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IMPACT OF RELIGIOSITY AND
ETHNOCENTRISM ON
FOREIGN BRAND BUYING
BEHAVIOUR
PRESENTED BY
SOUMYADEEP CHOWDHURY
BROAD DEFINITION OF THE SCOPE
• Primary aim of this project is to examine if any socio-cultural
factor(other than 4P’s of Marketing) impacts the buying pattern of
Indian consumers
• The two socio-cultural factors chosen for this purpose are –
Religiosity and Ethnocentrism
• A basic literature review shows that the construct ‘Religiosity’ has
some impact on consumer buying pattern in some specific countries
due to their rigid religious practices
• Same goes for the ‘Ethnocentrism’ construct – it impacts consumer
buying pattern in some specific countries and cultures only
RELIGIOSITY CONSTRUCT
• Scholars identify at least three historical designations of the term –
(i) a super natural power to which individuals must respond
(ii) a feeling present in the individual who conceives such a
power
(iii) the ritual acts carried out in respect of that power
• I have used previously established scale – CRSi7 (Centrality of Religiosity
Scale, inter-religious version) to measure the construct ‘Religiosity’
• This scale was developed through a multi-nationwide study
• Hypothesis – Religiosity has significant negative effect on perception in
purchasing foreign brands
ETHNOCENTRISM CONSTRUCT
• Sumner(1906) first introduced ethnocentrism as a sociological
concept that refers to a tendency to regard the beliefs, standards,
and code of behaviour of one’s own as superior to those found in
other societies.
• Ethnocentric individuals will prefer their own way of life over all
others and will prefer domestic goods over foreign ones
(Ramsaran-Fowdar,2010)
• To measure this construct I used a modified version of the CET
(Consumers’ Ethnocentric Tendencies, Shimp & Sharma,1987) scale
for the Indian context
• Hypothesis – Ethnocentrism has significant negative effect on
FOREIGN BRAND BUYING BEHAVIOUR
• Firms depend heavily upon consumers’ perceptions and receptivity of
their products in order to survive in markets saturated with
competition
• In this era of Globalization, international firms are entering all the
countries through out the world
• In such a situation its becoming imperative to understand the
tendency of consumers’ affinity towards foreign brands
• This study investigates the primary influences that lead to an
increase in consumers’ willingness to buy foreign goods
• I used HED/UT (Hedonic/Utilitarian) scale to measure consumer
brand attitude – this scale was also established in a multi-nationwide
study
EXPERIMENTAL DESIGN
• The entire questionnaire was divided into three part –
(i) CRSi7 – it had seven items
(ii) CET – it had ten items
(iii) HED/UT – it had six items
(iv) Demographic questions
• The total items to be measured were approximately 30 so the minimum sample
size required were 160 (nearly)
• I divided the sample into four religions equally – 40 (160/4)
• Among the 40 I divided it further into 20-20 to keep the gender ratio balanced
• Also, I included two different local and foreign brands in the questionnaire to
make sure that respondents actually understand that it is foreign brand
DATA COLLECTION
• Data collection was done via both online and offline channels – in-person
interview and online survey
• When I contacted a respondent via online survey, I provided an agreement
of consent. If he/she agrees then only it would go ahead
• When I contacted a respondent in person I sought consent directly before
starting the interview process.
• If the questionnaire was given to the respondent via email then they could
revert back to my email id with their doubts.
• In case of in-person interview they can directly ask us about their doubts.
• I maintained professional ethics while collecting and storing and
analysing the data. No manipulation was done with any data set under
any circumstances.
CHALLENGES FACED IN DATA COLLECTION
• The first and foremost problem in doing data collection was the
sensitive nature of the topic of the research
• Religion and Ethnocentrism is a sensitive topic for most of the people
in the sample that I selected
• So people mostly avoided answering whenever I tried to collect
responses in-person
• Also, the length of the questionnaire(around 47 questions) was
another discouraging factor
• However, I could get around 17 responses from the online survey
• I performed whatever analysis possible on these small responses
DATA ANALYSIS
RESULTS
• Initially my aim was to use PLS
SEM (Partial Least Square
Structural Equation Modelling)
to generate a path diagram and
analyze the data
• But I could not get enough
responses to generate a
significant path co-efficient’s
in the path diagram (as shown
on right side)
• So I decided to go ahead with
Factor Analysis and Linear
Regression approach to check
DATA ANALYSIS RESULTS CONTD.
• All items were measure in 5/7 point Likert scale so I recoded the
variables in SPSS accordingly
• I ran ‘Factor Analysis’ on each of the three
constructs – Religiosity, Ethnocentrism and
Foreign Brand Attitude
• For the ‘Religiosity’ construct I could find 3
significant dimensions out of the 7
• Similarly, 2 for ‘Ethnocentrism’ and 8 for
‘Brand Attitude’
• Then I ran linear Regression to check if
further relationship exists
DATA ANALYSIS
RESULTS CONTD.
• The adjusted R square was not
significant so the regression model
was weak
• None of the constructs had a
significant co-efficient
• The graph of the linear regression
clearly shows that the model is a
weak model
• Clearly, we can’t predict about the
impact of Religiosity and
Ethnocentrism on Foreign Brand
DATA ANALYSIS RESULTS CONTD.
CONCLUSION
• Since the data collection process was not very successful for this
project so I could not do the data analysis as I wished to
• A sample response size of greater than 100 would have enabled me
to do a PLS SEM path analysis and consequently, I could have drawn a
strong conclusion about the topic
• The above mentioned ‘Regression Model’ is not strong enough to
establish a predictive relationship between the constructs
‘Religiosity’, ‘Ethnocentrism’ and ‘Foreign Brand Buying Pattern’
• So in the present scenario I’m not able to accept the Hypotheses that
I wrote for the ‘Religiosity’ and ‘Ethnocentrism’ construct

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Effect of Religiosity & Ethnocentrism on Consumer buying pattern

  • 1. IMPACT OF RELIGIOSITY AND ETHNOCENTRISM ON FOREIGN BRAND BUYING BEHAVIOUR PRESENTED BY SOUMYADEEP CHOWDHURY
  • 2. BROAD DEFINITION OF THE SCOPE • Primary aim of this project is to examine if any socio-cultural factor(other than 4P’s of Marketing) impacts the buying pattern of Indian consumers • The two socio-cultural factors chosen for this purpose are – Religiosity and Ethnocentrism • A basic literature review shows that the construct ‘Religiosity’ has some impact on consumer buying pattern in some specific countries due to their rigid religious practices • Same goes for the ‘Ethnocentrism’ construct – it impacts consumer buying pattern in some specific countries and cultures only
  • 3. RELIGIOSITY CONSTRUCT • Scholars identify at least three historical designations of the term – (i) a super natural power to which individuals must respond (ii) a feeling present in the individual who conceives such a power (iii) the ritual acts carried out in respect of that power • I have used previously established scale – CRSi7 (Centrality of Religiosity Scale, inter-religious version) to measure the construct ‘Religiosity’ • This scale was developed through a multi-nationwide study • Hypothesis – Religiosity has significant negative effect on perception in purchasing foreign brands
  • 4. ETHNOCENTRISM CONSTRUCT • Sumner(1906) first introduced ethnocentrism as a sociological concept that refers to a tendency to regard the beliefs, standards, and code of behaviour of one’s own as superior to those found in other societies. • Ethnocentric individuals will prefer their own way of life over all others and will prefer domestic goods over foreign ones (Ramsaran-Fowdar,2010) • To measure this construct I used a modified version of the CET (Consumers’ Ethnocentric Tendencies, Shimp & Sharma,1987) scale for the Indian context • Hypothesis – Ethnocentrism has significant negative effect on
  • 5. FOREIGN BRAND BUYING BEHAVIOUR • Firms depend heavily upon consumers’ perceptions and receptivity of their products in order to survive in markets saturated with competition • In this era of Globalization, international firms are entering all the countries through out the world • In such a situation its becoming imperative to understand the tendency of consumers’ affinity towards foreign brands • This study investigates the primary influences that lead to an increase in consumers’ willingness to buy foreign goods • I used HED/UT (Hedonic/Utilitarian) scale to measure consumer brand attitude – this scale was also established in a multi-nationwide study
  • 6. EXPERIMENTAL DESIGN • The entire questionnaire was divided into three part – (i) CRSi7 – it had seven items (ii) CET – it had ten items (iii) HED/UT – it had six items (iv) Demographic questions • The total items to be measured were approximately 30 so the minimum sample size required were 160 (nearly) • I divided the sample into four religions equally – 40 (160/4) • Among the 40 I divided it further into 20-20 to keep the gender ratio balanced • Also, I included two different local and foreign brands in the questionnaire to make sure that respondents actually understand that it is foreign brand
  • 7. DATA COLLECTION • Data collection was done via both online and offline channels – in-person interview and online survey • When I contacted a respondent via online survey, I provided an agreement of consent. If he/she agrees then only it would go ahead • When I contacted a respondent in person I sought consent directly before starting the interview process. • If the questionnaire was given to the respondent via email then they could revert back to my email id with their doubts. • In case of in-person interview they can directly ask us about their doubts. • I maintained professional ethics while collecting and storing and analysing the data. No manipulation was done with any data set under any circumstances.
  • 8. CHALLENGES FACED IN DATA COLLECTION • The first and foremost problem in doing data collection was the sensitive nature of the topic of the research • Religion and Ethnocentrism is a sensitive topic for most of the people in the sample that I selected • So people mostly avoided answering whenever I tried to collect responses in-person • Also, the length of the questionnaire(around 47 questions) was another discouraging factor • However, I could get around 17 responses from the online survey • I performed whatever analysis possible on these small responses
  • 9. DATA ANALYSIS RESULTS • Initially my aim was to use PLS SEM (Partial Least Square Structural Equation Modelling) to generate a path diagram and analyze the data • But I could not get enough responses to generate a significant path co-efficient’s in the path diagram (as shown on right side) • So I decided to go ahead with Factor Analysis and Linear Regression approach to check
  • 10. DATA ANALYSIS RESULTS CONTD. • All items were measure in 5/7 point Likert scale so I recoded the variables in SPSS accordingly • I ran ‘Factor Analysis’ on each of the three constructs – Religiosity, Ethnocentrism and Foreign Brand Attitude • For the ‘Religiosity’ construct I could find 3 significant dimensions out of the 7 • Similarly, 2 for ‘Ethnocentrism’ and 8 for ‘Brand Attitude’ • Then I ran linear Regression to check if further relationship exists
  • 11. DATA ANALYSIS RESULTS CONTD. • The adjusted R square was not significant so the regression model was weak • None of the constructs had a significant co-efficient • The graph of the linear regression clearly shows that the model is a weak model • Clearly, we can’t predict about the impact of Religiosity and Ethnocentrism on Foreign Brand
  • 13. CONCLUSION • Since the data collection process was not very successful for this project so I could not do the data analysis as I wished to • A sample response size of greater than 100 would have enabled me to do a PLS SEM path analysis and consequently, I could have drawn a strong conclusion about the topic • The above mentioned ‘Regression Model’ is not strong enough to establish a predictive relationship between the constructs ‘Religiosity’, ‘Ethnocentrism’ and ‘Foreign Brand Buying Pattern’ • So in the present scenario I’m not able to accept the Hypotheses that I wrote for the ‘Religiosity’ and ‘Ethnocentrism’ construct