Abstract
Wars and political conflicts are crucial factors that shape consumer choices and responses. Tensions among countries may lead consumers to boycott the products of certain countries and brands that support those countries. The major goal of this chapter is to explain how war and other types of political conflicts among countries can affect consumer brand relationships. While discussing the economic repercussions of conflicts and war, this chapter will explore the literature streams of country of origin, consumer animosity, consumer power and boycotts, and brand activism. Contemporary instances of how brand-consumer connections change during times of conflict will be examined. In conclusion, the chapter will provide practical insights for brands to survive wartime and be less vulnerable to international political tensions.
TopIntroduction
Conflicts among countries are present throughout the world. War and tensions that may stem from economic controversies, religious conflicts, or territory disputes remain endemic in many regions. Although military wars are less frequent in this century, international tension leads to cyber and economic wars. Tensions and wars among countries may lead consumers to alter their consumption preferences and defend their values through the power of demand.
When consumers are influenced by political tensions or in an extreme case, wars, they first opt for products and brands either domestically produced or imported from countries they hold favorable attitudes. Country of origin (COO) effects and consumer animosity works of literature provide evidence that the origin of a product can affect consumers' choice, and when consumers feel animosity towards a country, they are more likely to reject to purchase products originating from this country (Riefler & Diamantopoulos, 2007). If a product is originated in a county that consumers have positive associations, the purchase likelihood is higher. In the next section, we will briefly discuss the COO effect and consumer animosity, their implications in marketing, and the potential impact of war and political tensions on those constructs.
Key Terms in this Chapter
Consumer Empowerment: is the process enabled through technology as developments in web and social media enable consumers to access high level detailed information, communicate directly with the corporations, share experiences with other consumers, and act as groups
Country of Origin Effect: is the impact of the information related to the origin country of a product on consumers’ emotional and cognitive responses.
Consumer Animosity: refers to the negative emotions and responses of consumers to a country and products originated from that country as a result of political or economical conflicts between two countries.
Brand Activism: is a brand’s efforts to take a position on social, political, economical or environmental issues and actively support an idea or a cause.
Consumer Culture: is where people build their identities and values as a result of what they are purchasing and consuming.
Consumer Power: refers to the consumers' ability and capacity to influence business actions. Consumers can execute their power through purchasing, information sharing, networking, and crowd structuring.
Consumer Boycott: is a shared action by several consumers at a given period of time where they collectively stop purchasing, with the aim of directing business companies or corporations to act according to their request.