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Journal of Retailing and Consumer Services 46 (2019) 173–178

Contents lists available at ScienceDirect

Journal of Retailing and Consumer Services


journal homepage: www.elsevier.com/locate/jretconser

Status consumption in newly emerging countries: The influence of T


personality traits and the mediating role of motivation to consume
conspicuously
Nazia Nabi⁎, Aron O’Cass, Vida Siahtiri
Department of Marketing and Management, Faculty of Business and Economics, Macquarie University, North Ryde, NSW 2109, Australia

A R T I C L E I N F O A B S T R A C T

Keywords: In emerging countries, individuals’ tendency to consume status products to display their wealth and new lifestyle
Status consumption is rising. To unlock the underlmathying reasons for consuming status products in emerging countries, this study
Susceptibility to interpersonal influence brings attention to the mediating role of motivation to consume conspicuously as a missing link between con-
Need for uniqueness sumers’ personality traits - susceptibility to interpersonal influence, need for uniqueness and status consumption.
Motivation to consume conspicuously
Using social identity and social comparison theory and drawing on data from 269 Bangladeshi individuals, we
found that status consumption is positively influenced by susceptibility to interpersonal influence and need for
uniqueness. We also found that the relationship between susceptibility to interpersonal influence and status
consumption is partially mediated by the motivation to consume conspicuously. However, the results show that
the relationship between need for uniqueness and status consumption is not mediated by the motivation to
consume conspicuously.

1. Introduction accomplishment and uniqueness (Bian and Forsythe, 2012). They are
transitioning from satisfying their basic needs to satisfying higher order
The growth in middle class consumers with increasing financial psychological needs, looking for esteem, friendship, and a sense of
resources and hunger for consumption in emerging countries has sti- belonging. Existing research shows consumers in emerging countries
mulated the consumption of goods and services associated with higher desire and seek to foster acceptable images of themselves among others,
social status (Kamakura and Mazzon, 2013). In emerging countries, thus; they engage in conspicuous consumption (Shukla, 2010). To open
people are increasingly more educated and are enjoying well-paid oc- up the underlying mechanism for this behavior, we build on studies by
cupations, higher income, and stronger spending power (O’Cass and Eastman and Eastman (2011) and Clark and Goldsmith (2005) and
Siahtiri, 2014; Kamakura and Mazzon, 2013). While these socio-eco- identify specific personality traits that trigger status consumption in
nomic changes in emerging markets have accelerated consumption, we emerging countries.
still lack an understanding of the underpinning reasons for status con- In emerging countries, where collectivism is still a dominant aspect
sumption (SC). SC refers to gaining status or social prestige from the of culture, consumers look for conformity to enhance their sense of
acquisition and consumption of goods that an individual and significant belonging and overcome the fear of being alone (Pauwels et al., 2013).
others perceive as high in status (O'Cass and Frost (2002)). Studying Although consumers seek to conform to group norms, they still wish to
underlying reasons for SC is significantly important in emerging Asian be unique and different from others (Shukla, 2010), and in this sense
countries, because they will potentially host 3 billion middle class they engage in nonconforming behaviors (Clark and Goldsmith, 2005).
people by 2030, which will be 10 times more than North America and Clark and Goldsmith (2005) argue that the closest estimates of con-
five times more than Europe (Yueh, 2013). This huge potential market formity and nonconformity in consumers are susceptibility to inter-
has encouraged scholars to call for more research to advance our un- personal influence (SII) and need for uniqueness (NFU), respectively.
derstanding of SC and its triggers in these countries (O’Cass and SII refers to “the need to identify or enhance one’s image with sig-
Siahtiri, 2014; Eastman and Eastman, 2011). nificant others through the acquisition and use of products and brands,
With growing wealth, many consumers in emerging countries are the willingness to conform to the expectations of others regarding
following their hearts and purchasing products that show their purchase decisions and/or the tendency to learn about products and


Corresponding author.
E-mail addresses: nazia.nabi@hdr.mq.edu.au (N. Nabi), aron.ocass@utas.edu.au (A. O’Cass), vida.siahtiri@mq.edu.au (V. Siahtiri).

https://doi.org/10.1016/j.jretconser.2017.09.009
Received 7 April 2017; Received in revised form 18 August 2017; Accepted 19 September 2017
Available online 21 November 2017
0969-6989/ © 2017 Published by Elsevier Ltd.
N. Nabi et al. Journal of Retailing and Consumer Services 46 (2019) 173–178

services by observing others and/or seeking information from others” 2.2. Social comparison and social identity theory
(Bearden et al., 1989, p. 474). NFU refers to “pursuing differentness
relative to others through the acquisition, utilization, and disposition of Social comparison and social identity theories offer an important
consumer goods for the purpose of developing and enhancing one’s self- grounding for understanding SC. In relation to social comparison
image and social image” (Tian et al., 2001, p. 52). theory, Festinger (1954) argues that individuals have the tendency to
While SII and NFU as consumer traits may direct behaviors towards compare what they have and what others have, so that they can judge
consuming status products (Clark et al., 2007; Tian et al., 2001), these how well they themselves are doing. One aspect of this issue is that
traits may project themselves through motivation to consume con- individuals strive to differentiate themselves from others who belong to
spicuously (MCC). MCC refers to “the tendency for individuals to en- a lower class while replicating the behaviors of those in the higher class
hance their image, through overt consumption of possessions, which (Yang and Mattila, 2014). While engaging in comparisons, individuals
communicates status to others” (O'Cass and McEwen, 2004, p. 34). This fulfil their desires to belong to an elite social class (e.g., higher social
tendency is much more visible in emerging countries because of the group) by acquiring and consuming products that are considered social
economic transition, high status mobility and income disparities (Batra signifiers (Zhang and Kim, 2013).
et al., 2000). Thus, MCC may better explain the path from SII and NFU Social identity theory (Tajfel and Turner, 1985) focuses on in-
to SC in emerging countries. dividuals’ consumption of possessions to fulfil their identity-related
Applying social identity and social comparison theory, we examine goals. The theory proposes that individuals strive to enhance their self-
the influence of two personality traits, SII and NFU, which may help image and self-esteem by classifying themselves and others into an in-
unlock the propensity of the growing middle class in emerging coun- group and an out-group, which exist in all societies (see Huang et al.,
tries to focus on SC and MCC. These theories are suitable to underpin 2010). Thus, to strengthen their sense of belonging, they engage in
our research model because they focus on how people compare them- behaviors based on the group norms with which they identify them-
selves with others and demonstrate their social class through con- selves (Hall-Phillips et al., 2016).
sumption (Festinger, 1954; Tajfel and Turner, 1985). Furthermore,
these theories, especially social identity theory, explain how individuals
3. Hypothesis development
engage in conformity and nonconformity behaviors (Lertwannawit and
Mandhachitara, 2012).
3.1. Direct effect of SII on SC
We contribute to the current literature and practice by responding
to calls in the literature (e.g., O’Cass and Siahtiri, 2014; Eastman and
The influence of others has been shown as an important antecedent
Eastman, 2011) to advance knowledge about status consumption and
of SC (Kim and Jang, 2014; Lertwannawit and Mandhachitara, 2012).
the consumption of status products in emerging countries. In addition,
For example, Amatulli et al. (2015) argue that status-seeking in-
we advance the work of Eastman and Eastman (2015) by identifying SII
dividuals often rely on others’ perceptions, and thus, they search for
and NFU as antecedents of SC. Moreover, we extend the work of Bian
status to prove their belongingness in the social relationship. Social
and Forsythe (2012) and Lertwannawit and Mandhachitara (2012) by
comparison theory helps clarify the relationship between SII and SC.
examining and identifying personality traits that stimulate choice of
The theory postulates that the influence of others leads to status-driven
status products in countries experiencing economic transition. We
consumption where individuals compare themselves with others and
contribute to practice by guiding marketers of status products to expand
purchase products to keep up with their reference group. Status-seeking
their market to a new country with significant market potential.
individuals purchase status products similar to those of desired group
members to show the conformity between their values and values
adopted by the group (Amatulli et al., 2015). Thus, selecting products
2. Conceptual background
that are perceived as prestigious to the group increases their status in
that group (Clark et al., 2007). Furthermore, prestige seekers tend to
2.1. Status consumption
emulate the consumption patterns of their desired group (Mason,
1981), which leads them to resemble that group over time (Dholakia
Among the various motivations to purchase and consume products,
and Talukdar, 2004). As such, individuals’ SC is a significant outcome
especially nonessential products, one important motivation is gaining
of their SII (See. Fig. 1). Therefore,
status or prestige (Amatulli et al., 2015). While addressing SC, issues
arise concerning consumers’ conspicuous consumption. O'Cass and H1. SII is positively related to SC in emerging countries.
McEwen (2004) address status and conspicuous consumption as related
but distinct constructs depending on the consumption motives. In-
dividuals may have specific motivations: to portray the desired image, 3.2. Direct effect of NFU on SC
to communicate that they belong to a particular social class, or to show
that they can afford a high-priced luxury (Nia and Zaichkowsky, 2000; NFU, often considered as an anti-conformity trait, occurs when
Nwankwo et al., 2014), all of which denote individuals’ motivations to greater similarity with other people creates a negative emotional re-
consume conspicuously. Thus, for some consumers visibility remains action or unsatisfactory self-evaluation (Chan et al., 2012). To recover
critical for the purpose of enhancing their social status (O’Cass and
Siahtiri, 2014).
SII, NFU and conspicuous consumption have critical roles in terms
of individuals’ SC (Chan et al., 2015; Lertwannawit and Mandhachitara,
2012; Shukla, 2010). Some individuals assess the behaviors of aspiring
group members, whereas others look for their group members’ reaction
in their social milieu (Lertwannawit and Mandhachitara, 2012) to dif-
ferentiate themselves from others (Yang and Mattila, 2014). Shukla
(2010) shows that individuals in emerging countries are concerned
about others’ perceptions of them and as such rely on the conspicuous
consumption of products as a means of achieving social status.

Fig. 1. Conceptual Model.

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N. Nabi et al. Journal of Retailing and Consumer Services 46 (2019) 173–178

their positive feelings or positive state, those individuals higher in NFU from those groups (Brewer, 1991). This view fits the theoretical foun-
have a greater tendency to express their unique self- and social-image to dations of social comparison and social identity theory. Based on these
differentiate themselves from others and achieve social respect by theories, it is argued that individuals, driven by NFU, consume for
owning material possessions (Ruvio, 2008; Berger and Heath, 2007, status by engaging in conspicuous consumption that shows their dif-
2008). Of particular importance to markets is the fact that purchasing ferentness from others (see Fig. 1). Therefore,
some products helps individuals to fulfil their NFU in their group (Clark
H4. MCC mediates the relationship between NFU and SC in emerging
et al., 2007).
countries.
The presence of NFU according to Bian and Forsythe (2012) is
growing in emerging countries such as China (see also Kim and Markus,
1999), and research shows that NFU positively influences SC because 4. Methodology
status provides individuals with feelings of independence that fulfil
their need for being unique (Clark et al., 2007). The underlying reason 4.1. Research design
for this relationship can be explained by social comparison and social
identity theories. Social comparison directs individuals to compete with The growth of economies as well as the growing number of affluent
others to satisfy their need for being unique and standing out in the consumers is increasing the opportunity for luxury goods in emerging
crowd. In such situations, individuals try to avoid products that com- countries in Asia (Shukla et al., 2015). Bangladesh, as an emerging
municate the identity of the out-groups that they are trying to avoid country (Labes, 2015), has seen the middle class increase to approxi-
(Chan et al., 2012). Therefore, mately 30 million individuals (The Australian Trade Commission,
2016), an affluent class created by prosperous real estate and garment
H2. NFU is positively related to SC in emerging countries.
industries. This new affluent middle class wants to spend their dis-
posable income on status products to display their new wealth
3.3. MCC as a mediator (Ariquzzaman, 2010). This has created a growing market for luxury
consumption (Munir et al., 2015). Furthermore, Bangladesh is posi-
Individuals engage in conspicuous consumption when they tioned to become part of the group of the next emerging countries after
thoughtfully and consciously undertake activities to enhance their so- BRICS (Helal and Hossain, 2013). Therefore, Bangladesh is deemed
cial position (Eastman et al., 1999). Individuals engage in such sig- appropriate to study the drivers of status consumption in an emerging
naling behavior because they believe they are judged by others based country context.
on observable signals such as consumption choices (Bellezza et al., To gather the data, a survey was designed and administered to a
2014). In these endeavors, they display their wealth (Anderson et al., sample of professionals in Bangladesh. As considerable variations are
2015), showing where they fall in the social hierarchy and their social present between rural and urban areas (Arnett, 2002), urban areas in
class (Berger and Ward, 2010; Yang and Mattila, 2014). This phe- the capital city were selected for data collection. Following Kastanakis
nomenon is prevalent in most emerging countries according to Souiden and Balabanis (2012), we targeted educated, professional people who
et al. (2011). Moreover, research shows the relationship between in- hold a university degree. A questionnaire was designed in English to
come and personality (Boyce and Wood, 2011) increases desires to collect the data. English was chosen considering the educational
purchase certain types of products (Diener, 2000). In this sense, beha- background of the sample (university educated, professionals); in
viors change as income rises (Boyce and Wood, 2011). Bangladesh, English is the language of university instruction.1 In ad-
We believe that individuals’ rising income in emerging countries dition, the survey was administered by a researcher conversant in
fosters motivations to display status, and a greater relationship between Bengali who could help clarify any difficulties with questions/items.
personality traits and consumption behavior becomes apparent. The The survey was administered in two areas in Bangladesh,
economic growth in these countries has improved customer purchasing Dhanmondi and Gulshan, where individuals avail themselves of a
power, and individuals are keen to show off this new power (Batra modern life (e.g., Bangladesh Online, 2016). These areas are rich in
et al., 2000) by buying visible products to enhance their social identity luxury shopping malls, boutiques, art galleries, offices and residences.
(Shukla, 2010). This behavior is also influenced by interpersonal re- We selected art galleries located in these two areas with the intention of
lationships (Choi and Rifon, 2012). SII directly influences MCC as the meeting people who are professional and educated, and thus compa-
individual’s image provides entry to a particular group by displaying tible with the study’s aim.2 We approached individuals in the galleries,
the status that the group holds. Individuals’ desires to purchase pro- explained the purpose of the study and asked for their participation.
ducts for the purpose of displaying wealth is determined by the group
they belong to, or aspire to belong to, and their social network. For 4.2. Measures
example, Souiden et al. (2011) found that individuals engage in con-
spicuous consumption because of their need to belong to groups with Existing measures were drawn from the literature and where ne-
high status. Therefore, we believe that individuals buy products con- cessary items were developed. Eight items were adopted from the work
sumed by their group members and demonstrate their ownership of of Bearden et al. (1989) to measure SII. NFU was measured by seven
such products to others for the purpose of gaining status (as shown in items adopted from Tian et al. (2001). To measure SC, five items were
Fig. 1). Therefore, drawn from Eastman et al. (1999). Items measuring SII, NFU, and SC
H3. MCC mediates the relationship between SII and SC in emerging were rated on a seven-point Likert scale ranging from strongly disagree
countries. to strongly agree. To measure motivation to consume conspicuously,
two single-item measures were developed, separately, for fashion
Prior research suggests that individuals searching for uniqueness are clothing and apparel and for automobiles. These single-item measures
somewhat free from social constraints and exhibit a high level of in- used a three-point Likert scale that asked respondents “In thinking
dependence (Clark et al., 2007; Snyder and Fromkin, 1977). However, about the reasons why I buy cars and fashion clothing & apparel, I buy
Shukla (2008) asserts that NFU is considered a key driver of con-
spicuous consumption. Individuals satisfy their NFU by perceiving their
1
The medium of instruction for graduation or higher education is English in
differentness from others by purchasing conspicuous products that are
Bangladesh (ICEF Monitor, 2015).
visible to others (Berger and Ward, 2010). This is especially true in 2
Individuals who engage in art activities tend to be rich and highly educated
relation to inferior groups or the groups they seek to avoid, and by the (Luckerhoff et al., 2008), and they tend to hold highly prestigious occupation (DiMaggio
fact that the groups where they belong or wish to belong are different and Useem, 1978).

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N. Nabi et al. Journal of Retailing and Consumer Services 46 (2019) 173–178

them to show my status” rated from never – sometimes – always. Next, the hypothesized relationships were tested using linear re-
Pretesting studies were conducted to evaluate the content and gression analysis (see O'Cass and Choy, 2008).3 For H1, we hypothe-
face validity of the measures as well as readability and clarity of the sized that SII is positively related to SC. The results in Table 3 show a
questionnaire. First, twelve PhD students, five of whom were significant beta weight (β = 0.72, t = 16.70, p<.001) supporting H1.
Bangladeshi, assessed the initial pool of items. The students were H2 predicted that NFU is positively related to SC. The results in Table 3
asked to comment on the instructions and items used in the survey show significant beta weight (β = 0.26, t = 4.39, p<.001) supporting
for clarity and ease of understanding. Outcomes of this pilot study H2.4 To test the mediating role of MCC, addressing H3 and H4 for each
suggested that the instructions and items were clear and easy to product category, we followed the procedures outlined by Baron and
understand. No changes in the wording of items were considered. Kenny (1986). According to this procedure, four conditions must be met
Second, twenty-three Bangladeshi respondents completed the to test mediation. First, the IVs must have significant relation with the
survey to test if potential respondents would have problems un- mediator. Second, the IVs must have significant relation with DV. Third,
derstanding the questionnaire. No respondents reported any issues. the mediator must have significant relation with DV, and fourth, the
No changes were considered in the final questionnaire. In addition impact of the IVs on DV must be less after controlling for the mediator
to the pretesting, some procedural strategies were used during the for partial mediation and become non-significant for full mediation.
questionnaire design to reduce potential common method variance. Based on the above conditions, the mediating effects were estimated
Following Podsakoff et al., (2003), we used different scale poles separately for AM and FCA to test H3 and H4. Table 3 shows the partial
across the survey to reduce the bias caused by commonalities in mediation effect of MCC between the relationship of SII and SC for both
scale endpoints and anchoring effects. Furthermore, to decrease the product categories (AM: β = 0.65, t = 14.77, p<.05 and FCA: β =
effect of social desirability, we assured respondents of their anon- 0.63, t = 14.32, p< .05). Additionally, the R2 also improved for both
ymity and explained to them that there are no right or wrong an- AM and FCA from 0.51 to 0.55 and 0.56, respectively. Thus, the partial
swers, and we are only interested in their personal views. mediation role of MCC was found, and H3 is supported.
As discussed above, four conditions must be met to consider a
4.3. Sample characteristics variable as a mediator. However, we found a non-significant relation-
ship between NFU and MCC with regression analysis, which did not
The surveys were distributed to 300 respondents. After removing satisfy condition 1 for both product categories (see Table 3). As con-
incomplete questionnaires, 269 surveys were used in the resulting dition 1 for testing of mediation effects was not met, the analysis shows
analysis. Of the total sample, 71% were male and 29% were female, that MCC cannot be considered as a mediator between NFU and SC.
and the mean age was 46. Most are well educated (75% post-grad- Therefore, H4 is rejected.
uate degree) and employed in occupations such as engineers, ar-
chitects, doctors and teachers (48%), executives and managers 6. Discussions and implications
(25%), and business people (25%). We focused on two product ca-
tegories, fashion clothing and apparel (FCA), and automobiles This study examined the influence of two personality traits, SII and NFU,
(AMs). These product categories were selected as they are rich in to determine what drives SC in emerging countries such as Bangladesh
delivering symbolic content (Zhang and Kim, 2013) and usually where the middle and affluent classes have emerged in recent years. This
considered as highly visible categories involving high expenditure study also examined whether MCC mediates the relationship of SII and NFU
and high income (Han et al., 2010). Furthermore, we found these with SC in relation to two product categories, AM and FCA.
two product categories suitable to study SC tendencies, because The findings of this study provide some important theoretical im-
declining unemployment rates, increasing income, and globalization plications. First, the results advance the application of social compar-
are raising demand for AMs (BOI Bangladesh 2015) and FCA (both ison and social identity theories by examining the relationship of SII
traditional and western) in both urban and suburban areas of Ban- and NFU with SC. Showing a positive relationship, this finding con-
gladesh (Chowdhury, 2017). To ensure that respondents were qua- tributes to the research literature by illustrating the roles of SII as
lified to participate in the study, a screening question was designed having both direct and indirect (through MCC) influence on SC. This
asking respondents whether they owned a car(s). Our focus on the study provides evidence that individuals are more concerned about
two product categories allowed us to test our theory using AMs as a interpersonal relationships. Regardless of their country, people behave
high priced, high status product, and FCA as a lower priced, high in the same way and are susceptible to interpersonal influence; they
status product in an emerging country such as Bangladesh. wish to demonstrate their wealth and enhance their image by pur-
chasing products that are perceived as having status in their group.
5. Analysis and findings Second, the study provides evidence that, in addition to SII, NFU
also influences the tendency to consume for status. Here, we conclude
The results of preliminary analysis are shown in Table 1. To assess that people in emerging countries consume to enhance their status and
the factor structures of the measures, we used SPSS 22 and ran ex- focus on their self- and social images, thereby fulfilling their desires for
ploratory factor analysis using principle component with Varimax ro- uniqueness. However, the results do not show that NFU is a strong
tation. Factor analysis results indicates that the factor loadings for all predictor of SC. Rather, in line with Bian and Forsythe (2012), we also
constructs were greater than the cutoff criteria of 0.50 (Hair et al., assert that individuals from Bangladesh and perhaps other Asian
2006). Reliability tests were used to assess the internal consistency of countries are adopting some sort of individualistic elements without
all constructs. The results show that the values of Cronbach alpha for all changing their social label as a collective society. The outcomes also
constructs exceeded the criteria of 0.60 suggested by Hair et al. (2006), support the social comparison and social identity theories by showing
demonstrating acceptable reliability of measures. that individuals from a country such as Bangladesh also rely on com-
To determine convergent validity and discriminant validity, average parisons with others. Because of their rising incomes, individuals from
variance extracted (AVE) were calculated for the constructs except
MCC. As shown in Table 2, the AVEs for all constructs were above the
threshold of 0.50 (Hair et al., 2011), thus establishing satisfactory
3
We measured the demographics – income, age, occupation, gender - as control
variables. However, we found non-significant effects for income, occupation, and gender
convergent validity. Discriminant validity was assessed following the
whereas age had a negative effect. Thus, given the non-significant effects we didn’t
recommendation of Fornell and Larcker (1981). Table 2 shows that the consider the control variables for further analysis.
square roots of AVEs for all constructs exceed all corresponding cor- 4
For the mediation effect, we had to analyze the direct effect of SII and NFU on SC to
relation, thus demonstrating satisfactory discriminant validity. meet Condition 2. Thus, we haven’t reported the results H1 and H2 separately.

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N. Nabi et al. Journal of Retailing and Consumer Services 46 (2019) 173–178

Table 1
Preliminary analysis results.

Items Factor loadings Cronbach α

SII: 0.88
It is important that others like the products (and brands) I buy. 0.79
I like to know what brands and products make good impressions on others. 0.82
I achieve a sense of belonging by purchasing the same products and brands that others purchase. 0.83
I often identify with other people by purchasing the same products and brands they purchase. 0.80
To make sure I buy the right product or brand, I often observe what others are buying and using. 0.66
If I have little experience with a product, I often ask my friends about the product. 0.84
I often consult other people to help choose the best alternative available from a product class. 0.79
I frequently gather information from friends or family about a product before I buy. 0.64
NFU: 0.62
I'm often on the lookout for new products or brands that will add to my personal uniqueness. 0.83
Having an eye for products that are interesting and unusual assists me in establishing a distinctive image. 0.86
I often try to find a more interesting version of run-of-the-mill products because I enjoy being original. 0.85
I often dress unconventionally even when it's likely to offend others. 0.61
If someone hinted that I had been dressing inappropriately for a social situation, I would continue dressing in the same manner. 0.75
I dislike brands or products that are customarily purchased by everyone. 0.71
I often try to avoid products or brands that I know are bought by the general population. 0.77
SC: 0.88
I would buy a product just because it has status. 0.84
I am interested in new products with status. 0.89
I would pay more for a product if it had status. 0.86
A product is more valuable to me if it has some snob appeal. 0.82

Table 2 individuals have a tendency to display of their wealth, in part for the
Discriminant validity: Inter-construct correlations. purpose of gaining status, consistent with the study of Shukla (2010),
when they are influenced by significant others. However, we also found
M SD AVE SII NFU SC MCCAM MCCFCA
that MCC does not mediate the relationship between NFU and SC. We
SII 4.66 1.17 0.60 (0.77) conclude that NFU does not influence conspicuous consumption when
NFU 4.20 1.03 0.60 0.28 (0.77) individuals seek to fulfil their desire to be unique. Rather, status-
SC 4.74 1.48 0.58 0.71 0.26 (0.76) seeking individuals discover their uniqueness when status gives them
MCCAM 2.16 0.67 - 0.34 0.05 0.42 na
MCCFCA 2.13 0.67 - 0.37 0.02 0.47 0.51 na
independence (e.g., Clark et al., 2007).
Fourth, our focus on the role of MCC as an antecedent and mediator,
Note: SD = Standard Deviation. na – not applicable. Square root of AVE is in Italian rather than a consequence, of SC is unique. Lastly, our findings support
diagonal entries. All correlations are significant at p < 0.01 unless indicate ns. previous arguments that SC appears to be increasing in emerging
countries (e.g., O’Cass and Siahtiri, 2014; Sharma, 2010). Because of
Table 3 the growing middle and affluent class with rising income, individuals in
Mediation effect of MCC in two product categories. emerging countries are becoming more concerned about status and how
products support status, even in the presence (absence) of displaying
Β t-value R2 Condition
their wealth. We provide additional evidence of the presence of these
AM FCA AM FCA AM FCA theories by examining an emerging country such as Bangladesh.
Our findings also provide some practical implications for managers.
H3: SII → MCC → SC
Valuable insights gathered from this study provide directions to mar-
Condition 1 SII → 0.34 0.37 5.83 6.47 0.11 0.14 Met
MCC keters of status products who are planning to expand their businesses
Condition 2 SII → 0.72 0.72 16.70 16.70 0.51 0.51 Met and enter into newly emerging countries. By understanding consumers
SC in those countries, they may plan and design their market segmentation
Condition 3 MCC → 0.42 0.47 7.47 8.72 0.17 0.22 Met and competitive marketing strategies by taking into consideration the
SC
Condition 4 SII → 0.65 0.63 14.77 14.32 0.55 0.56 Met
influences that may lead the individuals to purchase products. Findings
SCa reveal that SII is a strong predictor of status-related consumption.
H4: NFU → MCC → SC Therefore, attraction toward luxury products may be created with
Condition 1 NFU → -0.05 0.02 0.74 0.25 0.00 0.00 Not met (ns) promotional appeals that use reference groups of their targeted seg-
MCC
ments. In addition, emphasis may be given to the status of their pro-
Condition 2 NFU → 0.26 0.26 4.39 4.39 0.07 0.07 Met
SC ducts in a group by highlighting the motives and/or making the product
Condition 3 MCC → 0.42 0.47 7.47 8.72 0.17 0.22 Met a must-have product to gain status.
SC
Condition 4 NFU → 0.28 0.25 5.24 4.86 0.25 0.29 Met
6.1. Limitations and future research
SCa

Notes: All coefficients are significant at the p < .05 level or better unless indicated ns As with all research, some limitations should be considered that
a
With the presence of mediator. help frame the findings and provide a way forward for further research.
SC and its antecedents were studied in relation to two product cate-
Bangladesh are concerned about their identity, which leads them to gories, AM and FCA. However, the outcomes of the relationships may
consume status products that show and prove their identity compared be different for luxury services, such as luxury cafes or retail stores.
to others. Future research can study the tested relationships with regards to other
Third, we contribute to the SC literature by examining the role of product/service categories. Although individuals prefer to purchase
MCC in the context of SII and NFU with SC. We provide evidence that luxury brands that are considered to have status, this study did not use
brands to analyze the relationship of the constructs. Future research

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N. Nabi et al. Journal of Retailing and Consumer Services 46 (2019) 173–178

may extend this study’s outcomes by engaging brands. Furthermore, as Festinger, L., 1954. A theory of social comparison processes. Hum. Relat. 7 (2), 117–140.
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