Analysis of the Impact of Ethnocentric and Resistive Economy on Sustainable Competitive Advantage (Case Study: Automotive Parts Manufacturing Companies)

Document Type : Original Article


1 Faculty of Economics and Administrative Sciences, University of Isfahan, Iran.

2 University of Isfahan, Isfahan, Iran.


The present study aims to help market manufacturers through studying the effect of  Ethnocentric and resistive economy on sustainable competitive advantage.  Taking a look at the environment surrounding us we easily find out that today’s business world is quite different from how it used to be and companies need to gain sustainable competitive advantage to survive. Sustainable competitive advantage is a factor that guarantees the company’s profitability for some fact the study’s main concern is to investigate whether or not Ethnocentric and resistive economy influence the formation of sustainable competitive advantage. The study is applicative in terms of the objective, descriptive in terms of the data collection, correlative and specifically based on structural equation model. The questionnaire was designed based on extant literature and its validity was confirmed by university experts. The population was made up of auto parts manufacturing companies’ managers and data analysis was done by SPSS 22 and Smart PLS 2.0. The research findings show the significant positive effect of Ethnocentric and resistive economy on sustainable competitive advantage.


Baaij, M., Greeven, M., & Dalen J. V. (2004). Persistent Superior Economic Performance, Sustainable Competitive Advantage, and Schumpeterian Innovation: Leading Established Computer Firms. European Management Journal, 22(5), 517–531
Babaei, M. (2009) International Marketing, Tehran: SAMT  (In Persian).
Barney, J.B (1999), Firm resources and sustained competitive advantage. Journal of management. Vol. 17 No 1
Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of Management, 17(1), 99−120
Chen, Y., James lin, M., & Chang C. H. (2009). The positive effects of relationship learning and absorptive capacity on innovation performance and competitive advantage in industrial markets. Industrial Marketing Management, 38, 152–158.
Davari Ali &Rezadade Arash(2012), Statistical analysis using pls,Tehran.jahad daneshgahi edition,(In Persian)
Dehghan Nabiolah,Dehghan Fateme & Fathi Samad(2011), Explain and test interactive capabilities learning strategy, innovation and sustainable competitive advantage, strategic management studies, ,(In Persian)
Fornell, C., & Larcker, D. F. 1981. Evaluating structural equations models with unobservable variables and measurement error. Journal of Marketing Research, 18(1)(39-50).
Halt G. M., Hurley R. F., & knight, G. A. (2004). Innovativeness: its antecedents and impact on business performance. Industrial marketing, 33 , 429-438
Hamin,and Elliot,G. (2006)« A less-developed countryperspective of consumer ethnocentrism and ‘‘country of origin’’ effects: Indonesian evidence», Asia Pacific Journal of Marketing and Logistics ,Vol. 18 No. 2, pp. 79-92.
Jaakkola, M., Möller, K., Parvinen, P., Evanschitzky, H., & Mühlbacher, H. (2010). Strategic marketing and business performance: A study in three European engineering countries’. Industrial Marketing Management, 39, 1300– 1310.
Kaleka, Anna. (2002). Resources and capabilities driving competitive advantage in export markets: guidelines for industrial exporters. Industrial Marketing Management, 31, 273– 283.
Lee J. S., & Hsieh C. J. (2010). A Research in Relating Entrepreneurship, Marketing Capability, Innovative Capability and Sustained Competitive Advantage. EABR & ETLC Conference Proceedings
Martines, T. Luque (2000)«Consumer ethnocentrism measurement: an assessment of the reliability and validity of the CETSCALE in Spain», European Journal of marketing, Vol.34, No.11/12, pp:1353-1373.
Mortazavi,Saeid And Kafashpor,Azar(2010), The Role of National sweat interface and perceptions of product quality on intent to purchase imported goods, Executive Management Journal, Vol. I, Number Forty,(In Persian)
Mortazavi, Saeid and Kafashpor,Azar and Arjmandinejad,Afagh(2010), The Role of National water interface and the perception of product quality on intention to buy imported goods, Journal of Management Executive,  Vol I, Issue 2,(In Persian)
Momeni mansor and faal ghayomi ali(2011), Statistical analysis using SPSS. Fourth Edition, Tehran,(In Persian)
Mehri ali(2003), Look no comments to the subject of sustainable competitive advantage, monthly gimmick, No. 140, January 82, ,(In Persian)
Mehri ali, Sustainable competitive advantage, monthly gimmick-year fourth-number 140, ,(In Persian)
Meeting of the directors of the ministry of cooperatives,(2013),labour and social welfare and affiliated or organizations,march(2013), (In Persian)
Naidoo, V.(2010). Firms survival through a crisis: the influence of market orientation,marketing innovation and business strategy. industrial marketing management, 39, 1311-1320
Paswan, A. K., Guzmán, F., & Blankson, C. 2012. Business to business governance structure and marketing strategy. Industrial Marketing Management, 41(6): 908-918
Porter, M.(1986), Competition in global Industries, Boston: Harvard Business Scholl Press
O'Cass, A., & Weerawardena, J. 2010. The effects of perceived industry competitive intensity and marketing-related capabilities: Drivers of superior brand performance. Industrial Marketing Management, 39(4): 571-581.
Shimp, T.A. & Sharma, S. (1987)«Consumer ethnocentrism: construction and validation of the CETSCALE», Journal of Marketing Research, 24 (August), 280-9.
Shiravi atefeh & rezaei hosein,impact of resistive economy on sustainable competitive advantage, The second international conference on the economy in terms of sanctions, Persian date Shahrivar 2014,(In Persian)
Watson,J.and Wright,K. (1999)« Consumer ethnocentrism and attitudes toward domestic and foreign products», European Journal of Marketing,Vol. 34 No. 9/10, pp. 1149-1166.
Weerawardena, J., & O’Cass, A. (2004). Exploring the characteristics of the market-driven firms and antecedents to sustained competitive advantage. Industrial marketing management, 33, 419-428
Weerawardena, J. (2003). Exploring the role of market learning capability in competitive strategy. European journal of marketing, 37 (3/4), 407-429.