Arilova Randrianasolo, Alexey Semenov, Mark Arnold and Kristy Reynolds
This paper aims to propose an original model of cultural intelligence (CQ), global identity and consumer willingness to buy foreign products. Previous research has discussed the…
Abstract
Purpose
This paper aims to propose an original model of cultural intelligence (CQ), global identity and consumer willingness to buy foreign products. Previous research has discussed the relationships between CQ and global identity but only in the context of multi-cultural management teams. The research presented here proposes a model that is applicable to consumer marketing.
Design/methodology/approach
Online surveys are used to collect data from the USA with a snowball sampling technique and from the UK with panel data. A structural equation model (SEM) is estimated in analysis of moment structures 25 and Hayes bootstrap mediation tests are used to test the hypotheses.
Findings
The SEM results show that global identity influences motivational CQ, motivational CQ influences cognitive, metacognitive and behavioral CQ and cognitive and behavioral CQ influence consumer willingness to buy foreign products. Results from Hayes Bootstrap mediation tests show that motivational CQ mediates the relationships between global identity and the other three CQ dimensions.
Practical implications
The findings imply that firms can gauge and enhance consumer CQ levels by investigating or influencing levels of global identity; managers can influence or gauge consumer metacognitive, cognitive and behavioral CQ through motivational CQ; and managers can target consumers with high cognitive and behavioral CQ levels when marketing foreign products.
Originality/value
This paper not only provides a deeper understanding of the relationships between global identity and cultural intelligence but also incorporates CQ in a consumer context. Previous research has only discussed CQ in the context of managers.
Details
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Alexey V. Semenov and Arilova Randrianasolo
Advertising intensity is treated either as a resource that allows firms to create competitive advantages (intangible asset view) or as an investment to build advertising resource…
Abstract
Purpose
Advertising intensity is treated either as a resource that allows firms to create competitive advantages (intangible asset view) or as an investment to build advertising resource (investment expense view). This current research supports the investment expense view. The authors do so by examining the moderating role of firm age (a proxy for knowledge) in the relationship between advertising intensity and performance as well as the influence of cultural communication styles on this moderation.
Design/methodology/approach
Secondary data were collected from multiple sources. With a sample of 262 companies from 10 countries (149 firms from high-context cultures and 113 firms from low-context cultures), ordinary least squares was used to estimate the regression coefficients to test the hypotheses. An instrumental variable approach with two-stage least squares estimates was used to address an endogeneity bias. Average industry advertising intensity excluding the focal firm was used as an instrumental variable.
Findings
The findings demonstrate that firm age significantly moderates the advertising intensity/performance relationship, but this moderation is only significant in high-context cultures. These findings imply that firms within high-context cultures must continually invest in advertising expenditures, while firms in low-context cultures may not need to do so to increase performance.
Practical implications
The results of this study provide insight into the debate of whether advertising expenditures boost performance, as well as provide international marketing managers with a clearer picture on how to invest in advertising within their respective markets.
Originality/value
A majority of the studies that examine the advertising intensity/performance link rely solely on the resource-based view. The authors utilize a multi-theoretical perspective to provide a fine-grained understanding of this relationship. Moreover, the authors apply the investment expense view to examine advertising intensity as an investment to build advertising resources, rather than a resource. This investment must be incorporated with the knowledge to properly employ the investment to develop advertising resources. Further, the authors find that firms expanding into high-context cultures must devote more effort into developing advertising capabilities to properly employ advertising resources than firms in low-context cultures.
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Keywords
Arilova A. Randrianasolo and Mark J. Arnold
This paper aims to propose the concept of consumer legitimacy, develops scales to measure this concept and shows its utility and relevance in the international marketing field.
Abstract
Purpose
This paper aims to propose the concept of consumer legitimacy, develops scales to measure this concept and shows its utility and relevance in the international marketing field.
Design/methodology/approach
A four-step deductive approach (construct definition, item generation, scale purification and scale validation) is used to develop scales for three dimensions of consumer legitimacy, then a structural model of antecedents and outcomes of the construct provides validity for the developed scales.
Findings
Results validate the developed scales with different multinational enterprise contexts across two countries. It is found that perception of social responsibility influences three dimensions of consumer legitimacy, both moral and cognitive legitimacy influence willingness to buy firm products, and moral legitimacy influences attitudes toward the firm.
Practical implications
As a crucial resource, legitimacy can offer firms comparative advantages that lead to competitive advantages. The findings of this research provide a new perspective on how firms may measure, acquire and/or increase this resource.
Originality/value
This paper shifts the discussion of legitimacy to a key firm stakeholder that has been ignored in the literature: consumers. Thus, it implies that both researchers and practitioners should provide stronger consideration to the consumer role in granting legitimacy.