IDEAS home Printed from https://ideas.repec.org/h/spr/advbcp/978-94-6239-656-2_5.html

Customer Ethnocentrism and Product Quality as Determinants of Purchase Intention: Evidence From Indonesian Local Brands

In: Proceedings of the 4th International Conference on Management and Business (ICoMB 2025)

Author

Listed:
  • Annisa Retno Utami

    (Universitas Sahid, Faculty of Economics and Business)

  • Euis Widiati

    (Universitas Sahid, Faculty of Economics and Business)

Abstract

This study aims to examine the determinants of purchase intention toward Indonesian local brands by focusing on two key predictors: customer ethnocentrism and product quality. The growing competition between local and foreign brands makes it essential to understand the behavioral factors influencing consumer purchase decisions in emerging markets such as Indonesia. A quantitative research method was employed using Partial Least Squares Structural Equation Modeling (PLS-SEM). Data were collected from 245 respondents who were consumers familiar with Indonesian local products across fashion, cosmetics, and food and beverage categories. The results reveal that product quality has a significant positive effect on purchase intention, indicating that consumers’ perceptions of reliable performance, durability, and value strongly drive their purchase intentions for local brands. Conversely, customer ethnocentrism shows a weak and statistically insignificant influence on purchase intention. The model explains 36.4% of the variance in purchase intention, demonstrating moderate predictive power. These results underscore the need for local brand marketers to prioritize improving product quality alongside national identity messaging. This study contributes to the literature on consumer behavior in emerging markets by examining ethnocentrism and product quality from both perspectives.

Suggested Citation

  • Annisa Retno Utami & Euis Widiati, 2026. "Customer Ethnocentrism and Product Quality as Determinants of Purchase Intention: Evidence From Indonesian Local Brands," Advances in Economics, Business and Management Research, in: Johannes Maysan Damanik & Md. Mahmudul Alam & Suddin Lada (ed.), Proceedings of the 4th International Conference on Management and Business (ICoMB 2025), pages 49-64, Springer.
  • Handle: RePEc:spr:advbcp:978-94-6239-656-2_5
    DOI: 10.2991/978-94-6239-656-2_5
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a
    for a similarly titled item that would be available.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    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:spr:advbcp:978-94-6239-656-2_5. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.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.