Questions and Answers About Luxury Products Essay -- customers, brand

Questions and Answers: (2) How does a brand name or country of origin work as a heuristic? (3) Do ratings change as a function of the country of origin? (4) Are there any significant differences or similarities between domestic versus foreign brands for EACH fashion product (eg. A Chinese luxury brand versus an Australian luxury brand)? (5) What are the implications for companies and businesses that use country of origin as a way of advertising / promoting their product and brands? a) Based on the results in question 4a, (2) How does a brand name or country of origin work as a heuristic(2 marks)? Heuristic or rules of thumb are general decision making strategies people use that are based on little information, yet very often correct; heuristics are mental shortcuts that reduce the cognitive burden associated with decision making (Shah & Oppenheimer, 2008). In this case, consumers always see an Italian product with the exemplar of luxury brand. Thus, they may assume all Italian based product is always expensive, exclusive, unique, high price and comfortable. Meanwhile, consumer may also assume that all products from China were all low quality, cheap and not long lasting based on what they heard and see on the television or friends. (3) Do ratings change as a function of the country of origin? Explain why or why not. (4 marks) Yes. It is because the perceived theoretical relationship between the cue of country of origin and the attributes of a product is largely conducted by product-country images, among which quality as a representative of a country’s production has an important effect on consumers’ evaluations of products (Broniarczyk & Alba, 1994). For example, Korean music has been famous worldw... ... Decision Outcomes†. Student Pulse.http://www.studentpulse.com/articles/180/2/decision-making-factors-that-influence-decision-making-heuristics-used-and-decision-outcomes Klein, Jill Gabrielle, Richard Ettenson and Marlene D. Morris (1998). "The Animosity Model of Foreign Product Purchase: An Empirical Test in the People's Republic of China", Journal of Marketing, 62(1), 89-100 Shah, A.K., & Oppenheimer, D.M. (2008).Heuristics made easy: An effort-reduction framework. Psychological Bulletin, 134(2), 207-222. DOI: 1.1037/0033-2909.134.2.207. Shimp, Terence A. and Subhash Sharma (1987), "Consumer Ethnocentrism: Construction and Validation of the CETSCALE", Journal of Marketing Research 24(3), 280-289 Tversky, Amos and David Kahneman. 1974. â€Å"Judgement under Uncertainty: Heuristics and Biases†. Science 185: 1124-1131. http://turtletrader.com/heuristics.pdf Questions and Answers About Luxury Products Essay -- customers, brand Questions and Answers: (2) How does a brand name or country of origin work as a heuristic? (3) Do ratings change as a function of the country of origin? (4) Are there any significant differences or similarities between domestic versus foreign brands for EACH fashion product (eg. A Chinese luxury brand versus an Australian luxury brand)? (5) What are the implications for companies and businesses that use country of origin as a way of advertising / promoting their product and brands? a) Based on the results in question 4a, (2) How does a brand name or country of origin work as a heuristic(2 marks)? Heuristic or rules of thumb are general decision making strategies people use that are based on little information, yet very often correct; heuristics are mental shortcuts that reduce the cognitive burden associated with decision making (Shah & Oppenheimer, 2008). In this case, consumers always see an Italian product with the exemplar of luxury brand. Thus, they may assume all Italian based product is always expensive, exclusive, unique, high price and comfortable. Meanwhile, consumer may also assume that all products from China were all low quality, cheap and not long lasting based on what they heard and see on the television or friends. (3) Do ratings change as a function of the country of origin? Explain why or why not. (4 marks) Yes. It is because the perceived theoretical relationship between the cue of country of origin and the attributes of a product is largely conducted by product-country images, among which quality as a representative of a country’s production has an important effect on consumers’ evaluations of products (Broniarczyk & Alba, 1994). For example, Korean music has been famous worldw... ... Decision Outcomes†. Student Pulse.http://www.studentpulse.com/articles/180/2/decision-making-factors-that-influence-decision-making-heuristics-used-and-decision-outcomes Klein, Jill Gabrielle, Richard Ettenson and Marlene D. Morris (1998). "The Animosity Model of Foreign Product Purchase: An Empirical Test in the People's Republic of China", Journal of Marketing, 62(1), 89-100 Shah, A.K., & Oppenheimer, D.M. (2008).Heuristics made easy: An effort-reduction framework. Psychological Bulletin, 134(2), 207-222. DOI: 1.1037/0033-2909.134.2.207. Shimp, Terence A. and Subhash Sharma (1987), "Consumer Ethnocentrism: Construction and Validation of the CETSCALE", Journal of Marketing Research 24(3), 280-289 Tversky, Amos and David Kahneman. 1974. â€Å"Judgement under Uncertainty: Heuristics and Biases†. Science 185: 1124-1131. http://turtletrader.com/heuristics.pdf