IDEAS home Printed from https://ideas.repec.org/a/vrs/manmar/v13y2018i3p1014-1034n1.html
   My bibliography  Save this article

Information effect on consumer adoption for a new beef brand in the Vietnamese market: prior knowledge, appealing the brand distinction, differentiation and similarity

Author

Listed:
  • Tran Thu

    (Academy of Finance, Hanoi, Vietnam)

  • Moritaka Masahiro

    (Kyushu University, Fukuoka, Japan)

  • Liu Ran

    (Kyushu University, Fukuoka, Japan)

  • Fukuda Susumu

    (Kyushu University, Fukuoka, Japan)

Abstract

The purpose of this study is to evaluate the effects of information on consumer adoption when introducing a new beef brand to the Vietnamese markets. Three variables proxy the impacts of information are prior knowledge, usage experience, and price. This study developed three pieces of advertised information and combined them with three levels of price to indicate the relevant information to diffuse at the introduction of a new brand. Three kinds of information include: (1) distinction information, which defines a new brand to be distinct from existing competitive brands; (2) differentiation information, which identifies a new brand to be different from one existing brand; (3) similarity information, which defines a new brand to be similar to one existing brand. The survey was conducted via direct interviews with 480 customers at the food outlets in Ho Chi Minh City, Vietnam. The ordered logit model was applied to examine the influence of each kind of information on consumer preferences for a new beef brand. The results indicated that (1) the effect of information on consumer adoption for a new brand at early stage depends on how that information defines the new brand in consumers’ perception; (2) the distinction information generates the highest economic added value; (3) the similarity information creates the information bias at introduction; (4) the usage experience can be diagnostic for the information bias.

Suggested Citation

  • Tran Thu & Moritaka Masahiro & Liu Ran & Fukuda Susumu, 2018. "Information effect on consumer adoption for a new beef brand in the Vietnamese market: prior knowledge, appealing the brand distinction, differentiation and similarity," Management & Marketing, Sciendo, vol. 13(3), pages 1014-1034, September.
    • Handle: RePEc:vrs:manmar:v:13:y:2018:i:3:p:1014-1034:n:1
    DOI: 10.2478/mmcks-2018-0020
    as

    Download full text from publisher

    File URL: https://doi.org/10.2478/mmcks-2018-0020
    Download Restriction: no
    File URL: https://libkey.io/10.2478/mmcks-2018-0020?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Gary S. Becker & Kevin M. Murphy, 1993. "A Simple Theory of Advertising as a Good or Bad," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 108(4), pages 941-964.
    2. J.J. Brakus & B.H. Schmitt & L. Zarantonello, 2009. "Brand Experience: What Is It? How Do We Measure It? And Does It Affect Loyalty?," Post-Print hal-00799102, HAL.
    3. Alba, Joseph W & Hutchinson, J Wesley, 2000. "Knowledge Calibration: What Consumers Know and What They Think They Know," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 27(2), pages 123-156, September.
    4. Ajzen, Icek, 1991. "The theory of planned behavior," Organizational Behavior and Human Decision Processes, Elsevier, vol. 50(2), pages 179-211, December.
    5. Wood, Stacy L & Lynch, John G, Jr, 2002. "Prior Knowledge and Complacency in New Product Learning," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 29(3), pages 416-426, December.
    6. Nelson, Phillip, 1970. "Information and Consumer Behavior," Journal of Political Economy, University of Chicago Press, vol. 78(2), pages 311-329, March-Apr.
    7. Gale, H. Frederick, Jr. & Huang, Kuo S., 2007. "Demand For Food Quantity And Quality In China," Economic Research Report 7252, United States Department of Agriculture, Economic Research Service.
    8. Baltas, George & Doyle, Peter, 2001. "Random utility models in marketing research: a survey," Journal of Business Research, Elsevier, vol. 51(2), pages 115-125, February.
    9. Pingali, Prabhu, 2007. "Westernization of Asian diets and the transformation of food systems: Implications for research and policy," Food Policy, Elsevier, vol. 32(3), pages 281-298, June.
    10. Eve J. Froehlich & Jared G. Carlberg & Clement E. Ward, 2009. "Willingness‐to‐Pay for Fresh Brand Name Beef," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 57(1), pages 119-137, March.
    11. Nelson, Philip, 1974. "Advertising as Information," Journal of Political Economy, University of Chicago Press, vol. 82(4), pages 729-754, July/Aug..
    12. Daniel A. Ackerberg, 2003. "Advertising, learning, and consumer choice in experience good markets: an empirical examination," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 44(3), pages 1007-1040, August.
    13. Johnson, Eric J & Russo, J Edward, 1984. "Product Familiarity and Learning New Information," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 11(1), pages 542-550, June.
    14. Erevelles, Sunil & Roy, Abhik & Yip, Leslie S. C., 2001. "The universality of the signal theory for products and services," Journal of Business Research, Elsevier, vol. 52(2), pages 175-187, May.
    15. Yu Xie & Charles F. Manski, 1989. "The Logit Model and Response-Based Samples," Sociological Methods & Research, , vol. 17(3), pages 283-302, February.
    16. Tülin Erdem & Michael Keane & Baohong Sun, 2008. "The impact of advertising on consumer price sensitivity in experience goods markets," Quantitative Marketing and Economics (QME), Springer, vol. 6(2), pages 139-176, June.
    17. Frode Alfnes, 2004. "Stated preferences for imported and hormone-treated beef: application of a mixed logit model," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 31(1), pages 19-37, March.
    18. Frambach, R.T. & Prabhu, J.C. & Verhallen, T.M.M., 2003. "The influence of business strategy on new product activity : The role of market orientation," Other publications TiSEM 64c2e300-9f26-4178-ba34-2, Tilburg University, School of Economics and Management.
    19. Ackerberg, Daniel A, 2001. "Empirically Distinguishing Informative and Prestige Effects of Advertising," RAND Journal of Economics, The RAND Corporation, vol. 32(2), pages 316-333, Summer.
    20. Menard, Scott, 2004. "Six Approaches to Calculating Standardized Logistic Regression Coefficients," The American Statistician, American Statistical Association, vol. 58, pages 218-223, August.
    21. Gary W. Brester & Ted C. Schroeder, 1995. "The Impacts of Brand and Generic Advertising on Meat Demand," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 77(4), pages 969-979.
    22. Mäenpää, Katariina & Kale, Sudhir H. & Kuusela, Hannu & Mesiranta, Nina, 2008. "Consumer perceptions of Internet banking in Finland: The moderating role of familiarity," Journal of Retailing and Consumer Services, Elsevier, vol. 15(4), pages 266-276.
    23. Menictas, Con & Wang, Paul Z. & Louviere, Jordan J., 2012. "Assessing the validity of brand equity constructs," Australasian marketing journal, Elsevier, vol. 20(1), pages 3-8.
    24. Voon, Thomas Jan P. & Ngui, Kwang Sing & Agrawal, Anand, 2011. "Determinants of Willingness to Purchase Organic Food: An Exploratory Study Using Structural Equation Modeling," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 14(2), pages 1-18, May.
    25. Thu Thanh Tran & Masahiro Moritaka & Susumu Fukuda, 2017. "Country of Origin, Price Consciousness, and Consumer Innovativeness at Food Service Outlets in Developing Markets: Empirical Evidence from Brands of Imported Beef in Vietnam," International Journal of Marketing Studies, Canadian Center of Science and Education, vol. 9(3), pages 50-63, April.
    26. Gregory S. Carpenter & Kent Nakamoto, 1990. "Competitive Strategies for Late Entry into a Market with a Dominant Brand," Management Science, INFORMS, vol. 36(10), pages 1268-1278, October.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chan, Tat Y. & Narasimhan, Chakravarthi & Yoon, Yeujun, 2017. "Advertising and price competition in a manufacturer-retailer channel," International Journal of Research in Marketing, Elsevier, vol. 34(3), pages 694-716.
    2. Yi-Lin Tsai & Elisabeth Honka, 2021. "Informational and Noninformational Advertising Content," Marketing Science, INFORMS, vol. 40(6), pages 1030-1058, November.
    3. Serafin Grundl & You Suk Kim, 2019. "Consumer mistakes and advertising: The case of mortgage refinancing," Quantitative Marketing and Economics (QME), Springer, vol. 17(2), pages 161-213, June.
    4. Belleflamme,Paul & Peitz,Martin, 2015. "Industrial Organization," Cambridge Books, Cambridge University Press, number 9781107687899, January.
    5. Nitin Mehta & Xinlei (Jack) Chen & Om Narasimhan, 2008. "Informing, Transforming, and Persuading: Disentangling the Multiple Effects of Advertising on Brand Choice Decisions," Marketing Science, INFORMS, vol. 27(3), pages 334-355, 05-06.
    6. Dhaval M. Dave, 2013. "Effects of Pharmaceutical Promotion: A Review and Assessment," NBER Working Papers 18830, National Bureau of Economic Research, Inc.
    7. Erjon Nexhipi, 2022. "The difference in consumer attitudes of locally grown apples with imported apples. the case of Korca Region, Albania:," Technium Social Sciences Journal, Technium Science, vol. 37(1), pages 250-264, November.
    8. Simon P. Anderson & Federico Ciliberto & Jura Liaukonyte & Régis Renault, 2016. "Push-me pull-you: comparative advertising in the OTC analgesics industry," RAND Journal of Economics, RAND Corporation, vol. 47(4), pages 1029-1056, November.
    9. Szymanowski, Maciej & Gijsbrechts, Els, 2013. "Patterns in consumption-based learning about brand quality for consumer packaged goods," International Journal of Research in Marketing, Elsevier, vol. 30(3), pages 219-235.
    10. Hamilton, Stephen F. & Richards, Timothy J. & Stiegert, Kyle W., 2009. "How Does Advertising Affect Market Performance? The Case of Generic Advertising," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49187, Agricultural and Applied Economics Association.
    11. repec:thr:techub:10037:y:2022:i:1:p:250-264 is not listed on IDEAS
    12. Régis Chenavaz & Sajjad M. Jasimuddin, 2017. "An analytical model of the relationship between product quality and advertising," Post-Print hal-01685892, HAL.
    13. Duncan Simester & Yu (Jeffrey) Hu & Erik Brynjolfsson & Eric T. Anderson, 2009. "Dynamics Of Retail Advertising: Evidence From A Field Experiment," Economic Inquiry, Western Economic Association International, vol. 47(3), pages 482-499, July.
    14. Anna E. Tuchman & Harikesh S. Nair & Pedro M. Gardete, 2018. "Television ad-skipping, consumption complementarities and the consumer demand for advertising," Quantitative Marketing and Economics (QME), Springer, vol. 16(2), pages 111-174, June.
    15. Lauren H. Cohen & Umit G. Gurun, 2018. "Buying the Verdict," NBER Working Papers 24542, National Bureau of Economic Research, Inc.
    16. W. David Bradford & Andrew N. Kleit, 2011. "Can Credence Advertising Effects Be Isolated? Can They Be Negative?: Evidence from Pharmaceuticals," Southern Economic Journal, John Wiley & Sons, vol. 78(1), pages 167-190, July.
    17. Tülin Erdem & Michael Keane & Baohong Sun, 2008. "The impact of advertising on consumer price sensitivity in experience goods markets," Quantitative Marketing and Economics (QME), Springer, vol. 6(2), pages 139-176, June.
    18. Farina, Tatiana, 2011. "How Do Experience and Shopping Frequency Affect Consumers Brand Choice?," Insper Working Papers wpe_257, Insper Working Paper, Insper Instituto de Ensino e Pesquisa.
    19. Pracejus, John W. & O'Guinn, Thomas C. & Olsen, G. Douglas, 2013. "When white space is more than “burning money”: Economic signaling meets visual commercial rhetoric," International Journal of Research in Marketing, Elsevier, vol. 30(3), pages 211-218.
    20. Schatzel, Kim & Droge, Cornelia & Calantone, Roger, 2003. "Strategic channel activity preannouncements: An exploratory investigation of antecedent effects," Journal of Business Research, Elsevier, vol. 56(12), pages 923-933, December.
    21. Tibert Verhagen & Daniel Bloemers, 2018. "Exploring the cognitive and affective bases of online purchase intentions: a hierarchical test across product types," Electronic Commerce Research, Springer, vol. 18(3), pages 537-561, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:vrs:manmar:v:13:y:2018:i:3:p:1014-1034:n:1. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Peter Golla (email available below). General contact details of provider: https://www.sciendo.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.