Brand Effect on Consumer Behavior
Influence of Brand Effect
The influence of brand effect on consumer behavior:
Irish and Chinese consumers in Ireland
This paper discusses the influence of brand effect on consumption behavior of the Irish and Chinese in Ireland. Since shopping and purchase decision are affect by many sociological factors, the factors that influence the Chinese and the Irish in Ireland may be inherently distinct. While the Chinese population in Dublin is only a small part of the total population, they are becoming an important cultural force in the city, which can have an effect on Ireland's economy. Brand loyalty can influence purchasing behavior, however, this paper will attempt to show that Consumer purchases are strongly influenced by cultural, social, personal, and psychological characteristics as opposed to brand names.
Keywords Brand effect, Chinese consumers, Irish consumers, brand loyalty
Paper type Research paper
Introduction
Brand effect is the ability of a company to build a certain level of trust in their products. Brand effect and brand loyalty are essentially the same thing since being aware of a brand makes no difference to a company if the consumer doesn't plan on buying that brand again. Brand loyalty has been steadily decreasing among consumers over the past few years, which is due to price competition, a wider variety of products, and the ability to research many different brands due to consumer magazines and the Internet. Arguably, one of the most cited conceptual definitions of brand loyalty comes from Jacoby and Chestnut (1978): "The biased, behavioral response, expressed over time, by some decision-making unit, with respect to one or more alternative brands out of a set of such brands, and is a function of psychological (decision-making, evaluative) processes."
Shopping and purchase decision area affected by many sociological factors. Many studies have attempted to identify if and how informal social groups influence the brand preferences of their members. Stafford (1966) notes that the results suggest, first of all, that consumers are influenced by such groups and second, that the extent and degree of brand loyalty behavior within a group is more closely related to the behavior of the informal leader than to the cohesiveness of the group (1966).
According to a 1997 article featured in The Economist, approximately 100 million people live outside of their native lands. Thirteen years later, it is safe to say that this number has only increased with globalization. As people move away from their native cultures, familiar traditions of their countries are broken. Many of these travelers leave in hopes of finding a better life in their desired destination, but they also look backward on their homes and their own cultures and traditions when they are leaving. Kilduff and Corley (1999) suggest that it is "that backward glance" that may have "very powerful reverberations" (1999). The dispersal of populations resulting from these exile populations represent continuous processes with very significant implications for economic development and cultural change. Kotkin (1992) posits that the development of distinctive civilizations depends greatly on the knowledge and experiences brought over boundaries by the members of different cultures. There has been a lot of attention paid to the impact of exiles on cultures of destination, especially the effect of migrants from poor countries on the economies of richer countries.
Ireland is its own geographic, political and legal entity, but the Irish culture extends much further beyond those boundaries to encompass the virtual community of people who identity with the Irish culture. Kilduff and Corey (1999) notes that Irish people have tended to migrate from their own country to other countries for well over the past 150 years. Because of this exile, there are a lot more people of Irish descent living outside Ireland than living in Ireland. The population of the 26 counties that comprise the Republic of Ireland has dramatically decreased since the Great Famine (1999).
Ireland has been called a nation of immigrants and in 2004 Business Week reported that there were approximately 60,000 Chinese living in Ireland. This influx of Chinese across Ireland shows two specific trends in globalization: "the outward spread of China's people as well as its goods, and the transformation of Ireland to a nation of immigrants" (2004). While these 60,000 Chinese immigrants may sound like a small amount to most Americans, according to a 2002 Irish census (the first time anyone ever questioned nationality), there were 47,500 registered immigrants and 18,000 of those were returning Irish. However, for a country of approximately 3.9 million at the time, the figure was enormous (2004)....
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