Consumer attitude toward gray market goods

Abstract

Gray market activities have become global, occurring not only in less developed or volatile markets, but also in many well‐developed markets. Although the gray market problem has been discussed in the literature, pertinent research from a demand perspective remains scarce. This study establishes a valid measure of consumer attitude toward gray market goods and investigates the relationships between consumer attitude toward gray market goods and their antecedents. Data analysis reveals that both price‐quality inference and risk averseness significantly and negatively affect consumer attitude toward gray market goods. Strategies for managers of international brands to address gray market problems are presented.

Citation

Huang, J., Lee, B.C.Y. and Hsun Ho, S. (2004), "Consumer attitude toward gray market goods", International Marketing Review, Vol. 21 No. 6, pp. 598-614. https://doi.org/10.1108/02651330410568033