Effects of competition on consumer decision making : matching advertising to culture

• Main Author: Teng, Lefa
• Format: Others
• Published: 2003
• Online Access: http://spectrum.library.concordia.ca/1999/1/NQ78630.pdf; Teng, Lefa <http://spectrum.library.concordia.ca/view/creators/Teng=3ALefa=3A=3A.html> (2003) Effects of competition on consumer decision making : matching advertising to culture. PhD thesis, Concordia University.

The dual mediation model suggests that in addition to a direct effect, ad attitude (Aad) also has an indirect influence on brand attitude (Ab) through brand cognition (Cb). As well, brand attitude (Ab) influences purchase intention (PI). However, the model fails to take ad affect (AFFad) and confidence in evaluating a brand (CONb) into account, and it does not include competition. The competitive vulnerability model includes competition, but it lacks the fundamental constructs such as ad cognition (Cad), AFFad, and Aad. By integrating the dual mediation model and the competitive vulnerability model, this research offers a more comprehensive understanding of the effects of advertising on consumer brand choice behavior. This study also fills the void in the literature by extending the framework into a multicultural setting and examining whether the proposed consumer brand choice model is invariant across North American and Chinese cultures. Furthermore, the interaction effects of culture-laden advertising appeals, ad arguments, and culture-laden pictures on consumers' attitudes and purchase behavior are examined and compared between North American and Chinese consumers. Specifically, this comparison is examined in the multiple-ad and multiple-brand environment. A total of ten testable hypotheses are proposed. In order to test these hypotheses, two separate experiments are developed. Experiment 1 is designed to study the interaction effects of ad contents (i.e., weak and strong arguments) and advertising appeals (i.e., individualistic-laden and collectivistic-laden advertising appeals) on consumers' Cad, AFFad, Aad, Cb, Ab, CONb and PI in a competitive environment. Experiment 2 is designed to study the interaction effects of culture-laden pictures (i.e., individualistic-laden and collectivistic-laden pictures) and culture-laden advertising appeals on these measures in a competitive situation. Both experiments test the extended competitive vulnerability model and the interaction effects on consumer brand choice behavior across two cultures. In order to put the data for this dissertation to its most effective use, both experiments are undertaken with consumers, or "real people," and not from a student sample in North America and China. Such verification increases confidence in the findings. The data are analyzed using MANOVA and structural equation modeling. The results from this research contribute to the understanding of how the multiple-ads and multiple-brands influence consumer attitudes and purchase behavior in multicultural environments.