Why do consumers choose local brands over global ones?April 1st, 2009 - 3:08 pm ICT by IANS
Washington, April 1 (IANS) Consumers prefer local soft drinks rather than global brands like Coca Cola or Pepsi due to their built-in mindsets connected to their desire, a new study said.
“Global-minded consumers prefer global products and local-minded consumers prefer local products (different specifications for consumers from different parts of the world)” the study authors explained.
“Due to rapid globalisation, local products… such as Mecca Cola (France) and Fei-Chang Cola (China) and global products… Pepsi and Coke, routinely compete against each other,” wrote study authors Yinlong Zhang (University of Texas San Antonio-UTSA) and Adwait Khare (Quinnipiac University).
The authors set out to answer the question “why global products fare better than local products in some markets and local products better than global products in other markets?”
The inclination toward global or local mindsets is connected to people’s desire for distinctiveness (local) versus their desire to be similar to others (global).
In three subsequent studies, the authors enhanced the accessibility of participants’ local or global identities to investigate their responses to products.
They then manipulated consumers’ preferences by informing participants of the unsuitability of their global or local inclinations, said an UTSA release.
“A reversal in preference occurs when global-minded consumers’ desire for distinctiveness from others is enhanced and when local-minded consumers’ desire for solidarity with others is enhanced,” the authors wrote.
“The findings reveal how multinational or local firms can solidify consumers’ preferences for global or local products if their consumers’ global or local inclinations are compatible with their products’ positioning,” the authors conclude.
The study was published in the Journal of Consumer Research.
- Why some people prefer local items to global brands - Apr 01, 2009
- Coke and Pepsi contain alcohol: study - Jun 27, 2012
- Beverage makers set for summer war in $10 bn market - Apr 09, 2012
- Coca Cola plans to invest $5 billion in India by 2020 (Lead) - Jun 26, 2012
- Packaged food industry to touch $30 bn by 2015 - Apr 29, 2012
- Materialistic people ridden with anxiety - Apr 10, 2012
- Cola food colouring could cause cancer - Feb 17, 2011
- Pepsi to roll out 'drinkable' fruit snack 'Tripolis' in bid to expand - Dec 30, 2010
- Genes affect our liking towards chocolate and hybrid cars - Sep 21, 2010
- Beauty product ads lower consumers' self esteem - Oct 19, 2010
- Apple now most valuable global brand - May 09, 2011
- Researchers unveil psychology of ads that prompt you to buy - Feb 08, 2010
- Emotions influence our shopping preferences - Feb 18, 2010
- Pepsi launches new sugar-free soft drink - Aug 02, 2010
- Ovulating women unconsciously buy sexier clothes - Aug 05, 2010
Tags: distinctiveness, fei, global brands, global identities, global products, inclination, inclinations, journal of consumer research, khare, local brands, local products, mecca, mecca cola, mindsets, pepsi, quinnipiac university, soft drinks, study authors, university of texas san antonio, utsa