Factors that affect the purchase intention of Vietnamese customers in Ho Chi Minh city between global products and vietnamese products

Abstract

Local brands in every nation must compete with global brands for market potential in the global economy. Understanding the aspects that influence purchase intention for both local and global companies will assist practitioners in positioning themselves for survival and growth. In the Vietnamese market, understanding what motivates customers to choose local brands may help Vietnamese and global marketers grow their domestic sales in the face of increased competitive challenges from global brands. Using qualitative research methods, we identify factors that influence the purchase intention of consumers between these two kinds of products including Perceived Brand Globalness, Perceived Brand Localness, Brand Authenticity, Brand Credibility, Customer Ethnocentrism, Alternative Attractiveness. The research uses a sampe of 480 consumers in Ho Chi Minh City and uses quantitative research methods to analyze. The result of research shows the connection between these factors and the degree of influence on consumers’ purchase intention. Based on the results, the research clarifies the limitation and gives some recommendations for Vietnamese businesses to improve their products. The results point out the determinants of purchase intentions of global and local brands in the Vietnamese context. Our study is useful for Vietnamese businesses to build their strategy for improved performance when competing with global brands.