Brand Preferences Insights: A Literature Review on Foreign and Domestic Brand Appeal

Abstract

Purpose: Brand preference is the desire to purchase a good or service even if other good or service is at same price with similar features. Globalisation has opened new markets for foreign brands along with communication and transportation advancements. Now consumers are having options to choose from foreign as well as domestic brands. In today’s era, brand preference is one of the most important aspects of consumer behaviour. This study does literature review on brand preference.

Design/Methodology/Approach: The pattern and outcome of brand preference from the last 16 years, 2008-2024, has been used in the current study as secondary data. Data was sourced from Scopus—a large library of peer-reviewed literature. The research aims to explore the studies related to foreign brand and domestic brand and to identify the prominent factors affecting consumer brand preference.

Findings: Research identifies various theories existing in the literature but the most used theories among them are theory of planned behaviour and theory of reasoned action. Advertisement, brand image, brand loyalty, price satisfaction, service value attributes, and self-brand congruity will all play an important role in shaping brand preference. Cosmopolitanism is the key factor for consumer preference towards foreign brands and ethnocentrism is the key influencing factor for domestic ones.

Originality: This work contributes much to the literature on brand preference and adds to the existing body of literature. The literature review from quality sources gives the results more reliability and credibility. From the findings, one can realize the direction that future research should take.

Paper Type: Review of Literature