The success of brands is dependent upon consumer satisfaction. The work of xxx identifies the five steps consumers take when undertaking purchase decision-making. These steps include, Need Recognition and Problem Awareness, Information Search, Evaluation of Alternatives, Purchase and Post Purchase Evaluation. Literature shows that consumers consider country of origin an extrinsic factor for evaluating products. Parkvithee & Miranda (2012) explains that consumers care about which country products come from, and where they are made as they use these factors to evaluate the quality of products. Perception of quality has been shown to be one of the main reasons why consumers check the “made in” label before making a purchase decision.
To…show more content… Kotler & Gertner’s (2002) study into how widely held country images affect attitudes towards a countries products and services demonstrated that brands have a social and emotional value to users. The study showed that brands have personalities and therefore can communicate ideals to the consumer. It was found that brands can add or subtract from the perceived value of a product. In a realistic consumption environment consumers expect to pay premium prices for treasured or socially valued brands, equally, they would expect to pay lower prices for unbranded products or undesirable brands.
A similar study by Lassar et al (2005) found that consumers had opinions about the perceived value of a brand after considering intrinsic and extrinsic factors, such as performance, social image, value, trustworthiness and identification. These factors were found to be some of the dimensions that add up to equal brand equity. Aaker (1991) and Lerman & Garabanno (2002) both suggest in their published works that these factors as well as brand name and perceived brand origin are an important means towards building brand equity. Herrmann et al (2007) goes on to suggest that brand names carry meanings and trigger associations and images. This in turn has an impact on the way consumers perceive a brand. The same effect can be had with country of origin and country image, and the way that consumers perceive these extrinsic factors.