Cultural appropriation and the country of origin effect

Journal of Business Research 69 (2016) 2721–2730

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Journal of Business Research

Cultural appropriation and the country of origin effect YongGu Suh a, JungYun Hur b, Gary Davies c,⁎ a b c

Department of Business Studies, Sookmyung University, Cheongpa-ro 47-gil 100, Yongsan-Ku, Seoul 140-742, Korea Department of Hospitality and Tourism Management, Purdue University, Marriott Hall, Office 206, 900 W. State Street, West Lafayette, IN, 47907, USA Manchester Business School, Booth Street West, Manchester, England M15 6PB, UK

a r t i c l e

i n f o

Article history: Accepted 1 October 2015 Available online 24 November 2015 Keywords: Country of origin effects Cultural appropriation Stereotype theory Korean Wave Hallyu

a b s t r a c t This study explores how the appropriation of another country's cultural initiatives by a consumer can influence country of origin (COO) effects and how this might be explained using theory on the positioning of stereotypes. The first of two empirical studies identifies a measure of cultural appropriation relevant to the context of the Hallyu (or the Korean Wave) using a Q sort methodology (n = 30). The second study investigates the influence of cultural appropriation on the COO effect and purchase intentions for two product types, performance and personal (n = 218). The results suggest that cultural appropriation positively influences the COO effect (attitude toward the country, its companies, and its products) and purchase intentions, via an enhanced COO effect. However, the analyses show that effects differ between the performance product and the personal product. Cultural appropriation influence occurs mainly via an enhanced COO effect for the performance product and from a direct influence over purchase intentions for the personal product. © 2015 Elsevier Inc. All rights reserved.

1. Introduction The country of origin (COO) effect refers to the influence on a buyer considering a product or service from another country due to the stereotyping of that country and its outputs. The COO effect can add to or detract from the associations made with individual products and brands (Han & Terpstra, 1988; Sauer, Young, & Unnava, 1991). Customers tend to generalize the quality of all products from an individual country (Chao, 1998; Jaffe & Nebenzahl, 2001; Papadopoulos & Heslop, 1993) so that those from countries that are perceived favorably can command a premium (Nebenzahl & Jaffe, 1996). The effect can be equally apparent in both commercial (Chen, Su, & Lin, 2011) and consumer markets (Insch & McBride, 2004; Roth & Diamantopoulos, 2009). Companies recognize the COO effect by emphasizing, if appropriate, their country of origin in their product marketing (Nis, 1996). Prior work emphasizes the role of the level of economic development in the creation of a COO stereotype, with developing countries being seen as less capable of producing high quality products (e.g., Schooler, 1971; Verlegh & Steenkamp, 1999; Wang & Lamb, 1983). However, an individual might also prefer a foreign made product because he/she has a general affinity toward that country (Kim, Cho, & Jung, 2013; Oberecker, Riefler, & Diamantopoulos, 2008). Although substantial prior work on the COO effect exists, studies analyzing these more affective, country-related influences are far fewer in number (Maheswaran, Chen, & He, 2013). Here the aim is to identify the influence on the COO effect from the adoption ⁎ Corresponding author. Tel.: +44 161 275 6457. E-mail addresses: [email protected] (Y. Suh), [email protected] (J. Hur), [email protected] (G. Davies).

http://dx.doi.org/10.1016/j.jbusres.2015.11.007 0148-2963/© 2015 Elsevier Inc. All rights reserved.

by foreign nationals of a country's cultural initiatives and to test such influences on product purchase intentions. Two theoretical bases are relevant, stereotyping (Hilton & Von Hippel, 1996) and positioning (Davies & Harré, 1991), in explaining how stereotypes such as the COO effect can be modified. The empirical context is the phenomenon labeled as the Hallyu or the Korean Wave. The first study identifies a measure of cultural appropriation that distinguishes the latter from other cultural effects. The second study tests the influence of cultural appropriation on the COO effect and on consequent purchase intentions. 2. Stereotyping, culture, and the COO effect A product's COO is an extrinsic cue that serves as a signal for product quality (Dawar & Parker, 1994; Steenkamp, 1990) and is also an example of stereotyping, in this case a generalization that all products from a specific country are of a certain quality (Papadopoulos & Heslop, 1993). The COO stereotype can be modified because of actual experience (Jaffe & Nebenzahl, 2006) as it moves from being a halo effect (when the individual has little or no information about the nation's products) to a summary construct, as familiarity derived from product knowledge or usage becomes more salient. At issue here is whether the COO effect can be influenced by the appropriation of a country's culture. Stereotypes are useful in helping people make sense of their environment and establish their expectations of a wide range of factors relevant to life. A challenge shared by many countries is changing an existing COO stereotype without relying upon the individual to change their stereotyped image themselves from a greater experience with products from their country. Social scientists have long been interested in how any stereotype can be modified and the idea of positioning

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Y. Suh et al. / Journal of Business Research 69 (2016) 2721–2730

(Davies & Harré, 1991) can explain how this is achieved. Within this perspective, Van Langenhove and Harré (1995) see stereotyping as a cognitive process, which can be influenced, albeit with difficulty. Individuals reconstruct their existing stereotypes by adopting a new rhetoric when thinking about or speaking about the target. The authors argue that while change can be influenced by a media campaign, this occurs only if the recipient takes the desired change in discourse on board. As an alternative strategy, they propose that the individual should be offered opportunities to reposition their own perceptions such as when exposed to cultural initiatives, the focus here. Individuals can and do update their image of a country and its products in a way which is consistent with such theory (Gurhan-Canli & Maheswaran, 2000). Governments seek to influence the way that their countries, and outputs are perceived by sponsoring cultural initiatives, such as international tours by national ballet companies or exhibitions of a country's art. However, not all such ideas have a positive effect as the ill-fated Cool Britannia campaign by the UK government in the 1990s illustrates. Thus, what influences or explains the success or otherwise of the cultural approach? A number of different perspectives exist to understand how people from one culture might view the products from another due to their appreciation or otherwise of a second country's cultural output. One is of psychic distance, variously defined and at least partly understood in terms of cultural difference, while not being synonymous with it (Evans & Mavondo, 2002). Psychic distance is generally seen as the individual's perception of the differences between their home country and the foreign country, whereas cultural distance uses cultural values to assess the distance between nations, not individuals (Sousa & Bradley, 2010, p. 470–471). Cultural distance can be researched using Hofstede's (1991) framework, which sees cultural differences in terms of individualism, uncertainty avoidance, power distance, masculinity, and long-term orientation. The inherent idea underpinning work on psychic and cultural distance is that any difference from the potential buyer's own culture creates disadvantage for the seller in one form or another because consumers prefer a brand sourced from a country which they see as similar culturally to their own country (Parsons, Ballantine, & Wilkinson, 2012). A focus on the relatively objective criteria of Hofstede contrasts with work on the effects of antagonism toward individual cultures. For example, Anti-Americanism and Francophobia are typical terms that refer to a consistent hostility toward the government, culture, history or people of a country (Amine, 2008). The emotional aspects of what is labeled as cultural relativism is evocatively captured by the slogan such as “Yankee Go Home and Take Me with You” words on a placard held by two members of a crowd demonstrating against American involvement in their own country's internal affairs. On the one hand, another culture can be seen as different and even damaging to the home culture, while simultaneously that same culture can be admired (see also Katzenstein & Keohane, 2007). Of specific relevance here is that cultural relativism can influence product purchase (Parsons et al., 2012). Individual events can produce a change in how a country is viewed, which in turn can spill over onto how its products are stereotyped (Pappu, Quester, & Cooksey, 2007). However, the literature contains less on the positive use and reception of another country's culture irrespective of its similarity to ones' own. Most studies focus on the consequences of negative attitudes toward foreign cultures (e.g., Russell & Russell, 2006) or on the influence of ethnocentrism, defined as the judgment that one's own culture is superior to others, and its negative impact on attitudes to purchasing imported goods (e.g., Sharma, 2011). Cultural appropriation on the other hand refers to the adoption of the culture of another country (Schneider, 2003). A Japanese bride might choose a bridal gown that copies a Western style; the most popular dish in Britain is chicken tikka masala, originally from India. Prior work on the phenomenon, however, is mainly within the fields of ethnography (Rodriquez, 2006) and anthropology (Schneider, 2003).

To summarize relevant theory, positioning offers an explanation of how individuals change the stereotypes they hold. The COO effect is one such stereotype. Both the COO and nation branding literatures recognize the use of a country's culture as a way to change how a country is seen. From positioning theory, when an individual does adopt an element of another country's culture (cultural appropriation), this should influence their COO stereotype and consequently their purchase of products from that country. 2.1. The Hallyu The Korean Wave, or the Hallyu, refers to the popularity of Korean drama, movies, and music and is a term first used in China in the 1990s, thereafter elsewhere in the Far East and most recently wider afield, to label what is seen as a new pattern of cultural flow (Jeon & Yoon, 2005). Examples of Korean cultural exports associated with the Hallyu include K-pop groups such as Girls' Generation, Kara, BoA, and Super Junior; Television drama series such as Winter Sonata, Dae Jang Geum (The Great Jang Geum), and My love from the Star; and films such as Old Boy and Lady Vengeance. While most seem targeted at the younger generation and the mass market, Korean TV series have a wider appeal across both age-groups and social class. The geography of the Hallyu has also changed from its prime focus in Asia via TV and popular music to Korean film being shown in America and Europe and Korean singers of all genres performing in the West. Most recently, the performer Psy has enjoyed considerable success around the world (Kim et al., 2013). Although some Korean companies take the advantage of the Hallyu in promoting their products in the main Hallyu region (e.g., Samsungsponsored Girls' Generation, Kim et al., 2013), studies of the Hallyu are limited to the analysis of demographic profiles and cultural differences and lack an ability to reflect more fundamental and theoretical issues (Son, 2009). Although a few studies (e.g., Kim et al., 2013) identify the role of the Hallyu in its impact on consumers' emotional responses to the image of the home country and its multi-national corporations, few insights exist into how differently people perceive the Hallyu and how such reactions might differentially influence any COO effect. Thus, the first study here aims to identify relevant measures of attitude toward the Hallyu that might define its adoption and differentiate such effects, and the second study investigates the influence of cultural appropriation on the COO effect itself. 3. Study 1: attitudes toward the Hallyu The Q methodology identifies shared ways of thinking about a phenomenon (Kim, 2008, pp. 216–222) by placing attitudes into clusters and is used here to identify measures of attitude toward the Hallyu. Respondents rank statements about the question of concern relative to other statements in a forced, quasi-normal distribution. The approach has a number of strengths, including the use of small samples and an ability to identify consensus among people while clarifying areas of disagreement (Danielson, Tuler, & Webler, 2007). A Q sample consists of representative statements about which respondents can express an opinion (Kim, 2008, pp. 90–94). One hundred thirty statements from newspaper articles, the Internet, scholarly articles, and books that could be thought of as perceptions of the Hallyu form the Q sample here. An expert on the Hallyu and six international students from the Hallyu region checked that the statements were representative in face-to-face interviews. Considerable duplication existed between items, which could be grouped into five sub-categories relating to the following: identity, key success factors, consumer behavior, impact on own country, and impact on Korea's image. A more parsimonious Q sample of thirty-two statements emerged (Table 1), and this list was piloted with five international students from the Hallyu region to ensure the clarity of each statement.

Y. Suh et al. / Journal of Business Research 69 (2016) 2721–2730 Table 1 Q sample. Statements 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32

I think that the Hallyu has been overly commercialized to get financial benefits from my country. I think that the Hallyu creates a positive image of Asia in the Western world. I think that the Hallyu was the main reason why I came to Korea. I prefer the Hallyu because the quality is superior to ours. I believe that the Hallyu has been successful as it is as because of development of information technology such as Internet, MTV and YouTube. I think that the Hallyu is enjoyed mostly by the younger generation. I am getting interested in other Korean things such as food, language and traditional culture, because of the Hallyu. I think that the Hallyu enables me to be more attractive and trendy. I think that most Koreans regard their culture as the best in the world. I think that the Hallyu is just an entertainment business rather than culture. I keep track of up-to-date news about the Hallyu such as concerts, new albums and new dramas. I think that the Hallyu is a hybrid (fusion) of East and West. I think that the Hallyu has distinctive features which are certainly different from Western ones. I think that our culture can be diversified by the Hallyu in a positive way. I feel that the Hallyu has been heavily mass produced with low quality. I think that women are more influenced by the Hallyu than are men. I think that the Hallyu will continue to rise in my country. I think that the Hallyu will become more globalized than now. I think that the Hallyu has influenced me to buy more “made in Korea” products when shopping. I cannot understand why people are crazy about the Hallyu. I admire the Hallyu because the Korean economy has become a major world economy. I prefer the Hallyu because of a lack of variety of entertainment in my own country. I think that the Hallyu facilitates the development of related industries in my own country. I think that Korea spreads and markets its culture aggressively in my country, using its economic power and information technology. I can easily understand and accept the Hallyu because Korean culture is similar to ours. The Hallyu makes a favorable impression of Korea on me. I think that the Hallyu is the most popular cultural trend in Asia. I believe that the Hallyu would not have been successful as it is as without the Korean government's support. I like the Hallyu because entertainers are handsome and beautiful. I am not proud to tell people I love Korean things because of criticism of the Hallyu. I think that our culture is trapped by the Hallyu in a negative way. I feel that I was deceived by the Hallyu, after I personally experienced Korean life.

The Q methodology addresses intra-individual differences because they reflect differences in the importance that a person attributes to those statements (Kim, 1990, p. 45; Kim, 2008, p. 113–118). Thirty people representing nationalities and age-groups likely to be influenced by the Hallyu and mostly studying in Korea agreed to participate in the next stage (Table 2). The respondents had, through their actions, shown some preference toward Korea and include individuals from a number of countries. Using a set of the 32 Q sample items, each on a separate card, participants ranked them in a forced, quasi-normal distribution of nine array positions in order of agreement (from − 4 to + 4). Interviews with each respondent aided an understanding of their decision-making.

3.1. Results The data analysis used the QUANL program, which begins by developing a correlation matrix, followed by principal components factor analysis and varimax rotation. The results suggest that the 32 statements represent four factors (eigenvalues N 1, cumulative variance = 54%). The correlations between the factors are less than .5, indicating that the characteristics of each are mutually exclusive. The reaction of respondents to individual statements is used to allocate them to specific groups. The first group (Type 1) contains eleven, Type 2 five, Type 3 six,

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Table 2 P sample's demographic characteristic and factor weight by type. No

P26 P9 P23 P7 P4 P10 P18 P5 P19 P25 P22 P2 P3 P1 P20 P21 P17 P27 P11 P16 P14 P8 P6 P13 P15 P28 P29 P30 P24 P12

Sex Age Stay Nationality period F F F M F F F F M F F F F F F F M F F F F F F F F F M F F F

26 31 27 25 25 25 26 25 25 26 24 19 19 19 25 25 23 25 23 23 25 24 22 28 25 25 28 24 25 25

19 24 3 30 36 7 12 12 2 24 18 2 2 2 6 12 12 1 9 3 30 7 36 6 3 6 3 10 24 24

Japan Japan China China China Vietnam Vietnam Vietnam Nepal Uzbekistan Uzbekistan Japan Japan Japan Vietnam Vietnam China Thailand Thailand Thailand Thailand Indonesia China Thailand Thailand Thailand Nepal Kazakhstan Russia Saudi Arabia

Factor loading Type1

Type2

Type3

Type4

0.61 0.70 0.69 0.68 0.57 0.55 0.58 0.47 0.52 0.49 0.43 −0.14 0.19 −0.12 0.21 0.10 −0.01 0.21 0.30 −0.17 0.52 0.43 0.15 0.05 −0.23 0.28 0.21 0.02 0.35 0.19

−0.10 −0.08 0.10 −0.01 0.01 0.31 0.32 0.36 −0.12 0.37 0.43 0.80 0.79 0.79 0.45 0.51 −0.08 0.04 0.19 0.24 0.31 0.16 0.07 −0.03 −0.12 0.11 −0.11 −0.12 0.20 −0.28

−0.01 0.10 0.06 0.15 0.24 0.06 −0.00 0.15 0.37 −0.22 −0.06 0.10 −0.04 0.15 0.27 0.40 0.67 0.81 0.73 0.59 0.60 0.55 0.01 0.22 −0.14 −0.15 0.34 0.26 0.07 0.17

0.01 0.12 −0.15 0.22 0.24 0.22 0.33 0.17 0.31 0.33 0.20 −0.13 −0.11 −0.22 0.35 0.50 0.06 0.04 0.11 0.09 0.18 0.43 0.72 0.80 0.66 0.60 0.69 0.45 0.55 0.38

Factor weight 0.85 0.60 1.24 1.38 0.78 0.88 0.71 0.53 1.34 0.65 0.99 2.14 2.27 2.10 0.57 0.68 0.78 1.54 0.95 0.89 1.21 2.28 1.51 0.44 2.27 1.18 0.78 0.93 1.33 0.57

Bold values indicate significance at p b 0.05.

and Type 4 eight respondents, respectively. The demographic characteristics and factor weights for each group are shown in Table 2. A Z-score, the standard score, or the average for each statement helps organize the data array, which illustrates a statement's position in each factor, assisting an understanding of the nature of each perspective. A statement's position on the array and the positioning of adjacent statements help interpret the statement's meaning. In other words, the entire arrangement of statements is taken into consideration during the interpretation process. The analysis of the Q sort data also includes determining those statements that represent consensus among any pair of types that emerge. For example, all the respondents agreed that one of the key success factors for the Hallyu is the development of information technology such as the Internet. They also concluded that the Hallyu did not have a negative impact on their own culture. The following section explains the characteristics of each group and their different perspectives on the Hallyu. 3.1.1. Type 1: the economic perspective Respondents within Type 1 have a more economic, businessoriented attitude toward the Hallyu. They focus on the positive impact of the cultural wave in their own countries (Table 3). This is the largest group of respondents and contains various nationalities (Table 2). A strong characteristic is valuing the commercial function of the Hallyu, for example, the distinguishing statement 23 (“I think that the Hallyu facilitates the development of related industries in my country”; Zscore 1.95). Those who subscribe to this perspective view the Hallyu from a rational and national point of view. The personal interview with respondent P7 helps to define this perspective (Table 2, factor weight 1.38): “The reason why I came to Korea is to … learn a sense of systematic procedure of Korean companies. Since the Hallyu became the leading trend in my country, I have seen that many Korean companies were set up and products were imported into my country. Obviously, they have systematic procedure, so that

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Table 3 Type 1: distinguishing Q statements for the economic perspective. No.

Statements

Z-scores⁎

Array position

23 14 4 7 10 3

I think that the Hallyu facilitates the development of related industries in my country. I think that our culture can be diversified by the Hallyu in a positive way. I prefer the Hallyu because the quality is superior to ours. I am getting interested in other Korean things such as food, language and traditional culture, because of the Hallyu. I think that the Hallyu is just an entertainment business rather than culture. I think that the Hallyu was the main reason why I came to Korea.

1.95 0.63 0.59 −0.45 −1.56 −2.46

+3 +2 +1 −1 −3 −4

⁎ Z-score for type 1—average Z-score for other types (≥￨ ± 1.0￨).

they could get success in my country. Based on performance in their national market, the development of related industries in my country is facilitated. Some people view the Hallyu in a negative way, attacking our culture and industries, but I believe that we are seeing a positive influence from the Hallyu.” This group share the belief that the Hallyu enriches their own culture as evidenced by the distinguishing statement 4 (“I think that our culture can be diversified by the Hallyu in a positive way”; Z-score .63). Clearly, the group evaluate the Hallyu positively from an objective perspective, for example, distinguishing statement (“I prefer the Hallyu because the quality is superior to ours”; Z-score .59). However, the group are somewhat passive recipients of the Hallyu. Most of their answers to the statement “I am getting interested in other Korean things such as food, language and traditional culture, because of the Hallyu” are negative (Table 3). 3.1.2. Type 2: cultural appropriators Type 2 is the group of most interest here, as they appear to have adopted the cultural initiative. They are more involved in the Hallyu, even to the point of acknowledging that the Hallyu was important to their decision to come to Korea (Table 4). The group includes young females from Japan and Vietnam (Table 2) often associated with being enthusiastic about Korean drama and K-pop. Cultural appropriation implies the active adoption of another country's culture (Schneider, 2003), and members of this group are active recipients of the Hallyu. Their distinctive characteristic is an emotional preference for the Hallyu, affecting their behavior and evidenced through statement 3 (“I think that the Hallyu was the main reason why I came to Korea”; Z-score 1.64) and the distinguishing statement 11 (“I keep track of up-to-date news about the Hallyu such as concerts, new albums and new dramas”; Z-score .54). P3, a respondent representative of this group (Table 2, factor weight 2.27) explained, “I am a K-pop fanatic, especially the group CN Blue. I have been a member of their fan club since they launched their first album in my country. I decided to go to Korea to become closer to them. One reason why I am learning the Korean language is that I want

to communicate with them more effectively. While I am staying in Korea, I am also getting interested in other Korean things such as Korean food and culture.” The group show an interest in Korean products other than the Hallyu, as evidenced in statement 7 (“I am getting interested in other Korean things such as food, language and traditional culture, because of the Hallyu”; Z-score 1.58). They claim a more active involvement in the Hallyu, reacting negatively to statement 30 (“I am not proud to tell people I love Korean things if they criticize the Hallyu”; Z–score −2.18). Another distinctive feature of the cultural appropriators is that they tend to identify with Korean entertainers, for example, statement 8 (“I feel that the Hallyu enables me to be more attractive and trendy”; Z-score .95). One Vietnamese respondent had named her daughter after a famous Korean movie star. Unlike the other groups, the cultural appropriators are involved with the Hallyu and view the Hallyu from a cultural perspective, rather than from a political or economic stance. 3.1.3. Type 3: the ethnocentric perspective The next group reflect the ethnocentric perspective that existing literature identifies (Amine, 2008). They perceive the Hallyu as a temporary phenomenon (Table 5). Most are from Thailand and Indonesia and a feature is that they see the Hallyu as representing less quality than their own culture, for example, statement 4 (“I prefer the Hallyu because the quality is superior to ours”; Z-score − 1.70). They do not see much positive value in the Hallyu, also rating distinguishing statement 23 negatively (“I think that the Hallyu facilitates the development of related industries in my country”; Z-score −.94). Their views are typical of the ethnocentric, seeing their own culture as superior but challenged by the new (Russell & Russell, 2006; Sharma, 2011). P8 who helped to define this perspective (Table 2, factor weight 2.28) explained: “Personally, in its initial stages I enjoyed the Hallyu but now I do not. I feel sometimes that the Hallyu cheats my country. When I see the Hallyu fanatics, mostly young teenagers, I think they are stupid. When Korean entertainers say I love you, it just means that I love your money! I believe that our culture is being destroyed somewhat by the Hallyu. For me, to be a Hallyu fanatic is unpatriotic. It is just a fad, the same as the Japanese Wave and the Hong Kong Wave.”

Table 4 Type 2: distinguishing Q statements for the cultural appropriators. No.

Statements

Z-scores⁎

Array position

3 7 8 11 30 2 12 6 28

I think that the Hallyu was the main reason why I came to Korea. I am getting interested in other Korean things such as food, language and traditional culture, because of the Hallyu. I feel that the Hallyu enables me to be more attractive and trendy. I keep track of up-to-date news about the Hallyu such as concerts, new albums and new dramas. I am not proud to tell people I love Korean things because of their criticism of the Hallyu. I think that the Hallyu creates a positive image of Asia in the Western world. I think that the Hallyu is a hybrid (fusion) of East and West. I think that the Hallyu is enjoyed mostly by the young generation. I believe that the Hallyu would not have been successful as it is as without the Korean government's support.

1.64 1.58 0.95 0.54 −0.27 −0.58 −1.58 −1.80 −2.19

+4 +3 +2 +1 −1 −1 −3 −3 −4



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Table 5 Type 3: distinguishing Q statements for the ethnocentric perspective. No.

Statements

Z-scores⁎

Array position

29 19 17 18 23 4

I like the Hallyu because entertainers are handsome and beautiful. I think that the Hallyu has influenced me to buy more “made in Korea” products when shopping. I think that the Hallyu will continue to rise in my country. I think that the Hallyu will be more globalized than now. I think that the Hallyu facilitates the development of related industries in my country. I prefer the Hallyu because the quality is superior to ours.

1.85 0.95 −0.02 −0.56 −0.94 −1.70

+4 +2 0 −1 −2 −3


3.1.4. Type 4: the global perspective These respondents take a more global perspective toward the Hallyu (Table 6). The group include respondents from Russia and Saudi Arabia (Table 2), and their distinctive feature is a focus on the success of the Hallyu, which they attribute to the systematic support of the Korean government, as shown in statement 28 (“I believe that the Hallyu would not have been successful as it is without the Korean government's support”; Z-score 1.74). They also tend to highlight the economic power of Korea in Asia, admiring Korea's fast growing economy as their response to statement 21 shows (“I admire the Hallyu because the Korean economy has become a major world economy”; Z-score .37). P24, who helped to define this type (Table 2, factor weight 1.33), explained, “Before I came to Korea, I did not know much about the Hallyu. Although there were Korean dramas and products, I did not see the fanaticism of the Hallyu in my country. However, having been in Korea for two years, I have been asked to send news about the Hallyu by my friends at home. In my country, the Hallyu is iconizing the Korean image to the public. I admire the efforts of the Korean government to make a success of the Hallyu overseas.” The group are however passive recipients of the Hallyu. They do not follow any news about the Hallyu, as evidenced by their responses to statement 11 (“I keep track of up-to-date news about the Hallyu such as concerts, new albums and new dramas”; Z-score −1.81) and view the Hallyu from a global rather than from an individual point of view. In summary, only the ethnocentric group reflects prior work on COO effects. The perspectives of the other three groups do not receive as much if any attention in that literature. Those in the economic and global perspective groups view the Hallyu from a rational perspective. Those in the group labeled as typifying cultural appropriation are more emotionally tied to the Hallyu and, far more than other types, they want to associate themselves with a cultural movement they admire. Such attitudes differ from those defining what is labeled as affinity toward a country (Oberecker et al., 2008) as they are specific to a cultural trend while country affinity is more of a summary construct identifying an attitude toward a country as a whole. In the next study, the aim is to test whether cultural appropriation, using the items from the first study, can influence the COO effect and purchase intention.

4. Study 2: the influence of cultural appropriation Some see the influence of a country's imagery on the image and purchase intention of products from that country as the effects of a summary construct, in other words as a disposition toward that country and everything associated with that influence (Jaffe & Nebenzahl, 2001; Oberecker et al., 2008). Others differentiate between different aspects of country attitude (Bandyopadhyay, Wongtada, & Rice, 2011). Following the latter approach cultural appropriation is separate from the COO effect itself and acts primarily as an influence upon the COO (see also Katzenstein & Keohane, 2007). These attitudes include those toward the country itself and its people as well as its products, recognizing the impact of cultural relativism (e.g., Amine, 2008) as well as toward its outputs in general (recognizing the mainstream of COO research, e.g., Roth & Romeo, 1992). Such a position is consistent with the broader literature on stereotyping and on the theory of how stereotypes might change (Davies & Harré, 1991; Van Langenhove & Harré, 1995). The COO effect is a stereotype image (e.g., Papadopoulos & Heslop, 1993) and a cultural initiative can provide an opportunity for the individual to reposition that image. Specifically, if such an initiative is appropriated, then the stereotype change will be a positive one, implying: H1. The greater the appropriation of a foreign culture, the stronger are attitudes toward (a) the foreign country, (b) its companies, and (c) its products in general. While the COO effect often influences perceptions of product quality, ultimately its most important influence is on purchase intentions (Verlegh & Steenkamp, 1999). The influence of cultural appropriation on purchase intentions is likely to be by changing attitudes toward the country, their companies and products in general, in other words via the COO effect and by influencing the COO. The influence of stereotyped product associations on purchase intentions is well established in the COO literature as two meta-analyses demonstrate (Peterson & Jolibert, 1995; Verlegh & Steenkamp, 1999); specifically, positive attitudes toward a country and a company influence purchase intentions (Amine, 2008; Katzenstein & Keohane, 2007; Nis, 1996; Oberecker et al., 2008). Hence,

Table 6 Type 4: distinguishing Q statements for the global perspective. No.

Statements

Z-scores⁎

Array position

28 27 6 10 2 21 16 29 19 11

I believe that the Hallyu would not have been successful as it is as without the Korean government's support. I think that the Hallyu is the most popular cultural trend in Asia. I think that the Hallyu is enjoyed mostly by the young generation. I think that the Hallyu is just an entertainment business rather than culture. I think that the Hallyu creates a positive image of Asia in the Western world. I admire the Hallyu because the Korean economy has become a major world economy. I think that women are more influenced by the Hallyu than men are. I like the Hallyu because entertainers are handsome and beautiful. I think that the Hallyu has influenced me to buy more “made in Korea” products when shopping. I keep track of up-to-date news about the Hallyu such as concerts, new albums and new dramas.

1.74 1.63 1.60 1.34 1.15 0.37 0.34 −1.08 −1.73 −1.81

+4 +3 +3 +2 +2 +1 0 −2 −3 −4


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Fig. 1. A conceptual model for Study 2.

H2. The greater are attitudes toward (a) a foreign country, (b) its companies, and (c) its products in general, the stronger will be purchase intentions for specific products from that country. However, the COO effect can vary with product type. Roth and Romeo (1992) find that the COO effect is more relevant for “performance products” such as cars or consumer electronics and less relevant for “personal products” such as cosmetics or designer clothes. This may be due to the link between the COO effect and the level of economic development in a country, such that products with a high technological content are more susceptible to the COO stereotype. Consequently, respondents in Study 2 considered two products, one from each category, a flat screen television set to represent a performance product and skin cream to represent a personal product (COO effects influence both product types; Nagashima, 1970; Okechuku, 1994). As prior work shows that COO effects are more pronounced when explicit products are used as stimuli (Peterson & Jolibert, 1995) and to give the survey greater face validity, the study uses specific Korean brands, Samsung as a leading player in the flat screen television market both inside and outside of Korea and Sulwhasoo as the leading Korean cosmetics brand with a strong presence in other Asian markets. From Roth and Romeo (1992), the influence of the Hallyu will vary between these two product types, leading to a final hypothesis: H3. The product type (performance versus personal) influences the COO effect on purchase intentions, and accordingly, the relationship between cultural appropriation and purchase intentions via the COO effect varies between product types. The relationship will be stronger for performance products than for personal products. Fig. 1 shows the conceptual model from the hypothesized relationships. The model implies that cultural appropriation influences purchase intentions for products with their origins in the same country via the COO effect. The COO effect in turn has three elements, attitude toward the country and its people, attitude toward products in general in terms of their quality and related attributes from that country and attitude toward companies from that country. A later analysis also assesses the possibility of a direct effect from cultural appropriation upon purchase intentions. 4.1. Research design The respondents to study 2 were 218 foreign nationals representing 27 different nationalities and living temporarily in Korea. Most were students at an international business school, and all were likely to be both exposed to and knowledgeable about the Hallyu. The main nationalities (those who represent more than 5% of the sample) are Chinese (39%), Vietnamese (9.6%), Kazakhstani (7.3%), Indonesian (6.4%), and Japanese (5.5%). Their average age is 22.9 years old, and their average length of stay in Korea is 20.2 months; 61.5% are female. The response rate of those approached for their cooperation was high and above 90%.

The measures for the five latent constructs are listed in the Appendix A. The cultural appropriation measure uses the four positively valenced items identifying cultural appropriation in Study 1 (Table 5); the measure for attitude toward the country is taken from Parameswaran and Pisharodi (1994); the measure for attitudes toward Korean companies from Boulding and Amna (1993); that for attitude toward products uses four criteria that prior work shows to be relevant to the COO effect—value for money (Bandyopadhyay et al., 2011; Johansson, Ronkainen, & Czinkota, 1994; Klein, 2002), design (Bandyopadhyay et al., 2011), innovation, and technology (Bandyopadhyay et al., 2011; Klein, 2002); and finally the measure for purchase intentions for the specific products (the Samsung TV and Sulwhasoo skin cream) is adapted from Zeithaml, Berry, and Parasuraman (1996). To minimize any potential common methods variance (CMV) effects, the survey instrument included questions about products and countries other than the target ones but in the same category (e.g., a Sony TV set made in Japan, Estée Lauder skin cream from France) to distract respondents between the questions about the Hallyu, those about Korea and those about the focal products for the study. All measurement items were assessed using a 5-point Likert scale, but the anchor descriptions were varied, most using from 1 (strongly disagree) to 5 (strongly agree) but for the COO evaluations, using 1(very low) to 5 (very high). Layouts of products and the order of measures also varied. Color pictures were included of actual products to ensure respondents were clear on the task they were being asked to undertake, and they were told what the typical budget would be to make a purchase. Second, post hoc analyses to test for any CMV effects used Harman's one-factor test and a common marker variable test. In the former, neither the one-factor analysis nor the principal component analysis with Table 7 Results of confirmatory factor analysis. Construct

Item

Standardized factor loadings

Cronbach's alpha

Composite reliabilities

AVE

Cultural appropriation

CA1 CA2 CA3 CA4 Country1 Country2 Country3 Company1 Company2 Company3 Product1 Product2 Product3 Product4 PI1 PI2

.812 .762 .799 .834 .544 .960 .926 .850 .871 .672 .547 .576 .850 .740 .835 .855

.877

.822

.536

.834

.867

.695

.826

.809

.589

.766

.808

.520

.833

.787

.714

Attitude toward a country Attitude toward a company Attitude toward a product

Purchase intentions

Note: χ2 = 156.858, p = .000, χ2/df = 1.669, NFI = .915, TLI = .954, CFI = .964, RMSEA = .056.


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Notes: χ2=468.053, p=.000, χ2/df=2.413, NFI=.872, TLI=.900, CFI=.920, RMSEA=.058; *p