The role of country-of-origin, ethnocentrism and animosity in promoting consumer trust. The moderating role of familiarity

The objective of this study is to present empirical evidence on the extent to which socio-psychological variables ( ethnocentrism and animosity) and the reputation of firms associated to a country-of-origin ( COO) are related to an important relational exchange factor (trust). Furthermore, the study...

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Bibliographic Details
Published in:International business review 2010-02, Vol.19 (1), p.34-45
Main Authors: Jimenez, Nadia H, Martin, S S
Format: Article
Language:English
Subjects:
Animosity
Animosity Country-of-origin (COO) Ethnocentrism Familiarity Reputation Trust
Business reputation
Consumer behaviour
Country-of-origin (COO)
Decision making
Economic models
Emotions
Ethnocentrism
Familiarity
Reputation
Social psychology
Spain
Trust
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Summary:The objective of this study is to present empirical evidence on the extent to which socio-psychological variables ( ethnocentrism and animosity) and the reputation of firms associated to a country-of-origin ( COO) are related to an important relational exchange factor (trust). Furthermore, the study tests the moderating effects of familiarity. Data were collected from 202 automobile owners in a large Spanish region. Path and multi-group analyses were performed using a structural equation modelling approach. This paper investigates the effects of reputation of firms associated to a COO and animosity on trust, which have not been commonly used as a dependent variable of these concepts before. Moreover, this study explores the moderating role of familiarity. This study supports the view that reputation of firms associated to a COO can safeguard international transactions and create trust in foreign firms, and thus may decrease due to interrelated emotional consumer reactions such as animosity and ethnocentrism.
ISSN:0969-5931
1873-6149
DOI:10.1016/j.ibusrev.2009.10.001