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Do consumer expectations match experience? Predicting the influence of price and country of origin on perceptions of product quality

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  • Veale, Roberta
  • Quester, Pascale
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    Abstract

    This study investigates the respective influences of price and country of origin as extrinsic cues on consumer evaluations of wine quality when all intrinsic cues are experienced through sensory perceptions, and then compares these results with those of a survey employing identical intrinsic and extrinsic cues. Taste testing experiments were conducted (NÂ =Â 263) using Chardonnay and a three (COO) by three (price) by three (acid level) conjoint analysis fractional factorial design. Price and COO were both found to be more important contributors to perception of wine quality than taste. The study advances our understanding of the influence of extrinsic cues to dominant quality assessment and shows conjoint analysis to be a credible means of measuring consumer reactions to specific wine attributes.

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    Bibliographic Info

    Article provided by Elsevier in its journal International Business Review.

    Volume (Year): 18 (2009)
    Issue (Month): 2 (April)
    Pages: 134-144

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    Handle: RePEc:eee:iburev:v:18:y:2009:i:2:p:134-144

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    Keywords: Conjoint analysis COO Country of origin Extrinsic cues Intrinsic cues Price Sensory perceptions;

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    1. Alba, Joseph W & Hutchinson, J Wesley, 2000. " Knowledge Calibration: What Consumers Know and What They Think They Know," Journal of Consumer Research, University of Chicago Press, vol. 27(2), pages 123-56, September.
    2. Manrai, Lalita A. & Lascu, Dana-Nicoleta & Manrai, Ajay K., 1998. "Interactive effects of country of origin and product category on product evaluations," International Business Review, Elsevier, vol. 7(6), pages 591-615, November.
    3. Monroe, Kent B, 1976. " The Influence of Price Differences and Brand Familiarity on Brand Preferences," Journal of Consumer Research, University of Chicago Press, vol. 3(1), pages 42-49, June.
    4. Canfei He, 2003. "Location of foreign manufacturers in China: Agglomeration economies and country of origin effects," Economics of Governance, Springer, vol. 82(3), pages 351-372, September.
    5. Pechmann, Cornelia & Ratneshwar, S, 1992. " Consumer Covariation Judgments: Theory or Data Driven?," Journal of Consumer Research, University of Chicago Press, vol. 19(3), pages 373-86, December.
    6. Green, Paul E & Srinivasan, V, 1978. " Conjoint Analysis in Consumer Research: Issues and Outlook," Journal of Consumer Research, University of Chicago Press, vol. 5(2), pages 103-23, Se.
    7. Warren J Bilkey & Erik Nes, 1982. "Country-of-Origin Effects on Product Evaluations," Journal of International Business Studies, Palgrave Macmillan, vol. 13(1), pages 89-100, March.
    8. Srinivasan, Narasimhan & Jain, Subhash C. & Sikand, Kiranjit, 2004. "An experimental study of two dimensions of country-of-origin (manufacturing country and branding country) using intrinsic and extrinsic cues," International Business Review, Elsevier, vol. 13(1), pages 65-82, February.
    9. Wansink, Brian & Park, Sea Bum & Sonka, Steven T. & Morganosky, Michelle A., 2000. "How Soy Labeling Influences Preference And Taste," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association (IAMA), vol. 3(01).
    10. Maheswaran, Durairaj, 1994. " Country of Origin as a Stereotype: Effects of Consumer Expertise and Attribute Strength on Product Evaluations," Journal of Consumer Research, University of Chicago Press, vol. 21(2), pages 354-65, September.
    11. Erickson, Gary M & Johansson, Johny K, 1985. " The Role of Price in Multi-attribute Product Evaluations," Journal of Consumer Research, University of Chicago Press, vol. 12(2), pages 195-99, September.
    12. Eriksson, Kent & Hadjikhani, Amjad, 2000. "Perceptual product connection in an international context," International Business Review, Elsevier, vol. 9(3), pages 301-320, June.
    13. Paul Chao, 1989. "Export and Reverse Investment: Strategic Implications for Newly Industrialized Countries," Journal of International Business Studies, Palgrave Macmillan, vol. 20(1), pages 75-91, March.
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    Cited by:
    1. Godey, Bruno & Pederzoli, Daniele & Aiello, Gaetano & Donvito, Raffaele & Chan, Priscilla & Oh, Hyunjoo & Singh, Rahul & Skorobogatykh, Irina I. & Tsuchiya, Junji & Weitz, Bart, 2012. "Brand and country-of-origin effect on consumers' decision to purchase luxury products," Journal of Business Research, Elsevier, vol. 65(10), pages 1461-1470.
    2. Resano, Helena & Sanjuán, Ana I. & Albisu, Luis M., 2012. "Consumers’ response to the EU Quality policy allowing for heterogeneous preferences," Food Policy, Elsevier, vol. 37(4), pages 355-365.

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