. , Maloles III,C. , Swoboda,B. Morschett,D. , and Sinha,I. , 2008) Culture play an important role in determining the Brands personality it is perceived differently by consumer either in culturally-homogeneous or heterogeneous markets the culture meaning which could be assigned to the brand is influenced by culture differences in diverse communities. In the paper of “Brand culture and consumption: Chinese consumers and foreign brands” Chen Li a professor of management science in France university d’Aix tells that Chinese have accepted foreign brands happily.
Culture values are thought of determining the attitude and behaviors of consumers (Kamakura and Novak, 1992) With the increase trend of globalization, Consumers in Pakistan are now becoming more informed, demanding and sophisticated consumers attitude is changing at rapid pace. consumers are becoming aware of westernized products and they feel that buying and having a foreign product make them feel proud between their families and friends and it give them prestige and status(Kaynak. E, Kara. A, 2000).
This shows that products today have now become more symbolic attribute for people. The study therefore focus on the reason that why consumers in the market particularly Pakistan prefer foreign brands over local brands and how culture play a role in molding the perception of consumers in making brand choice for the deep understanding interviews have been conducted with consumers that helps as a qualitative tool for the research to know the attitude and thinking of consumers towards local brand and foreign brands.
This study is restricted to upper and middle class. 1. 1. Problem Statement The research evaluates the impact of local and foreign brands on consumer perception and the moderating effect of culture on consumer perception 1. 2. Objectives of the study
The main objective of the study is to evaluate consumer perception of local and foreign brands in the Pakistani market other objectives are as follows: 1- To analyze the effect of consumer perception for foreign brands and that why people prefer foreign brands over local brands 2- To determine the increase influence of modernization and westernization (impact of culture) affects the consumer perception of brand choice 3- To identify the effect that culture plays a moderating role when consumers make a brand choice between local and foreign brands. . 3. Significance of the research The research is important for the marketers and the companies who want to enter into Pakistan as it will help them understand the changing perception of Pakistani consumers towards brand choice. While marketing across culture many firms make marketing strategies that emphasized a standardized brand through advertising, symbols and imagery the study help to understand the role of culture differences and acceptance of Pakistani consumers.
It tells us how culture plays an important role to understand the perception of consumers, as nowadays there is a trend of westernization and people are blending west with our eastern culture. They are using global brands as to get ideas of other cultures, and they adapt them to make themselves the global consumers. Therefore, this research will be of great help to the managers and companies, as they will get to know the acceptance level of their brand by consumers. In addition, studies aim to add to the knowledge about consumer behavior and their perception of foreign vs. ocal brand in a developing market like Pakistan A firm serving foreign brands must understand how consumers in different cultures evaluate the brand. Hence this understanding of consumer choice behavior will benefit both foreign companies and local companies. 1. 4. Scope of the research The scope of the research was to study the perceptional changes of consumer towards brand choice from the twin cities Rawalpindi and Islamabad (The capital of Pakistan). As being a student and resident of Islamabad the study is being done on small scale to get the overall idea about the topic.
The samples which seem appropriate for this particular study are consumers from Pakistan 1. 5. Limitation of research The limitations of the study are that the finding is mostly done between students and faculty of different private sector universities of Islamabad and Rawalpindi. Which limit the generalizability of the finding as student represents only a subset of consumers. Future research will be conducted with a sample more representative of the entire consumers. The study selected only two foreign brands Levis and Polo. 2.
Literature Review 2. 1 Local and Foreign Brands A brand is a “Name, term, design, symbol, or any other feature that identifies one seller’s good or service as distinct from those of other sellers (Aaker,1996) brand is an image that act as a pathway for image value and differential point (Cretu ; Brodie, 2007; del Rio, Vazquez ; Iglesias, 2001). One of the most cited definition of local brand was formulated by Wolfe (1991; 50) “A local brand can be defined as a brand that exists in one country or in a limited geographical area” .
Where a foreign brand is defined as “a brand that is marketed under the same name in multiple countries with similar and centrally located coordinated marketing strategies”. Levitt (1983). Competition has now become much complicated for brands as the number of brands originating from the foreign countries are increasing many foreign brands are now competing with domestic brands in all global markets and that foreign brands image is more related from brand country of origin and country image. Kim,C,K. , and Chung,J,Y. (1997) Foreign brands are perceived to be more reliable and safe in terms of quality, technology, status and esteem then local brands . Positive brand image is found in accordance to country of origin perception. Country of origin image influence the brand preference for the consumer so according to (Kinra,N. , 2005) country of origin is considered to be an important factor that differentiate the consumer attitude towards local and foreign brands. In the study of (Marin and Gonzalez, 2008) People preferred foreign brands over local brands because of differentiation and enhanced quality and that’s hy most of the consumers show loyalty towards global brands as far as local brands consumers perceives them in terms of popularity as they are from their own country so people mostly know about them means they are having high awareness level and they value to it in terms of fare prices The increase trend of Globalization has forced the companies to take their brands global and invest in them for the companies long term success(Arturo Bris, Willem Smit, and Michael Sorell, 2010) In some cases, preference for local brands may signify defiance against the forces of globalization (Russell and Russell, 2006).
Today’s in this inter connected world markets with its consumers all over the world the global brand creates consumer perception of brand superiority (Shocker, et al, 1994; Kapferer, 1997; Keller, 1994; Ozsomer and Altaras, 2008); and it has been seen that foreign brands have more prestige and status enhancement which make people more likely to prefer foreign brands in their purchase decision (Steenkamp, Batra, and Alden, 2003).
The main difference for brand are based on the things which differentiate them from others , something unique, something good it was found by Keller (2003) that brands like FedEx and McDonald form and create their attractive image in mind of consumers by speed reliability, quality food ,and comfort like characteristics (Harun. A et al. ,2010) consumer purchase intention for local and foreign brand is influence by brand specific variables quality emotional value e. g a sense of happiness and pleasure and need for uniqueness (Kumar. A et al. 2008) On the basis of literature of local and foreign brands it has been proposed 2. 2 Consumer Perception Perception is the process through which consumer attach meaning to the world around us our world consist of the people experiences and objects that influence us (Brignall. M, 1999-2012)Consumer perception is based on demographic variables which also may have an impact on brand preferences (Dogerlioglu-Demir. K , Tansuhaj. P,2011) consumer perception for different brands depend upon the amount of information consumer have with them about it (Vithala R.
Rao, 1972) consumer perception , values and behavior towards foreign brands when buying the luxury fashion products is to buy a brand which enhance their status (Jap. W,2010) “In a nation that has long tradition of valuing ‘face, ‘consumers take luxury products as a symbol of their high social status. ” Stated by Simons (2006) status consumption and incorruptibility are strong influencers of purchase intention (Phau. I, Teah. M, 2009). Consumer perception towards brand purchase intention is influenced by perceived quality, perceived risk, perceived value, prestige and involvement of consumer in a brand ( Hanzaee.
K. H, Taghipourian. M. J, 2012) consumer perceive quality of a brand from its intrinsic e. g. Performance, Durability and extrinsic cues e. g Brand name and service now consumer perception towards any brand is formed that how effectively a brand satisfy its quality and overall superiority with respect to its consumption experience (Kirmani and Baumgartner 2000). Consumer preference towards foreign products are seen due to the good quality , prestige and perceived value perception for foreign brands consumers think that possessing a foreign brand influence the other people perception about them (Ergin. E.
A, Akbay. H. O, 2010). So it is well supported in the literature that consumer perceptions are based on variables such as quality, explicit information, social status, prestige like variables consumer prefer to buy a brand that give them feeling of the ambience that creates enjoyment for consumers which is taken as a critical aspect of consumers’ consumption experience and in turn consumers perceive a brand in agreeable with them (Babin et al. , 1994). Brands that prove and indicate reliability and integrity ensure consumer trust in a brand and they create perception of loyalty for the brand ( Ok. C et al. 2011) perceived value is also a key strategic variable that helps explain repeat purchase behavior and brand loyalty (Parasuraman and Grewal 2000 ; Wong. A ;Zhou. L, 2005). 2. 3 Role of Culture What is culture? When looking in a national context it’s a way of life – a natural inherited way of life – that includes religion, spirituality, language, moral and social norms, family values, eating habits, and so on. (Tandon. S, 2004). Researchers in consumer behavior are very much aware of the necessity to understand culture so that necessities and behavior of consumers can be very well understood (Graham.
R. J, 1981) there is an impact of culture in consumer Assessment(Mattila. A. S,1999) with the increased trend of globalization, cultures trade with each other expand opportunities available to all, Critics of globalization say that even if the increased trade has promote the material success and fortune it comes with high spiritual and cultural cost (Cowen. T, 2003)globalization presents a fundamental challenge to companies around the world (Iversen and Hem 2011; Nijssen and Douglas 2011).
Culture, it has well been established in the literature that brands carry and communicate cultural meanings (Aaker, 1997; Aaker et al. , 2001; Escalas and Bettman, 2005). Three levels of Culture identity: individual, relational, and collective are suggested by Brewer and Gardner relational and collective self-identities most closely relate to social identities such as global and national identity. While individual self-identity has more personalized associations (Brewer and Gardner, 1996) (Westjohn. S. A et al. , 2011).
In different cultures there are set of shared consumption related symbols, product categories, brands which are known as global consumer cultures and those which are not known to be as local consumer cultures associating a brand with global consumer culture flows brand equity (Dana L. Alden et al. , 1999)in order to analyze a global consumer behavior an analysis of life style and cross cultural analysis of consumer lifestyle and traditional areas of consumer decision making should be focus Hassan. S. S, Kaynak. E,(1994).
Ethnocentrism is a concept which was introduced by (Sumner, 1906) (Evanschitzky. H, et al. , and 2008) it represents the universal tendency of people to view their own group as a centre of the universe they look at other social units from their group perspective. And they reject the person who is culturally dissimilar and accept the one without thinking that are culturally like themselves (Evanschitzky. H, et al. , 2008) in order to build a brand across market cultural differences across markets and communities should be analyzed (Moore. J,1993) 2. Link between Local and Foreign brands, Consumer Perception, Culture. While global brands may be perceived as status enhancing tools and vehicles for expressing a desire to be part of the global consumer community, local brands may suggest low status (Batra et al. , 2000) and even closed-mindedness (Steenkamp et al. , 2003). In some cases, preference for local brands may imply resistance against the forces of globalization (Russell and Russell, 2006). Marketers are increasingly applying marketing positioning strategies to appeal to either global or local consumer cultures.
In order to measure CE related to foreign- vs non-foreign-made products, (Shimp and Sharma, 1987) introduced a 17-item measurement instrument, the consumer ethnocentrism scale (CETSCALE) which we use to identify the culture dimensions and their behavior for acceptance and non acceptance of foreign products. Consumer perception or purchase behavior towards domestic and foreign product can be explained by many demographical variables and cross-culture study between two countries (Evanschitzky. H, et al. 2008) Culture orientation influences the local versus foreign origin and effect the consumer Assessment of products either favorable or unfavorable ( Gurhan-Canli. Z , Maheswaran. D, 2000, cited by Lee. W. J et al. , 2012) Due to traditionalism in consumer perception consumers are more loyal towards local products than foreign products (Rojsek. I, 2001) in order to standardized the foreign product in different diverse societies managers must understand the adaptation and competitive advantage and for local brand strategies strength and weaknesses which they can obtain through culture knowledge which can device competitive response. Gelder. S. V,2002) On the basis of above literature we proposed that: H1: The impact of foreign brands on local has positive effect on consumer perception H2: Culture has positive effect on consumer perception H3: Culture has a moderating effect on brand choice and consumer perception 3. Theoretical Framework and antecedents of variables Independent Variable Dependent Variable Consumer perception * Explicit information * Social status * Brand Prestige * Brand Value * Brand loyalty * Durability * Price Brand choice * Brand image * Country of origin * Brand awareness Brand quality * Purchase intention * Emotional Value(happiness) * Materialism Culture * Globalization * Collectivism/Individualism * Symbolic Value * Traditionalism * Competition * Ethnocentrism Moderating Variable Figure-1, Theoretical Framework and identified antecedents of the variables 4. Hypothesis H1: The impact of foreign brands on local has positive effect on consumer perception In our first hypothesis we hypothesized that the consumer perception towards foreign brands is more positive than local brands and that they give a preference to foreign brands when they are making a brand choice.
A semi-structured questionnaire has been developed to test the validity of the hypothesis. H2: Culture has positive effect on consumer perception Our second hypothesis was build on a perception that culture influence the perception of consumers and that factors like traditionalism, individualism, collectivism, Ethnocentrism like variables play a role in changing and making the perceptions of particular consumers in different part of the world because people living in different geographical areas and has different taste and preferences they have their own symbolic cultural values which come in way.
H3: Culture has a moderating effect on brand choice and consumer perception Lastly in our third hypothesis we hypothesized that when consumers make a choice between local and foreign brands their perception is influenced by the cultural values and affect their choice and decisions which they take 5. Data Analysis In order to test our hypothesis and the basic assumptions which we have made for this topic we are going to test this study based on some tests through which we are going to analyze the basic relationship between the chosen variables.
To test the validity of our research our testing process will include Bivariate Correlation and Linear Regression Analysis. In Bivariate Correlation we are going to determine that if two variables are linearly related to each other. In Linear Regression Analysis we will see the relationship between our independent variable local and foreign brands and dependant variable consumer perception. Through linear regression the researchers have tried to predict the value of consumer perception based on the value of local and foreign brand choice.
Before using the test of linear regression we have make some assumptions that the chosen variables are measured at the interval or continuous level, our variables are approximately normal distributed and that there is a linear relationship between the two variables. We have used different techniques to gather the specified data. We have observed the already done research on this issue for this purpose a thorough analysis of the research papers has been done.
A semi-structured questionnaire has been developed related to consumer perception towards local and foreign brands and then interview method and questionnaires were distributed among the sample to get the responses for the topic. 5. 1 Population Our study group consist of the random sample of both men and women which is the representatives of entire population of twin city Islamabad and Rawalpindi (Pakistan) and from students and faculty members of different private universities located in the city, friends and family members were also been approached as this research has been done to get the idea of verall research and to understand and analyze the problem of the research. The research was mandatory as the subject requirement so that we can survey and analyze consumer responses and study their perception changing factors. 5. 2 Sample size Pakistan is a developing country and it has an emerging market. A total of 10 respondents were interviewed face-to-face. Using a semi structured questionnaire and a sample size of 200 respondent data has been collected using a questionnaire and has been analyzed in the twin city of Pakistan. And students and faculty members were studied mostly.
Over the last six months considerable amount of effort has been devoted to constructing reliable and valid indicators. 200 respondents were asked to fill a questionnaire which was semi-structured. 5. 3 Sampling Method If a researcher wants to choose an appropriate data collection approach they must prepare in advance a sampling method. There are many types of sampling method which are divided into probability and non-probability sampling. Due to availability and accessibility of the sampling frame for our research we have chosen a non-probability convenient sampling.
Non probability sampling is a sampling method in which researchers can sample the group at random. This means that they can choose the sample that is available or easily approachable. Convenient sampling is a part of a non-probability sampling in it researcher have a sample which is most easily available to them and are geographically very convenient to them. Sampling method is done so that the research gets the result which is the representative of entire population. The research is done for high and middle class in Pakistan to get the idea of the perceptions for the brands from the consumers.
And to check the perception and symbolic value which is been given to the brands in term of materialism and social-status price, quality in Pakistan among these two classes. 5. 4 Data Description Table: 1 Correlation Descriptive Statistics| | Mean| Std. Deviation| N| Perception| 1. 98| . 530| 200| Brand| 2. 33| . 428| 200| Culture| 2. 27| . 441| 200| Correlations| | | Perception| Brand| Culture| Perception| Pearson Correlation| 1| | . | | Sig. (2-tailed)| | | . | | N| 200| | | Brand| Pearson Correlation| . 430**| 1| **| | Sig. (2-tailed)| . 00| | | | N| 200| 200| | Culture| Pearson Correlation| . 539**| . 402**| 1| | Sig. (2-tailed)| . 000| . 000| | | N| 200| 200| 200| **. Correlation is significant at the 0. 01 level (2-tailed). | | Table:2 Linear Regression Analysis Model Summary| Model| R| R Square| Adjusted R Square| Std. Error of the Estimate| 1| . 587a| . 345| . 338| . 431| a. Predictors: (Constant), Culture, Brand| | ANOVAb| Model| Sum of Squares| df| Mean Square| F| Sig. | 1| Regression| 19. 258| 2| 9. 629| 51. 790| . 000a| | Residual| 36. 627| 197| . 186| | | Total| 55. 885| 199| | | | a. Predictors: (Constant), Culture, Brand| | | | b. Dependent Variable: Perception| | | | Coefficientsa| Model| Unstandardized Coefficients| Standardized Coefficients| T| Sig. | | B| Std. Error| Beta| | | 1| (Constant)| . 053| . 196| | . 272| . 786| | Brand| . 316| . 078| . 255| 4. 043| . 000| | Culture| . 525| . 076| . 436| 6. 926| . 000| a. Dependent Variable: Perception| | | | In the first table which is representing the correlation analysis which determines the linear relationship between two variables.
The value of our variables is Positive Significant, because of probability value is . 000 and correlation value is greater than 0. 1. We analyzed the value of the variables and there significant relation with each other. The results shows the value of variables as r1=. 430, r2=. 539, r3=. 402 which show significant relationship among three variables as the correlation is significant the value of our beta is . 255 or. 436 it’s what regression co-efficient would be if the model were fitted to standardized data. Correlation is significant at 0. 1 level, two tailed test results give the value of correlation of . 430 between the independent variable local and foreign brands and dependant variable perception. That shows a strongly positive relationship among the two variables. r2=. 539 is the correlation value between the moderating variables culture and dependant variable perception the value show a more positive relationship between these two variables. The dependant variable consumer perception has more strong relation with the moderating variable culture.
Which means that consumer perception has more effect of culture implications, r3=. 403 is the correlation value between the independent variable brand choice (local and foreign) and the moderating variable culture this show a slightly less strong relation among the two as compared to r2. In table: 2 linear regression analysis our result give us the value of R2=. 345 which is a low value that means that model fits the data better our value for the data measured is 34. 5 %. It means that 35 percent of the consumer’s perception for local brands is positive and rest 65. % people prefer to buy foreign brands. F-Statistic determines the overall goodness of the test and strength of the test. The data is collected efficiently if its value is greater than equal to 10. If the probability of a F Statistic is . 000 than the data is reliable and significant. The Value of our Data is 51. 790 and significant with . 000 probability level it means that the data is collected efficiently and data is reliable. 5 Discussion The results drawn above show significant relationship among variables related to consumer perception about the local and foreign brands.
It has been seen that Consumer has positive perception towards foreign brands in Pakistan. Consumer give preference to the products made from US, Japan, France based on the specialty of that particular country. Perception toward a foreign brands are considered superior because of its better quality and perceived globalness its been notice that perception of people for quality towards a local brand is low one of the respondents during an interview for the research tells that as there is already so much corruption in Pakistan.
People are so much unsure about the products which are been labeled as made in Pakistan because most of the times the product quality is really low and is never guaranteed. Consumers are more satisfied when they purchase a foreign country product because it give them a sense of happiness. Consumers are ready and willing to pay for a brand who gives them an identity, a sense of trust and that is well recognized among their family and friends. Foreign brands are noticed and appreciated among consumers it make their social status and they feel proud to wear a foreign based brand.
In the research of Merino. M (2008) based on Latin America tells that foreign brands are considered to be in a distinct position and that consumers prefer foreign brands over local brands because they are perceived to be more value added for the consumers. While on the other side consumer perception towards a local product is that they are of low price then foreign products and one can easily afford them but don’t value and their purchase intention is low for local products. Existing literature support the view that consumers have different views and distinct preferences for local and foreign brands.
As Pakistan is a developing country their preference and perception is really positive towards the brands and products which are foreign made. Uncles,M. , Saurazas,J. , 2000 also explain this fact in their research that consumers who are from developed countries prefer to buy local products means their own country products while the perception of consumers from developing countries prefer to buy foreign products. They are of the view that the quality of developed country products is most reliable. Consumers were ostly of the view that people buy foreign products as a symbol of materialism there were multiple views about this concept but mostly agree with the fact that consumer do buy foreign products so that they can show to others that they are global consumers and that they are much better than those who did not wear or possess foreign brands with them. They judge a success of a person by the quantity of foreign based brands he/she wear. For these materialistic people value of possession of something means to reflect a social status.
Sometimes foreign brands are given preference just because of their attractive outlooks and brand image consumers buy them even if they are not satisfied paying a huge amount of money on it but it somehow enhance their social status in the society and they feel proud when people appreciate them and recognize them with their brands name but even because of the fact that foreign brands are better in performance, reliability, durability aesthetics and quality. It has seen in a result that many people response were that they regret after buying a foreign brand because of the high prices.
But just because they are good in quality and sometimes because of the reference group pressure they buy it. Increased globalization has made the consumers more aware of the brands and people purchase foreign based sometimes because of the explicit information that they receive about it. Hence based on the above discussion our H1 is confirmed 6. 5 Consumer perception and culture West has already impacted a lot in our society which can be clearly seen and observed. Even in clothing people prefer to blend a western touch in their eastern.
Many brands like “Crossroads”, “Stoneage” are the Pakistani clothing brands which give the blend of west and east clothes on the observation and results of the study it has been well analyzed that foreign brands are and will be widely accepted if introduced in Pakistan even the culture of Pakistan is traditionalist people are very much accepted towards the western society because they are so much impressed with the lifestyle and practices of the west that they want to adopt them in their consumption pattern . Local brands signify their traditions and values but foreign brands give them value and make them feel to be part of a global culture.
Now people in Pakistan think that if they don’t know about the particular popular foreign brands they will be considered as backward and not socially compatible with other consumers all over the world they think that different cultures have now many same norms and values there are no significant differences among the societies and they considered them the part of their own culture now. There are very few consumers who have firm beliefs and values still inside them and have ethnocentrism which makes them considered their own culture very important and they don’t like and accept the people and brands which are not the part of their culture.
Even for the marketers and companies who want to introduced their brands either local or foreign it is also very much important for them to consider the culture an important factor because without the significant knowledge of the consumers background, attitude, traditions, norms, values, and various other variables like either the culture of a country has collectivism or individualism approach, its going to help them to understand the attitude and behavior and purchace intention of consumers of that particular country how people are going to perceive the brand and how the brand image will be considered according to their culture the research done by Usunier.
J, (2000) his findings also tell that culture implications influence the consumer behavior which affects consumption and therefore affecting brand image. It simply exhibits that Consumer perception is influenced by the moderating role of culture when they are making brand choice between local and foreign brands. 7. Conclusion The research was aimed at understanding of the antecedents on which consumer perception is based and the impact of culture in consumer perception our findings indicate that consumer buy foreign brands because it is well recognized in a society and it give them a sense of having a very high quality product, half of consumers response was that it is also for prestige and status enhancement while mostly did not think it has any effect on buying of foreign products.
Pakistani Youth was found to be having favorable perception about foreign brands while the adult consumers still found their own traditions and values and local brands better. 8. Recommendations Looking at the conclusions and the results of the research we hereby have suggest some recommendations for the Marketers and Companies who want to enter Pakistan and how they can advertise their brands so that it will fit with the perception of consumers and they accept it and make it a part of their culture, and even for the local brands companies who are already establish and working in Pakistan 1. Companies who want to enter Pakistan should do a though analysis of consumer perception towards that particular product which they are trying to launch whether its fast moving consumer good, clothes or any other.
It will help them to get the overall idea about what people are thinking about it. 2. In order to build a brand image Marketers must see the culture factors which are most influencing and effecting the consumer behavior towards the purchase intention Batra, R. ,(2000) 3. Consumer level of ethnocentrism should be taken into consideration. 4. Local brand companies should try to improve the quality of the brands along with the low price in order to overcome the competition which is been given from foreign brands. 5. There is a huge scope for the foreign based companies to enter in the market of Pakistan because of the positive acceptability and perception of foreign brands been found in our research 6.
Investors should focus on specified industry to whom they are going to target whether upper or middle class as the upper and middle class have different consumption patterns and they never shop from same shop and they have different income structures as its also been recommended in the research of Bajaj,S. ,(2008) 7. Marketers should focus on making such advertisements that match with local traditions and create emotional value for the consumers. So emotional value towards foreign brands should also be increased 8. The design and specifications of the products should be made in such a manner that it gratifies the status level of consumers. References Aaker, D. 1996), Building Strong Brands, Free Press, New York, NY. Aaker, J. L. , Maheswaran, D. , Benet-Mart?? nez, V. and Garolera, J. (2001), “Consumption symbols as carriers of culture: a study of Japanese and Spanish brand personality constructs”, Journal of Personality and Social Psychology, Vol. 81 No. 3, pp. 492-508. Alden et al, (1999), “Brand Positioning through advertising in Asia, North America and Europe: the role of global consumer culture”, Journal of Marketing, Vol. 63, pp. 75-87. Aaker, J. L. (1997), “Dimensions of brand personality”, Journal of Marketing Research, Vol. 34, August, pp. 347-56 Alden,D,L. , Jan-Benedict,E,M. , Steenkamp and Batra. R,(Jan. 1999),”Brand Positioning through Advertising in Asia, North America and Europe: the role of global consumer culture”, Journal of Marketing, Vol. 63, No. 1, pp. 75-87, Published by: American Marketing Association Bajaj. S,( 2006-2007),” Consumer Perceptions of Global and Local Brands in the Indian Retail Industry”, A dissertation submitted to the University of Nottingham Batra, R. , Ramaswamy, V. , Alden, D. L. , Steenkamp, J. E. M. and Ramachander, S. (2000), “Effects of brand local and nonlocal origin on consumer attitudes in developing countries”, Journal of Consumer Psychology, Vol. 9, pp. 83-95 Babin,B, J. , Darden,W,R. , ; Griffin,M. , (1994). “Work and/or fun: Measuring hedonic and utilitarian shopping value.
Journal of Consumer Research”, 20(4), 644-656. Bhuian,S,N. ,(1997),”Saudi consumer attitude towards European, US and Japanese Products and marketing practices”, Euoropean Journal of Marketing, Vol 31,No. 7,pp 467-86 Brignall. M, (1999-2012),”The perception process” retrieved on 14 May, 2012, from http://www. wisc-online. com/objects/ViewObject. aspx? ID=OIC2801 Brewer, Marilynn,B. and Gardner W,L. (1996), “Who Is This ‘We’? Levels of Collective Identity and Self Representation,” Journal of Personality and Social Psychology, 71 (1), 83–93. Blackwell,R,D. , Ajami,R. , Stephan,K. ,”Winning the global Advertising race: Planning Globally acting locally”,By Salah S.
Hassan, Erdener Kaynak,(1994) Book” Globalization of consumer markets,structures and strategies” ,chapter 11 Cowen. T, (2003)”Globalization and Culture” retrieved on 14 May, 2012, from http://www. cato. org/pubs/policy_report/v25n3/globalization. pdf Cretu, A, E. and Brodie, R,J. (2007),”The influence of brand image and company reputation where manufacturers market to small firms: A customer value perspective”, Industrial Marketing Management, 36(2), 230-240 Dogerlioglu-Demir. K , Tansuhaj. P. (2011),”Global vs local brand perceptions among Thais and Turks”, Asia Pacific Journal of Marketing and Logistics, Vol. 23 Iss: 5 pp. 667 – 683 Escalas, J. E. and Bettman, J. R. 2005), “Self construal, reference groups, and brand meaning”, Journal of Consumer Research, Vol. 32 No. 3, pp. 378-89. Ergin. E. A, Akbay. H. O, (2010) “Consumers’ Purchase Intentions for Foreign Products: An Empirical Research Study in Istanbul, Turkey”, EABR ; ETLC Conference Proceedings, Dublin, Ireland Evanschitzky,H. , Wangenheim,F,V. , Woisetschlager,D. , Blut,M. , (2008),”Consumer ethnocentrism in the German market”, International Marketing Review, Vol. 25 Iss: 1 pp. 7 – 32 Foscht,T. , Maloles III,C. , Swoboda,B. , Morschett,D. , and Sinha,I. , (2008),“The impact of culture on brand perceptions: a six-nation study”, Journal of Product & Brand Management, Vol. 17 Iss: 3 pp. 31 – 142 Felix Zimmermann, book “Local and Global Management of Branding, Identity and Image” Gurhan-Canli,Z. , Maheswaran,D. , (2000),” Cultural Variations in Country of Origin Effects”, Journal of Marketing Research: Vol. 37, No. 3, pp. 309-317 Graham,R,J. , (1981),”The role of perception of time in Consumer research”, Journal of Consumer Research, Vol. 7, No. 4, Special Issue on Consumption of Time (Mar. , 1981), pp. 335-342,Published by: The University of Chicago Press Gelder,S,V. , (2002),”Global Brand Strategy”, Brand Meta Harun,A. , Kassim,A,W,B,M. , Igau,O,A. , Tahajuddin,S. , Al-Swidi,A,K. , 2010, European Journal of Social Sciences – Volume 17, Number 2 Hanzaee. K. H, Taghipourian. M.
J, (2012) ,“The Effects of Brand Credibility and Prestige on Consumers Purchase Intention in Low and High Product Involvement”, Journal of Basic and Applied Scientific Research, 2(2)1281-1291,text road publication Iversen, Nina,M. and Leif,E,H. , (2011), “Reciprocal Transfer Effects for Brand Extensions of Global or Local Origin: Evidence from Norway,” International Marketing Review, 28 (4), 365–411 Keller, K. L. , (2003), “Strategic Brand Management: Building, Measuring, and Managing Brand Equity”, 2nd ed. Prentice Hall, Upper Saddle River, NJ Kinra, N. (2006), “The effect of country-of-origin on foreign brand names in the Indian market” ,Marketing Intelligence & Planning, Vol. 24 (1), pp. 15-30 Kim,C,K. , and Chung,J,Y. , (1997),”Brand Popularity, Country Image and Market Share: An Empirical Study”, Journal of International Business Studies, Vol. 8, No. 2 (2nd Qtr. , 1997), pp. 361-386,Published by: Palgrave Macmillan Journals Kumar. A,Kim. Y,Pelton. L,(2008), “Indian consumers’ purchase behavior toward US versus local brands”, International Journal of Retail & Distribution Management Vol. 37 No. 6, 2009, pp. 510-526, Emerald Group Publishing Limited Kaynak,E. , Kucukemiroglu,O. ,Hydr,A,K. , (1999),”consumer country of origin perception of imported products: in a homogeneous less developed country”, European Journal of Marketing, Vol. 34 No. 9/10, 2000, pp. 1221-1241 Kirmani, A. and Baumgartner, H. (2000), “Reference Points Used in Quality and Value Judgments”, Marketing Letters, Vol. 1, No. 4, pp. 299-310 Lee,W,J. , Phau,I. , Roy,R. , (1, Jan 2012), “Status and Non-status Consumers’ Attitudes toward Foreign and Domestic Luxury Brands of Underwear”, Journal of International Consumer Marketing 24:1-2, 43-56 Marino,M. , Gonzalez,S. , (2008) “Global or Local? Consumers’ Perception of Global Brands in Latin America”, Latin America Advances in consumer research, Volume 2) Mark J. Kay, (2006) “Strong brands and corporate brands”, European Journal of Marketing, Vol. 40 Iss: 7/8, pp. 742 – 760 Moore,J. ,”Building Brands across markets: Cultural differences in brand relationship within the European community”, by Aaker,A,D. , Biel,A,L. (1993), Book ”Brand Equity & Advertising: Advertising’s Role in Building Strong Brands”, Published by Lawrence Erlbaum associates, United States of America Mattila,A,S. , (1999),” The Role of Culture in the Service Assessment Process” Journal of Service Research February 1999 vol. 1 no. 3 250-261 Ok. C , Choi. Y. G, and Hyun. S. S, (July 27, 2011). “Roles of Brand Value Perception in the Development of Brand Credibility and Brand Prestige” International CHRIE Conference-Refereed Track. Paper 13. University of Massachusetts-Amherst Parasuraman, A. and Grewal, D. (2000), “The Impact of Technology on the Quality-Value-Loyalty Chain: A Research Agenda”, Journal of the Academy of Marketing Science, Vol. 28, No. 1, pp. 168-174 Phau. I, Teah. M, (2009), “Devil wears (counterfeit) Prada: a study of ntecedents and outcomes of attitudes towards counterfeits of luxury brands”, Journal of Consumer Marketing, 26/1, 15–27, Emerald Group Publishing Limited Rojsek,I. , (2001) “A comparison of the purchasing and consumption behavior of Slovenian and other Eastern European consumers”, International Marketing Review, Vol. 18 Iss: 5, pp. 509 – 520 Shocker, Allan D. , Rajendra K. Srivastava, and Robert W. Ruekert (1994),“Challenges and Opportunities Facing Brand Management: An Introduction to the Special Issue,” Journal of Marketing Research, 31 (May), 149–58. Sankar,S,M. ,2006,” Consumer Perception of Global vs. Local Brands: The Indian Car Industry”, A dissertation Steenkamp, Jan-Benedict E. M. , Batra,R. and Dana L.
Alden (2003), “How Perceived Brand Globalness Creates Brand Value,” Journal of International Business Studies, 34 (1), 53–65. Schuiling, Isabelle and Kapferer,J,N. , (2004),” Real Differences between Local and International Brands: Strategic Implications for International Marketers”, Journal of International Marketing. 12 (4), 97-112 Sumner, W,G. , (1906), “Folkways: The Sociological Importance of Usage, Manners, Customs,Mores, and Morals, Ginn”, New York, NY Tandon. S, June 2004, “Globalization and culture”, retrieved on 14 may 2012, from http://www. satishtandon. com/globalculture. html Usunier. J. , (2000),“Marketing Across Cultures”, Chapter 3 and Chapter 4, Third Edition,Prentice Hall, Pearson Education. Vithala R.
Rao, (May,1972),” Changes in Explicit Information and Brand Perceptions”, Journal of Marketing Research, American Marketing association , Vol. 9, No. 2, pp. 209-213 Wong,C,Y. , Polonsky,M,J. , Garma,R. , (2008) “The impact of consumer ethnocentrism and country of origin sub-components for high involvement products on young Chinese consumers’ product assessments”, Asia Pacific Journal of Marketing and Logistics, Vol. 20 Iss: 4, pp. 455 – 478 Wong. A &Zhou. L,(May, 2005),” Consumption of Foreign Products: an Empirical Test in the People’s Republic of China” Graduate school for global leaders ,Universitas 21 global Working Paper Westjohn. S. A. , Singh,N. , Magnusson,P. ( 2011),” Responsiveness to Global and Local Consumer Culture Positioning: A Personality and Collective Identity Perspective”, Journal of International Marketing, published by American Marketing Association Appendix Name: Gender: Age: Occupation: 1. People in Pakistan prefer to buy local brands? a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree 2. Local brands are given preference because of low price? a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree 3. Foreign brands are much better in quality then local brands? a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree 4. You buy a foreign brand because of its brand image? a. Strongly agree b. Agree c. Neutral d. Disagree e.
Strongly disagree 5. People purchase foreign brands as a symbol of materialism? a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree 6. People prefer to buy a brand whose outlooks are attractive? a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree 7. Buying or wearing foreign brands show a social status of a person? a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree 8. Foreign brands are more durable and long lasting then local? a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree . West has impacted a lot in clothing of our society? a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree 10. Sometimes you buy a brand because of the information you receive from others about it? a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree 11. US brands are well recognized by consumers around the world. a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree 12. Do religious norms stop you from buying foreign products? a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree 13.
Do local brands signify your culture and traditions? a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree 14. In Pakistan people trust perception for local brands in terms of quality is low? a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree 15. Due to increase globalization different cultures have many same norms and values? a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree 16. Do you ever feel regret after buying foreign brands? a. Strongly agree b. Agree c. Neutral d. Disagree e. Strongly disagree

Published by
Medical
View all posts