Contribution to Book
Globalization: Capital Flow, Competition and Regulation
Free trade as embraced by globalization is altering the world's economies at an unprecedented pace. Yet, this inertia may be stymied by consumers who feel threatened by the changes in their domestic economies and by imported products. This study examines factors shaping consumer acceptance of imported products. With samples derived from Singapore and New Zealand, we explore the impact of consumer ethnocentrism, domestic product quality, the necessity of a product, and cultural openness on acceptance of imports. The findings reveal that only consumer ethnocentrism has a strong association with opposition to imports. The other factors show some impact but in a more muted sense. Implications are presented.