The Determinants of Beijing Consumers’ Attitude and Purchase Intention toward Foreign Luxury Product: A Structural Equation Modeling Approach

• Main Authors: Chi-Jung Tsai, 蔡奇融
• Other Authors: Shu-Ling Liao
• Format: Others
• Language: en_US
• Published: 2008
• Online Access: http://ndltd.ncl.edu.tw/handle/03320729012678309625

碩士 === 元智大學 === 國際企業學系 === 96 === Since middle 1990s, China has been known for its rapid economic development. In current Chinese society, the newly prosperity allowed consumers to purchase much more than what they want (McEwen, Fang, Zhang, and Burkholder, 2006). Hence, as China’s economy is growing up dramatically and the members of middle class are continual increasing, the inevitability of luxury consumer goods is increasingly realized. It is necessary to completely understand how Chinese urban consumers evaluate foreign luxury brands and their willingness to buy foreign luxury products. Previous research has briefly concluded Asian consumer’s attitude toward luxury goods. For many Asians, luxury brands were seen as the dominant determinant of social status and prestige (Phau and Prendergast, 2000). Asian consumers tended to purchasing luxury goods in order to emphasize their social status and wealth; in addition, they also placed great emphasis upon gaining the identification from in-group (Wong and Ahuvia, 1998). This study conducted an overall structural equation model. This model confirmed that not only conspicuous consumption and status consumption would influence Chinese consumers’ attitude and purchase intention toward foreign luxury products, but also resonated the Vigeron and Johnson’s (1999) prestige seeking consumer behaviors. Moreover, consumers’ fashion involvement and the country of origin effect are also discussed. There are totally 629 valid respondents were recruited in Beijing through snowballing and convenient sampling. The major conclusions are listed as the followings: 1. Materialism has a significant and positive impact on both conspicuous consumption and status consumption. Fashion involvement only has a positive and significant impact on conspicuous consumption. 2. Consumer need for uniqueness has a significant impact on both conspicuous consumption and status consumption. However, the influence is negative on conspicuous consumption but positive on status consumption. 3. Attention to social comparison information has a significant and negative impact on both conspicuous consumption and status consumption. 4. Conspicuous consumption positively and significantly influences consumers’ attitude and purchase intention toward foreign luxury product; status consumption has a positive and significant impact on foreign luxury brand attitude. However, there are no significant relationship between status consumption and willingness to buy foreign luxury product. 5. Consumers’ animosity toward a specific country is found to have a negative and significant effect on foreign luxury brand attitude and willingness to buy foreign luxury product. 6. In this study, country of origin effect is found to partially moderate consumers’ attitude and purchase intention toward foreign luxury product when judging French, Japanese and American luxuries.