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Consumer Animosity Towards Chinese Products: A Case of India Om Jee Gupta*, Anurag Singh** - 43 - SUMEDHA-Journal of Management Referred Journal of CMR College of Engineering & Technology January-March 2019, Volume 8, No. 1, pp 43-57 ISSN: 2277-6753 (Print) ISSN: 2322-0449 (Online) http://cmrcetmba.in/sumedha/ Consumer Animosity Towards Chinese Products: A Case of India Om Jee Gupta*, Anurag Singh** * Research Scholar, Institute of Management Studies, BHU Varanasi-221005, U.P. (India) Email id: [email protected] **Associate Professor, Institute of Management Studies, BHU Varanasi-221005, U.P. (India) Email-id: [email protected] Abstract Animosity of Consumers towards foreign products and brands is a natural behavioral outcome of Customers. Henceforth studying the effect of animosity on Consumer behavioral intention is favorite area of research since decades. This study is aimed to assess the animosity influence of Chinese products on purchase intention of Indian Consumer. The Sampling area is holy city Varanasi. The responses were collected from the respondents of eighteen years and above purchasing and using Chinese products. The responses were collected through Non-Probability sampling convenience sampling technique. For the purpose of collection of data the questionnaire was structured, and reliability was checked. The research aimed to check the direction and strength of a relationship between economic animosity to purchase intention, and political animosity to purchase intention. Data was analyzed through statistical tool Structural equation modeling. The results found that the economic animosity significantly and negatively influences Indian consumer's purchase intention for Chinese products; whereas political animosity also influences significantly and negatively the purchase intention of Indian consumers. The study also found that political animosity carries much weight than economic animosity. The implications for Indian Managers were drawn in the light of result. Keywords: Political Animosity; Economic Animosity; Consumer purchase intention; Chinese products. JEL Classification: M310 PUBLISHING CHRONOLOGY PAPER SUBMISSION DATE : OCTOBER 9, 2018 ; PAPER SENT BACK FOR REVISION : NOVEMBER 11, 2018; PAPER ACCEPTANCE DATE : DECEMBER 8, 2018 Reference to this paper should be made as follows: Om Jee Gupta, Anurag Singh (2019), "Consumer Animosity towards Chineese Products: A Case of India" SUMEDHA Journal of Management, Vol 8, No 1, PP (43-57)

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Page 1: Consumer Animosity Towards Chinese Products: A Case of Indiacmrcetmba.in/SUMEDHA_ADMIN/journal_attachment/1553532062_8… · People use to t ravel extensively to each other's

Consumer Animosity Towards Chinese Products: A Case of India

Om Jee Gupta*, Anurag Singh**

- 43 -

SUMEDHA-Journal of ManagementReferred Journal of CMR College of Engineering & TechnologyJanuary-March 2019, Volume 8, No. 1, pp 43-57ISSN: 2277-6753 (Print) ISSN: 2322-0449 (Online)http://cmrcetmba.in/sumedha/

Consumer Animosity Towards Chinese Products:A Case of India

Om Jee Gupta*, Anurag Singh**

* Research Scholar, Institute of Management Studies, BHU Varanasi-221005, U.P. (India)Email id: [email protected]

**Associate Professor, Institute of Management Studies, BHU Varanasi-221005, U.P. (India) Email-id: [email protected]

Abstract

Animosity of Consumers towards foreign products and brands is a natural

behavioral outcome of Customers. Henceforth studying the effect of animosity

on Consumer behavioral intention is favorite area of research since decades.

This study is aimed to assess the animosity influence of Chinese products on

purchase intention of Indian Consumer. The Sampling area is holy city

Varanasi. The responses were collected from the respondents of eighteen years

and above purchasing and using Chinese products. The responses were

collected through Non-Probability sampling convenience sampling technique.

For the purpose of collection of data the questionnaire was structured, and

reliability was checked. The research aimed to check the direction and strength

of a relationship between economic animosity to purchase intention, and

political animosity to purchase intention. Data was analyzed through

statistical tool Structural equation modeling. The results found that the

economic animosity significantly and negatively influences Indian

consumer's purchase intention for Chinese products; whereas political

animosity also influences significantly and negatively the purchase intention

of Indian consumers. The study also found that political animosity carries

much weight than economic animosity. The implications for Indian Managers

were drawn in the light of result.

Keywords: Political Animosity; Economic Animosity; Consumer purchase

intention; Chinese products.

JEL Classification: M310

PUBLISHING CHRONOLOGY

PAPER SUBMISSION DATE :

OCTOBER 9, 2018 ;

PAPER SENT BACK FOR REVISION :

NOVEMBER 11, 2018;

PAPER ACCEPTANCE DATE :

DECEMBER 8, 2018

Reference to this paper should

be made as follows:

Om Jee Gupta,

Anurag Singh (2019),

"Consumer Animosity towards

Chineese Products: A Case of

India" SUMEDHA Journal of

Management, Vol 8, No 1, PP

(43-57)

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Consumer Animosity Towards Chineese Products: A Case of India

Om Jee Gupta*, Anurag Singh**

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1. INTRODUCTION

India and China are the two large major economies in the world. Both of them are growing ata rapid pace. Chinese products are present all the world including India (OEC, 2017). Chinaand India are not only neighbors along the Himalayan region but also shares a great historyof cross-cultural and economic relations. People use to travel extensively to each other'scountry. The mistrust between two countries started after the war between China and Indiain 1962. Just before the war, both the countries were having a cordial relation with each other.But due to certain unavoidable situation war took place and the seed of animosity taken theroot between the two countries.

In last three decades, China's GDP has consistently grown at more than 10 percent. Chineseeconomy is being considered as second largest economy in the world. Whereas India startedpicking up when Indian economy opened up in the year 1991. Most of the internationalinstitutions like IMF, World Bank and renowned economist around the world, have beensaying that 21st century is going to be led by Asia, prominently by China and India. Some ofthe recent events which supplemented the suspicion between the two countries are as follows:China's resistance to India's entry into (NSG) nuclear supplier group (BBC News, 2016),China protecting Azar Masood to be declared UN-tagged terrorist (Times of India, 2017),resistance to support India's bid for UNSC permanent seat (The Diplomat, 2015), India'sdenial to join China's ambitious project One belt one road (OBOR) (MEA, 2017). And mostimportantly, the standoff of two armies in Doklam region of Bhutan (The Guardian, 2017).Countries have been through this kind of situations in past. Scholars have analyzed theanimosity among consumers for product manufactured in the hostile country. This articlegoes in a direction where the pursuit of research has gone through the available literature onthe subject followed by the defining rationale of the study. At that juncture, workable objectiveswere framed and tentative results were assumed on the basis of direction received fromliterature. Then the structural equation modeling (SEM) was applied to cognize therelationship between animosity and consumer purchase intention. It was also endeavored toestablish the composition of animosity i.e. economic and political as a separate construct inthe proposed model itself using (CFA) confirmatory factor analysis. The result of this workhas revealed some glaring empirical evidence which projects the direction and the strengthof the relationship between economic animosity and purchase intention; political animosityand purchase intention. Then the discussion was elucidated in the light of the prior literatureon the subject and managerial implications were drawn for the benefits of marketers. Thestudy is as follows:

2. CONCEPTUAL FRAMEWORK

2.1. CHOICE OF CHINESE PRODUCTS

In last one year, many in India are shouting on to boycott Chinese products on grounds ofChina's increasing proximity with Pakistan, increasing trade deficit with India, the recentstandoff between Indian and Peoples liberation army in the Doklam region of Bhutan haveraised the bar of Animosity among Indian Consumers to buy Chinese products. A lot of

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Consumer Animosity Towards Chinese Products: A Case of India

Om Jee Gupta*, Anurag Singh**

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consumers have raised their voice on Social media to boycott Chinese products in support ofIndia. On the other hand, we can see that China is not only dominating Indian Consumermarket but also doing so well in most of the economies in the world. In last three decades,China has transformed the concept of development (Hung et al. 2007; Warner and Rowley2010). Resistance towards Chinese products comes to an end across the world when Chinaentered WTO as member nation (Gao, et, al. 2007). The contentious relation of China withmany countries including India has been tense. The Recent standoff of two armies in theDoklam region has influenced significantly to the purchase intention of Consumers in India(Gupta O, Singh A 2018a). Hence this article is written in the context of Chinese products.

2.2. ANIMOSITY

Consumer animosity reflects a negative perception to purchase products which are importedfrom a disliked nation (Klein, et, al., 1998). The initial work on the association betweenconsumer animosity and purchase intention of consumer was established (Klein, et, al., 1998).Animosity has been argued as a strong resistance or anger for any particular country becauseof some military conflict, political disagreement at world level, and economic issues (Averill,1982). Largely the basis of negative perception has to be credited to territorial disputes, trade-related conflicts, economic arguments, bilateral diplomatic disagreements (Gupta O, SinghA 2017a). The idea to understand its impact on Consumer behavior, have exceedingly attractedmany researchers in this field. There are number of examples of specific countries whichendeavors to understand Consumer Animosity includes Australian Consumers animosityfor products coming from Great Britain (Ettensen and Klein, 2005), Dutch peoples attitudefor German products (Nijssen and Douglas, 2004), Chinese consumer animosity for Japaneseproducts (Klein et al., 1998), American and Korean consumers' attitude for Japanese products(Klein, 2002; Klein and Ettensen, 1999).

On the basis, Hoon et al. (2004) work, the key dynamics of the animosity does fall under twocategories namely Stable-Situational dimension. Most of the time, War related animosity comesunder the ambit of Stable animosity as their foundation is based on the war that Countries haveundergone into. If we talk about the civil war in United States (Shimp et al., 2004) and warbetween Japan & China (Klein et al., 1998; (Gupta O, Singh A 2017a; Nijssen and Douglas,2004) others like Shin (2001) Many studies discussed above, were more focused on animosityderived from war, which comes under the purview of stable animosity. Whereas if we talk aboutthe situational animosity, it consist of many facets of animosity called as political animosity(Witkowski, 2000; Russell, 2004; Klein, 2002; Ettenson and Klein, 2005), economic animosity(Klein and Ettenson, 1999; Hinck, 2005; Hinck et al. 2004; Hoon et al. 2004; Kesić et al., 2005;

Witkowski, 2000; Shin, 2001), armed conflict (Shoham et al. 2006).

The recent time since late nineties' researchers in different countries is putting more attention tounderstanding the impact of Animosity on Consumer behavior (Klein et al. 1998; Klein 2002;Jung, et al. 2002; Hoon et al. 2004; Nijssen and Douglas, 2004; Narang, 2016). China & India arethe fastest-growing large economies across the world. Recent political & economic tension betweenthe two countries has been the most vocal point of discussion in the world diaspora.

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Consumer Animosity Towards Chineese Products: A Case of India

Om Jee Gupta*, Anurag Singh**

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2.3. ANIMOSITY AND PURCHASE INTENTION

Klein et al., (1998) have worked on animosity and Consumer's willingness to buy. Heillustrated two separate constructs (economic animosity & war animosity) and another oneconstruct to capture general animosity. He had chosen Chinese consumers and assess theeconomic animosity towards willingness to buy Japanese products. He found out thatanimosity is significantly and negatively related to Consumers' willingness to buy productscoming from Japan. He referred animosity in context of economic animosity, war-related,and general animosity. Another study by Hinck et al., (2004) have illustrated that economicanimosity has a negative and strong relationship with the Consumer purchase intention.This was studied in context to the unification of Germany (east and west). The author hasmeasured the economic animosity in Consumer in the western part, for the productsmanufactured in another part of Germany. Products manufactured in East Germany wasfound unsuccessful because of consumer's unwillingness to purchase due to economicanimosity. Riefler and Diamantopoulos, (2007) have done a comprehensive work onconsumer animosity. He reviewed the work of almost all the major contributors in the fieldof Consumer animosity. He argued that only a few early researchers have included generalanimosity (Shin, 2001; Klein, 2002; Witkowski, 2000) while all other studies conducted inthis field coveted war and economic animosity particularly. Russel, (2004) has looked at tothis field in different perspective. He studied the Consumers liking of domestic and foreignmovies. The animosity background was used in the context of a war of Iraq. They referred itas political animosity. The most recent work of (Narang, 2016) was focused on establishing arelationship of Social status, animosity, self-esteem, ethnocentrism & Purchase intention. Thisstudy was precisely done in Indian Context for Chinese products. But this study has leftsome unexplored path to be traveled. Hence current study wish to fill gaps in the existingbody of literature.

3. THE RATIONALE OF THE STUDY

Un-limiting the work of (Narang, 2016) this article is concentrating only on the relationshipbetween animosity (economic and political) and consumer purchase intention. Making itmore precise, the researcher has selected a consumer category who are purchasing Chinesetoys, gift items, and festival items. It is also important to note that political mistrust betweenIndia and China rising because of various events i.e. China's denial of India's entry into nuclearsuppliers group (NSG) (BBC News, 2016), China protecting Azar Masood to be declaredUN-tagged terrorist (Times of India, 2017), China's resistance to support India's bid for UNSCpermanent seat (The Diplomat, 2015), India's denial to join China's ambitious project Onebelt one road (OBOR) (MEA, 2017). And most importantly, the standoff of two armies inDoklam region of Bhutan (The Guardian, 2017). All these facts are converging as a politicalmistrust between the two nations.

On the other side, economic animosity is also picking up momentum in India. China's tradepractices are called to be unfair by many countries in the world. If we look at the trade betweentwo nations then we found that India is in the trade deficit with China in tune of $52bn (2016-

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Consumer Animosity Towards Chinese Products: A Case of India

Om Jee Gupta*, Anurag Singh**

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2017). China has been alleged by many countries to dump its subsidized manufactured item totheir country including India (Gupta O, Singh A, 2018b,). This results as a severe setback fordomestic industries to survive.

The platform of the earlier work along with the present context of Indo-China relations,suggests to hypothesize as below:

H1: Economic animosity and Political animosity and Purchase Intention will emerge as afirst order separate constructs.

H2: There is a negative and significant relation between Economic animosity and Consumerpurchase intention to buy Chinese products.

H3: There is a negative and significant relation between Political animosity and Consumerpurchase intention to buy Chinese products.

4. RESEARCH METHODOLOGY

To test the proposed hypothesis, the researcher has conducted a survey using structuredquestionnaire. The Researcher had directly contacted each respondent personally and collecteddata. Each respondent was given adequate time to respond. Out of total responses, 316 wereconsidered for the study. The items related to respective constructs were adapted and modifiedfrom previous researchers. The Scale was validated using Confirmatory factor analysis. Thenproposed hypotheses were tested by (SEM) structural equation modeling using AMOS 20.0

4.1. SAMPLING

Consumers of Chinese products are the target population of the study in the city of Varanasi.The Researcher has used convenience sampling technique in order to collect the data for thestudy. This technique was chosen in the absence of sampling frame. The Researcher haspersonally contacted respondents in the market which is usually dominated by Chineseproducts. 450 questionnaires were filled. After data scrubbing, inconsistent responses wereomitted from the study. 316 questionnaire were found suitable for the study hence consideredfor the study.

4.2. THE INSTRUMENT

The questionnaire was designed in 4 segments to find the solution of the three hypothesisformulated. The First segment was designed to measure demographic variable i.e. age, gender,and education. The other segments comprise of 5 items to measure "Economicanimosity"(segment 2); 4 items to measure "Political animosity" (segment 3); 4 items to measure"Purchase Intention"(segment 4). All the items from segment 2-4 were measured on a 5-pointLikert scale, where 5= strongly agree to 1= strongly disagree.

4.3. SAMPLE CHARACTERISTICS

Table 1 outlines the demographic summary of the respondents. Total respondents were 316.Out of which 40.5% (Female), 59.49% (Male) which clearly exhibits the majority of respondentsto be Male. Fewer respondents were found in the age group of 18-30 i.e. 38.61% whereas

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Consumer Animosity Towards Chineese Products: A Case of India

Om Jee Gupta*, Anurag Singh**

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61.39% were found in the age group of 31-45. Majority of the respondents were Graduates66.46% and 33.54% were in the group of PG and above.

Table 1: Demographic Characteristics

Variable Categories Response (in percent)

Gender Female 40.5 Male 59.49 Age 18-30 38.61 31-45 61.39 Education Graduate 66.46 PG and Above 33.54

Variable Categories Response (in percent)

Gender Female 40.5 Male 59.49 Age 18-30 38.61 31-45 61.39 Education Graduate 66.46 PG and Above 33.54

Variable Categories Response (in percent)

Gender Female 40.5 Male 59.49 Age 18-30 38.61 31-45 61.39 Education Graduate 66.46 PG and Above 33.54

Demographic Characteristics

Source: created by Author

4.4. TECHNIQUE USED

This article has been analyzed using a sophisticated multivariate technique called StructuralEquation Modelling (SEM). It has two dimensions, one is confirmatory factor analysis (CFA)/Measurement model and structural model /path analysis. CFA assess the relationship betweenthe latent variables (unobserved) and observed variables of the hypothesized model, intendedto see the validity and reliability whereas structural model used to measure the strength andpath of the relationships in the model (Doloi et al. 2011).

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Consumer Animosity Towards Chinese Products: A Case of India

Om Jee Gupta*, Anurag Singh**

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5. DATA ANALYSIS AND FINDINGS

5.1. FULL MEASUREMENT MODEL

Confirmatory factor analysis was applied using AMOS 20.0 to check the relationship of variablesin the measurement model. Before going for the structural model, it is imperative to see thereliability and validity met the acceptable level (Fornell and Larcker, 1981; Ifinedo, 2006).

Figure 1 depicts the measurement model that shows the loadings of observed variables (items)to their respective constructs (latent variables) and the relationship between latent variables.Three constructs with fourteen items could be seen in the model. Constructs like Economicanimosity (5 items), Political animosity (4 items), Purchase intention (4 items) has been shownin the model.

Figure 1: Measurement Model

Source: Created by Author using AMOS 20.0

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Table 2 states the standardized regression weight (factor loadings) of scale items to theirrespective constructs. Factor loading of each item to respective constructs is above 0.870(range from 0.871 to 0.938), apart from this all the factor loadings were found significantlycontributing to their respective construct meeting the convergent validity principles(Anderson & Gerbing, 1988; Bollen, 1989).

Table 2: Factor Loadings and Other Measures

Construct Items

Standard

Factor

Loading

(CR) (AVE) (ASV)

(MSV)

Economic

animosity

1 0.896

0.951 0.796 0.210 0.295 2 0.892 3 0.911 4 0.876 5 0.885

Political

animosity

6 0.920

0.956 0.843 0.229 0.334 7 0.938 8 0.886 9 0.928

Purchase

Intention

10 0.912

0.947 0.816 0.314 0.334 11 0.871 12 0.926 13 0.904

AVE=Average variance extracted; MSV=Maximum shared variance; CR=Composite reliability;

Source: created by Author

Table 2 also represents the value of composite reliability, average variance extracted (AVE),maximum shared variance (MSV) and average shared variance (ASV). The average varianceextracted for each single construct was found higher than the accepted value of 0.50, showsthat the major part of the variance was explained by the respective items itself (Fornell &Larcker, 1981; Hair et al., 2010). Composite reliability (CR) of each construct were found offto be more than 0.95 (range 0.951 to 0.956), which is much higher than the acceptable cut-offlevel of 0.70 (Bagozzi & Yi, 1988; Fornell & Larcker, 1981). Another criteria demands CR(Table 2) should be greater than AVE. This dataset meets the criteria where CR of (economicanimosity=0.951>AVE=0.796); (political animosity=0.956>AVE=0.843); (purchaseintention=0.947>AVE=0.816) (Fornell & Larcker, 1981; Hair et al., 2010).

Discriminant validity demonstrates the distinction of one constructs with other constructs(Hair et al., 2010). Discriminant validity was found by comparing the AVE value of each

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Consumer Animosity Towards Chinese Products: A Case of India

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single construct with the ASV value and MSV value with other respective constructs (Fornell& Larcker, 1981). Table 2 demonstrates that AVE value of each construct is large enoughwith ASV and MSV value which clearly signifies the discriminant validity. For economicanimosity (AVE=0.796)> (ASV=0.210) and (MSV=0.295); political animosity (AVE=0.843)>(ASV=0.229) and (MSV=0.334); purchase intention (AVE=0.816)> (ASV=0.314) and(MSV=0.334).

Hypothesis testing: H1: Economic animosity and Political animosity and Purchase Intentionwill emerge as a first order separate constructs (supported). Here we could say that H1 issupported by the collected data. Hence can say that all the constructs have emerged as separateconstructs confirmed by discriminant, and convergent validity measures (Table 2). Thisconstruct was found consistent with the work of (Witkowski, 2000; Shin, 2001; Klein, 2002;Russell, 2004; Hoon et al. 2004; Ettenson and Klein, 2005; Kesi? et al., 2005; Narang, 2016).

The model indices used i.e. Tucker-Lewis index (TLI), Goodness of fit index (GFI), comparativefit index (CFI), normed fit index (NFI), and root mean square of error approximation (RMSEA)were chosen to evaluate model fitness (Hair et al., 2010). The acceptable standard fit with thedata should meet the value of 2 2/df < 3, TLI, GFI, NFI, CFI, should be more than 0.90 andRMSEA<0.08 (Gefen & Straub, 2000). In Table 3, the final model fit indices for the datashown a good fit as

The final CFA model or measurement model presented a good fit with the data itself ( 2 /df= 2.148, CFI=0.984, TLI=0.980, GFI=0.943, NFI=0.970, RMSEA=0.06, which was reported to besignificant (Bagozzi & Yi, 1988; Bentler & Bonett, 1980).

Table 3 sufficiently presents the data that convince that measurement model stand good fitwith the data, therefore we could advance our work for testing remaining two hypothesis inthe structural model through SEM.

Table 3: Model Fitness

CMIN/df (χ2/df ) TLI CFI GFI NFI RMSEA

2.148 0.98 0.984 0.943 0.97 0.06

Comparative fit index (CFI), goodness of fit index (GFI), Tucker lewis index (TLI), normed fit index(NFI), and root mean square of error approximation (RMSEA)

Source: created by Author

5.2. STRUCTURAL MODEL

In structural modeling standardized path coefficients (?), critical ratio standard error andhypotheses results) has been shown in Table 4 & Figure 2. The significance level (?) was setto be 0.05. Table 4 also talks about the strength and direction of the relationship of constructsin the model. R2 in the model depicts that this model is able to explain 47 percent of thevariation of purchase intention by two exogenous variables.

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Consumer Animosity Towards Chineese Products: A Case of India

Om Jee Gupta*, Anurag Singh**

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Two most important findings were found in the structural model. The standardized regressionweight ( ) between political animosity and purchase intention was (-0.441). In thisrelationship political animosity negatively and significantly (p<0.05) affecting the purchaseintention of consumer towards Chinese products. Hence H3 stands accepted for the modelin the given data.

Figure 2: Structural Model

Source: created by Author

Table 4: Results of Hypothesis Testing

Hypothesis relationship

SRW (β)

critical ratio (t)

R2 Sig (p) Hypotheses

results

EA-PI (H2) -0.387 -7.719 0.47

<0.05 Accepted

PA-PI (H3) -0.441 -8.799 <0.05 Accepted

EA=economic animosity; PI=purchase intention; PA=political animosity; SRW=standardizedregression weight

Source: created by Author

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Consumer Animosity Towards Chinese Products: A Case of India

Om Jee Gupta*, Anurag Singh**

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The standardized regression weight (?) between economic animosity and purchase intentionwas (-0.387). In this relationship economic animosity negatively and significantly (p<0.05)affecting the purchase intention of consumer towards Chinese products. Hence H2 standsaccepted for the model in the given data as well.

It was also observed that the relationship political animosity's (-0.441) strength to the purchaseintention is higher than that of economic animosity (-0.387) strength with purchase intention,although both are in the same direction. All the evaluations were steady with the possibleexpectations as the relationship was found significant (p<0.05) and in projected direction.

6. DISCUSSION AND IMPLICATION

This work is an attempt to move forward from the presently available literature on consumeranimosity and its effect on intention to purchase. There were many studies who have workedon understanding Consumer Behavior (Kumar, 2018; Divyaprabha, 2018) but very few wereendeavored to understand the relationship of animosity with purchase intention. This workscrutinizes the effect of economic and political animosity for the products manufactured inChina. Earlier research work have focused on to examine animosity across the countries(Ettensen and Klein, 2005; Klein, 2002; Klein and Ettensen, 1999; Klein et al., 1998; Nijssenand Douglas, 2004; Shin, 2001; Witkowski, 2000; Hayat, et. al., 2015) on the willingness ofthe consumer to buy foreign products. They have projected many constructs of animosityand empirically demonstrated that there are positive and significant signs of Animosity. Theresult of this study is consistent with the earlier work done on economic and political animosityand their effect on intention to purchase (Klein et al., 1998; Shin, 2001; Klein, 2002). Earlierworks only talks about that animosity is significantly and negatively associated to purchaseintention. In the present study, economic and political animosity has been taken as separateconstructs and their effect on purchase intention was recorded. Additionally, it was foundthat the strength of political animosity and purchase intention, was much higher than theeconomic animosity and purchase intention. Whereas both are collectively explaining 47%variation of purchase intention.

In measurement model, discriminant validity and convergent validity were adequatelyestablished. It was found a valid premise to move for structural modeling. All the paths inthe structural model were significant. Hence H2, H3 was accepted in the present model.Previous scholars took many constructs at a time and less focused on the specific productcategory (Narang, 2016) in the Indian circumstance. The Current study was particularlyconcentrated on Chinese toys and gift items. All the earlier studies are absolutely silent ontaking product category in the background of the study in an Indian context.

The outcome of this study leaves many managerial implications for both the consumerbehavior researchers and marketers. The two constructs defining the animosity and itsrelationship with the intention to purchase of consumers for Chinese products could certainlyproject new dimension before the marketers and researchers. This study may also remindthe policymakers that sometimes a political decision has to bear the long-term cost in order

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Consumer Animosity Towards Chineese Products: A Case of India

Om Jee Gupta*, Anurag Singh**

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to have a short-term gain. Like these decisions may go against them and adversely impactconsumers for Chinese products. We are living in a globalized world. Every bit of informationis reaching to consumers. Therefore when marketers are making their plan, they must havea sense of the past consequences in their mind.

This article is also putting emphasis on Indian consumers are adverse in terms of buyingChinese products. Their purchase intention is negatively affected by both the constructs.This implies that political animosity and economic animosity requires a lot of attention fromthe marketers. Before entering the Indian market, marketers should do a survey work in thespecified area to understand the level of animosity for the Chinese products. A Marketershould put more weight in the promotion of the products in terms price, quality, design, riskrather than the label of Chinese products. This hostile situation for Chinese products in Indiagives a substantial opportunity to domestic and international marketers. This could be usedas a new strategic tool to counter Chinese products in Indian market. It is also advisable toChinese marketers to use 'made in' as a strategic tool in the least possible manner.

7. CONCLUSION

The current article inspects about the direction and the strength of Indian consumers economicand political animosity toward their purchase intention for Chinese products. This studywas undertaken because of growing mistrust between the two nations and a sense ofboycotting Chinese products have started in some part of India. Animosity model has beentested with respect to many countries around the world. In the context of China-India, thereis a dearth of literature available on this subject. This study is acting as an indicator thatsuggests the relationship between economic animosity and consumer purchase intention;political animosity and consumer purchase intention are negative and significant. Whereasit was also found that the political animosity relation with purchase intention is morestrengthening than economic animosity. Both the constructs combined together explainingthe significant part variation of purchase intention.

8. FUTURE SCOPE OF RESEARCH

1. The strength of political animosity may be higher because of the grave situation persistbetween India and China in the Doklam region of Bhutan. Another study could beconducted later on after the situation gets normalized.

2. Cheah, et al., (2016) have worked on hybrid products in the context of Japanese productmanufactured in China and he tested in the Chinese market. Hence further study couldbe conducted on hybrid products in India. It would be much interesting to see theresults of similar studies as this may give some glaring revelation in regard to consumeranimosity and its effect on purchase intention.

3. In regard to the Chinese mobile phones in Indian market. A Huge amount of Chinesephones are being sold in India. It would be fascinating to understand consumeranimosity for Chinese mobile phones. It will answer two questions, does animosity

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exist in this product category? If so then does it have any effect on purchase intention?This will reveal the new dimension in consumer behavior understanding.

4. A Similar study could be conducted in countries which share a conflicting politicaland economic relations with China. That will help to project that the animosity plays anegative role in consumers mind while purchasing products manufactured in the hostilenation.

5. Despite Indian consumer's resistance towards Chinese products, China is still the majortrading partner with India. Because consumers purchase intention is influenced byother factors also. The relationship of more variables could be taken up for theconsideration of quality, price, design, and perceived risk with the purchase intentionof the consumer for Chinese products.

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