Trade liberalisation has helped nations to assert themselves in
international communities. However, trade liberalisation also brings
many challenges. Market globalization has changed the competitive
conditions of local enterprises. The availability of imported goods at
reasonable prices, as well as the rapidly increasing global marketing
activities, have created a context of aggressive competition in the
local market.
In this situation, consumer biases towards domestic products are
an important factor in deciding the consumers' buying behaviour
towards local products (Josiassen, 2011). Marketers and
policymakers have used people’s affection to promote domestic
consumption because it does not involve a tariff barrier, so it does
not violate any trade agreement. The campaign "Vietnamese people
give priority to using Vietnamese goods", which was first launched
nationwide by the Vietnam Politburo in 2009, is an proof of this
strategy. Therefore, researchers are very interested in investigating
the emotional bias of consumers for domestic production, especially
focus on a consumer ethnocentrism model. These research which
were conducted in many countries, even in Vietnam, found out the
strong positive relationship between the patriotism and
ethnocentrism of consumers (Auruskeviciene et al., 2012; Balabanis
et al., 2001; Cao Quốc Việt and Nguyễn Thị Quý, 2017; Dmitrovic et
al., 2009; Erdoğan and Burucuoğlu, 2016; F-Ferrín et al., 2015; Ishii,
2009; Pentz et al., 2017; Rybina et l., 2010).
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ration, conflict, prejudice or discrimination in a process
called social comparison (Tajfel, 1982).
3.1.2 Consumer ethnocentrism (CET)
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Shimp and Sharma (1987) defined consumer ethnocentrism as a
unique economic form of ethnocentrism that captures the beliefs of
consumers about the appropriateness and morality of purchasing
foreign products. Consumers having an ethnocentric attitude consider
that the products produced in their own country are good and consider
the purchasing of foreign products as wrong because they can
adversely affect workers’ jobs, restrain the development of domestic
businesses, and endanger the economy.
3.1.3 National identity and patriotism (PAT)
In marketing literature, national identity has been discussed using
the concept of patriotism (Kim t al., 2013, pp.77) because patriotism
is one of the main sources of national identity (Petya, Marco, 2014).
Patriotism is often perceived as a love of one’s country and devotion
to it, but it can take many forms (Schatz, Staub, and Lavine, 1999).
Vida and Reardon (2008) noted that the concept of patriotism was
attached to culture, so it should be operationalised in market
scenarios. Because of the broad perspectives on the concept of
national identity and patriotism, up to now, in addition to a number
of works measured patriotism in a particular way, four main points
can be listed in the measurement. They are point of Adorno et al.
(1950), Kosterman and Feshbach (1989), Keillor et al. (1996) and
Karasawa (2002).
The author noticed Keillor et al. (1996) based on SIT when
developing the measure of patriotism, but the scale was designed
quite complicated with four diemensions that one of which bias
consumer ethnocentrism. So the author decided to reference simply
this scale to measure Vietnamese patriotism. Therefore, the author
continued to review marketing science studies that referenced the
scale of Keillor et al. (1996) to find the most reasonable reference.
Through the review, it could be seen that most these studies had the
statements expressing main ideas such as: Love for the country;
Pride in nationality; The meaning of being a citizen of that country;
The connection with the country. These statements exhibit similar
psychological characteristics of patriots in many different countries,
including Kazakhstan (Rybinal et al., 2010). The author assumed that
Kazakhstan and Vietnam have a number of geographical - historical
and political similarities that can make people's psychology similar.
So the application the Kazakh patriotism scale for Vietnamese case
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could be a reasonable choice. As a result, the author decided to use
the measurement scale of the construct of patriotism in the work of
Rybina et al. (2010) for Vietnamese people.
3.1.4 Consumer cosmopolitanism and open-mindedness
3.1.4.1 Cosmopolitanism (COS)
In the 20th century, sociology literature defined cosmopolitans as
people who oriented themselves outside their community rather than
being influenced solely by local traditions and values (Riefler và ctg.,
2012). Cosmopolitanism is like a form of openness to different
cultures, along with a desire to work to seek experiences from other
cultures rather than from one's own culture (Hannerz, 1990;
Roudometof, 2005; Thompson and Tambyah, 1999). In the
preliminary study, the author used the CYMYC scale (Cannon et al.,
1994) to measure consumer cosmopolitanism.
3.1.4.2 Open-mindedness (OPEN)
After conducting preliminary study, in order to increase the
monological validity of the construct of consumer cosmopolitanism,
the author reviewed the literature to find out a newer measurement
scale called C-COSMO (Riefler và ctg., 2012). This scale defines
consumer cosmopolitanism as a three-dimensional, second-order
construct capturing the extent to which a consumer (1) exhibits an
open-mindedness towards foreign countries and cultures, (2)
appreciates the diversity brought about by the availability of products
from different national and cultural origins, and (3) is positively
disposed towards consuming products from foreign countries
(Riefler et al., 2012).
According to Riefler et al. (2012), the first dimension named
"open-mindedness" is an important characteristic of consumer
cosmopolitanism. Riefler et al. (2012) established a scale for the
construct of open-mindedness with statements revolving the
consumer desire for cultural exchange and travelling to interact with
people and other cultures. The author decided to choose open-
mindedness to represent the consumer cosmopolitanism in the formal
stydy (second quantitative study).
3.1.5 Consumer patriotism (COPAT) and its position in SIT
3.1.5.1 The definition of consumer patriotism
Clift, Woll (2012a, pp.308-33) defined “economic patriotism as
economic choices which seek to discriminate in favour of particular
9
social groups, firms or sectors understood by the decision-makers as
insiders because of their territorial status. Economic patriotism
entails a form of economic partiality: a desire to shape market
outcomes to privilege the position of certain actors”.
The author used the main idea of the definition of consumer
patriotism from the empirical studies of Han (1988); MacGregor,
Wilkinson (2012); Tsai, (2010) and improved the definition of the
nature of social identity in consumer patriotism proposed by Clift,
Woll (2012a) to get the definition of consumer patriotism:
Consumer patriotism is the biased consumer choices made to support the
domestic economy by buying domestic goods to help domestic
businesses and workers, and the emotional reasons for that biased choice.
3.1.5.2 The relationship of consumer patriotism with other constructs
of SIT
In social identity theory, the origin of both consumer
ethnocentrism and patriotism arises from the attachment of
individuals to their in-group, which in this case is their mother
country, but consumer cosmopolitanism focuses primarily on a
person's relationship with outside groups (ie, foreign countries) (Z-
Roth et al., 2015). In terms of direction, patriotism is concerned with
bias that favors the in-group (Bizumic et al., 2009; Brewer, 1999),
but consumer ethnocentrism and cosmopolitanism are a bias against
out-groups (Z-Roth et al., 2015). A similar classification is also used
for the construct of consumer patriotism. Consumer patriotism is the
economically positive bias that is based on an individual's attachment
to his/her in-group. Consumer patriotism is only directed toward the
relationship with the in-group and not directled toward the out-group.
From these ideas, the authors identified the potential relationships
between the these constructs like that:
(1) The relationship between patriotism and consumer patriotism: Z-
Roth et al. (2015) proposed that the national identity of a person
brings bias for his/her in-group. In the current study, consumer
patriotism is an economic in-group bias so it is considered to be the
result of national identity. The author can summarize the relationship
as follows: people who are more patriotic will be more biased
towards domestic economic support. In other words, the consumer
patriotism will be positively influenced by their patriotism.
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(2) Relationship between consumer patriotism and consumer
ethnocentrism: Z-Roth et al. (2015) stated that consumer
ethnocentrism is an out-group bias against foreign countries.
However, consumer patriotism is the individual's positive bias for
his/her in-group. Therefore, there is potential for these two factors to
be positively correlated.
(3) Relationship between consumer patriotism and consumer
cosmopolitanism:
Roudometof (2005, pp.122) argueed that the open-mindedness
and variety seeking of consumer cosmopolitans make it difficult for
them to take a "viewpoint of unconditional support for one's country".
On the contrary, consumer patriotism is the positive in-group bias.
Therefore, the author hypothesized that consumer cosmopolitanism
would reduce the consumer patriotism.
3.2 Theory of evaluating the measurement model
3.2.1 Requirements for the measurement scale
3.2.1.1 Content validity
Assessing the appropriateness of the measurement variables
designed for a measurement scale of construct with the definition of
that construct.
3.2.1.2 Unidimensionaltity
The overall fit of the model provides the necessary and sufficient
conditions to determine whether a set of observed variables is
unidimensional (Steenkamp and Van Trijp, 1991). However, this is
true only if there is no correlation between the residuals of the
observed variables.
3.2.1.3 Reliability
The researchers used the following criterion: item-total
correlation> 0.5 (Hair et al., 2010); Cronbach's alpha coefficient> 0.7
(Hair et al., 2010); AVE> 0.5 (Bagozzi and Yi, 1988); CR> 0.6
(Bagozzi and Yi, 1988).
3.2.1.4. Validity
Convergent validity: Hair et al. (2010) proposed that the
condition for convergent validity of scales is FLs ≥ 0.5 or ideally, 0.7.
Discriminant validity: It involves confirming whether the
population correlation among constructs is truly different from a
value of 1. The Fornell–Larcker criterion (1981) requires that the
AVE of a construct should be higher than the highest squared
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correlation between this construct and other constructs to ensure this
construct has discriminant validity.
Content validity: Steenkamp and Van Trijp (1991, p.294) say the
content validity is assessed by statistical testing the relationship
between construct and other constructs in the theoretical system.
3.2.2 Exploratory factor analysis technique for preliminary
assessment of measurement scale
Assessing the discriminant validity: The number of factors
extracted by EFA must be consistent with the original hypothesis of
the number of factors, combined with the condition that the observed
variables download exactly the latent concept that it is designed for
measuring (Nguyen Dinh Tho, 2011).
Assessing the measurement model by EFA requires that the
cumulative percentage of variance is higher than the threshold of
50% (Gerbing and Anderson, 1988). Hair et al. (2010, pp.117) noted
that Factor loadings FL greater than 0.5 to meet the requirement of
convergent validity for the construct scales.
3.2.3 Covariance based structural equation modeling
3.2.3.1 Basic steps of SEM
Step 1. Specify the model.
Step 2. Evaluate model identifcation
Step 3. Select the measures and collect, prepare, and screen the data.
Step 4. Estimate the model:
a. Evaluate model ft (if poor, skip to step 5).
b. Interpret parameter estimates.
c. Consider equivalent or near-equivalent models (skip to
step 6).
Step 5. Respecify the model (return to step 4).
Step 6. Report the results.
3.2.3.2 Path model (PA)
A path model (PA) is a structural model for observed variables,
and a structural model represents hypotheses about effect priority.
In the PA model, the variables analyzed are observed variables
but not the latent variables are measured through a set of observed
variables.
Calculate the PA degrees of freedom:
dfM = Number of observations - Number of free model parameters
12
Types of PA: There are two basic types of path models: recursive
and non-recursive.
There are two basic requirements for the identification of any
kind of structural equation model, not only PA: (1) dfM ≥ 0, and (2)
every unobserved (latent) variable must be assigned a scale (metric).
The sample size of PA: the relationship between sample size and
model parameters is 20:1. Bollen (1989) said that this relationship
must be at least a 5:1 ratio.
Estimation procedure: the most common procedure is the MLE.
The goodness-of-fit of PA: χ2M =(n-1)FML to test the hypothesis
H0: The model is correct; χ
2
M /dfM < 2 or 3 or even 5 (Bollen, 1989);
0,06 0,9 show
the goodness-of-fit of model (Hair et al., 2010).
3.2.3.3 The measurement model of latent variables and confirmatory
factor analysis model (CFA)
Identification of CFA models: Necessary Requirements: (1) the
number of free parameters is less than or equal to the number of
observations, and (2) every latent variable, which includes the
measurement errors and factors, must have a scale. Sufficient
Requirements: If a standard CFA model with a single factor has at
least three indicators, the model is identified. If a standard model
with two or more factors has at least two indicators per factor, the
model is identified.
Checking multivariate normal distribution of data: Researchers
can test multivariate normal distribution of data with two tests:
Royston's Multivariate Normality Test and Henze-Zirkler's
Multivariate Normality Test.
3.2.4.4 SR model combines measurement and structural models
The SR structure regression model is a combination of CFA
measurement model and PA model, they are the most general form.
3.2.4 The procedure of mediator effect test
3.2.4.1 The definition of mediator variable.
The mediator variable is defined as the variable that explains the
relationship between a cause variable and a result variable (Baron and
Kenny, 1986).
3.2.4.2 The four-step procedure of mediator effect test of Baron and
Kenny (1986)
13
Step 1 - determine the relationship between the cause and result
variables.
Step 2 - determine the relationship between the cause variable and the
mediator variable
Step 3 - determine the relationship between the mediator variable and
the result variable
Step 4 - Test the role of mediator variables through the following 3
equations:
First, the result is regressed on the cause variable
Second, the mediator is regressed on the cause variable
Third, the result variable is regressed on both the cause and the
mediator variables
After that, based on the values of regression coefficients and
standard errors of the estimated regression coefficients, a Z score
value is calculated to decide whether to accept or reject the null
hypothesis H0 :The considering variable has no mediate role.
3.2.4.3 The mediator effect test with BC boostrap
Based on the limit of the ci% confidence interval of the MLE
estimate in Sem, the researcher can conclude the statistical
significance of the mediator variable.
CHAPTER 4 RESEARCH METHODOLOGY
4.1 Qualitative research to identify research hypotheses and
models
4.1.1Topic of qualitative research
To determine the following 04 causal relationships:
Patriotism/consumer patriotism ; consumer patriotism/ Consumer
ethnocentrism; consumer cosmopolitanism/ consumer patriotism;
consumer cosmopolitanism/ Consumer ethnocentrism.
4.1.2 Qualitative research procedure
The author had referred to the Grounded theory method of Corbin
and Strauss (1990) in combination with the guidance of Charmaz
(2006) to implement the following steps in the qualitative research
procedure of the thesis:
4.1.2.1 Choosing the expert
The first expert work as a professional researcher at a social
science research organization cum a sociology lecturer. The second
expert works as an economics lecturer cum an consultant at the
Association of Vietnam companies produce high quality product.
14
4.1.2.2 Compiling the qualitative research results
In the working process with experts, the rules of causal relationhips
of constructs were not specified by the author. The author only
presented the definition of the constructs and research contexts. Then,
the experts would decide the relationship between them. After two
interview phases, the research results show the following relationship
rules:
Patriotism/consumer patriotism: positive relationship; consumer
patriotism/ Consumer ethnocentrism: positive relationship; consumer
cosmopolitanism/ consumer patriotism: no relationship; consumer
cosmopolitanism/ Consumer ethnocentrism: negative relationship.
4.1.3 Research hypotheses and research model
4.1.3.1 Research hypotheses
H1: Patriotism increases the consumer ethnocentrism attitude.
H2: Patriotism increases the consumer patriotim attitude.
H3: Consumer patriotism increases the consumer ethnocentrism
attitude.
H4: Consumer cosmopolitanism increases the consumer
ethnocentrism attitude.
Although in the qualitative research both experts concluded that
there was no causal relationship between consumer cosmopolitanism
and consumer patriotism of consumers. The author still proposed the
hypothesis H5 based on theoretical arguement has established about
this relationship. The author hope that the results of empirical
research about this relationship on Vietnamese urban consumer
context could provide more information, enriching the theoretical
basis of SIT about the role of consumer cosmopolitanism.
H5: Consumer cosmopolitanism decreases the consumer
patriotism attitude.
4.1.3.2 Research model
Based on 05 research hypotheses above, the conceptual
framework was formulated.
15
Figure 1 The conceptual framework
4.2 Quatitative research procedure
4.2 .1 Building/completing the scale of construct
4.2.1.1 Building the scale of construct in the first study
The author wrote down the statements of the construct of
consumer patriotism based on the definition of this construct
following the combined approach of Hinkin (1995). The statements
of the construct of consumer ethnocentrism in previous works in
Vietnam were listed by the author. The author referenced the scale of
consumer cosmopolitanism construct from Yoon et al. (1996). The
statements of the construct of patriotism were adopted from the
Rybina et al. (2010). The author then worked with two expert to
assess the content validity of construct measurement scale, and to
edit the statements. As a result, the author had formed 21 statements.
They were the basis for the author to develop the official
questionnaire for the first study.
4.2.1.2 Completing the scale of construct in the second study
The author summarized the results of the first study and used this
result to discuss in a focus group with 12 researchers at the Southern
Institute of Social Sciences of Vietnam. The construct of consumer
cosmopolitanism in the second study was measured through the
open-minded construct of the C-COSMO scale of Riefler et al.,
(2012). The participants of focus group agreeded with the content
validity of the meaurenment scale of constructs in the study. The
results of the discussion formed the outline of the statements. From
that outline, the author developed the draft questionnaire of the
second study. After using this draft questionnaire to interview few
customers, the author adjusted it into a formal questionnaire used for
second study.
16
4.3 Data collection
4.3.1 Data collection method
The author used face-to-face survey with consumers.
4.2.2 Sampling
4.2.2.1 Sampling in the first study
The author applied the purposive sampling technique. Subjects
were students of evening classes of some universities in Ho Chi Minh
City which were econimical major. As a result, the author had 230
fullfil questionnaires.
4.2.2.2 Sampling in the second study
The author applied the representative sampling technique. There
were 300 households in Hanoi and Ho Chi Minh City, respectively,
were selected for the sample. The author used the sampling frame of
Vietnam Population Change and Family Planning Survey 2017 of
General Statistics Office of Vietnam to take the list of 600
households. Based on this address list, the interviewer approached
and interviewed a suitable consumer in each household.
CHAPTER 5 RESULTS
5.1 Results of the first study
5.1.1 Sample profile
Subjects were university students of evening classes so they were
quite similar in age and education level. The sample comprised 32%
men.
5.1.2 Evaluating the measurement scale
5.1.2.1 Factor analysis procedure
After the EFA and Cronbach Alpha procedures, the author
concluded that the measurement scales of the four latent constructs
had achieved reliability and had not violated unidimensionality
require. The convergent validity of CET scales was a bit weak, but
the rest three scales were satisfied.
After that, the author conducted the CFA procedure following 06
steps of Kline (2011) and used the results of CFA to evaluate the
measurement models of latent constructs for unidimensionality,
reliability, convergent validity, discriminant validity. All these
requirement were satisfied. The monological validity of the
measurement models of a constructs was assessed by testing the
research hypotheses using mediator effect test.
17
5.1.2.2 Mediator effect test
(1) Baron and Kenny’s (1986) mediator effect test
The results of testing the mediate role of COPAT in the
relationship PAT/CET showed a full mediate role of COPAT. The
author concluded that the hypotheses H2 and H3 were supported.
The hypothesis H1 should be rejected if based on p-value > 0.05, but
actually this situation was the consequence of multicollinearity in
regression model.
The results of testing the mediate role of COPAT in the
relationship COS/CET showed that COPAT was not mediator
variable. The hypotheses H4 and H3 (again) were supported. But the
hypothesis H5 was rejected.
(2) Mediator effect test of BC boostrap
The author continued to analyze the SR model based on the
results of the CFA model. The author eliminated the unsignificant
causal relationship of COS/COPAT, so the research hypothese H5
was rejected. Then the author re-specified the SR model and re-
estimated. The goodness of fit of re-specification SR model was also
satisfied. Based on the significance test of the path coefficient of the
re-specification SR model, the author concluded that the hypotheses
H1, H2, H3 and H4 were supported.
The author used the re-specification SR model to conduct the BC
boostrap test on the mediate role of COPAT. Based on the 95%
confidence intervel, the author concluded that COPAT was not
mediator variable in the relationship between COS/CET but was full
mediator variable in the relationship between PAT and CET.
5.1.2.3 Conclusion of the measurement models of latent constructs
after the first study
From the results of two times of mediator effect test, the author
generally concluded of the research hypotheses as follows: H1; H2;
H3; H4 were accepted, but H5 was rejected.
Finally, the author concluded that the measuement models of
constructs were satisfied the requirements avergely, because the
sampling was not representative; some relationships had not been
resolved clearly, the content validity was not completely convincing,
the construct of consumer ethnocentrism had not reached totally the
convergence validity.
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5.2 Results of the second study
5.2.1 Sample profile
The sample comprised 25,3% men and 74,7% women. A total of
45,2% of respondents had undergraduate education, 11,5% of
respondents had graduate-level education or above, and 26,3 % of
respondents had completed high school. The other respondents had a
lower education level. A total of 15,8% of the sample were 24 years
of age or younger, nearly 43,8% were aged from 25 to 40, and
approximately 38% of respondents were 41 or over.
5.2.2 Evaluating the measurement scale
5.2.2.1 Factor analysis procedure
After the EFA and Cronbach’s Alpha procedures, the author
concluded that the measurement scales of the four latent constructs
had achieved reliability and unidimensionality requirements. All of
the measurement scales met the convergent and discriminant validity.
Starting with 20 observed variables, after the preliminary evaluation
procedure, the author got 19 observed variables for CFA analysis.
The author performed the CFA procedure following 06 steps:
Step 1. Specify the model.
Step 2. Evaluate model identifcation
Step 3. Select the measures and collect, prepare, and screen the data.
Step 4. Estimate the model: The values of indices indicated the
goodness of fit of the CFA model. In particular, NC = 3,5 <5;
RMSEA = 0,065 was greater than 0,05 and lower than 0,07; TLI =
0,941 and CFI = 0,949 were greater than 0,9 and very close 1. All the
factor loadings were statistically significant.
Figure 2 CFA model in the second study
Step 5. Because there was not any eliminated observed variable in
step 4, so the author should not do respecify the CFA model.
19
Step 6. Report the CFA results: The author concluded that the
measurement models of constructs achieved the requirements
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