Executive Summary
In the last 40 years nearly
700 studies have been completed on the theme of country-of-origin (COO)
beliefs and COO effects on customer behaviour. However, there are very
few studies on food products, even fewer studies on red meats and hardly
any major studies on venison. There is an obvious gap in knowledge on COO
effects on purchase decisions for products such as venison.
Further, past studies have
focussed on consumers (as opposed to the food service industry and food
processors) and, generally, on overall COO beliefs and behaviour rather
than product-market segment beliefs and behaviour. Therefore, there is
need to undertake product-market segment specific COO studies.
The review in this report
also indicates that there are serious contextual and methodological shortcomings
in many extant COO studies. Given the methodological and contextual shortcomings
identified in past studies, it is important that COO studies on venison
should clearly substantiate the reasons for the choice of research context
and research methodologies including matters such as sampling frame used,
sample selection methods, survey techniques and data analysis techniques.
Notwithstanding the limitations
in past studies that were canvassed above, past studies contain information
that would be useful and relevant in developing COO based strategies for
export-marketing venison. The following is a summary of relevant information
obtained from the review of past studies:
-
COO beliefs provide a halo effect
when consumers evaluate products and therefore COO beliefs can influence
buyer beliefs and purchase intentions
-
Customers use COO cues in purchase
decision making when other cues are not readily available to evaluate products
or when other cues are not readily understandable
-
COO beliefs are highly contextual.
COO beliefs are contingent upon product category and product line, product
history, customer variables, relationship-related variables etc
-
COO beliefs are not static and
continually evolve and change over time because of externalities such as
product specific health scares or information on health attributes. As
a result, positive COO beliefs alone will not provide sustainable competitive
advantages
-
Effective communication of COO
advantages is critical to maintaining competitive advantage arising from
positive COO beliefs
-
COO beliefs can be used to differentiate
product offerings and has to be used in conjunction with other marketing
strategies including supply chain and marketing mix strategies
-
Positive COO beliefs can arise
from national/cultural affiliation and this can be a competitive edge in
export markets that have national/cultural affiliations to Australia
-
Positive COO beliefs can be
used to develop brand images and beliefs. However, it seems that where
there are already strong brands, brand images generate stronger customer
beliefs than COO beliefs. Therefore, the Australian industry needs to take
cognisance of the potential threat from international brands and international
marketeers.
Last updated: November
2005
Copyright RIRDC
http://www.rirdc.gov.au/reports/DEE/05-137sum.html
