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The Region-of-Origin Effect: Implications for Regional Development Policies

The Region-of-Origin Effect: Implications for Regional Development Policies
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Author(s): José Manuel García-Gallego (University of Extremadura, Spain)and Antonio Chamorro‑Mera (University of Extremadura, Spain)
Copyright: 2016
Pages: 26
Source title: International Business: Concepts, Methodologies, Tools, and Applications
Source Author(s)/Editor(s): Information Resources Management Association (USA)
DOI: 10.4018/978-1-4666-9814-7.ch090

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Abstract

The main objective of this chapter was to determine the variables that explain and moderate the intention to purchase regional a specific product, in particular, wine. Some of the selected variables were directly related to regional development. To achieve that goal, and based on the literature review, authors designed a structural model to study the ROO effect in the Spanish wine market. The model proposes direct and indirect effects of the following antecedent variables on the purchase intention: the region's image, the region's image as a producer in this product category, the perceived quality of the region's products, and consumer ethnocentrism. The results of this study contribute to guiding decision-making on the strategies to be implemented by regional public institutions in collaboration with the wine industry, both of them responsible of creating value for the region.

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