The Effects of Country-of-Origin and Attitude Functions on Luxury Brand Purchase
The purpose of this study was to examine the effects of country-of-origin on young consumers’ attitude and luxury brand purchase intentions. This study extends the “Functional Theories of Attitudes” by adding materialistic function to social-adjustive, value-expressive, hedonic, and utilitarian functions. A total of 418 online survey responses were used to test the proposed model. Results identified the utilitarian function was not reliable, but materialistic function was a reliable construct. Results found that attitude is a multidimensional construct consisting of social-adjustive, value-expressive, materialistic, and hedonic functions. Country-of-origin positively influenced attitude toward luxury brand, which positively influenced luxury brand purchase intentions. Further multiple regression analysis found a significant direct path between country-of-origin and luxury brand purchase, which showed much stronger impact than the effect of attitude on purchase intentions. These findings provide theoretical and managerial implications for luxury brand managers.