Identifying Factors That Hinder the Acceptance of Chinese Brands among US Consumers

Abstract

China has become a major player in the global economy over the past decade. Recent political turmoil between China and the US coupled with the rising rates of China's currency has prompted the Chinese government to invest in building brand equity among Chinese brand names (Si, 2014). In spite of making large financial investments, setting up corporate headquarters in the US, and receiving continuous government backing, Chinese multinational companies (MNCs) have had little success with building brand equity in the US (Lipin, 2014;Gondhia, 2015). The purpose of this study was to identify factors that are hindering the acceptance of Chinese brand names among US consumers. A mixed-method, non-experimental design was used to identify common perceptions that US consumers have about Chinese brands. A survey containing six quantitative and three qualitative questions was completed by 1287 US consumers who were age18 or older. Results revealed that a lack of awareness and recognition are the primary factors contributing to this phenomenon. In addition, it was discovered that brand trust was connected to perceived quality, reputation, familiarity, and quality control.