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Country of origin from a management perspective of emerging market companies

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30 set 2019
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COO and its dimensions

COO and its dimensionsDefinitionSources
Country of origin – COOThe country of origin of the productNagashima [1970] and Nijssen and Douglas [2004]
Country of manufacturing – COMThe country where there product is manufacturedUlgado and Lee [1993], Chao [1998], Insch and McBride [1998, 2004], Phau and Prendergast [2000], and Hamzaoui and Merunka [2006]
The country appearing on the label as “made in” or the place of manufacturing
Country of design – CODThe country where the part or product is designedChao [1993], Tse and Lee [1993], Insch and McBride [1998], Hamzaoui and Merunka [2006], and Chen and Su [2012]
Country of assembly – COAThe country where the product is assembledChao [1993], Tse and Lee [1993], Insch and McBride [1998], Li et al. [2000], and Insch and McBride [2004]
Country of parts/country of key components – COPThe country of origin of some or all parts of the productHan and Terpstra [1988], Chao [1993], Tse and Lee [1993], Insch and McBride [1998, 2004], and Fan [2008]
The country of origin of the key components of the product
Country of corporate ownership – COCOThe country where the head office of the company selling the product or brand is locatedOzsomer and Cavusgil [1991], Thakor and Kohli [1996], and Thakor and Lavack [2003]
The home country of the parent company, regardless of the current place of manufacturing of the product
Country/culture of brand origin – COBO/CuOBOThe country/culture to which the brand is assigned by the target consumersTakor and Kohli [1996], Phau and Prendergast [2000], and Lim and O’Cass [2001]
Country of brand – COB
Country of association – COASThe country that consumers usually associate with a given product/brand, regardless of where the product is actually manufacturedLi et al. [2000] and Jaffe and Nebenzahl [2006]

COO dimensions and their interpretation by the informants

COO dimensionsThe understanding of COO dimensions by managers of the surveyed companies
Country of manufacturing – COM“[…] the place of production, where the product was produced” (Company C)
“[…] where it is produced” (Company G)
“[…] in which country…manufactured” (Company E)
“[…] country of manufacturing: who is the supplier, who is the manufacturer” (Company M)
Country of assembly – COA“[…] in which country it is assembled”(Company E)
“[…] who is the assembler” (Company H)
“[…] the country where the product has been assembled, not on which components, but just in which country it has been assembled” (Company I)
Country of parts/country of key components – COP“[…] because it is produced here, probably on Polish parts or at least partially” (Company B – R1)
“ […] on the basis of customs regulations, that if 60% of the components used in a given product come from the territory of the European Union, then in such a case we consider it to be a European product” (Company I)
Country of design – COD“[…] country of design, shape, solutions” (Company A)
“[…] design in…” (Company C)
“[…] the country where ‘additional functionality’, possibly colour or design, has been developed, and the product has been adapted for sale” (Company D)
“[…] the country where the idea arises, where the design is developed” (Company F – R1)
Country of technology/innovation origin– COTO“[…] where the technology comes from, where the R&D department is from and where the inventions in this product come from”(Company A)
country of technical culture – COTC“[…] country of innovation and solution (...), country of transfer of ‘production processes translocation, which means entire production lines’, who ‘set up the factory’, the way it is assembled” (Company A)
“[…] technical culture of manufacture of the product” (Company F – R2)
Country of corporate ownership – COCO“[…] the country where the company is located” (Company D)
“[…] the place where I work...” (Company F – R1)
“[…] where the company, capital, and owners come from” (Company G)
Country of service network localization– COSNL“[…] country of localization of service network” (Company D)
“[…] the country of origin also in the context of possible available components when it comes to servicing” (Company C)
Country of organizational culture origin – COOCO“[…] primarily an organizational culture. These are the people who are considered the best organized in a given region. This is also reflected in their economic situation” (Company D)
“[…] organizational culture, corporate culture, approach to the market, selling, responding to changes” (Company E)
Culture of brand origin – CuOBO“[…] reference to culture, cultural associations with the perception of countries; influence of this culture, nationality on the way of management” (Company D)
“[…] the country of origin and the cultural associations thereof” (Company B – R1)
“[…] the culture of the country of origin, which has been formed for several thousand years” (Company E)
Country of brand origin – COBO“[…] the country of brand origin – that is, who is the brand owner, which parent company owns the brand – where it comes from, what is the capital” (Company C)
“[…] the country where the brand was created and with which it is still associated” (B R1)
“[…] country of origin of the brand” (Company D)
Country of brand launching – COBL“[…] the first country in which the brand was being sold” (Company C)

Overall characteristics of companies and interviewees

CompanyOrganization typeSales under manufacturer brands or licensed brands (%)Offered categories of appliancesCountry of corporate ownership/country of key brand originCountry of manufacturingInterviewee position
Company AOnly heating equipment manufactured in own factories, other large and small household appliances – outsourced manufacturing100Large and small household appliancesPoland/PolandPoland (ovens), Turkey, ChinaDirector of Marketing
Company BMajority of especially large household appliances manufactured in own production facilities, small household appliances – mostly outsourced manufacturing100Large and small household appliancesSouth Korea/South KoreaLarge household appliances – factories in different countries, close to trade areas, majority of small household appliances – ChinaProduct & Marketing Manager (R1), Category Manager (R2)
Company CAs above100Large and small household appliancesTurkey/TurkeyTurkey, Romania, Russia, selected parts and small household appliances – ChinaRegional Marketing Director (East Europe)
Company DAs above100Large and small household appliancesChina/YugoslaviaLarge household appliances – mostly Slovenia, Serbia, and Czech Republic; selected parts and small household appliances – China, cooker hoods – PolandProduct Manager SDA
Company EMost of the large and small household appliances manufactured in the company’s own production facilities, a large part under OEM agreements with foreign manufacturers or licensed brandsaround 18–20Large and small household appliancesTurkey/TurkeyTurkey, selected parts and small household appliances – ChinaManaging Director
Company FFor the most part, the production of household appliances branded with company’s brands is outsourced to third party manufacturers100Large and small household appliancesPoland/PolandMostly in China, Turkey, and Italy, narrowly – PolandDevelopment Director (R1)Marketing Specialist (R2)
Company GProduction of small household appliances under the corporate brand, outsourced to external producers100Small household appliancesPoland/PolandMostly China, 3D TV sets – assembled in PolandMarketing Development Director
Company HEquipment assembled in the company’s own production facilities, mostly under OEM agreements with foreign contract manufacturers5Cooker hoodsPoland/PolandAssembly in Poland, many parts from Europe and ChinaChief Economic Officer
Company IAs abovein Poland – 4.5, in total – 8Cooker hoodsPoland/PolandAssembly in Poland, selected parts – from Western Europe and ChinaSales Director