Understanding Chinese consumers' pre-purchase value expectations: the role of country of origin effect

Mengnan Qu; Sara Quach; Park Thaichon; Lorelle Frazer; Meredith Lawley; Denni Arli; S Weaven; Robin Roberts

doi:10.1108/APJML-06-2020-0388

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Understanding Chinese consumers' pre-purchase value expectations: the role of country of origin effect

Journal article

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Peer reviewed

Understanding Chinese consumers' pre-purchase value expectations: the role of country of origin effect

Mengnan Qu, Sara Quach, Park Thaichon, Lorelle Frazer, Meredith Lawley, Denni Arli, S Weaven and Robin Roberts

Asia Pacific Journal of Marketing and Logistics, Vol.33(8), pp.1861-1877

2021

DOI: https://doi.org/10.1108/APJML-06-2020-0388

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Abstract

franchise

international expansion

consumer expectations

food and beverage

country of origin

COO

China

Purpose: This study aims to examine the effect of country of origin (COO) on customers' value expectation and willingness to pay by employing signalling theory and cue utilisation. Design/methodology/approach: The data were collected from 386 customers via an online survey in the context of Australian food retail franchise stores in China. Findings: The findings indicate that COO origin is an important determinant of customer expectations including service quality, social value, emotional value, monetary price, behavioural price and reputation. Furthermore, the only social value was a significant predictor of willingness to pay. Although the direct effect of COO on willingness to purchase was not significant, the COO had a significant indirect effect on willingness to pay via social value. Finally, the COO has a stronger effect on monetary price expectation among customers who were aware of the country brands than those who were unaware. Originality/value: The study extends the body of knowledge related to the effect of COO during the pre-purchase process and provides important implications for retailers who are looking to enter an overseas market such as China.

Details

Title: Understanding Chinese consumers' pre-purchase value expectations: the role of country of origin effect
Authors: Mengnan Qu (Author) - University of the Sunshine Coast, Queensland, School of Business and Creative Industries
Sara Quach (Author) - Griffith University
Park Thaichon (Author) - Griffith University
Lorelle Frazer (Author) - University of the Sunshine Coast, Queensland, School of Business and Creative Industries
Meredith Lawley (Author) - University of the Sunshine Coast, Queensland, School of Business and Creative Industries
Denni Arli (Author) - University of Minnesota, Duluth
S Weaven (Author) - Griffith University
Robin Roberts (Author) - Griffith University
Publication details: Asia Pacific Journal of Marketing and Logistics, Vol.33(8), pp.1861-1877
Publisher: Emerald Publishing Limited
Date published: 2021
DOI: 10.1108/APJML-06-2020-0388
ISSN: 1758-4248; 1355-5855
Organisation Unit: School of Business and Creative Industries; University of the Sunshine Coast, Queensland; USC Business School - Legacy
Language: English
Record Identifier: 99498106502621
Output Type: Journal article

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Collaboration types: Domestic collaboration; International collaboration
Web Of Science research areas: Business