Symbolic Value of Foreign Products in the People's Republic of China

In the People's Republic of China (PRC), consumers have recently shown a tendency to shift away from foreign products in preference for local offerings. Some commentators have speculated that this new market phenomenon is a result of government intervention, consumer ethnocentrism, and improvem...

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Bibliographic Details
Published in:Journal of international marketing (East Lansing, Mich.) Mich.), 2003-01, Vol.11 (2), p.36-58
Main Authors: Zhou, Lianxi, Hui, Michael K.
Format: Article
Language:English
Subjects:
Brands
Competition
Conspicuous consumption
Consumer advertising
Consumer economics
Consumer goods
Consumer goods industries
Consumers
Consumption
Corporate image
Domestic markets
Food
Lifestyles
Market positioning
Marketing
Modernity
Pork
Purchase intention
Sausages
Transitional economies
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Summary:In the People's Republic of China (PRC), consumers have recently shown a tendency to shift away from foreign products in preference for local offerings. Some commentators have speculated that this new market phenomenon is a result of government intervention, consumer ethnocentrism, and improvement in the quality of local products. In this study, the authors offer an alternative reason, which pertains to the fading symbolic value of foreign products in the PRC market. To provide support for their argument, Zhou and Hui present the results of a study of Chinese consumption behaviors involving a foreign, inconspicuous product item (Canadian pork sausage). By using such a privately consumed item, the authors attempt to demonstrate that symbolic benefits (such as modernity, prestige, and associations with foreign lifestyles) constitute one of the primary motivating forces of PRC consumers' purchases of products of nonlocal origin, including products that may not be commonly regarded as conspicuous. The results challenge the conventional wisdom that improvement in the quality of local products is the main cause of the decreasing competitiveness of foreign products in the PRC. The authors also discuss implications for global marketers with respect to market adaptation and positioning strategies in the PRC.
ISSN:1069-031X
1547-7215
DOI:10.1509/jimk.11.2.36.20163