In: Economics
How does the effect of a product's country of origin on the perception of ''product's design'' affect customer loyalty? Please explain in more detail with an example.
Answer: There are many factors which a consumer consider while purchasing a product such as quality of the product, price of the product, brand name and it image in the market w.r.t. reliability.
Among them product's country of origin effect the perception of ''product's design'' and hence in turn affect customer loyalty.We can understand it with an example:
It is been considered that build up quality of South Korean firms in various electronic products such as smartphones, refrigerators are reliable similarly various products of U.S.A.'s firms considered as best in terms of quality such as Apple's smartphones, laptops etc , DELL's laptops and many more.
Hence when such a products are being purchased by consumers of say a countries like India etc.Then Product's country of origin effect the consumer'd perception products design and hence their loyalty.For example Samsung is considered as among the best products In Indian market when they manufactureed in India or Korea.
Similarly Chinese products , though they are very cheap and affordable , still they are considered as less durable and qualitatively advanced.Hence if there is no stress on purchasing power of consumer , then they usually don't go with Chinese products.
Hope it helps!