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Do political conflicts influence daily consumption choices? Evidence from US-China relations

  • Does political conflict with another country influence domestic consumers' daily consumption choices? We exploit the volatile US-China relations in 2018 and 2019 to analyze whether US consumers reduce their visits to Chinese restaurants when bilateral relations deteriorate. We measure the degree of political conflict through negativity in media reports and rely on smartphone location data to measure daily visits to over 190,000 US restaurants. A deterioration in US-China relations induces a significant decline in visits not only to Chinese but also to other foreign ethnic restaurants, while visits to typical American restaurants increase. We identify consumers' age, race, and cultural openness to moderate the strength of this ethnocentric effect.

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Author:Celina ProffenORCiD, Lukas JürgensmeierORCiD
URN:urn:nbn:de:hebis:30:3-834381
DOI:https://doi.org/10.1016/j.jebo.2024.02.031
ISSN:0167-2681
Parent Title (English):Journal of economic behavior and organization
Publisher:Elsevier
Place of publication:Amsterdam
Document Type:Article
Language:English
Date of Publication (online):2024/03/07
Date of first Publication:2024/03/07
Publishing Institution:Universitätsbibliothek Johann Christian Senckenberg
Release Date:2024/03/25
Tag:Boycotts; Consumption; Ethnocentrism; Political conflict
Volume:220
Page Number:15
First Page:660
Last Page:674
Institutes:Wirtschaftswissenschaften
Dewey Decimal Classification:3 Sozialwissenschaften / 30 Sozialwissenschaften, Soziologie / 300 Sozialwissenschaften
3 Sozialwissenschaften / 33 Wirtschaft / 330 Wirtschaft
Sammlungen:Universitätspublikationen
Licence (German):License LogoCreative Commons - Namensnennung 4.0