Animosity in International Business

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Category: Business and Industry

Date Submitted: 10/03/2012 07:46 PM

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ABSTRACT

Animosity that distinguished foreign products between those that are favored and those that are rejected on the basis of a specific country of origin is among challenges that would continuously jeopardize the success of international business as they compete in the highly globalized markets. Animosity could cause not only challenges but also difficulties for firms thus would require deliberate actions in tackling such issue. There is various elements that contributes to animosity be it in the forms of political sentiments, threat on national sovereignty, cultural clashes, religious sensitivity and many more. Therefore, in order to be competitive and not losing the hard built acceptance in host countries, firms would sometimes being force to realigned their corporate strategies in tandem with the shift in events that usually triggers animosity.

INTRODUCTION

Animosity is defined as ‘a hostile attitude comprising emotion and belief components towards foreign entity’. (Jung et al., 2002) Animosity frequently would negatively affect consumer tastes and preferences on available good and services in the market thus in a way would influences their purchasing intentions. (Klein et al., 1998)

Consumer animosity is positively related to consumer ethnocentrism yet it is somewhat differ from each other. Animosity usually transpire from historical and current economic, militaristic, religious or political disputes that causes consumers to negatively realigned their preferences and thus adversely changes their purchasing patterns of goods and services from the hostile nation. (Ettenson & Klein, 2005; Riefler & Diamantopoulos, 2007)

Consumer ethnocentrism although also negatively influence consumer intent to purchase, it is more of a normative belief of patriotism embedded within the local that consuming and purchasing locally made products is much more preferable compared to foreign made products. (Shimp & Sharma, 1987)

Intuitively it is obvious that consumer...