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National identity
National identity and the and the
perceived values of foreign perceived values
products with local brands
765
The case of local wine in Vietnam
Received 22 January 2013
Nguyen-Hau Le, Hai-Minh Thi Nguyen and Tuan Van Nguyen Revised 29 May 2013
School of Industrial Management, HoChiMinh City University of Technology, Accepted 8 June 2013
HoChiMinh City, Vietnam

Abstract
Purpose – Based on the intra-national diversity view, this research aims to employ the concept of
national identity to explain the consumer’s evaluation of foreign product with local brand and the
extent of consumer ethnocentrism. It then investigates how product evaluation and consumer
ethnocentrism are capable of explaining consumer’s perceived value of the product. Finally, it tests the
impact of consumer perceived value on consumer willingness to buy.
Design/methodology/approach – A sample of 251 consumers of local wine in Vietnam was
analysed using structural equation modelling technique.
Findings – National identity has positive impacts on product evaluation and consumer
ethnocentrism. These two factors together can explain 58 percent variance of consumer’s perceived
value, which is the key predictor of willingness to buy. Additionally, emotional and social values are
found to be important motivators of local wine consumption in Vietnam.
Research limitations/implications – The three reflective first-order components of national
identity might be alternatively modelled as formative ones. Moderating effect of consumption
occasions, consumer knowledge and other social demographics should be investigated. Finally, to
compare Vietnamese consumers towards local wine vs foreign wine.
Originality/value – Among very few empirical studies about the effects of national identity on
consumer’s value of foreign product with local brand under a mixed effects of the perceived inferior
quality of locally made product and status-oriented consumption behavior, via the full mediation of
product evaluation and consumer ethnocentrism. This study also suggests a conceptual distinction
between ethnocentrism and consumer ethnocentrism in studies of national identity.
Keywords National identity, Vietnam, Consumer ethnocentrism, Consumer perceived value,
Local product consumption, Willingness to buy
Paper type Research paper

Introduction
Literature on international marketing suggests that consumer behavior towards a
product is generally influenced by consumer’s factors such as social-cultural
background (Schiffman and Kanuk, 1978; Yaprak, 2008). Moreover, if the product
stems from other country, consumer behavior is also influenced by consumers’ attitude
towards the product’s country-of-origin (Chao, 1993, 2001; Sharma, 2011), in relation Asia Pacific Journal of Marketing and
with his/her extent of ethnocentrism (Diamantopoulos et al., 2011). Among numerous Logistics
Vol. 25 No. 5, 2013
pp. 765-783
q Emerald Group Publishing Limited
This research is funded by Vietnam National University HoChiMinh City (VNU-HCM) under the 1355-5855
Grant Number B2012-20-30. DOI 10.1108/APJML-01-2013-0017
APJML products that are consumed widely around the world, wine is a typical example of
25,5 these influences (Aizenman and Brooks, 2008; Balestrini and Gamble, 2006; Bruwer
and Johnson, 2010; Cohen et al., 2009; Hu et al., 2008).
In the emerging economy of Vietnam, wine is considered as one of the fastest
growing consumer markets. In this market, local wine brands account for 23 percent in
2010. Among few local brands, Dalat wine is the most popular name. To many
766 Vietnamese consumers, local wine, which is originated from France, has a mixed image
of the “French elegant” and the “Vietnamese-made” product. This specific
product-market context is attributed by three features, the developed foreign
country image of the product’s origin (e.g. French wine), the general perception of poor
quality of locally made product (e.g. Dalat brand) which exists in consumers in
developing countries, and the common desire to support the national economy (Shukla,
2010; Lantz et al., 2002). The mixed effects of these factors make this case an interesting
research topic. The general problem of enquiry is about the social-cultural framework
and factors are more capable of explaining the buying motivation of this specific
product. Particularly, how strong each factor affects the consumer’s willingness to buy.
Based on the intra-national diversity view of culture (Tung, 2008; Henderson et al.,
2013), this research is to address three issues. First, it attempts to employ the concept of
national identity (Keillor et al., 1996) to explain the consumer’s evaluation of the foreign
product with local brand (i.e. local wine) and the extent of consumer ethnocentrism.
Second, it investigates how the product evaluation and consumer ethnocentrism are
capable of explaining the consumer perception on the product value. Third, it tests the
impact of consumer perceived value on consumer willingness to buy the product.
This research is expected to contribute to the literature in different ways. First, it
provides empirical evidence from an emerging market on the consumer behavior
towards a foreign product with local brand, which received inconsistent results in
previous studies (Sharma, 2011). Second, this study is among few studies on the
relations between consumer behavior and national identity, which departs from the
traditional view in many prior studies which relied on Hofstede’s cultural framework to
explain consumer behavior (Henderson et al., 2013). Thirdly, this study demonstrates
that, in addition to culture, other dimensions of national identity are also capable of
explaining consumption behavior. Fourth, this study suggests a conceptual distinction
between consumer ethnocentrism and ethnocentrism in which the former is only a
domain – specific application of the latter. Finally, this study indicates that emotional
and social values are key motivators of wine consumption.
The following sections of this paper present the theoretical background which is
followed by a proposed structural model and hypotheses. Next, quantitative research
method is reported in which data were collected via a large sample survey. Finally, the
results and discussion, managerial implications and limitations comprise the last
sections of this paper.

Theoretical background and hypotheses

In addressing the research objectives set forth above, this theoretical background
provides basic understanding of the major constructs in this research and justifications
of the hypothesized conceptual links among these constructs.
National identity National identity
National identity is defined as the extent to which a given culture recognizes and and the
identifies with a set of focal elements that set it apart from other cultures by exhibiting
greater variations in the institutions of those aspects than others (Clark, 1990; perceived values
Keillor et al., 1996). Comparing with the construct of national culture (Hofstede, 1997),
national identity minimizes the relevant distinction between “culture” and “nation”,
and avoids the ambiguity between the two concepts (Cui and Adams, 2002). 767
Scholars in the field of international marketing have recently pointed out that
national culture or national identity can be conceptualized from the between-nation or
within-nation view (Cadogan, 2010; Cui and Adams, 2002; Henderson et al., 2013; Phau
and Chan, 2003; Yaprak, 2008). The current study adopts the within-nation view which
advocates that people within the same nation are heterogeneous in terms of social and
cultural values. This view gains strong support recently by scholars due to the trends
of globalization, virtual communities and acculturalization (Tung, 2008;
Henderson et al., 2013). Accordingly, the level of national identity is diverse among
individuals in the same nation. This construct reflects how strongly individuals in a
given nation identify with religious, historical, cultural, and social aspects of their
national identity (Keillor et al., 1996).
Regarding to dimensionality, national identity is conceptualized by Keillor et al.
(1996) as a high-order construct which embraces four dimensions, namely national
heritage, belief system, cultural homogeneity and consumer ethnocentrism. National
heritage reflects the importance of historical figures and events in the history, which is
regarded to reflect a given culture’s sense of their own unique history. Belief system
refers to the extent to which individual beliefs, in a religious sense, play a role in
facilitating individual cultural participation and solidarity. Cultural homogeneity is
closely related to national heritage. This dimension characterizes the sense of cultural
uniqueness in the context of national heritage. Consumer ethnocentrism reflects the
importance placed on maintaining culturally centered consumption patterns. Strong
preference for domestically manufactured products to foreign-made ones is an
indication that a culture has a high degree of national identity.
However, a careful elaboration on the meanings of these concepts shows that while
national heritage, belief system and cultural homogeneity fully capture the general
religious, historical and cultural aspects of a human life, the conceptual domain of
consumer ethnocentrism is more specific. It reflects only one part of the general term of
ethnocentrism (Vinson et al., 1977). In fact, the conceptual domain of consumer
ethnocentrism is confined within the economic exchange of human being as a
consumer, which is only one aspect of the general social exchange. Therefore, this
study adopts three former reflective components of national identity.
The model describing the relations between national identity of a consumer,
product’s perceived value and attitude towards local wine consumption (i.e. willingness
to buy) is shown in Figure 1. The following sub-sections will discuss each hypothesized
relation in this model.

National identity and product evaluation

Product evaluation represents the rational judgment of a consumer towards a physical
product. Consumers evaluate a product based on both intrinsic cues such as taste,
design, and other product features, and extrinsic cues such as price, brand, and
APJML H1 H3
25,5 Product Evaluation

National
heritage
Emotional
Value
768 Belief National Perceived H5 Willingness
System Identity Value to buy
Social Value
Cultural
Homogeneity
Figure 1. H2 Consumer H4
The research model Ethnocentrism

warranty (Ahmed and d’Astous, 2008; Sharma, 2011). In the current study, product
evaluation is reflected by two components, namely perceived quality and perceived
price of local wine. Perceived quality refers to the consumer’s evaluation about a
product’s overall excellence or superiority (Zeithaml, 1988). For consumers in
developing economies like Vietnam, perceived quality is perhaps the most meaningful
attribute of a product because they tend to have experienced low quality products
manufactured by local firms (Nguyen et al., 2008; Lantz et al., 2002). On the other hand,
perceived price reflects what is given up or sacrificed to obtain a product (Zeithaml,
1988). In this study, it is the perception of consumers on how fair the amount of money
they pay in exchange for the functional quality they get from the product is. Perceived
quality and perceived price together represent the consumer’s cognitive response to the
product offered, which is termed product evaluation.
Generally, the association between national identity and product evaluation can be
explained by the personal value system of consumers (Schwartz, 1992). National
identity is the extent that a consumer adheres to a “typical value system” of a country.
The perspective of within-national diversity (Henderson et al., 2013; Tung, 2008) views
that individual consumers in the same country have different levels of adherence to
national identity due to their different levels of exposure to the world and their
acculturalization process (Watchravesringkan, 2011). Thus, national identity of a
person forms his/her cultural and social value system, based on which he/she develops
own personal value framework to judge a product or service being consumed (Thuy
and Hau, 2010).
In this case of local wine, a locally made product has a symbolic and emotional
meaning for local consumers (Hong and Wyer, 1990). They may link this product with
a sense of national identity and pride, building a strong emotional attachment with it
(Verlegh and Steenkamp, 1999). Thus, national identity may act as an affective base to
evaluate a product (Batra et al., 2000). In the same vein, Lantz et al. (2002) explain that
the extent of national identity a person feels may have implications for the tendency to
show a home country bias in products. National identity may be the underlying value
that motivates a more visible manifestation of nationalism. They have the tendency to
see the nation in a positive light and expressing an opinion of high product quality for
the domestic product.
 On the other side, Hamelin et al. (2011) argue that the general tendency to prefer National identity
domestic over imported products might exist only in developed countries. In and the
developing or emerging countries, consumers may be biased in their perception of
locally made product. For example, Klein et al. (2006) found that consumers in China perceived values
and Russia viewed domestic goods as inferior to imports. This may prompt consumers
to make a trade-off between their feelings of national attachment and product’s
evaluation. In the same vein, Batra et al. (2000) suggest that in developing countries, 769
the localness of a brand not only serves as a “quality halo”, but also contributes to
attitudinal like for status-enhancing reasons.
Given these mixed effects, it is worth to investigate the impact of national identity
on product evaluation in the case of local wine. Therefore, it is hypothesized that:
H1. Consumer’s national identity has a positive correlation with the consumer’s
evaluation of local wine.

National identity and consumer ethnocentrism

Keillor et al. (1996) identify a close association between national identity and consumer
ethnocentrism. However, the inequivalence in abstraction level and conceptual domain
as indicated in the previous section suggests that consumer ethnocentrism should be
an attitudinal consequence of national identity in the domain of economic exchange.
According to Lantz et al. (2002), a person’s national identity may be a deeply held
value while consumer ethnocentrism is a specific expression of that value. Therefore,
national identity precedes consumer ethnocentrism. Several studies have shown that
national identity is an important antecedent of consumer ethnocentrism. In an
integrative review, Shankarmahesh (2006) points out that characteristics associated
with a sense of national identity such as cultural openness (Sharma et al., 1995),
worldmindedness (Rawwas et al., 1996) and patriotism (Sharma et al., 1995) are capable
of explaining the existence of consumer ethnocentrism.
In the Slovenia market, Vida and Reardon (2008) found that cosmopolitanism, a
negative manifestation of national identity has a negative effect on consumer
ethnocentrism. However, the empirical results are yet to be consistent in different
research contexts. In Yemen, Cui and Adams (2002) found that national identity has an
impact (but not strong) on consumer ethnocentrism. They, however, suggest further
that the NATID scale should be modified in accordance with different cultural
contexts. Vida et al. (2008) provide empirical evidence from Bosnia and Herzegovina
that both national identity and nationalism are significant predictors of consumer
ethnocentrism. However, they were unable to find the negative link between world
openness, another negative manifestation of national identity and consumer
ethnocentrism. Inconclusive results were also provided by Dmitrovic et al. (2009)
who found the strong link between national identity and consumer ethnocentrism in
Croatia, Serbia, Bosnia and Herzegovina, but not in the Montenegro.
Given these inconclusive results, it is worth to investigate the connection between
national identity and consumer ethnocentrism in the emerging economy of Vietnam.
Thus, it is hypothesized that:
H2. Consumer’s national identity has a positive effect on consumer ethnocentrism.
APJML Perceived value
25,5 From the consumer perspective, the perceived value of a product is defined as the
consumer’s overall assessment of the utility of the product based on perceptions of
what is received and what is given (Zeithaml, 1988; Sweeney and Soutar, 2001). Chen
and Hu (2010) suggest that value can be formed by functional utility and
non-functional utility. Functional utility relates to tangible needs such as quality and
770 price, while non-functional utility refers to intangible aspects relating to reputation,
social and emotional needs. In the case of local wine consumption, the functional utility
is investigated in terms of physical product evaluation and non-functional utility is
considered under the construct of perceived non-physical value (Somogyi et al., 2011).
Based on various eating and drinking motivators suggested in the literature
(Renner et al., 2012; Somogyi et al., 2011) and the value framework proposed by
Williams and Soutar (2009), the current study focuses on two most relevant reflective
components of perceived value when a consumer drinks wine, namely emotional value
and social value.
Emotional value is a social-psychological dimension that reflects a product’s ability
to arouse feelings or affective states (Sheth et al., 1991). In wine consumption, emotional
value represents the extent of pleasure, indulgence, and relaxation or cheer a consumer
may feel while drinking it (Renner et al., 2012). On the other hand, social value is
defined as “the perceived utility acquired from an alternative’s association with one or
more specific social groups” (Sheth et al., 1991, p. 161). Consumer choices of goods
like wine to share with other people are often driven by social value (Williams and
Soutar, 2009). In a collectivistic culture like Vietnam, most people drink wine with other
people in a group. In these circumstances, wine is an important means for them to
socialize (Renner et al., 2012). Therefore, social value is an important utility of wine
consumption. Between the two components, emotional value is to reflect the fulfillment
of internal need for stress release, relaxation, pleasure, fun, etc. In contrast, social value
is associated with external need when consuming wine. It relates to the practice of
social relationships with others like social gathering, business events, etc. (Brunner and
Siegrist, 2011; Renner et al., 2012).

Perceived value and product evaluation

In the consumer’s cognitive process, the relationship between product evaluation and
perceived value can be explained by means-end chains theory (Gutman and Alden,
1985; Zeithaml, 1988) and cognitive appraisals. Accordingly, consumers choose a
product because they believe that specific attributes of the product can help them to
achieve desired values through the consequences of product use (Reynolds and
Gutman, 1984). That is, the physical product evaluation must precede the perception of
value that the consumer think she/he can obtain from the product use. In other words,
product evaluation has lower level of abstraction than that of perceived value.
Several studies have supported that favorable quality perceptions lead to improved
value attributions and higher levels of sacrifices lead to reduced value (Hu et al., 2009;
Cronin et al., 2000). Previous studies specifically show that product evaluation, which
comprises perceived quality and perceived price, is the key antecedent of perceived
value (Chen, 2008; Chen and Tsai, 2008; Jen and Hu, 2003; Hu et al., 2009). Gale (1994)
considers value as consumer’s perceived quality adjusted for relative product price.
Similarly, Chen and Hu (2010) correlate product evaluation including perceived quality
and perceived price fairness to the perception of functional value, while Rust et al. National identity
(2000) refers symbolic value to emotional and social utilities of the product; and the and the
lower abstract functional utility must precede the higher abstract symbolic utility.
Therefore, it is hypothesized that: perceived values
H3. Product evaluation has a positive effect on the perceived value of local wine.
771
Perceived value and consumer ethnocentrism
Consumer ethnocentrism stems from the concept of ethnocentrism in socio-psychology.
This concept is developed specifically within marketing domain which indicates the
“belief held by consumers about the appropriateness, indeed morality, of purchasing
foreign-made product” (Shimp and Sharma, 1987, p. 280). Consumer ethnocentrism
provides a sense of consumer identity and belonging that acts as a guideline for
attitudes and purchasing behaviors (Watchravesringkan, 2011). Accordingly,
ethnocentric consumers are likely to value highly products belonging to their own
group and to de-value products which do not belong to their group, leading to a bias in
their perception of the utility of a product (Nguyen et al., 2008).
Empirical studies in different contexts (i.e. developed, developing, mature, emerging
and transitional markets) have shown the impact of the ethnocentric tendencies of
consumers on their attitudes, intentions and actions (Vida and Reardon, 2008;
Batra et al., 2000; Pharr, 2005; Sharma et al., 1995). However, the strength of impact
depends on the market context, including the stage of economic development and the
values of consumers (Reardon et al., 2005; Shankarmahesh, 2006; Yelkur et al., 2006;
Wang and Chen, 2004).
Dmitrovic et al. (2009) point out that consumer ethnocentrism holds substantial
implications for the consumer’s perception of value, and purchase intentions. However,
whether this is applicable in the context of developing countries where attitude to local
products might be less favorable and many consumers are status oriented in their
consumption behavior (Goldsmith et al., 2010; Nguyen and Smith, 2012).
This issue is particularly relevant to the consideration of local wine consumption
because it is a Vietnamese product but has a French origin. The biased perception of
Vietnamese consumers on local products was empirically found by Nguyen et al.
(2008). In this study of local wine, it is expected that consumer ethnocentrism exerts a
positive influence on the consumer’s perception of local wine value because the main
utility of this product is based on non-physical aspects (i.e. social and emotional value).
Consequently, it is hypothesized that:
H4. Consumer ethnocentrism has a positive effect on the perceived value of local
wine.

Perceived value and willingness to buy

Willingness to buy represents the extent to which a consumer has positive attitude
towards purchasing a product. The marketing literature has established that perceived
value of a product/brand leads to behavior intentions towards that product/brand
(Nguyen et al., 2008; Williams and Soutar, 2009; Whittaker et al., 2007; Eggert and
Ulaga, 2002). Hu et al. (2009) find that perceived value has positive influences on
behavioral intentions (including willingness to buy) via three different routes, direct
and indirect via customer satisfaction and corporate image. Sheth et al. (1991) point out
APJML that for products that involve highly invisible utility (e.g. wine), choices are often
25,5 driven by social value and emotional value which in this specific case constitute the
perceived value. In this case, symbolic or hedonic meanings are the key motives of
consumption (Chen and Hu, 2010). Hall (2002) have also found that social and
emotional dimensions are intrinsically intertwined in consumption. Therefore, the
willingness to buy which reflects consumer’s attitude towards buying local wine is
772 expected to be strongly linked to its perceived value.
Thus, the H5 states:
H5. Perceived value of local wine has a positive influence on the customer’s
willingness to buy.

Method
The proposed model and hypotheses were tested using survey data obtained from
respondents who were Vietnamese customers of local wine. The sample comprised 251
cases. Data were collected in 2012 by means of a structured questionnaire. Convenience
sampling technique was employed at various points of purchase or consumption in
HoChiMinh city, the biggest city of the country. Face-to-face interviews with the
questionnaire were undertaken after the purchase or consumption of local wine.
Interviewers were university students who were taking the course research methods in
business.
In terms of measurement scale, national heritage, belief structure, cultural
homogeneity and consumer ethnocentrism were measured by 12 reflective items
adopted from Keillor and Hult (1999). Product evaluation including perceived quality
and perceived price were measured by six items borrowing from Sweeney and Soutar
(2001). Finally, emotional value, social value and willingness to buy were measured by
nine reflective items adopted also from Sweeney and Soutar (2001). These scales, which
were translated into Vietnamese using translate and back-translated procedure, are in
seven-point Likert type (Table II).

Results
The sample characteristics are summarized in Table I which indicates that the sample
was reasonably controlled in terms of gender, age, and income level. It is also noted
that the sample is skewed towards relatively higher educated consumers (i.e. 75.7
percent university graduates). This in fact reflects the real situation of this case in

Characteristic Frequency % Characteristic Frequency %

Gender Education
Male 142 56.6 Below university 61 24.3
Female 109 43.4 University 190 75.7
Age group Income (USD/month)
20-29 99 39.4 Less than 200 70 27.9
30-39 91 36.3 200-400 127 50.6
40-more 61 24.3 Over 400 54 21.5
Table I.
Sample characteristics Note: n ¼ 251 cases
Vietnam where wine is consumed mainly by educated people with modernized life National identity
style (Do et al., 2009). and the
perceived values
Validity and reliability of measures
The 27 items measuring nine constructs were submitted to confirmatory factor
analysis (CFA) using AMOS software program (Arbuckle and Wothke, 1999) to assess 773
the measurement model representing relations among all constructs and their
associated items. The kurtosis values of all variables were within 2 0.74 to þ 0.86 and
their skewness values ranged from 2 0.94 to 2 0.06. Although the data exhibited slight
deviations from normal distribution, it was appropriate for maximum likelihood (ML)
estimation to be applied (Kline, 1998).
Refinement was made by eliminating six items due to low loading (item32 –
willingness to buy) or high covariance of error terms (item03 – national heritage,
item06 – belief system, item08 – cultural homogeneity, item14 – emotional value and
item17 – social value). Finally, CFA of the measurement model which included the
remaining 21 items yielded the following measures: x 2(df ¼ 153) ¼ 209.77; p , 0.002;
normed x 2/df ¼ 1.37; goodness-of-fit index (GFI) ¼ 0.93; Tucker-Lewis index
(TLI) ¼ 0.97; comparative fit index (CFI) ¼ 0.98; root mean square error of
approximation (RMSEA) ¼ 0.04. The standardized loadings of the remaining items,
scale reliabilities and AVEs are presented in Table II. It was also noted that no
offending estimates were found (i.e. no negative error variances or Heywood cases)
(Hair et al., 2010). All these statistics showed that the measurement model fits the data
set in this empirical study.
As shown in Table II, all item loadings on their designate constructs range from
0.64 to 0.95. Moreover, correlation coefficients between the 36 pairs of constructs range
from 0.12 to 0.73 which are well below 1.00. Composite reliabilities of the nine scales
range from 0.60 and 0.93 which are acceptable for exploratory research (Kline, 1998).
Thus, convergent validity, discriminant validity and reliability of scales are
satisfactory.

Common method variance

According to Fiske (1982), if measures of constructs are derived from self-reported data
and the analysis involves correlations among them, then the common method variance
(CMV) could be a problem. To address this problem, the Harman single factor CFA was
performed. The results showed that the fit of the single-factor model was highly
unsatisfactory ( x 2 ¼ 1,575.4; dF ¼ 189; GFI ¼ 0.58; CFI ¼ 0.49; TLI ¼ 0.43;
RMSEA ¼ 0.17), indicating that CMV is not the major source of the variations in
the observed items. Moreover, given that Harman’s test is highly conservative in
detecting biases, the marker-variable technique (Malhotra et al., 2006), was also
employed. Accordingly, the smallest correlation among the manifest variables
provides a reasonable proxy for CMV (Lindell and Whitney, 2001). In this study, the
smallest correlation is 0.027 ( p ¼ 0.672) between item14 (ethnocentrism) and item28
(price); and equally 0.027 ( p ¼ 0.665) between item08 (belief system) and item31
(willingness to buy). These two very small values again indicate that CMV is not a
major problem in our study.
APJML
Item wording Std. loading
25,5
National heritage (comp. reliability ¼ 0.71, AVE ¼ 0.55)
Important people from the country’s past are admired by people today 0.75
One of the country’s strengths is that it emphasizes events of historical 0.74
importance
774 The country has a strong historical heritage Eliminated
Belief system (comp. reliability ¼ 0.60, AVE ¼ 0.43)
Religious education is essential to preserve the cohesiveness of Vietnamese 0.67
society
A specific religious philosophy is an important part of being Vietnamese 0.64
A true Vietnamese would never reject their religious beliefs Eliminated
Cultural homogeneity (comp. reliability ¼ 74, AVE ¼ 0.59)
Vietnamese in general feel that they come from a common cultural background 0.76
Vietnamese are proud of their national culture Eliminated
People frequently engage in cultural activities that identify them as 0.78
Vietnamese
Consumer ethnocentrism (comp. reliability ¼ 0.84, AVE ¼ 0.64)
Buying foreign products hurts Vietnamese business 0.70
Vietnamese people should not buy foreign products as it causes unemployment 0.87
Buying foreign products lets other countries getting rich off us 0.83
Emotional value (comp. reliability ¼ 0.79, AVE ¼ 0.65)
In comparison with the money, time and effort I spend [. . .]
Local wine is one that I would enjoy 0.83
I would feel relaxed about using local wine Eliminated
Local wine would give me pleasure 0.78
Social value (comp. reliability ¼ 0.90, AVE ¼ 0.81)
In comparison with the money, time and effort I spend [. . .]
Local wine would help me to feel acceptable 0.88
Local wine would give me social approval 0.95
Local wine would improve the way I am perceived Eliminated
Perceived quality (comp. reliability ¼ 0.93, AVE ¼ 0.82)
Local wine has consistent quality 0.87
Local wine is well produced 0.95
Local wine has an acceptable standard of quality 0.91
Perceived price (comp. reliability ¼ 0.87, AVE ¼ 0.69)
Local wine is reasonably priced 0.77
Local wine offers value for money 0.87
Local wine is a good product for the price 0.86
Willingness to buy (comp. reliability ¼ 0.76, AVE ¼ 0.61)
I would be willing to buy local wine if it is available at the store 0.72
I would recommend local wine to friends or relatives Eliminated
Table II. I would buy local wine even if there is another brand at the same quality and 0.84
Scale items price

Structural model estimation

The structural model was estimated using ML estimation. In this model, national
identity, product evaluation and perceived value were specified as multidimensional
reflective constructs, while consumer ethnocentrism and willingness to buy were
unidimensional constructs. Model estimation yielded a good fit: x 2(df ¼ 177) ¼
261.74; p ¼ 0.000; Normed x 2/df ¼ 1.48; GFI ¼ 0.912; TLI ¼ 0.963; CFI ¼ 0.969;
RMSEA ¼ 0.044.
 The resulting standardized estimates (Table III) indicate that national identity has a National identity
significant effect on product evaluation (b ¼ 0.66; p , 0.001). National identity also and the
has a significant direct effect on consumer ethnocentrism (b ¼ 0.30; p , 0.002). Then,
product evaluation has a significant effect on perceived value (b ¼ 0.68; p , 0.002). perceived values
Consumer ethnocentrism also has a low but still significant effect on perceived value
(b ¼ 0.24; p , 0.010). Taken together, product evaluation and consumer
ethnocentrism explain 58 percent of the variance in perceived value. The result also 775
shows that there is no-direct impact of national identity on perceived value (b ¼ 0.03;
p ¼ 0.83). Thus, the impact of national identity on perceived value (b ¼ 0.52;
p ¼ 0.001) manifests via the mediation of product evaluation and consumer
ethnocentrism. In turn, perceived value is the key predictor of consumer willingness
to buy local wine (b ¼ 0.82; p , 0.002), which explains 67 percent of its variance. The
indirect impact of consumer ethnocentrism on willingness to buy (via perceived value)
is b ¼ 0.20 ( p ¼ 0.008); and that of product evaluation on willingness to buy (via
perceived value) is b ¼ 0.56 ( p ¼ 0.001).
It is, thus, concluded that all five hypotheses are supported by the data in this
empirical study.
The results show further that national identity (second-order construct) is reflected
substantially and balancedly by its three components (first-order constructs), namely
national heritage (b ¼ 0.80; p , 0.002), belief system (b ¼ 0.81; p , 0.002) and
cultural homogeneity (b ¼ 0.89; p , 0.002). Moreover, perceived quality and perceived
price have satisfactory loadings on its second-order construct of product evaluation, in
which perceived quality has higher loading (b ¼ 0.85; p , 0.002) than perceived price
(b ¼ 0.62; p , 0.002). Emotional value and social value load satisfactorily on perceived
value of the product, in which emotional value is more substantial (b ¼ 0.86;
p , 0.002) than social value (b ¼ 0.66; p , 0.002). It is, therefore, concluded that all
first-order constructs in the model have substantial loadings on their designated
second-order constructs.
Although not being hypothesized in this study, the moderating effects of
demographic variables were further explored using multiple group analysis in SEM.
The results show that there is no significant difference in the structural paths across
consumer groups of age and gender. However, across groups of income levels,
significant difference is found in the path from national identity to perceived value via

Path Std. coeff. p-value Hypothesis test

National identity ! product evaluation 0.66 0.001 Support H1

National identity ! consumer ethnocentrism 0.30 0.002 Support H2
Product evaluation ! perceive value 0.68 0.002 Support H3
Consumer ethnocentrism ! perceived value 0.24 0.010 Support H4
Perceived value ! willingness to buy 0.82 0.002 Support H5
National identity ! national heritage 0.80 0.002
National identity ! belief system 0.81 0.002
National identity ! cultural homogeneity 0.89 0.002
Product evaluation ! perceived quality 0.85 0.002
Product evaluation ! perceived price 0.62 0.002
Perceive value ! emotional value 0.86 0.002 Table III.
Perceive value ! social value 0.66 0.002 AMOS estimation results
APJML product evaluation. Accordingly, the strongest effect (b ¼ 0.80) occurs in lowest
25,5 income group, then to medium income group (b ¼ 0.49), and the weakest effect occurs
in highest income group (b ¼ 0.43).

Discussion
The discussion of results is organized around four key issues. First, taking the view
776 of within-nation heterogeneity, this study attempts to tackle the question of how a
consumer’s adherence to national identity (or in short, consumer’s national identity)
can help explain his/her perceived value of foreign product with local brand (i.e. local
wine in this specific study). By broadening from culture-based to nation-based
consideration of consumer behavior, the results of this research indicate that national
identity can explain 58 percent of the variance in perceived value. However, it does
not have a direct impact on perceived value. Rather, it influences perceived value
through the mediation of product evaluation and consumer ethnocentrism. This
means national identity is a high abstract construct which resides within individual
consumer as a base for the personal framework of reference to judge the physical
product quality in relation with its price. More specifically in this specific case of local
wine, the resulting essential positive effect of national identity on product evaluation
indicates that the influence of the consumer’s national identity is stronger than the
general perception of poor quality of locally made product in developing/emerging
countries as pointed out by Klein et al. (2006) or Nguyen and Smith (2012). National
identity also forms the level of consumer ethnocentrism which in turns, influences the
consumer’s perceived value of local branded product (i.e. Vietnamese wine in this
study). However, the weak path from national identity via consumer ethnocentrism to
perceived value indicates that in this product category and under the trends of
globalization and modernization of life style, national identity does not manifest
strongly via consumer ethnocentrism. In turn, the perception of consumers on
product value is not shaped by their ethnocentrism level. This result is consistent
with Wong et al. (2008) in China whose tested products were automobile and camera.
Second, the current study departs from previous studies by drawing a
distinction between ethnocentrism and consumer ethnocentrism. While
Keillor et al. (1996) consider ethnocentrism as a component of national identity, the
operationalization of this construct captures business/economic exchanges only. Given
that consumer ethnocentrism is a domain-specific construct, it should be a consequence
of ethnocentrism. In this specific study, national identity is reflected by three
components (i.e. national heritage, belief system and cultural homogeneity). Empirical
results of the current study totally support this interpretation by showing that national
identity has a much smaller regression coefficient on consumer ethnocentrism (b ¼ 0.30,
below the threshold of 0.50) than on national heritage (b ¼ 0.80), belief system
(b ¼ 0.81) and cultural homogeneity (b ¼ 0.89). In the literature, the same pattern was
also found in the empirical results of previous studies (Cui and Adams, 2002; Thelen and
Honeycutt, 2004). Moreover, additional tests reveal that none of the three components
(i.e. national heritage, belief system and cultural homogeneity) had significant direct
effect on perceived value, while consumer ethnocentrism had a significant direct effect
on perceived value (b ¼ 0.24, p , 0.010).
Third, it is found in this study that perceived value of local wine consumption is
mainly related to emotional value and social value, meaning that non-physical motives
drive Vietnamese people to drink local wine. The strong positive link between emotional National identity
value and social value of wine consumption is consistent with previous study by Do et al. and the
(2009) who found that the Vietnamese drinkers associate wine with words like
“romantic”, “modern” and “success”. In contrast, French drinkers think of wine as perceived values
“tradition”, “hedonic pleasure” and “taste”. Similar study was also found in Switzerland,
a European country with a traditional wine culture (Brunner and Siegrist, 2011).
However, while the current study finds a positive association of social value and wine 777
consumption in Vietnam, social motive was negatively related to wine consumption in
Switzerland (Brunner and Siegrist, 2011). This different result may be attributed to the
impact of national aspects like culture, belief and national heritage, which all together
form the national identity of each country. It is further noted that consumers’ perception
of the value of local wine is strongly associated with emotional value than social value,
despite the fact that in a collectivistic culture like Vietnam, wine is an important means
for them to socialize (Renner et al., 2012). The results in this case may be attributed by the
moderating role of status-seeking motive of Vietnamese consumers (Nguyen and Smith,
2012; Nguyen and Tambyah, 2011; Shukla, 2010).
Finally, the results show that the effect of national identity on product’s perceived
value via product evaluation varies significantly across consumer groups of different
incomes. Stronger effect is found in poorer people. In contrast, the role of national
identity is weaker in richer people. This is in line with the finding of previous studies
(Hamelin et al., 2011; Shankarmahesh, 2006). Together with the indifferences found in
other groups of age and gender, this result suggests that the role of demographic
groups in the current research topic need more investigations.

Conclusion
This study is an attempt to respond to the need for knowledge of consumption
behavior under different social and cultural configurations (Cohen et al., 2009; Yaprak,
2008). It provides empirical evidence for a case of local wine consumption in Vietnam
and its predictive factors. Apart from the multiple influences of country-of-design
images, country-of-manufacturing images and the relative levels of economic
development of involved countries (i.e. developed vs developing), the consumption
behavior of this hybrid product is also linked to the context of an emerging economy in
the South East Asian culture under the trend of globalization (i.e. status orientation;
modernization of life style). This multi-facet indigenous research setting certainly
provides special value to the global knowledge of food consumption behavior (Tsui,
2004). It is, in fact, a necessary step before the global knowledge can be claimed
(Burgess and Steenkamp, 2006).
From the managerial perspective, the knowledge obtained from this study serves as
a basis for wine marketers (and other products in the same category) in Vietnam to
invest their firm’s limited resources and effort on designing and implementing
communication programs for local wine. Particularly, in their communication
messages, marketing managers should emphasize the emotional and social values of
the product which adhere to Vietnam national identity in its relation to product
evaluation. The research findings can also be a source of reference for marketers of
products with similar context in other developing countries.
As with many other studies, the current research cannot avoid a number of potential
limitations, based on which further research is suggested. First, regarding the
APJML conceptualization of key concepts, this study specified national identity and perceived
25,5 value as second-order reflective constructs. With due conceptual consideration, an
alternative approach may be considered to apply formative specification to these two
constructs to fully understand the relative contributions of each component of national
identity and perceived value in this research setting. Second, further research should
investigate the moderating effect of factors like consumption occasions (i.e. private,
778 public), consumer knowledge of wine and other social demographics (Cohen et al., 2009;
Ritchie, 2009; Hamelin et al., 2011). Finally, further research is also suggested to
revalidate these research findings by using two or more subjects design, i.e. Vietnamese
consumers towards local wine vs foreign wine.

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Wang, W., He, H. and Li, Y. (2013), “Animosity and willingness to buy foreign products:
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About the authors National identity
Nguyen-Hau Le is an Associate Professor of Marketing. Hau received his Master (Hons.) and
PhD in the University of Western Sydney, Australia. His research interest covers service and the
marketing, international marketing and knowledge management. He has published in various perceived values
journals such as Journal of World Business, Journal of Business Research, Service Business,
International Journal of Bank Marketing, Asia Pacific Business Review and Asia Pacific Journal of
Marketing and Logistics. Nguyen-Hau Le is the corresponding author and can be contacted at:
lnhau@hcmut.edu.vn 783
Hai-Minh Thi Nguyen is PhD candidates at the School of Industrial Management, HoChiMinh
City University of Technology, Vietnam.
Tuan Van Nguyen is PhD candidates at the School of Industrial Management, HoChiMinh
City University of Technology, Vietnam.

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