Local vs International Brand: Customer perception and brand loyalty

Authors

  • Musaddag Elrayah Department of Management, School of Business, King Faisal University, Al-Ahsa 31982, Saudi Arabia.
  • Shishi Kumar Piaralal Director, Open University Malaysia, Menara OUM, Block C, Kelana Centre Point, Kelana Jaya, Malaysia.

Keywords:

Brand localness, Brand globalness, Customer perception, Brand loyalty, Internationalization.

Abstract

The purpose of this research was to examine the shoe industry in the Kingdom of Saudi Arabia and how brand localness and globalness affect customer loyalty. The study's overarching goal is to learn, in a culturally varied market, how these brand characteristics influence consumer actions and preferences via the medium of customer perception. In all, 239 Saudi Arabians who bought shoes from different brands took part in the survey. Data were gathered by structured questionnaires using validated scales that were derived from prior research. To examine the connections between brand traits (brand localness, brand globalness), customer perception, and loyalty dimensions, the statistical software ADANCO enabled structural equation modelling (SEM).Brand localness and globalness both have good impacts on customer loyalty, according to the results. Customer perception has a crucial role in influencing consumer attitudes and behaviours towards footwear businesses, as it mediates these interactions. Brands that deliberately use their local identity or global reputation are able to increase consumer loyalty, according to the study, since their customers regard them as genuine, relevant to their culture, and consistently providing high-quality products.This study empirically validates brand qualities' effects on consumer loyalty in a specific cultural environment, advancing theory. Aligning with local cultural values and global norms helps improve brand strategy, strengthening consumer ties and competitive advantage in varied markets. The study's findings can help brand managers prosper in globalised consumer marketplaces.

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Published

2024-08-15