Perceived image and attitude towards private label brands in emerging countries: What moderation of store association to a local or international retailer?

Abstract

This research investigates the effects of the perceived store image and private label brands’ (PLB) price image on customer attitude towards standard PLBs in two emerging countries depending on store association to a local or international retailer. We specifically examine the mediating role of negative cues (perceived risk) and positive cues (perceived value) associated with PLBs. The surveys undertaken are based on a sample of 1,027 responses collected in Brazil and Vietnam. The results reveal a positive direct effect of PLB price image on customer attitude towards PLBs while perceived store image has only an indirect effect on it. Perceived risk towards PLBs has a significant mediation effect on the relationships between perceived store image, PLB price image and customer attitude towards PLBs. In contrast, PLB perceived value does not mediate these relationships. Furthermore, the association of the store to a local or international retailer significantly moderates the effects of perceived store image and PLB price image on attitude towards PLBs.