People's Perceptions of Foreign Hotel Chains in China's Market: An Empirical Study of the Effects of Country-of-Origin and Corporate Identity

Abstract

Abstract This paper reports an experimental study concerning country-of-origin stereotypes that are associated with service quality perceptions about foreign hotel chains in the mindset of the Chinese people. Results suggest that, as for most consumer products, a country stereotypical effect exists for foreign hotel chains. In addition, it also was found that the country stereotypical effect tends to diminish by providing background information of corporate identity, especially for less known foreign hotel chains. Although generalizability of specific findings is limited by the sample utilized, this study does draw the attention of researchers and practitioners to the issue of signalling effects of coun-try-of-origin and corporate identity in the context of foreign hotel chains operating in China's market.