Country of Origin Effect on Ethiopian Consumers’ Evaluation of Indian Pharmaceutical Drug
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Date
2014-06
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Addis Ababa University
Abstract
The research was undertaken to discover the effect of country-of-origin (COO) on Ethiopian consumers’ evaluation of Indian pharmaceutical drug. The study is grounded on past research which suggests that COO influences consumers’ product evaluations more than it influences purchase intentions. The research is quantitative research and explanatory research approach were used carry out the research activities as well as to meet the desired objective. The importance of antecedents and moderators of the COO are investigated. 337 Ethiopian consumers who purchase pharmaceutical drug were surveyed using a structured self-completion questionnaire; all the respondents were surveyed in Addis Ababa, capital city of Ethiopia. Ethiopian consumers have a positive image of India but have a negative impression regarding Indian pharmaceutical drug, which has an influence on their evaluation of the pharmaceutical drug. In addition, Ethiopian consumers are COM and quality conscious when evaluating medical products. The extrinsic cues of COM and brand and price strongly influence Ethiopian consumers’ pharmaceutical drug evaluation. However, the study also finds that most Ethiopian consumers have a low level of knowledge of pharmaceutical drug and rely considerably on a product’s COO in their evaluation of this product category. This study suggests that the awareness levels of Indian pharmaceutical drug need to be raised possibly by Indian pharmaceutical product importers and the companies could leverage from the Ethiopian consumers’ perception of pharmaceutical drug from India being cheap/Low price. The research covered only two aspect of the COO construct (COM and COB) which can be raised as a limitation of the study
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Keywords
Country of origin, Ethiopian consumers, Pharmaceutical drug and product evaluation