The study of COO effects on consumers perception: the case study of Chinese laptop market

Country of Origin (COO) effects has been subjected to a number of studies since the 1960s. Researchers suggest it is a highly context-based phenomenon that can give different results, depend on the nature of the studies. This dissertation seeks to find out how country of origin affects consumers’ p...

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Bibliographic Details
Main Author: zhang, xin
Format: Dissertation (University of Nottingham only)
Language:English
Published: 2010
Online Access:http://eprints.nottingham.ac.uk/23860/
http://eprints.nottingham.ac.uk/23860/1/Dissertation.pdf
Description
Summary:Country of Origin (COO) effects has been subjected to a number of studies since the 1960s. Researchers suggest it is a highly context-based phenomenon that can give different results, depend on the nature of the studies. This dissertation seeks to find out how country of origin affects consumers’ perceptions and purchasing decisions in the context of Chinese laptop market. Four hypotheses were constructed base on previous COO studies, which have provided theoretical basis for this dissertation. Both qualitative and quantitative researches were carried out through semi-constructed interviews and questionnaire survey. The result shows that COO has significant impact on Chinese consumers’ perception towards foreign made and Chinese made laptop. Chinese consumers generally believe foreign made laptops are better-quality but more expensive; whereas Chinese made laptop are general poorer in quality, but the prices are more acceptable. However, at real purchasing situation, the COO effects decrease significantly, when consumers have access to the real product and have more information other than COO cue to evaluate a product. In addition, the result also shows that the level of COO effects on consumers’ perception in the Chinese laptop market is positively associated with the level of consumers’ education and income level. As their education or income level increase, consumers tend to give higher evaluation on foreign brand laptop, but give lower evaluation on Chinese domestic laptop. However, there is no strong evidence suggest the level of COO effects is associated with either consumers' gender or age difference. This study can help firms to gain an in-depth understanding of the Chinese laptop market. Base on the advantages that foreign and Chinese firms have, several practical managerial strategies were also discussed that aim to help firms to achieve further success.