The Effect of Ethnocentrism on Consumers’ Purchase Intention-A Case Study of Beer Purchase in Taipei Area
Date Issued
2008
Date
2008
Author(s)
Liu, Yi-Cheng
Abstract
Taiwan had jointed World Trade Organization (WTO) since 2002.Under the influence of decreasing trade barriers, products from all over the world are continuously being imported into Taiwan’s market. And it eventually brought strong impact on Taiwan''s counterpart. Because beer can be imported from China, many firms set up factories in China as the manufactory base of Taiwan. And it brought strong impact on Taiwan''s beer. Literatures from the past all concluded that ethnocentrism would have impact on consumers’ propensity to consume. The consumers with high ethnocentrism will prefer Taiwan’s products, and ethnocentrism influence by demographic variables. The study classifies beer into two classes, “Taiwan beer” and “imported beer” and uses Ordered Probit Model to discuss whether ethnocentrism, product attributes and demographic variables will influence the purchasing intention of the consumers. Conclusions of this study are as following:.The effect of ethnocentrism on demographic variables, age is positively related to ethnocentrism, the level of education and income are negatively related to ethnocentrism, but sex has no significant influence on it..The general average of Taiwan beer’s product attributes such as “taste”, “freshness”, “the rationality of price”, “convenience”, “brand image ”and “purchasing intention” is higher than imported beer..Taiwan beer’s product attributes such as “taste”, “the rationality of price” are positively related to purchasing intention. Ethnocentrism and age are also positively related to purchasing intention..Imported beer’s product attributes such as “taste”,“aroma” and “well-packaged” are positively related to purchasing intention. Ethnocentrism is negatively related to purchasing intention, and demographic variables have no significant influence on it.
Subjects
ethnocentrism
purchasing intention
beer
ordered probit model
Type
thesis
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