The country-of-origin effect (COE), also known as the made-in image and the nationality bias,[1] is a psychological effect describing how consumers' attitudes, perceptions and purchasing decisions are influenced by products' country of origin labeling, which may refer to where: a brand is based, a product is designed or manufactured, or other forms of value-creation aligned to a country.
[5] The act itself imposes regulations on the advertising and labeling of textile fiber products that are being imported and exported out of the United States.
[5] Household textile articles include "wearing apparel, costumes, draperies, floor coverings, furnishings, and bedding".
[4] In an article for the Business of Fashion, Solca states that, "Made in disclosures are not required for products traded within the European Union.
Even where required, 'Made in' criteria are easy to meet: cost thresholds can be reached with finishing, quality control and packaging, while manufacturing is kept offshore".
[15] Some research suggests that younger consumers care significantly less than older people about country of origin, but other studies resulted in different findings.
[16] A U.S. study found American college students more willing to buy a "made in China" teddy bear when it was sold at an American store they believed was benevolent, competent and honest, suggesting that negative country of origin effects may be offset when consumers trust the store selling the product.
French wine, German cars, Japanese robots, Colombian coffee, Italian fashion, Singaporean efficiency, Swiss chocolate.
Somewhere in our minds, these products and services are associated with particular countries owing to their legacy or culture or lifestyle, which automatically leads us to perceive them as 'premium'.
Häagen-Dazs, the US-based ice cream company started by Jewish-Polish immigrants in New York, in 1961, was deliberately given a Scandinavian-sounding name to convey an aura of the old-world traditions and craftsmanship.
Consumers are generally felt to perceive Chinese products as low-quality, and to associate "made in China" labelling with value pricing, unskilled labour and inexpensive materials.
[23][24][25] Some products are strongly associated with a particular country, such as (in the Western world) silk with China, spices with India,[15] wine with France, chocolate with Belgium, cars with Germany and electronics with Japan.