Indian consumers' purchase intention toward a United States versus local brand

Archana Kumar, Montclair State University
Hyun Joo Lee, Oklahoma State University
Youn Kyung Kim, University of Tennessee, Knoxville

Abstract

This study of Indian consumers examines the effects of individual characteristics (i.e., consumer's need for uniqueness and attitudes toward American products) and brand-specific variables (i.e., perceived quality and emotional value) on purchase intention toward a U.S. retail brand versus a local brand. A total of 411 college students in India participated in the survey. Using Structural Equation Modeling (SEM), this study finds that Indian consumers' need for uniqueness positively influences attitudes toward American products. Attitudes toward American products positively affect perceived quality and emotional value for a U.S. brand while this effect is negative in the case of a local brand. Emotional value is an important factor influencing purchase intention toward a U.S. brand and a local brand as well. Implications for both U.S. and Indian retailers are provided.