a cross-cultural study of consumer e. china and us

Journal of International Consumer Marketing, 25:80–93, 2013Copyright c© Taylor & Francis Group, LLCISSN: 0896-1530 print / 1528-7068 onlineDOI: 10.1080/08961530.2013.759043

A Cross-Cultural Study of Consumer Ethnocentrismbetween China and the U.S.

Wan-Hsiu (Sunny) TsaiWei-Na Lee

Young-A Song

ABSTRACT. As consumers’ ethnocentric tendencies heighten in intensity when a country isthreatened, this cross-cultural comparison study aims to understand how the recent global financial crisismay have influenced the phenomenon of consumer ethnocentrism (CE). This study compares the levelsof CE in the U.S. and China and examines patriotism, nationalism, internationalism, and demographicfactors as antecedents of CE in order to understand how consumers’ ethnocentric tendencies vary acrosscultures. Results indicate that American consumers are more ethnocentric than Chinese consumers,while nationalism has the strongest impact on CE in both countries.

KEYWORDS. Consumer ethnocentrism, patriotism, nationalism, internationalism

With the escalating liberalization of globaltrade, the consumer markets of both developedWestern countries and emerging markets in theAsia-Pacific region and the Middle East aresaturated with products manufactured in foreigncountries (Kaynak and Kara 2002). Ger (1999,65) observes that “the differentiating impact ofglobalization strengthens or reactivates national,ethnic, and communal identities.” Changes in theglobal marketplace invariably exert a significantimpact on consumers’ sentiments toward theircountry and, by extension, domestically man-ufactured products (Kosterman and Feshbach1989). Such sentiments have been labeledmany things, such as patriotism, ethnocentrism,nationalism, and even xenophobia. Research

Wan-Hsiu (Sunny) Tsai, PhD, is Assistant Professor in the School of Communication at the University ofMiami, Coral Gables, Florida, USA. Wei-Na Lee, PhD, is Professor in and Young-A Song is affiliated withthe College of Communication at the University of Texas at Austin, Austin, Texas, USA.

Address correspondence to Wan-Hsiu (Sunny) Tsai, PhD, School of Communication, University of Miami,P.O. Box 248127, Coral Gables, FL 33124-2105, USA. E-mail: [email protected]

shows that ethnocentrism and nationalism tendto heighten in intensity when a country isthreatened or under attack (Sharma, Shimp,and Shin 1995), influencing peoples’ views onbroader social issues (Granzin and Painter 2001)as well as their consumption behaviors. Notsurprisingly, in the midst of the recent globalfinancial tsunami many nations have reportedlyturned to protectionism (Chan, Chan, and Leung2010), and consumers have been encouragedto purchase domestically manufactured products(Hamin and Elliot 2006).

Since 1992 there has been a “buy-American”movement in the United States led by theAmerican automobile industry, evidenced by pa-triotic advertising implying that vehicle choice

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is a manifestation of patriotism (Serafin 1992).In the aftermath of September 11th, the notion ofpatriotism through consumer activities was fur-ther reinforced not only by political invocationof patriotic spending but also by marketers’ useof patriotic advertising. For example, GeneralMotors’ “Keep America Rolling” campaigninstilled the idea that it is one’s patriotic dutyto support American brands and contribute todomestic economy. The patriotic fervor amongAmerican consumers was also evidenced in a2001 survey, which reported that 65% of con-sumers agreed that “Made in America” matters,and firms should clearly identify “American-made” products (Whelan 2001). Not surpris-ingly, the patriotism theme has been incorpo-rated into marketers’ long-term branding. Forinstance, in 2006, Ford launched a patriotic cam-paign based on the belief that “Americans reallydo want to buy American brands” (Sapsfordand Shirouzu 2006). Since 2008, in responseto the slowing economy following the financialcrisis, the trend of patriotic campaign has gainedsteam (Elliott 2012), so much so that theBelgian-owned Budweiser launched a specialpromotion of American flag-styled cans in 2011,reinforcing its longstanding, patriotism-infusedmarketing messages (Schultz 2011). Anotherhighly publicized example is Chrysler’s 2011“Imported from Detroit” Super Bowl ad, whichhailed the virtues of the Detroit-based auto com-pany to restore Americans’ sense of nationalisticpride in domestically produced goods (Condon2011). In addition, sites like madeinusa.comand howtobuyamerican.com have popped upon the Web to educate American consumersabout patriotic spending. They call on consumersto help create jobs, revitalize the local man-ufacturing industry, and rescue the economyby purchasing domestic products. In 2011,President Obama in his jobs speech reaffirmedthe importance of keeping manufacturing athome and of being proud of “Made in America”products.

Such advocacy for patriotic consumption isnot unique to the U.S. For example, as Chinagrapples with the economic turndown of itsWestern export markets, its political leadersare hoping to stimulate domestic consumptionto drive the national economy. In 2009, the

Chinese government issued a “buy China” orderas part of its fiscal stimulus package (Rampell2009). In addition, the Chinese government hasencouraged or required international businessesto include local Chinese businesses and hire localtalents when entering the Chinese market. Strictregulations and state support were designed tohelp Chinese businesses in designated industries,including technology and financial services, toestablish Chinese leadership (Schneider 2011).However, there is little research addressingthe phenomenon of patriotic consumption intransitional economies like China (Puzakova,Kwak, and Andras 2010).

In recognition of the augmented competi-tion in the global marketplace, research hasinvestigated the phenomenon of patriotic pur-chase through exploring the more encompassingconstruct of consumer ethnocentrism (CE)—ageneral predisposition regarding the appropri-ateness of purchasing foreign-made products(Shimp and Sharma 1987). As people’s dispo-sitions toward their country ebb and flow withchanges in the broader economic and politicalclimate (Kosterman and Feshbach 1989), theCE phenomenon is also subject to change.Many aspects about CE remain unclear, par-ticularly whether there are differences in con-sumers’ dispositions toward domestic versusforeign products in both developed and de-veloping countries in the current climate ofglobal economic slowdown. It is also unknownwhat factors influence consumers’ patriotic pur-chase in different cultures (Pereira, Hsu, andKundu 2002).

This cross-cultural comparison study thus ismotivated to examine the phenomenon of CEin the two dominant economies in the globalmarket—the U.S. and China. Specifically, thisstudy compares the levels of and antecedents toCE in the U.S. and China in order to understandhow consumers’ ethnocentric tendencies varyacross cultures. As CE and its antecedentsare likely to differ by culture, these aspectsare particularly relevant to global marketers.An updated examination of the trends in CEcan provide valuable managerial implicationsto facilitate the crafting of effective marketingcampaigns appropriate for the local culture andeconomic environment.

82 JOURNAL OF INTERNATIONAL CONSUMER MARKETING

THEORETICAL FRAMEWORK

Ethnocentrism refers to the proclivity to-ward rejecting out-groups who are culturallydissimilar while blindly accepting those who areculturally alike (Sumner 1906). Consumer eth-nocentrism is an application of the more generalconcept of ethnocentrism in the economic con-text. It was defined by Shimp and Sharma (1987,280) as “the beliefs held by the consumersabout the appropriateness, indeed morality, ofpurchasing foreign-made products.” From theperspective of an ethnocentric consumer, pur-chasing foreign products is detrimental to theeconomic health of the home country and thusis undesirable, unpatriotic, and even immoral(Klein 2002). Highly ethnocentric consumersfavor domestic products over imports. For in-stance, Canadian consumers reported a willing-ness to purchase Canadian products that werehigher in price but equal in quality to comparableimports (Wall and Heslop 1986). In contrast,less ethnocentric consumers tend to evaluateproducts based on merits and attributes withoutfocusing on the country of manufacture (Shimpand Sharma 1987).

Shimp and Sharma (1987) also developedthe CETSCALE to assess consumers’ ethno-centric tendencies in purchase decisions. Sincethe introduction of their original work, theconstruct of CE and the measurement scale havebeen tested and validated in various countries,including the United States, Russia, China (e.g.,Lee, Hong and Lee 2003; Oh and Zhang 2010;Puzakova et al. 2010), suggesting the utility ofthe CETSCALE in evaluating consumers’ pur-chase for homegrown versus foreign products.

Empirical studies thus far have identified thatin a specific purchase decision-making situation,product involvement, perceived product neces-sity, and the extent to which imports constitutean alarming threat to the consumer’s economicwelfare as potential moderators of ethnocentrism(Sharma et al. 1995). In particular, CE tends tointensify when a threat to domestic economy isperceived (Crawford and Lamb 1981). Sharmaand colleagues (1995) explained that

When any country considers itself underattack or threatened by competition from

outsiders, “foreignness” takes on negativemeanings, and nationalism and ethnocen-trism increase. The fear of losing jobs(either one’s own or a related person’s) mayinfluence consumers’ reactions to imports.(p. 29)

Herche (1992) further asserted that for pre-dicting consumers’ acquisition of importedproducts, CE is superior to demographic andmarketing mix variables as a segmentationconcept. Given the recent worldwide economicturmoil, it is timely to update our understandingof CE in different cultural contexts and helpinternational advertisers to better communicatewith consumers in different countries.

Nationalism, Patriotism, andInternationalism

Shankarmahesh (2006) identified four cate-gories of antecedents to consumer ethnocen-trism: sociopsychological, political, economic,and demographic. To better elucidate the com-plicated feelings individuals hold toward his/herhome and foreign countries, Balabanis andcolleagues (2001) theorized and tested nation-alism, patriotism, and internationalism as dis-tinct constructs. Specifically, patriotism is “acommitment—a readiness to sacrifice for thenation—while nationalism is commitment plusexclusion of others, a readiness to sacrificebolstered by hostility toward others” (Druckman1994, 47–48). In other words, patriotism refersto deep feelings of attachment and loyalty toone’s own country without hostility toward othernations. In contrast, nationalism encompassesbeliefs in national superiority and dominanceand is associated with a biased deprecation ofother nations (Balabanis et al. 2001).

Internationalism is another distinct dimen-sion that focuses on one’s concern for the welfareof other nations and empathy for the peopleof other countries. Different from Sharma andcolleagues’ (1995) conceptualization of culturalopenness, which implies passive exposure toor not rejecting foreign cultural influences,internationalism entails a more active attitudeof embracing “international sharing and wel-fare” (Kosterman and Feshbach 1989, 271).


Internationalists are more likely to considerthe purchase of imported products as a meansof supporting international welfare and aidingthe workers of other nations. Kosterman andFeshbach (1989) reported that individuals whoexhibit a high level of internationalism do notnecessarily score low on nationalism, lendingsupport to the necessity of examining patriotism,nationalism, and internationalism as discretedimensions.

Empirical evidence further indicates that theinfluence of patriotism, nationalism, and inter-nationalism on CE tends to be culture specific.For instance, patriotism stemming from loyaltyand commitment to their country was foundto be the most important predictor for ethno-centrism among Turkish consumers (Balabaniset al. 2001), while American and Czech con-sumers’ ethnocentric tendencies generally resultfrom nationalistic perceptions of the country’ssupremacy and power (Lee et al. 2003).

Consumer Ethnocentrism in Chinaand the United States

China has recently emerged as the world’ssecond-largest economy and is predicted tosurpass the U.S. in the near future (Shadbolt2011). Prior studies reported a low level ofethnocentrism among Chinese consumers, prob-ably due to local consumers’ curiosity forforeign goods during the initial stage of aliberalized economy (Oh and Zhang 2010).However, as the country rising to power and inneed of international recognition, the Chinesegovernment has actively promoted nationalismthrough such spectacular world events as the2008 Olympic Games and the 2009 World Expo,as well as various grand state-led projects. Incontrast, patriotism was advocated in the U.S. ina different social atmosphere. A recent reportfrom the International Monetary Fund (IMF)suggests that the age of American economicsuperiority may be coming to an end (Shadbolt2011). While numerous countries have sufferedsetbacks due to the global financial crisis, ithas been argued that the U.S. was the mostimpacted (Kennedy 2009). The decreasing valueof the American dollar, the country’s substantialtrade deficit, and the 2011 downgrade of the

American government’s credit rating have led tospeculations that the American dominance is onthe wane. Contemporary discourse on Americanpatriotism has therefore focused on consumerpatriotism (i.e., “buying American”). A 2010Gallup poll showed that 36% of prospectivecar buyers said they would only consider U.S.car brands (Saad 2010). While China and theU.S. are competing for leadership in the worldeconomy, they remain deeply intertwined ina complicated and codependent relationship.The U.S. is China’s primary trading partnerand market for exports. In addition, the U.S.is China’s fourth-largest import supplier, andChina is the biggest purchaser of U.S. Treasurysecurities (CBS News 2011).

Lee and colleagues (2003) reported thatnationalism is the dominant factor drivingAmerican consumers’ ethnocentric tendencies.The prominence of nationalism may be areflection of American-made products havinghistorically served as the reference againstwhich American consumers evaluated importedcommodities, which were often consideredinferior and undesirable (Shimp and Sharma1987). However, a recent qualitative study ex-ploring consumers’ interpretations of patrioticconsumption revealed a potential shift towardpatriotism in American consumers’ ethnocentrictendencies (Tsai 2010). The study participantspredominantly explained their purchase of do-mestic products as a way to assist vulnerableAmerican workers whose employment is en-dangered by imports and corporate outsourcinginstead of arguing for the superior quality of, andby extension nationalistic pride in, American-made products.

Indeed, political commentaries and mediacoverage (e.g., World News with Diane Sawyer“Made in America” segment; http://abcnews.go.com/WN/MadeInAmerica/) on corporateoutsourcing and trade deficit constantly remindAmerican consumers of their responsibility tochoose domestically made goods. This resur-gence of the “buy-domestic” invocation canfurther be observed in President Obama’s “BuyAmerican” provision in the economic stimulusbill and in a Michigan mayor’s decision torequest city officials to buy American cars tosupport the city’s most important industry and,


in turn, benefit taxpayers (Ransom 2008). There-fore, it appears that the recent “buy-American”discourse emphasizes the patriotic duty to assistAmerican workers and industries instead ofreaffirming the superior quality of domesticproducts. Americans’ ethnocentric tendenciesmay also be impacted by the dramatic changesin the domestic marketplace as a result of theacquisition of several classic American brandsby foreign companies. For instance, Lenovofrom China acquired IBM’s PC division in1995, the giant Belgian brewer InBev tookover Anheuser-Busch in 2008, and GM soldHUMMER to a Chinese company in 2009.American consumers’ awareness of such corpo-rate takeovers may create a sense of economicvulnerability. These sentiments may have beenmagnified during the recent economic turmoil.Consequently, a reexamination of the influenceof nationalism, based on national pride andsuperiority, and patriotism, based on loyalty andattachment, on American consumers’ disposi-tions toward domestic versus foreign productsat this juncture is particularly valuable.

While the construct of CE has been appliedin the Asian context (e.g., Klein, Ettenson,and Krishnan 2006; Phau and Chan 2003),its antecedents have not been investigated in-depth. A noted exception is Ishii’s (2009) study,which investigated the influence of patriotism,exclusionism (or xenophobic nationalism), andinternationalism on CE in China during atime of strong animosity against Japan andJapanese products. Ishii reported that patriotismwas positively related to Chinese CE whileexclusionism was not. On the other hand, it isimportant to note that “brand nationalism” hasrecently emerged in China (Crocker and Tay2004). After more than a decade of cravingfor Western commodities, there is a resurrec-tion of pride in the Chinese culture. Chineseconsumers are beginning to develop trust andpride in products made in China (Prasso 2007).In addition, with the increasing number ofChinese enterprises that have acquired foreignfirms (e.g., Lenovo) or have become interna-tional brands (e.g., Haier) (Parker, Haytki, andHermans 2011), nationalistic pride may becomean important reason for Chinese consumers to fa-vor domestic products. Indeed, domestic brands

in China are becoming more competitive andgaining market share (Ewing et al. 2002). SinceChina is going through ideological transition asa consequence of market liberalization and rapideconomic growth, it is imperative to monitor thephenomenon of CE in China and understand itsdriving forces.

Research Question and Hypotheses

The intensity of CE is related to variousfactors. Research suggests that the level of CEtends to be higher in developed countries such asthe U.S. than in emerging economies like Russiaand China (Durvasula, Andrews, and Neteeyer1997). Shankarmahesh (2006) indicates thatduring the lower stages of development orthe early stage of transitioning from a state-controlled economy to a market economy, thelevel of CE tends to be lower because foreignproducts may be preferred due to better qualityand novelty (Puzakova et al. 2010). However, asa country transitions to the intermediate stageof economic development, nationalistic motivesmay become dominant (Puzakova et al. 2010),which is particularly relevant to the phenomenonof CE in China. Furthermore, CE tends toamplify when consumers perceive an economicthreat posed by imported goods and corporateoutsourcing activities (Durvasula and Lysonski2009). As the American economy weakenswith declining consumer confidence and China’seconomy grows with an expanding consumermarket, we posit that the level of CE shoulddiffer between U.S. and China. Specifically, wehypothesize the following:

H1: American consumers are more ethnocen-tric than Chinese consumers.

In addition to psychological factors suchas patriotism, nationalism, and internationalism(Balabanis et al. 2001), demographic variablesmay also affect consumer ethnocentric tenden-cies (Sharma et al. 1995). Prior studies havesuggested that income and social class aredeterminants of CE. In particular, consumerswith lower income and education were foundto be more ethnocentric (Balabanis 2001).With regard to age and gender, scholars have


suggested that older and female consumersare more likely to be ethnocentric becausethey are believed to be more conservative andpatriotic (Guneren and Ozturen 2008). However,contradictory empirical evidence suggests thatthe influence of demographic variables may beculture specific. For instance, Upadhyay andSingh (2006) reported that Indian consumers’ethnocentrism is not related to their age, gender,or educational level. Therefore, demographicvariables should be included as antecedents ofconsumer ethnocentrism in a cross-cultural com-parison. Based on the literature, the followinghypothesis is proposed:

H2: Nationalism, patriotism, and internation-alism, gender, age, income, and educationlevel affect consumer ethnocentrism.

Specifically, the following hypotheses will betested:

H2a: Patriotism positively affects consumerethnocentrism.

H2b: Nationalism positively affects consumerethnocentrism.

H2c: Internationalism negatively affects con-sumer ethnocentrism.

H2d: Females are more ethnocentric thanmales.

H2e: Age positively affects consumer ethno-centrism.

H2f: Income level negatively affects con-sumer ethnocentrism.

H2g: Level of education negatively affectsconsumer ethnocentrism

In addition, to understand the antecedents ofCE in different cultures, we seek to the answerthe following research question:

RQ: What are the relative roles of antecedents(patriotism, nationalism, internationalism,age, gender, income, education) in deter-mining the level of consumer ethnocen-trism in each country?

METHODOLOGY

To test the hypotheses, Web-based surveyswere conducted using nonstudent adults drawnfrom online consumer panels in the U.S. and inChina between April and June, 2011. Consid-ering that the purpose of the study is to take asnapshot of consumers’ ethnocentric tendencies,the wide reach and quick distribution of aWeb-based survey was deemed appropriate (Leeet al. 2003). The consumer panels consistedof Web users of diverse demographic charac-teristics and were an opt-in, informed-consent,privacy-protected pool of consumers recruitedby an international marketing research firm(Survey Sampling, Inc.). The panelists agreedto participate in studies at regular intervals overa period of time and were compensated withvarious rewards.

The study questionnaire was developed inEnglish and translated into Simplified Chineseby bilingual native Chinese speakers. Later,a different group of bilingual native Chinesespeakers translated the questionnaire back intoEnglish without seeing the original version.The translated version and the source versionwere carefully compared to check for equivalentmeaning. This process was repeated severaltimes until equivalence in English and Chinesequestionnaires was achieved.

Measurements

Four key constructs were examined in thisstudy—patriotism, nationalism, international-ism, and consumer ethnocentrism. Patriotism,nationalism, and internationalism were opera-tionalized and measured using the scales de-veloped by Kosterman and Feshbach (1989).All items for each of the three scales used the5-point Likert-type opinion statements rangingfrom 5 (strongly agree) to 1 (strongly disagree).Specifically, patriotism was measured using a12-item scale, including items such as I love mycountry and I am emotionally attached to mycountry and emotionally affected by its actions.Nationalism was measured on an eight-itemscale, including such statements as In view ofAmerica’s moral and material superiority, itis only right that we should have the biggest


say in deciding United Nations policy andForeign nations have done some very fine things,but it takes America to do things in a bigway. The scale for internationalism consistedof nine items, such as America should be morewilling to share its wealth with other sufferingnations, even if it doesn’t necessarily coincidewith our political interests. The CETSCALEdeveloped by Shimp and Sharma (1987) andvalidated in various countries was employed tomeasure consumer ethnocentric tendencies. TheCETSCALE consists of 17 items, and all itemswere measured on a 5-point Likert-type scale.

The English survey and the translated Chinesesurvey were pretested on a sample between50 to 60 respondents recruited from the afore-mentioned consumer panels in each countryin order to correct potential problems withthe questionnaires. No major problems weredetected.

RESULTS

Sample Characteristics

In total, 506 American and 564 Chinese con-sumers were surveyed. Among the American re-spondents, the female-to-male ratio (46.4:53.6)was close to that of the general population(50.8:49.2; U.S. Census 2011). When comparedto the general population, American respon-dents were relatively young (18–45 years old),predominantly white (91.7%), and from nearlyevery income segment and education level (seetable 1). For the Chinese sample, 57.1% of therespondents surveyed were women, which ishigher than the actual percentage (48.37%) inthe Chinese population (Wang 2011). As canbe seen in table 2, the respondents were alsoyounger and better educated than the generalpopulation in China, with more than half havingearned a bachelor’s degree or higher.

Preliminary Data Analysis

Table 3 provides the internal reliability forall four major constructs in both countries.All measures met the reliability requirementof 0.70, an improvement from Balabanis andcolleagues’ (2001) original study on Turkish and

TABLE 1. American Respondent Profiles(n = 506)

Characteristics Categories Frequency (%)

Gender Female 235 (46.4%)Male 271 (53.6%)

Age 25 and younger 159 (31.4%)26–35 138 (27.3%)36–45 209 (41.3%)46–55 —56 and over —

Ethnicity Hispanic or Latino 61 (12.1%)Not Hispanic or Latino 443 (87.5%)Not specified 2 (0.4%)

Race American Indian 11 (2.2%)Asian 12 (2.4%)Black or AfricanAmerican

43 (8.5%)

Native Hawaiian or OtherPacific Islander

—

White 464 (91.7%)Income Less than $10,000 33 (6.5%)

$10,000–$19,999 66 (13.0%)$20,000–$29,999 53 (10.5%)$30,000–$39,999 54 (10.7%)$40,000–$49,999 66 (11.7%)$50,000–$59,999 42 (8.3%)$60,000–$69,999 42 (8.3%)$70,000–$79,999 26 (5.1%)$80,000–$89,999 17 (3.4%)$90,000–$99,999 14 (2.8%)$100,000–$14,999 28 (5.5%)$150,000 or more 19 (3.8%)Not specified 42 (8.3%)

Education Less than high school 16 (3.2%)High school/GED 136 (26.9%)Some college 151 (29.8%)2-year college degree

(Associate)55 (10.9%)

4-year college degree(BA/BS)

113 (22.3%)

Master’s degree 31 (6.1%)Doctoral degree —Professional degree

(MD/JD)4 (.8%)

Czech consumers in which only the scales forpatriotism and CE met this requirement.

A descriptive analysis was conducted toobtain a cursory comparison of the mean scoreof the key constructs between the two countries.Table 4 shows that, on average, American con-sumers reported higher scores on consumer eth-nocentrism (CE), patriotism, and international-ism than their Chinese counterparts. In contrast,


TABLE 2. Chinese Respondent Profiles(n = 564)

Characteristics CategoriesFrequencies

(%)

Gender Female 322 (57.1%)Male 242 (42.9%)

Age 25 and younger 300 (53.2%)26–35 131 (23.2%)36–45 44 (7.8%)46–55 80 (14.2%)56 and over 9 (1.6%)

Income(ChineseRMB)∗

Less than RMB 29,999 40 (7.1%)RMB 30,000–59,999 106 (18.8%)RMB 60,000–89,999 100 (17.7%)RMB 90,000–119,999 89 (15.8%)RMB 120,000–149,999 83 (14.7%)RMB 150,000–179,999 43 (7.6%)RMB 180,000–209,999 47 (8.3%)More than RMB 210,000 56 (9.9%)

Education Less than high school 11 (2.0%)High school 47 (8.3%)Vocational/trade school 142 (25.2%)4-year college degree 292 (51.8%)Master’s degree 66 (11.7%)Doctoral degree 6 (1.1%)

∗The average cost of living in China is around US$1000 per month(www.educations.com 2012).

Chinese consumers scored higher on nationalismthan did American consumers. Although directcomparisons between this study and Lee andcolleagues’ (2003) study cannot be made dueto differences in sampling and data collectionmethods, it is worth noting that the mean CEscore of our American sample (3.14) was higherthan the score reported in Lee and colleagues’2003 study (2.53).

Next, a hierarchical regression procedurewas employed to test the combined impact ofpatriotism, nationalism, and internationalism on

TABLE 3. Cronbach’s Alpha for MajorConstructs

Description U.S. (n = 506) China (n = 564)

Patriotism .871 .827Nationalism .825 .764Internationalism .783 .713Ethnocentrism .955 .947

TABLE 4. Descriptive Statistics for MajorConstructs

U.S. (n = 506) China (n = 564)

Description Mean SD Mean SD

Patriotism 4.11 .57 3.91 .52Nationalism 3.08 .69 3.37 .59Internationalism 3.07 .65 2.93 .57Ethnocentrism 3.14 .80 2.58 .74

consumer ethnocentrism above that accountedfor by demographic variables such as gender,age, income, and education. In this procedure,predictor variables were entered in two blocks,with demographics entered first to provide abaseline model. Patriotism, nationalism, andinternationalism were then added in as a secondblock.

As shown in table 5, the first model consideredonly demographic variables as predictors ofCE. In the U.S. sample, the first model wasstatistically significant, (F = 5.581, df = 4,p < .001), indicating that the aggregate influenceof demographic variables, including gender,age, income, and education, explained 4.6%of the total variance in American consumers’ethnocentric tendencies. The model was not sig-nificant, (F = 1.132, df = 4, ns), for the Chinesesample. However, when patriotism, nationalism,and internationalism were incorporated into themodel, the coefficient of multiple determinationsincreased significantly by 23% in the U.S.sample, (F = 187.983, df = 7, p < .001), and17% in the Chinese sample, (F = 17.08, df =7, p < .001). These increases indicate that morethan 23% and 17% of the variance in CE for theU.S. and Chinese samples, respectively, can beexplained by demographic variables, patriotism,nationalism, and internationalism.

Hypothesis Testing

In order to test H1, which postulated thatAmerican consumers are more ethnocentricthan Chinese consumers, the mean scores ofCE between the U.S. and China were com-pared. Analysis of covariance was conducted todetermine whether true differences existed when


TABLE 5. Hierarchical Regression Results

U.S. (n = 526) China (n = 564)

Step Predictor set R2 �R2 R2 �R2

1 Demographics .046∗∗∗ .0082 Demographics: Pat., Nat., Int. .226∗∗∗ .214∗∗∗ .177∗∗∗ .167∗∗∗

∗∗∗p < .001.

the impact of demographics was controlledfor. We found significant support for H1, withconsumer ethnocentrism levels being differentbetween the U.S. and China, (F = 31.995, df =5, p < .001). Specifically, American respon-dents reported a higher consumer ethnocentrictendency, (M = 3.14, SD = 0.81), than theirChinese counterparts, (M = 2.58, SD = 0.74).

Factors Influencing ConsumerEthnocentrism

In order to answer H2, the impact of gender,age, income, education, patriotism, nationalism,and internationalism (independent variables) onconsumer ethnocentrism (dependent variable)was determined using a linear regression model.The results are reported in table 6.

Based on the results, H2, which predictedthe influence of psychological variables ofnationalism, patriotism, and internationalism aswell as demographic variables of gender, age,income, and education level on consumer ethno-centrism, was partially supported. Specifically,

H2a, which postulated a positive relationshipbetween patriotism and CE, was not supportedin either country. In fact, a negative relationshipbetween patriotism and CE was found in China,(b = –0.217, t = –3.688, p ≤ .001). However,H2b, which predicted a positive relationshipbetween nationalism and CE, was supported inboth countries, (USA b = 0.445, t = 8.407, p ≤.001; China b = 0.555, t = 10.672, p ≤ .001).Unexpectedly, H2c, which predicted a negativerelationship between internationalism and CE,was not supported in either country. Contrary tothe hypothesis, a significant positive relationshipbetween internationalism and CE was found inthe U.S., (b = 0.126, t = 2.278, p ≤ .05).

Regarding the demographic variables, onlygender and income were found to be significantdeterminants for CE. Specifically, males tendedto be more ethnocentric than females in theU.S., (b = 0.212, t = 2.277, p ≤ .05), whereasthis is not the case in the Chinese sample, thusfailing to support H2d. In terms of income level,significant negative relationships with CE werefound in the U.S., (b = −0.024, t = –2.028,p ≤ .05), and in Chinese samples, (b = −0.034,

TABLE 6. Regression Analysis of Consumer Ethnocentrism

U.S. (n = 506) China (n = 564)

Description b β b β

Patriotism .030 .022 −.217 −.152∗∗∗Nationalism .449 .381∗∗∗ .555 .441∗∗∗Internationalism .126 .099∗ .034 .026Gender (1 = male) .212 .131∗∗ .049 .033Age .058 .062 .006 .009Income −.024 −.091∗ −.034 −.097∗Education −.046 −.080 −.011 −.013Constant 1.086 — 1.555 —

∗p ≤ .05; ∗∗p ≤ .01; ∗∗∗p ≤ .001.


t = −2.268, p ≤ .05), supporting H2f. NeitherH2e, which postulated a positive relationshipbetween age and CE, nor H2g, which predicteda negative relationship between education andCE, were supported in either sample.

The Relative Impacts of the Antecedentson Consumer Ethnocentrism

In terms of the relative importance of theantecedents on CE for China and the U.S.,nationalism was found to be the most importantdeterminant of CE in the U.S., followed bygender and income. Internationalism was alsofound to be important, but, contrary to ourinitial prediction, was positively correlated. Inthe Chinese sample, nationalism again had thestrongest impact on CE, followed by patriotismand income. However, the direction of thecorrelations between CE and patriotism in Chinawas opposite to that hypothesized.

DISCUSSION AND CONCLUSION

The purpose of this cross-cultural comparisonstudy was to understand how the recent globaleconomic development and financial crisis mayhave influenced consumer ethnocentrism inthe U.S. and in China. Both countries areleading export and import countries, but theyare economically and culturally distinct andare currently experiencing a shift of economicpower. We examined the influence of patriotism,nationalism, and internationalism on consumerethnocentric tendencies in the two countries.The impact of demographic variables, includinggender, age, income, and education, on con-sumer ethnocentrism was also included in thisexamination.

The overall results from this study support thetheoretical speculation that the influence of pa-triotism, nationalism, internationalism, as wellas demographics, on consumer ethnocentrismis country specific. Not only do the patternsof how the antecedents of patriotism, nation-alism, and internationalism relate to consumerethnocentrism differ from Balabanis and col-leagues’ (2001) findings on Turkish and Czech

consumers, but these correlates of CE also varybetween the two countries investigated.

Our results indicate that American consumersare more ethnocentric than Chinese consumers,which is consistent with extant speculation thatconsumers in economically developed countriestend to be more ethnocentric than consumers indeveloping countries (Yagci 2001). Reflectingon the current economic crisis in the U.S., risingCE may also be due to American consumers’heightened sense of economic vulnerability,evidenced by declining consumer confidence(Cooper 2011). Past research suggests that aneconomic threat could increase the level of CE(Durvasula and Lysonski 2009). Although bothcountries have suffered from consequences ofthe global economic tsunami, recent Gallupsurveys report that Chinese consumers arestruggling less than Americans, due to China’sstill vibrant economic growth (Srinivasan andOtt 2011). Therefore, the level of perceivedeconomic hardship and threat might be higheramong American consumers, contributing to ahigher level of CE. The perceived economicdifficulty of the domestic economy could be akey factor in understanding CE independent of acountry’s level of economic development. Thismight help explain prior studies’ contradictoryfindings regarding the level of CE in relation to acountry’s stage of economic development (e.g.,Saffu and Walker 2005; Upadhyay and Singh2006).

Furthermore, the strong ethnocentric senti-ments in the U.S. might be further inducedby the rampant political and media evocationsof “buy American.” Future studies are neededto empirically test the effects of patriotic andnationalistic appeals in media messages onconsumers’ ethnocentric tendencies. In termsof antecedents of American CE, nationalismwas found to be a significant driver of CE,while patriotism was not. The more nationalisticAmerican consumers are, the less favorablethey feel positive toward purchasing foreign-manufactured products. In other words, whenAmerican consumers exhibit an ethnocentrictendency, their motivations are primarily basedon a perception of national superiority andan orientation toward national dominance (na-tionalism). This finding is consistent with Lee


and colleagues’ (2003) results. Despite deepfrustrations with the current economy, it islikely that Americans remain convinced that thefundamental structure of their country, its marketsystem, and domestic-made products are soundand can be the best again. For instance, thebuzz surrounding the 2011 Chrysler’s “Importedfrom Detroit” commercial that paid homageto the greatness of Detroit and the countrysuggests consumers’ strong resonance towardthe message appealing to nationalistic pride.A recent poll also reports that about 9 out 10Americans believe the U.S. either stands aboveall other countries in the world or is one of thegreatest along with some others (Pew ResearchCenter 2011). In other words, the view that theU.S. is a great nation is still widely held byAmerican citizens, and such nationalistic prideremains to be a dominant force driving Americanconsumers’ ethnocentric tendencies.

Similar to Lee and colleagues’ (2003) results,a positive relationship between patriotism andCE was not detected in the American sample.However, their study reported a negative corre-lation between internationalism and CE, whilewe found a positive correlation. Based on ourfindings, it appears that the more international-istic individuals are, the more favorable they feeltoward purchasing domestically manufacturedproducts. A possible explanation could be thatconsumers who scored high on internationalismare more likely to consume international newsand be knowledgeable on the current state ofworld politics and economy. Therefore, theseconsumers may be acutely aware of the factthat as the American economy wanes, the powerof the nation weakens. As prior studies havesuggested, individuals who express empathy forother nations are not necessarily less nation-alistic (Kosterman and Feshbach 1989). Theirconcern for the nation’s economic power, in-formed by their internationalistic views, may ineffect amplify their favoritism toward Americanproducts, as the U.S. is now the country tobe pulled up. Regarding demographic factors,gender and income showed a significant impacton American CE. While the hypothesis of anegative link between income and CE was sup-ported, we found that male consumers, instead offemales as suggested by prior studies, were more

likely to exhibit high ethnocentric tendencies.This suggests that as a country experiencesan economic crisis, factors contributing to CEmight be reconfigured.

Chinese consumers were found to be lessethnocentric when compared to their Americancounterparts. Confidence in the country’s eco-nomic growth and the knowledge that China isa leading export country, second only to theEuropean Union, with most consumer goodsbeing manufactured in China, Chinese con-sumers may not consider it a necessity topurchase domestic products for the sake ofaiding local workers or keeping jobs at home.Similar to findings from the U.S., CE inChina was predominantly driven by nationalism.Scholars argue that nationalism has been acrucial element in defining China’s society andeconomy (Zhao 2008). China’s long history ofopposing Western capitalism and social valueshas evolved into a strong sense of nationalism,which is evidenced by incidents of nationalistprotests and boycotts targeting Western com-panies for advertisements that insulted Chinesenational sentiments (Li and Shooshtari 2006).Furthermore, Zhao (2008) argued that sincethe 1990s, as a response to an increasinglyliberated and unstable market economy, theChinese government has conducted an extensivepropaganda campaign. Through it, nationalismwas strategically “pushed by the governmentto compensate for the decline of communism”(Zhao 2008, 50). The political discourse mayhave enhanced Chinese consumers’ ethnocentrictendencies. As the country progresses rapidlywith extraordinary economic growth, Chineseconsumers also may have gained trust and pridein locally owned and produced goods. Theseproducts may be considered more authentic andculturally befitting to their needs and sensitivi-ties (Oh and Zhang 2010).

Ishii’s study in 2009 reported that patriotismwas positively related to Chinese CE, whilexenophobic nationalism was not. We founddifferent results in this study. It should benoted that Ishii’s study was conducted at atime of strong animosity against Japan andJapanese products. Given the perceived rivalry,Chinese consumers were likely to be motivatedby patriotic sentiments of loyalty instead of


nationalism. In contrast, our findings indicatethat patriotism is negatively related to ChineseCE. In other words, the more patriotic consumersare, the less ethnocentric they are likely to be.The strong impact of nationalism observed inthe current study indicates that Chinese con-sumers’ consumption behaviors may be moreaffected by nationalism than conventionallyexpected.

In summary, these results confirm that it isnecessary to consider the impact of patriotism,nationalism, and internationalism as distinctconstructs (Balabanis et al. 2001; Kostermanand Feshbach 1989). Not only do the constructsimpact CE differently in different countries, buttheir influence on CE might vary across differenttime periods, as suggested by our findingsopposite to those found in prior studies. Ourfindings point to the dynamic nature of consumerethnocentrism, which is constantly influenced bythe broader political and economic environment.Thus, longitudinal studies that monitor the ebband flow of CE and its antecedents involvingcountries of different cultural orientations andat different stages of economic development arenecessary.

The findings presented herein provide im-portant guidelines for international marketersto craft marketing campaigns reflecting thechanging social and economic context. Priorstudies suggest that ad messages reflecting localcultural values are essential for the success ofglobal campaigns (e.g., De Mooij 2003; Zhouand Belk 2004). Beyond traditional culturalorientations, however, local consumers’ shiftingattitudes toward domestic and foreign brands inrelation to their view on nationalism, patriotism,and internationalism should also be considered(Chao, Wuhrer, and Werani 2005). For ex-ample, for foreign advertisers communicatingwith ethnocentric consumers, deemphasizingthe product’s foreign origin may help deflectconsumers’ ethnocentric feelings.

In particular, advertisers’ communicationwith American consumers should take into ac-count that CE may have increased, and the con-sideration of whether a product is manufacturedlocally is becoming an important factor in theirpurchase decisions. In response to Americanconsumers’ heightened ethnocentric concerns,international advertisers may accentuate their

integration into the American economic system,especially when the company has adopted col-laborative strategies of licensing, joint ventures,or strategic alliances and have made products onAmerican soil. Moreover, since nationalism isthe underlying motivation for consumers’ pref-erence for domestic products in both countries,marketers should convey to local consumers thatthey recognize the nation’s superiority and thusstrive to provide the best products and servicesto its citizens. Meanwhile, domestic marketersmay incorporate symbols of national pride andhighlighting claims of the leadership positionalongside other product attributes.

As with all research endeavors, several lim-itations should be considered when attemptingto generalize the results from this study. Thelack of representativeness due to samples of Webconsumer panels must be recognized. However,a recent study on Chinese income (Credit Suisse2010) maintained that Chinese income has beenunderestimated. Based on the actual incomelevel stated in the report (RMB 32,000 insteadof the officially reported RMB 19,000), theincome level in our Chinese sample in factapproximates that of the general population.Despite the concerns of using online consumerpanels, the benefits of using nonstudent samplesshould outweigh the limitations (Peterson 2001;Sung, Gregorio, and Jung 2009).

The focus of the current study was to under-stand CE and its antecedents in two culturallydistinct countries. Therefore we did not evaluatethe effects of CE. Future studies should test theimpact of CE on consumers’ purchase behavior,which may be moderated by various factors suchas product categories, consumers’ exposure toand experience with foreign cultures, and theirconsumption of foreign media. Similarly, thisstudy should be replicated in other culturallydistinct markets. With the increasing pace ofglobalization, where products and services tran-scend geographical boundaries, the applicabilityof these constructs requires further consideration(Oh and Zhang 2010).

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