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Country of Origin (COO) Effect
The influence that the country of manufacture, assembly, or design has on consumers' perception of a product, which can either enhance or detract from the brand's image.
Implications
The influence that the country where a product is made has on consumers� perceptions and purchasing decisions, often impacting brand equity, pricing, and marketability.
Example
Example: Luxury fashion brands from Italy benefit from the COO effect, as consumers associate Italian craftsmanship with high quality and are willing to pay premium prices.
Related Terms
Different from COO equity spillover, which affects multiple brands from the same country, the COO effect specifically refers to how a product�s origin influences consumer perception and behavior.
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