Consumer ethnocentrism and attitudes towards foreign beer brands: With evidence from Zlin region in the Czech Republic

Abstract

In modern times, consumer ethnocentrism has become an important strategic tool used by domestic firms in the face of global competition. However, the ability to use this phenomenon and its practical validity can vary in different industrial and cultural contexts. Hence, in this study, researchers address this issue by investigating the relationship between consumer ethnocentrism and the attitudes of Czech customers towards foreign beer brands while paying special attention to whether the ethnocentric tendencies of the Czech customers are altered by demographic variables. The sample for this study was drawn from adult customers who live in the Zlin region in the Czech Republic. The group of students from the bachelor degree programme in management and economics, Tomas Bata Universty in Zlin were selected as enumerators for data collection. Altogether 155 questionnaires were distributed and 108 completed questionnaires were taken in for final analysis. The consumer ethnocentric tendency was measured using the famous CETSCALE developed by Shimp and Sharma. Cronbach’s Alpha values of each construct confirmed that a good interring reliability exists with the data. Principle component analysis was employed to determine the important factors of CETSCALE and independent t test, correlation analysis, multiple regression analysis and one way ANOVA were used for testing hypotheses. The results revealed that the ethnocentric tendency of consumers is negatively correlated with the favorable attitudes of customers towards foreign beer brands in Czech Republic and also that highly ethnocentric customers hold less favorable attitudes towards foreign brands. Further findings revealed that there are no significant differences between consumer ethnocentrism and all the demographic variables of Czech customers. Finally, the researchers provide some suggestions for domestic brewery firms in the Czech Republic to develop appropriate branding strategies in considering consumer ethnocentrism as a strategic tool.