Available online at http://www.ijasrd.

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International Journal of Advanced Scientific

e-ISSN: 2395-6089
Research & Development
Vol. 03, Spl. Iss. 03, Ver. I, Sep 2016, pp. 97 108

p-ISSN: 2394-8906

Antecedents and Consequences of Consumer Attitude

towards Counterfeit Products
S. TAMIZHVANI
Research Scholar, Department of Commerce, Ethiraj College for Women, Chennai.

Dr. A. S. SARANYA
Associate Professor, Department of Commerce, Ethiraj College for Women, Chennai.

ARTICLE INFO

ABSTRACT

Article History:

Purpose The purpose of this research is to analyze the

Antecedents of consumer attitude towards counterfeit
products, examine the relationship between antecedents
and consumer attitude towards counterfeit products and
relationship between Attitude and Buying Intention.

Received: 23 Sep 2016;

Accepted: 23 Sep 2016;
Published online: 28 Sep 2016.

Key words:
Counterfeit,
Antecedents,
Attitudes towards counterfeit
products.

JEC Classification:

Methodology To collect the data, a sample of 50

respondents were selected using Stratified Random
Sampling Technique. To analyze the data statistical tools
used were Percentage, Weighted Mean and Correlation.
Findings The study identify the relative importance of
each antecedent in predicting attitudes.
There exist
negative relationship between the antecedents influencing
consumer behavior and consumer attitude towards
counterfeit products and positive relationship between the
consumer attitude and behavioral intention of consumer
toward counterfeit products.

Copyright 2016 IJASRD. This is an open access article distributed under the Creative Common Attibution
License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original
work is properly cited.

INTRODUCTION
A brand is a product, service, or concept that is publicly distinguished from other
products, services, or concepts so that it can be easily communicated and usually
marketed. The name of the organization can also serve as a brand. Branding is the
process of creating and disseminating the brand name. Branding can be applied to the
entire corporate identity as well as to individual product and service names. Brands are
usually protected from use by others by securing a trademark or service mark from an
authorized agency, usually a government agency.
How to cite this article: Tamizhvani, S., & Saranya, A. S. (2016). Antecedents and Consequences of Consumer
Attitude towards Counterfeit Products. International Journal of Advanced Scientific Research & Development (IJASRD),
03 (03/I), [Special Issue Sep 2016], pp. 97 108.

Emerging Innovative Strategies in Business Creating a Competitive Edge | Organized by PG

Department of Banking & Insurance Management and Department of Bank Management,
Ethiraj College for Women (Autonomous), Chennai 600 008.

1.1 The Brand- Concept

A brand is a symbolic embodiment of all the information connected to the product
and serves to create associations and expectations around it. A brand often includes a
logo, fonts, color schemes, symbols, and sound, which may be developed to represent
implicit values, ideas, and even personality.

Logo
Symbols

Colours &
Sounds

The
Brand

Quality &
Service

Slogans &
Jingles

Designs &
Styles

1.2 Introduction of Counterfeit Goods

During the economic crisis, when consumers income dropped, a large proportion
of consumers began looking for ways to obtain the same or similar consumer goods at a
lower price. The resulting situation increased demand for illegal goods and therefore
stimulated the growth of shadow economy and demand for counterfeit and illegal
goods.This is causing legitimate manufacturing companies and genuine brand
marketers a great deal of frustration. Due to the relative ease of manufacturing
imitated clothing, bags, shoes, and accessories, combined with the prestige and
exclusivity achieved through expensive brand marketing campaigns, the fashion
industry has become a viable target for counterfeiters all over the world.
1.3 Review of Literature
The study undertaken by de Matos et al., (2007) in their article titled Consumer
attitudes toward counterfeits: a review and extension found that consumer intentions
to buy counterfeited products are dependent on the attitudes they have towards
counterfeit products, which in turn are more influenced by perceived risk, subjective
norms etc., Correlation analysis, factor analysis and structured equation modeling
technique was used to identify the relative importance of each antecedents of customer
attitude.
The study undertaken by Rizwan et al., (2013) in their article titled Purchase
intention towards counterfeit product found that the past experience, product
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Antecedents and Consequences of Consumer Attitude towards Counterfeit Products

knowledge, previous experience and risk affect the purchase intention of counterfeit
products. Through the self-administered questionnaire the primary data was collected
from convenient sample of 150 respondents. The statistical experiment designed in this
study involved use of regression analysis and factor analysis to identify the purpose and
factors which affect the purchase intention of counterfeit products.
Another study undertaken by Phau & Teah (2009) in their article titled Devil
wears (counterfeit) Prada: A study of antecedents and outcomes of attitudes towards
counterfeits of luxury brands found that status, consumption and integrity are strong
influencers of purchase intention, whereas normative susceptibility, information
susceptibility, personal gratification, value consciousness, and novelty seeking had
weaker influencing relationships. Through a self-administered questionnaire, the
primary data was collected from a sample of 202 respondents. The statistical
experiment designed in this study involves the use of regression analysis and factor
analysis to identify how the social and personality factors influence Chinese consumers
attitude toward counterfeit of luxury brand.
The study undertaken by Hidayat & Diwasasri (2013) in their article titled
Factors Influencing Attitudes and Intention to Purchase Counterfeit Luxury Brands
among Indonesian Consumers concluded that the more positive attitude of consumers
towards counterfeit products will further strengthen the purchasing intentions while
the higher the status of a consumers consumption will not affect any change to both
their attitude and willingness to purchase counterfeit products. The survey gathered
from questionnaire distribution to 250 respondents aged from 16-40years. Path
coefficient analysis was used in this research to identify the social and personality
factors have mostly significant impact towards attitudes.
The study undertaken by Carpenter, J. M. & Lear, K. (2011) in their article titled
Consumer Attitudes towards Counterfeit Fashion Products: Does Gender Matter?
found that while gender does not moderate the social cost and anti-big business
components of consumer attitudes toward counterfeit fashion products, gender does
affect beliefs about ethicality of counterfeit. The data was collected from a sample of 50
U.S. consumers through telephone survey method. The research uses hierarchical
structural equation modeling to examine gender as a moderator of attitudes toward
counterfeit fashion products
The study undertaken by Nordin (2009) in the article titled A Study on
Consumers Attitude towards Counterfeit Products in Malaysia results that perceived
risk, price consciousness, novelty seeking and normative susceptibility are the
independent variables that strongly influence consumers attitude towards counterfeit
product. Attitude towards counterfeit product was also found significant in influencing
purchase intention. A survey of 270 respondents was conducted in the Malaysian
market. Pearson correlation, multiple regression and the Sobel test were used to test
which of the social and personality factors affects the attitude of the consumers towards
counterfeit products.
The study undertaken by Musnaini & Yacob (2015) in the article titled Asian
Buying Behavior towards Counterfeit Product: Evidence from Jambi City, Sumatera
Island, Indonesia. The aim of this research was to investigate the factors of purchasing
intention of pirated products.The questionnaire wasdistributed to 221 undergraduate
99

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Emerging Innovative Strategies in Business Creating a Competitive Edge | Organized by PG

Department of Banking & Insurance Management and Department of Bank Management,
Ethiraj College for Women (Autonomous), Chennai 600 008.

students of Jambi and Surabaya city, Indonesia country. MANCOVA test was used to
identify those factors of attitude function caused non-deceptiveconsumer, choose to buy
counterfeit handbag.
The study undertaken by Cademan, Henriksson & Nyqvist (2015) in their article
titled The Affect of Counterfeit Products on Luxury Brands - An Empirical
Investigation from the Consumer Perspective found that The consumers' perception of
counterfeit products have a negative effect on the consumer perception of luxury brands.
Both the consumer's brand associations and how consumers perceive the quality of
luxury brands are affected by counterfeit products. The research approach was a
deductive, quantitative research and the data was collected through a questionnaire,
from a sample of 432 respondents to identify how counterfeit products affect the
consumer perception of luxury brands.
The study undertaken by Budiman (2012) in the article titled Analysis of
Consumer Attitudes to Purchase Intentions of Counterfeiting Bag Product in Indonesia
results that intrinsic factors had positive influence on consumer attitudes towards
pirated handbags addition, a more positive attitude of consumers towards pirated bags
will further strengthen the purchasing intentions and conversely the higher the status
of a consumer's consumption will only further weaken the intention of purchasing the
product bag pirated. The data was collected using a questionnaire with 200 respondents
of employed women. The Structural Equation Modeling (SEM) data analysis technique
was used to identify the process of forming an intention to buy pirated bag products that
rest on the primary relationship of independent variables like attitudes towards
counterfeit, lawfulness attitudes and consumption status of the intention to buy pirated
products as well as test patterns bag relationship between variables.
1.4 Need for the Study
The two most general categories of counterfeiting can be differentiated by
whether or not the consumer knows they are buying a counterfeit product or not. Nondeceptive counterfeits refer to products that are not intended to deceive the consumer
into believing that they are purchasing an original product (Bian & Moutinho, 2009, p.
369). The consumer is fully aware that the product they are purchasing is not
manufactured by, marketed by, nor profiting the company that the product is imitating.
Deceptive counterfeits, on the other hand, are intended to fool the consumer into
believing that they are buying the genuine brand when they are buying a counterfeited
product (Mavlanova & Benbunan-Fich, 2010, p. 80). The differentiating factor between
the two types is the intention of the consumer to buy the real product or to buy the
imitated one which is an important point to grasp in this study.
Some of the factors relating to counterfeit products which impact buying
decisions are:
1.5 Price Quality Inference
Consumers tendency to believe that high (low) price means high (low) quality
becomes even more important when there is little information about the product quality
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Antecedents and Consequences of Consumer Attitude towards Counterfeit Products

or the consumer is unable to judge product quality considering that counterfeits are
usually sold at lower prices, the greater the price-quality relationship for the consumer,
the lower his/her perception of quality for the counterfeits.
1.6 Risk Averseness and Perceived Risk in Counterfeits Purchasing
Risk averseness is defined as the propensity to avoid taking risks and is an
important characteristic for discriminating between buyers and non-buyersof a product
category, especially a risky one. In the context of counterfeits, Huang et al. (2004) found
a significant inverse relationship between risk averseness and buying attitude.
1.7 Integrity
Consumers respect for lawfulness might explain how much engagement he/she
will have in buying counterfeits and those consumers who have lower ethical standards
are expected to feel less guilty when buying a counterfeit
1.8 Personal gratification
Personal gratification concerns the need for a sense of accomplishment, social
recognition, andenjoyment of the finer things in life (Ang et al., 2001). Bloch et al. (1993)
suggests that consumers choosing a counterfeit see themselves as less well off
financially, less confident, less successful and lower status than counterfeit non-buyers;
1.9 Subjective norm
Subjective norm is a social factor referring to the perceived social pressure to
perform or not to perform a given behavior (Ajzen, 1991). Regarding counterfeits, friends
and relatives may act as inhibitors or contributors to the consumption, depending on
how much this behavior is approved by them.
1.10 Objectives
(1) To analyze the Antecedents of consumers Attitude towards Counterfeit Products.
(2) To examine the relationship between the Antecedents and Attitude
(3) To examine the relationship between Attitude and Buying Intention.
METHODOLOGY
Primary data was collected through a Structured Questionnaire from a sample of
50 respondents using Stratified Random Sampling Technique. The questionnaire was
divided into two sections. Part A comprises of statements aimed at measuring six
components of Antecedents of customer attitude towards counterfeit products measuring
on a five-point likert-scale ranging from Completely Disagree to Completely Agree. Part
B consists of five statements measuring Attitude and 4 statements measuring
Behavioral Intention. Part C contains questions relating to demographic profile of the
respondents. To analyze and interpret the data the statistical tools used were
Percentage, Weighted Mean and Correlation.
101

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Department of Banking & Insurance Management and Department of Bank Management,
Ethiraj College for Women (Autonomous), Chennai 600 008.

2.1 Limitations of the Study

(1) This study is confined only in the city of Chennai.
(2) The sample size is limited to 50 respondents.
(3) Different variables can be included for further research.
ANALYSIS AND INTERPRETATION
S. No.
1.

2.

3.

4.

5.

Table: 1 Demographic Profile

Demographic Factors
Percentage (%)
AGE
Below 20
18
20-30
64
30-40
16
40 & Above
2
GENDER
Female
66
Male
34
MONTHLY INCOME LEVEL
Below 10,000
28
11,000-20,000
26
20,000-30,000
18
Above 30,000
28
EDUCTIONAL QUALIFICATION
12th
4
UG
38
PG
52
PhD
2
Others
4
OCCUPATION
Students
34
Employed
58
Unemployed
4
Business
4
Others
0

From the above table it can be inferred that majority (64%) of the respondents
belong to the age group of 20-30 years, followed by 18% of the respondents belong to the
age group of below 20years, 16% of the respondents belonging to the age group of 3040years and 2% of the respondents belonging to the age group of 40years & above.
66% of the respondents are female and 34% of the respondents are male.
Among the sample, 28% of the respondents monthly family income level is below
Rs.10,000, 28% of the respondents belong to income level of above 30,000, followed by
26% of the respondents monthly family income level between Rs.10,000-20,000 and
followed by 18% of the respondents monthly family income level being Rs.20,000-30,000
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Antecedents and Consequences of Consumer Attitude towards Counterfeit Products

Majority (52%) of the respondents are Post Graduate, followed by 38% being Under
Graduates and the balance 10% are PhDs (2%), 12thstandard pass (4%) and diploma
holders (4%).
Among the sample 58% of the respondents are employed, followed by 34% being
Students and a meager 4% are Unemployed and 4% are doing Business.
The antecedents of customer attitude considered for the study are Price quality,
Risk awareness, Subjective norms, Perceived risk, Integrity and Personal Gratification
measured on a 5points Likert Scale and analysed using weighted means the results of
which are depicted in Table 2 below.
Table: 2 Antecedents of Consumer Attitude towards Counterfeit Products
S. No.

Weighted Mean

PRICE QUALITY

3.63

1.

Generally speaking, the higher the price of a product,

the higher the quality

3.56

2.

The price of a product is a good indicator of its quality

3.36

3.

You always have to pay a bit more for the best

3.98

RISK AWARENESS

3.86

4.

When I buy something, I prefer not taking risks

3.70

5.

I like to be sure the product is a good one before buying

it

4.16

6.

I dont like to feel uncertainty when I buy something

3.72

SUBJECTIVE NORMS

3.20

7.

My relatives and friends approve my decision to buy

counterfeited products

3.38

8.

My relatives and friends think that I should buy

counterfeited products

3.02

PERCEIVED RISK

3.35

9.

The risk that I take when I buy a counterfeited product

is high

3.46

10.

There is high probability that the product doesnt work

3.22

11.

Spending money with a counterfeited product might be

a bad decision

3.36

INTEGRITY

4.04

12.

I consider honesty as an important quality for ones

character

4.06

13.

I consider very important that people be polite

3.62

14.

I admire responsible people

4.26

15.

I like people who have self-control

4.20

PERSONAL GRATIFICATION

4.04

I always attempt to have a sense of accomplishment

4.04

16.
103

Statements

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Emerging Innovative Strategies in Business Creating a Competitive Edge | Organized by PG

Department of Banking & Insurance Management and Department of Bank Management,
Ethiraj College for Women (Autonomous), Chennai 600 008.

The first three statements (1, 2 and 3) were used to measure the price quality of
counterfeit products. From the above table it is inferred that the respondents feel They
always have to pay a bit more for the best which is considered as the most important
statement among the three statements, because it has got the highest weighted mean
score of 3.98. This is followed by the statement, Generally speaking, the higher the
price of a product, the higher the quality which has the second highest mean score of
3.56 and the statement The price of a product is a good indicator of its quality has got
weighted mean score of 3.36. Since all of the above statements have mean values
ranging from 3.36 to 3.98 it can be concluded that the respondents moderately agree to
the statements measuring Price Quality of counterfeit products.
The 4th, 5th, 6th statements measure the Risk Awareness of the respondents.
From the above table it is inferred that the respondents like to be sure the product is a
good one before buying it (4.16) and they also dont like to feel uncertainty when buying
something (3.72), prefer not to take risks (3.70). Since all of the above statements have a
mean value ranging from 3.70 to 4.16 it can be concluded that the respondents strongly
agree to the statements measuring Risk Awareness while purchasing counterfeit
products.
The 7th and 8th statements were used to measure the Subjective norms of the
respondents. From the above table it can be inferred that the respondents want the
strong approval of their relatives and friends to buy counterfeited products (3.38 &
3.02). Since both the above statements have a mean value ranging from 3.02 to 3.38 it
can be concluded that the respondents very slightly agree to the statements on
Subjective norms.
The 9th, 10th, 11th statements were used to measure the Perceived Risk related to
purchase of counterfeit products. From the above table it is inferred that the
respondents feel that The risk that I take when I buy a counterfeited product is high is
considered as the most important statement because it has got the highest mean score
of 3.46. This is followed by the statement that Spending money on a counterfeited
product might be a bad decision has got the second highest mean score of 3.36 and the
statement There is high probability that the product doesnt work has got weighted
mean score of 3.22. Since all of the above statements have a mean value ranging from
3.22 to 3.46 it can be concluded that the respondents moderately agree to the statements
on Perceived Risk while purchasing counterfeit products.
Four statements were used to measure the Integrity of the respondents. From
the above table it is inferred that the respondents feeling of admiration for responsible
people is strongly agreed to with the highest mean score of 4.26. This is followed by the
statement, I like people who have self-control which has got the second highest mean
score of 4.20 and I consider honesty as an important quality for ones character has got
the next highest mean score of 4.06 and finally the statement I consider very important
that people should be polite has got the mean score of 3.62. Since all of the above
statements have a mean value ranging from 3.62 to 4.26 it can be concluded that the
respondents strongly agree to the statements on Integrity.
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Finally Personal Gratification of the respondents was measured using the

statement I always attempt to have a sense of accomplishment which has got weighted
mean score of 4.04 indicating strong agreementof the respondents to the statement on
Personal Gratification
The consumer attitude toward counterfeit products is measured using five
statements on five-points Likert-scale and analysed using weighted mean, the results of
which are depicted in table 3 below.
Table: 3 Attitudes toward Counterfeit Products
S. No.

Statements

Weighted Mean

1.

Considering price, I prefer counterfeit goods

2.72

2.

I like shopping for counterfeit goods

2.52

3.

Buying counterfeit goods generally benefits the consumer

2.92

4.

Theres nothing wrong with purchasing counterfeit goods

3.08

5.

Generally speaking, buying counterfeit goods is a better

choice

2.82

All the above five statements were used to measure the Attitude of the
respondents toward the Counterfeit products. Since all of the above statements have a
mean value ranging from 2.52 to 3.08 it can be concluded that the respondents do not
prefer to buy counterfeit products.
The consequence of consumer attitude is purchase intention, which is measured
using four statements, the results of which are depicted in table below.
Table: 4 Behavioural Intentions
S. No.

Statements

Weighted Mean

1.

I think about a counterfeited product as a choice when

buying something

3.08

2.

I always buy a counterfeited product

2.88

3.

I recommend to friends and relatives that they buy a

counterfeited product

2.70

4.

I say favorable things about counterfeited products

2.86

Since three of the four statements have weighted means which are less than 3, it
can be concluded that the respondents have no intention of buying counterfeit products.
They have also expressed neutrality (3.08) as regards considering counterfeit products
as a choice while purchasing something.
An attempt is need to check out the relationship between antecedents of
consumer attitude and consumer attitude and also between consumer attitude and
buying intention.
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Table: 5 Correlations Between Antecedents and Consumer Attitude

S. No
1.

Relationship
Price quality and Consumer attitude

r
-0.326*

Risk awareness and Consumer attitude

-0.275ns

Subjective norms and Consumer attitude

-0.316*

Perceived risk and Consumer attitude

-0.594**

Integrity and Consumer attitude

-0.322

Personal gratification and Consumer attitude

0.106 ns

**. Correlation is significant at the 0.01 level (2-tailed).

* Correlation is significant at the 0.05 level (2-tailed).
The correlation score between price quality and consumer attitude of -.326 is
significant at 5% level indicating that there exists negative relationship between the
Price Quality and attitude of the respondents toward counterfeit products. Thus it can
be inferred that consumers who strongly believe in the high price-high quality have a
negative attitude toward counterfeit products.
The correlation score between risk awareness and consumer attitude of -.275 is
non-significant and negative attitude of the respondents toward counterfeit products.
Thus it can be inferred that consumers who perceive more risk in counterfeit products
exhibits unfavorable attitude toward purchase of counterfeit products, though not
significantly.
The correlation score between subjective norms and consumer attitude of -.316 is
significant at 5% level and it indicates that there exists negative relationship between
the Subjective norms and consumer attitude of the respondents toward counterfeit
products. Thus it can be inferred that even though respondents want their friends and
relations to approve their purchase of counterfeit products, they do not actually prefer to
buy counterfeit products.
The correlation score between perceived risk and consumer attitudes of -.594 is
significant at 1% level and it indicates that there exists negative relationship between
the Perceived Risk and consumer attitude of the respondents toward counterfeit
products. Thus it can be inferred that consumers who perceive more risk in counterfeit
products will have an unfavorable attitude toward purchase of counterfeit products.
The correlation score between integrity and consumer attitude of -.322 is
significant at 5% level and it indicates that there exists negative relationship between
the Integrity and attitude of the respondents towards counterfeit products. Thus it can
be inferred consumer who value integrity will have an unfavorable attitude toward
counterfeit products.
The correlation between personal gratification and consumer attitude score of
.106 is positive and non-significant. Thus it can be inferred that not much of
relationship exists between personal gratification and consumer attitude towards
counterfeit products.
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Table: 6 Correlations between Consumer Attitude and Behavioral Intention

Pearson Correlation
Attitude

Behavioral Intention

.603**

Sig. (2-tailed)
N
Pearson Correlation

Behavioral Intention

Attitude

Sig. (2-tailed)
N

.000
50

50

.603**

.000
50

50

**. Correlation is significant at the 0.01 level (2-tailed).

The high correlation score of .603 is significant at 1% level and it indicates that
there exists positive relationship between the Consumer Attitude and Behavioral
Intention towards counterfeit products. This indicates strong links between
ConsumerAttitude and Behavioral intention of purchase of counterfeit products.
CONCLUSION
This research contributes to the existing literature by extending and testing the
key antecedents of the consumer attitudes toward counterfeits. It also identifies the
relative importance of each antecedent in predicting attitudes. It is argued that these
attitudes act as mediator in the relation between the constructs considered and the
behavioral intentions. The consumers have unfavorable attitudes toward counterfeit
products and moderate behavioral intention towards counterfeit products.
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Emerging Innovative Strategies in Business Creating a Competitive Edge | Organized by PG

Department of Banking & Insurance Management and Department of Bank Management,
Ethiraj College for Women (Autonomous), Chennai 600 008.

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