The impact of country-of-origin (COO) on Australian procurement managers

The conceptual origins of this study lie in the field of 'country-of-origin' (COO) research. In recent history, competence in particular production processes and product categories have become increasingly dispersed among many countries worldwide generating greater sourcing options for business-to-business (B2B) buyers. It is evident that purchasing managers are required to simultaneously choose both a country and a company when making source country selection decision, a strong reality that has scarcely received attention in extant COO research. To validate the models in the three empirical papers, the study used a quantitative-positivist approach as the research paradigm; cross-sectional design as the survey method; and covariance-based structural equation modelling (SEM) as the major data analysis technique along with hierarchical regression analysis. The first paper‘s results showed that company effect is a valid second-order construct derived from four first-order marketing mix constructs, and that the role of company effect is substantially higher than country image on international supplier performance. The second paper found that international supplier performance is significantly influenced by company-specific effect and geographical proximity of the source country. The findings from the third paper showed that international supplier performance is significantly influenced by company effect and the geographical proximity of the source country. In addition, trade infrastructure, product-country image (PCI) and geographical proximity directly influence the company effect. Additionally, hierarchical regression analysis showed that product aspects and pricing aspects represent the significant company constructs, and that product-country image and geographical proximity are the significant country constructs as predictors of three supplier performance criteria. For purchasing managers, business consultants and country policy makers, the thesis provides evidence that competitiveness should be sourced from both company and country as company competitiveness alone cannot achieve a superior supplier image in the eyes of international buyers.