The Effects of Patriotism, Consumer Xenocentrism, Cultural Sensitivity, Cultural Heritage, and Country of Origin Image on the Purchase of Luxury Foreign Brands
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Abstract
The process of globalization has led to an increase in the number of multinational companies. However, current global crises such as the COVID-19 pandemic, the war in Ukraine, population migrations, and economic instability have led certain countries to implement protectionist measures in the form of sanctions against other countries, as well as the closure of national economies and a shift towards deglobalization policies. In times of crisis, conservative views, respect for one's own culture, and concern for the national economy come to the fore. On the other hand, consumers who have preferences for foreign cultures often travel abroad, visit cultural landmarks of other countries and prefer luxury brands that originate from countries known for their production. The research was conducted with the aim of analyzing the impact of patriotism, consumer xenocentrism, cultural sensitivity, cultural heritage of other countries, and country of origin image on consumers' decision to purchase foreign luxury brands. Empirical research was conducted through a survey method in early 2024 in the territory of the Republic of Serbia (Belgrade, Novi Sad, Kragujevac). The total number of respondents in the sample was 488. Their responses were analyzed using appropriate statistical methods with the SmartPLS 4 software. The research results showed that patriotism has a negative impact on consumers' purchase of luxury brands, while consumer xenocentrism, cultural sensitivity, cultural heritage of other countries, and country of origin image have a positive impact on consumers' purchase of luxury brands. The research provides useful information for marketers of multinational companies, and based on the results, it can be concluded that during crises, instead of a global or local marketing strategy, it is optimal to apply a glocal marketing strategy that considers the needs of consumers with pronounced nationalist sentiments, as well as consumers with cosmopolitan views.
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