Ravi Parameswaran

Facets of country of origin image: An empirical assessment

Abstract Country of origin (CO) is a potentially powerful image variable that can be used to gain competitive advantage in international marketing. However, deficiencies in the definition and measurement of its facets have contributed to ineffective and infrequent use of CO image as a competitive tool. The research reported in this article addresses these weaknesses through the use of confirmatory factor and incremental fit analyses. The findings reveal that CO image is a multifaceted construct and that its facets are clearly interpretable. The article concludes with a discussion of advertising implications and directions for future research.

Product Involvement, Cognitive Dissonance and Product Satisfaction: An Experimental Study

The understanding of consumers’ satisfaction with a product/service has become an important topic in consumer behavior research. Past experimental research in this area is based on explanations offered by cognitive dissonance theory. This experimental study points out methodological problems in the past experimental research. Theoretical and managerial implications are discussed.

A Comparative Study of the Impact of B2B Price Pressure: An Abstract

Adversarial price reduction pressures are often viewed negatively by suppliers to original equipment manufacturers (OEMs). However, the practice of using price pressure on suppliers is fairly common in numerous industries throughout the world, and literature is unclear on this issue. The current research seeks to challenge the proposition that price pressure on suppliers necessarily results in poor supplier-OEM relationships and to find out whether price reduction tactics and good relationship can exist simultaneously. An eight-construct research model with overall relations as the dependent variable and with price pressure and other OEM subjected pressures (like quality expectations) as the exogenous variables is tested using data collected from North American, European, and Asian suppliers to OEMs who manufacture automobile heavy vehicles and electronic products. Analysis using confirmatory factor analysis and structural equation modeling revealed the existence of similarities and differences between the two data sets. While the automobile data set revealed that the impact of pressure takes place mostly through the relationship variables, the electronics industry data set displayed some direct relationship as well as relationships through the relationship variables. The findings of this research indicate that price pressure and good overall supplier-OEM relationship can coexist if managers take steps to maintain good supplier-OEM relationship.

Relationship Management Amidst OEM Demands for Supplier Price Cuts: A Cross-Industry Study

Original equipment manufacturers (OEMs) often seek price cuts from their suppliers through an adversarial approach. At the same time, other OEMs have adopted a cooperative approach based on the belief that adversarial tactics will damage the possibility of good supplier–OEM working relationship. While price cuts can obviously improve OEM profitability in certain situations, researchers have also recognized the competitive advantages that can be gained through cooperation with suppliers. This research seeks to find out whether supplier–OEM relationships are adversely affected by OEM demand for price cuts. It seeks to find out whether demands for price concessions can coexist with good supplier–OEM relationships. A research model incorporating relationship constructs as well as a construct representing price pressure and another representing overall relations between the OEM and its supplier is tested using data collected from suppliers in three different industries. Structural equation modeling and analysis lead to the conclusion that price pressure can coexist with good relationships as long as OEMs and their suppliers take the managerial actions required for the maintenance of good working relationships. The general pattern of relationships among the research constructs was found to be substantially similar in the three industries, although cross-industry differences were observed.

Differential Impact of Price Demands in B2B Relationships

Manufacturers in several industries frequently demand downward price adjustments from their suppliers. While such “unpopular” tactics can often deliver cost benefits to manufacturers, they are also viewed by many as being detrimental to quality supplier–customer working relationship. In this study, the researchers seek to find out whether such downward price pressure can co-exist with good supplier–customer relationship. A model of supplier–customer relationships with price pressure built into it was assessed using responses collected as a part of ongoing research on multiple industrial markets in North America, Europe, and Asia. For the specific purposes of this research, data collected from suppliers to OEMs in the automobile industry and other select B2B markets were analyzed. Separate data sets collected from suppliers to manufacturers of heavy vehicles and from suppliers to manufacturers of light vehicles were used to test the multi-group stability of the structural relationships within the model. The results of this research indicated that price pressure and good relationships can coexist. The manner in which relationships are managed can overcome the possible adverse impact of price pressure. The above two data sets as well as similar data sets from other select B2B markets exhibited a largely similar pattern of relationships, although specific structural linkages varied in relative strength.

Reliability of Marketing Measurements Revisited: An Evaluation of Alternative Shopping Behavior

The significance of assessing the reliability and validity of research instruments and findings is an emerging area of research in marketing. This paper reports on the findings of a grocery shopping behavior study focusing on the reliability of eight psychographic domains and various interactions in two different markets, and draws interesting implications from its findings.

Country-of-Origin Effects in a Cross-Cultural Setting

The nature of the impact of Country-of-Origin (CO) on purchase behavior is far from clear. A theoretical structure of the relationships underlying CO effects is tested using LISREL and the generalizability of the findings are assessed across respondents belonging to two different cultural groups (US-born and Greece- born) residing in the US. Responses provided by US-born respondents appear to fit the a priori theoretical model more closely than those provided by Greece-born respondents. The complexity of the acculturation process of Greece-born respondents is offered as the likely reason for this inter-group difference.

Assessment of the Stability of Country-of-Origin Effects Over Time: Preliminary Results

The nature of Country of Origin (CO) and its impact on product preferences and purchase intentions remain unclear in spite of much research effort in international marketing. A CO scale is subjected to confirmatory factor analysis and the impact of CO on purchase intentions is analyzed through incremental fit analysis. The temporal stability of the findings is studied using data collected at different points in time. The preliminary results of the study indicate that the dimensionality of CO as well the structural relationships linking the dimensions and connecting them with purchase intentions remain fairly stable over time.

Stability of Country Image: A Multicultural/Cross-National Perspective

The Country-of-Origin (CO) construct has attracted much research attention over the past three decades. In spite of its potential importance in competitive positioning, the nature of the CO construct and its impact on product preferences and purchase intentions are far from clear. There remains a lack of consensus as to the dimensionality of the CO construct and as to what constitutes items relevant to a CO scale. Besides, past research has not been able to arrive at a clear conclusion regarding the strength of the country-of-origin effect in affecting product preferences and purchase intentions, an issue of crucial importance to international marketers. Another crucial but relatively unexplored issue is the variation in country-of-origin perceptions and responses by consumer segment. This research seeks to address the above issues through an empirical study.

Consumer Satisfaction With the Automobile Industry

In this study recent car buyers ’ satisfaction with the automobile industry is examined. The satisfaction literature is reviewed and Lundstrom and Lamont’s discontent scale is adopted for the data collection. The findings suggest that buyers are generally satisfied with car manufacturers but dissatisfied with car dealers’ service departments and their selling techniques. The respondante also felt that there are too many styles and types of automobiles to choose from. Specific sources of discontent are identified.