Consumers’ Purchase Intentions towards Global Brands: Psychological Underpinnings
1 PhD Scholar, Institute of Business Administration, University of the Punjab
2 Associate Professor, Hailey College of Banking & Finance
This study empirically investigates the psychological mechanism underlying consumers’ choice of foreign and local brands among the consumers of Pakistan. The current study is an attempt to find the answer that why consumers prefer foreign/global brands over local brands? The study hypothesizes that the proposed combination of psychological processes categorizes the consumer’s choice between global and local brand. Data was collected from 160 respondents belonging to diverse fields of life following convenience sampling technique. Logistic regression test was applied to predict the relative importance of various variables in determining the consumers’ purchase intentions towards particular brand. The results of current study showed that life satisfaction and emotional value are the most critical success factors behind global brand choice whereas ethnocentrism and brand loyalty predict local brands preferences. This study will provide global strategic minds, an insight to grasp the impulse of potential international consumers. It also finds why global brands are considered a significant part of the strategic marketing plan for increase in sales. This study uses unique combination of psychological factors in determining the global brand choices applying logistic regression model to predict the group membership of consumers based on brand preferences across various determinants.
Keywords: Purchase Intention, Loyalty, Ethnocentrism, Brand Consciousness, Emotional Value, Perceived Quality