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This is to certify that the
dissertation entitled

IMPACT OF SELF ON ATTITUDES TOWARD LUXURY
ITEMS AMONG TEENS IN BRAZIL

presented by

LUCIANA DE ARAUJO GIL

has been accepted towards fulfillment
of the requirements for the

 

 

 

 

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IMPACT OF SELF ON ATTITUDES TOWARD LUXURY ITEMS AMONG TEENS
IN BRAZIL

By

Luciana de Araujo Gil

A DISSERTATION

Submitted to
Michigan State University
in partial fulfillment of the requirements
for the degree of

DOCTOR OF PHILOSOPHY
Retailing
2009

ABSTRACT

IMPACT OF SELF ON ATTITUDES TOWARD LUXURY ITEMS AMONG TEENS
IN BRAZIL

By
Luciana de Araujo Gil

The main purpose of this study was to increase our understanding of
teenagers’ self and attitudes toward luxury brands in a developing country. We
analyzed how social consumption motivations affect teenagers’ attitudes toward
luxury brands, how teens’ self concepts can influence social consumption
motivations and whether peer pressure affects this relationship; also we
examined how materialism influences teenagers” social consumption motivations
and attitudes toward luxury brands. We explored the cross-cultural applicability of
scales created in the US, for use with Brazilian teenagers. Our total sample
consisted of 558 teenagers between the ages of 12 and 19 (grades 7 through 12)
from three different high schools in Brazil. We tested hypotheses with structural
equation modeling. One of the key contributions of this study is that our results
demonstrate that materialistic orientation is a powerful force in developing more
positive attitudes towards luxury brands among Brazilian’s teenagers. Also,
Brazilian teenagers that have self-beliefs that are clear, confidently defined,
internally consistent, and stable have a stronger tendency to resist social
motivations to consume, because the clearer they are about themselves the less
they attend to external sources and stimuli. In addition, the desire for wealth and
material possession is positively related to collective incentives to consume,

which is consistent with existing literature.

TABLE OF CONTENTS

LIST OF TABLES .................................................................................. v
LIST OF FIGURES ................................................................................ vi
CHAPTER 1. INTRODUCTION ................................................................. 1
Statement of the problem ....................................................................... 4
Objective of the study ........................................................................... 5
CHAPTER 2. LITERATURE REVIEW11
Conceptual Framework ...................................................................... 11
Self ........................................................................................... 12
Materialism ................................................................................. 15
Social consumption motivation ........................................................ 16
Attitude toward luxury .................................................................... 17
Peer pressure .............................................................................. 19
Hypothesis development ..................................................................... 22
Self dimensions! social consumption motivation, and peer pressure........22
Social consumption motivation and attitude toward luxury ..................... 28
Role of materialism ........................................................................ 30
CHAPTER 3. RESEARCH METHODS ...................................................... 34
Research design ............................................................................... 34
Sample ....................................................................................... 35
Instrument ................................................................................... 36
Measures37
Reliability and validity ..................................................................... 41
Procedure ........................................................................................ 42
Preliminary tests ................................................................................ 43
Data analysis ..................................................................................... 45
CHAPTER 4. RESULTS ......................................................................... 46
Sample demographics ........................................................................ 46
Purification of the scale and measurement model ...................................... 48
Collinearity analysis for self concepts ...................................................... 51
Manipulation check on luxury ................................................................ 51
Structural equation model .................................................................... 52
CHAPTER 5: CONCLUSION .................................................................. 58
Discussion ....................................................................................... 58
Implications ..................................................................................... 60
Suggestion for future research and limitation .......................................... 64
APPENDICES ..................................................................................... 71
APPENDIX A ....................................................................................... 71
Survey items .................................................................................... 71
Assent form ...................................................................................... 77

iii

Letter of support ................................................................................. 78

Parent consent form ............................................................................. 79
APPENDIX B .................................................................................... 81
REFERENCES ................................................................................. 91

iv

LIST OF TABLES

Table 1. Top 10 countries where teens live-

Average weekly teen spending (USS) ....................................................... 6
Table 2. Pre-test results ......................................................................... 44
Table 3. Demographics variables ............................................................. 47
Table 4. Measurement model results ....................................................... 50
Table 5. Hypotheses - parameters .......................................................... 55
Table 8.1 Scale items and factor analysis ................................................. 81
Table 8.2 Scale items and measurements ................................................ 83
Table 8.3 Measurement model standardized estimates ................................ 85
Table 8.4 Collinearity analysis - Coefficients ............................................. 87
Table 8.5 Descriptive Statistics .............................................................. 88
Table 8.6 Top ten luxury brands chosen by our sample ............................... 90

LIST OF FIGURES

Figure 1. Conceptual Model ................................................................... 12
Figure 2. Research Model ..................................................................... 33
Figure 3. Final structural model .............................................................. 57

vi

CHAPTER 1
INTRODUCTION

The economic impact of the expenditure patterns of today’s global
teenagers is documented frequently, however, little, if any research specifically
evaluates teens' attitudes toward luxury brands in developing countries, such as
Brazil; our study reverses that trend. 8y gaining a more complete understanding
of the teen market in developing countries, local and global firms (such as Apple,
Dell, Maybelline, Levi’s, and Nintendo, etc.) will be better equipped to effectively
target this consumer sector. Teenagers’ consumption of luxury brands exists not
only in affluent countries but also in less developed countries such as Brazil
(Moses 2000; Troiano 1997) where the teenage population comprises roughly
10% of the whole country's population (IBGE Brazilian Census 2000), and
represents an attractive market for many companies.

Recent market research predicts that the younger generation represents
the most important segment that will influence the global luxury market over the
next decade (Unity Marketing Inc. 2007). For teenagers, particularly in affluent
countries, the ownership of luxury brands is important as a means of facilitating
friendships with others and achieving popularity (Ruffin 2007; Wooten 2006), and
given that teens are becoming more globalized, this trend is expected to be
observed in emerging markets as well, like Brazil.

The emphasis on luxury brands is increasing in emerging markets,
whereas in the past, luxury companies would focus only on established markets

(Allen 2007). A luxury brand is defined as a high-quality, scarce, high-priced, or

rare brand (Kapferer 1998; Mortelmans 2005). A study of 20 countries (European
countries, United States, Australia, Canada, New Zealand and Hong Kong) by
Dubois, Czellar and Laurent (2005) found that consumers in 19 countries define
luxury and its value in similar terms. Another study found that middle-class teens
from 26 different countries, show an astonishing similarity in ambitions and they
crave a comfortable life, indicating that possession of the latest consumer goods
is important, and because of their age, peer-pressure is significant (Gallant
1995).

Brazil presents some characteristics that make study of the teen
population intriguing. The Brazilian emerging economy shows signs of an
advanced economy, but has not yet fully demonstrated itself to be a developed
country. A less developed country, also called a third world nation, is defined by
a low standard of living, an undeveloped industrial base, a low per capita income,
and a moderate to low Human Development Index score (HDI- is an index
combining normalized measures of life expectancy, literacy, educational
attainment, and GDP per capita for countries worldwide) (Mouton and Waast
2006). However, Brazil is a paradoxical country because despite its strong
annual GDP growth of 5.4% (Cia.gov 2008), poverty levels remain above 30%
(Cia.gov 2008). Brazil’s rapid emergence as a global consumer power makes it
an important case study of consumer trends in a developing country. An
indication of Brazil’s growth is that its stock market rose more than 70 percent in
2007, while maintaining a steady inflation rate of 4.2 % per year (Cohen 2008).
From 2000 to 2008, Brazil’s luxury market growth was 35% (Strehlau 2008).

Specialists from Goldman Sachs even believe that Brazil will become part of the
largest world economies before 2050 (Keston 2007).

The Brazilian teen population (15-19 year olds) represents 10% (17.8
million) of the total population (slightly higher than USA and Europe, but about
the same as India and China), with 77% living in urban/suburban areas. Fifty
percent of Brazilian teenagers are middle class (IBGE Brazilian Census 2000;
Moses 2000). Furthermore, in an analysis of the “Top ten countries where teens
live” by the United States Bureau of the Census, Brazil is in the fifth position in
terms of number of teenagers living in the country, (International Data Base 1999
as cited in Moses 2000).

Brazil ranks among the top three of 23 countries (among the top are the
United States, India and Japan) in teen spending of $1 billion or more annually
(Moses 2000). Research shows that Brazilian teenagers have been increasing
their purchases of luxury brands (Saad 2007), and their yearly general
expenditures represent 10% of the country’s gross domestic product- GDP (Bruin
2003). In a cross-cultural study among eight other countries, Brazilian teens were
rated as the number one group that most enjoys shopping (Quart 2003). In the
case of Sao Paulo state, the largest economy of South America, 78% of the
teenagers prefer spending on clothes and accessories rather than food, snacks
and footwear (Brasil News 2000). Brazilian teens’ perceptions of luxury are
important to study because of their increasing preferences for luxury brands and
because of the increasing attention that Brazil is receiving as a player in the

global economy.

Statement of the problem

Adolescence is often a complicated, transitory period, usually
characterized by rapid biological, social and cognitive growth. Teens deal with a
contradictory ideology; they want to create an individual identity but at the same
time, still connect with their own group of friends (Gulland 2006). In this phase,
teenagers are continually learning how to behave appropriately in a new situation
or phase of their lives (Steinberg 1993). Not surprisingly, periods of transition are
often accompanied by the need for a variety of products or services to ease the
transition (Hartman et al. 2006).

Not much is known about the spending motivations of this young group of
powerful consumers, who just a decade ago, were not perceived to be
particularly economically important (LaFerle, Edwards, and Lee 2000). While
teens do not earn large salaries themselves and teens have little income
compared with adults, they do receive money from allowances or from temporary
jobs and they have more disposable income than adults because most
adolescents do not have to pay health insurance, credit card bills,
mortgages/rent, supermarket or even utility payments (Zollo 1999).
Consequently, teens’ consumer behavior has gained importance as a research
topic of study due to teenager’s disposable income expenditure levels.

Adolescence implies the realization that teens experience different role
requirements that often require different behaviors (Hopson and Adams 1976).
According to Moses (2000), teenagers’ spending focuses on specific brands that

their peers use, sometimes called the “right brands.” Teens’ identities are still

being shaped at this stage in their lives, so having the brands that are considered
to be the “right” ones represent a way to fit in the “right” group (Moses 2000,
p.27). Also, adolescents may seek material possessions for a sense of security
when they face stressful situations (Chang and Arkin 2002). For those reasons,
teenagers may not consider the financial consequences of their purchases nor
their impact on the family budget; this may become problematic over time (Bristol
and Mangleburg 2005) since 46 percent of teens do not keep any record of their
spending (Hovanesian 1999).

Marketers recognize that teens represent a target audience in which
consumption patterns are always changing and, for that reason, teens are
difficult to evaluate as a target market (Fields 1999). Despite their changing
consumption patterns, teenagers continue to increase their buying power
(Hovanesian 1999; MMR 2000) which places them among today’s most desired
consumers. In addition, according to the spokeswoman for YM magazine (now
teenvogue.com), teenagers represent one of the most influential trendsetter

groups in society (as cited in MMR 2000).

Objectives of the study

According to Peter Zollo [of Teenage Research Unlimited (cited in MMR
2000)], the reason companies focus on teenage wishes and needs might be
related to the fact that teens shop more and save less than adults (Villaire 2004).
In fact, some teens exhibit a tendency to spend a lot of money, especially those

Who have been raised during prosperous times. Due to the growing spending

power of teenagers, global marketers are now trying to understand teenagers’
wishes and needs in order to relate to such an attractive consumer base.

Recent data show that teens around the globe spent more than US$169
billion in 2004 (Teenage Research Unlimited 2004). It is remarkable to observe
that weekly teen spending in Brazil exceeds levels found in Sweden, especially if
one considers the difference in poverty levels of both countries: Brazil 31%,

Sweden 2.9% (Cia.gov 2008; Schmitt 2000) (Table 1).

Table 1.

Top 10 Countries Where Teens Live- Average Weekly Teen

 

Spending (U83)

1- Norway $ 49.70
2- Sweden $ 41.70
3- Brazil 3 41.30
4, Argentina 5 40.50
5- Hong Kong $ 38.00
6- United States 5 37.60
7- Denmark 3 37.40
8- Singapore $ 34.10
9- Greece 5 32.90
10- France 5 31.30

 

Source: (Moses, 2000)

Brand loyalty is a behavior found more often in teenagers than adults and
teens often avoid taking risks in appearance-related products due to the
importance of these products to perceptions of self (Zollo 1999). Branded
products are seen as less risky because they are easily recognizable by their
friends and they serve as a status symbol; this combination makes them a safe
choice for teens (Bearden and Etzel 1982; Wooten 2006). Appealing to
teenagers is an attractive business strategy because branded product companies
hope that teens choose their products as lifetime brands. As Silverrnan (1998)
points out, companies should focus on the teen market given that they are
already influencing a huge part of consumer behavior in general.

Peter Zollo of Teenage Research Unlimited (cited in MMR 2000) presents
some major reasons why teenagers are such an essential market segment and
why companies are strengthening their efforts to reach them: teens' growing
disposable spending power, their increasing spending of family money, and their
rising influence on family purchases. Zollo found that teens are trendsetters in
certain categories (such as electronics). Thus, teens are flexing the power of the
economy and, according to Tevlin (1999), the growth of teenagers’ consumption
power could be attributable to both peer-pressure and money from parents.

Earlier studies explored “self” as a predictor of a variety of human
behaviors, such as motivation, purchase intention, cognition, brand and
advertising attitude (Grubb and Grathwohl 1967; Markus and Kitayama 1991;
Sirgy et al. 2008; Tsai 2006). It is well known that adolescents often pass through

a stage of identity crisis (Erikson 1959). Some authors hypothesize that

adolescents seek self identity through acquiring and accumulating selected
consumption objects (Belk 1988).

Peer pressure may play an important role in a teenager’s life, leading to a
series of specific behaviors, such as what to eat, how to dress and how to speak.
Research suggests that teens create shared meanings with their friends, so that
their interpretation of reality is reasonably consistent with the interpretation of the
reality of their peers (Solomon 1983). Teenagers use their peers as a mirror to
align their values, discussing their personal reflections with friends, while looking
for support and mutual understanding (Youniss and Smollar 1985). Therefore,
any consumer behavior research related to teens should investigate the influence
of peers.

In seeking to explain how teens’ views of themselves and how the impact
of peer pressure affect interest in and attitudes towards luxury brands, we find
that consumers’ social motivation and materialism are important factors in
making purchasing decisions (Heaney, Goldsmith, and Jusoh 2005). In addition,
the level of materialism among adolescents is very high (Bristol and Mangleburg
2005; Larsen, Sirgy, and Wright 1999; Roedder-John 1999). Given that
consumers attempt to gain acceptance into social groups through the products
which they purchase (Vigneron and Johnson 2004), the findings related to
materialism might explain why the luxury brand market has become increasingly
important to teens in recent years.

In the current consumer behavior literature, only a few studies exist that

relate to teen consumer behavior (Hartman et al. 2006; Lueg et al. 2006;

Tootelian and Gaedeke 1992), and how peer pressure plays a role in teens’
decision-making (Elliott and Leonard 2004; Huebner and Mancini 2003;
Mangleburg, Doney, and Bristol 2004; Shoham and Dalakas 2006). However,
there are studies that address teens’ levels of materialism (Banerjee and Dittrnar
2008; Flouri 1999; Roberts, Manolis, and Tanner 2006; Schaefer, Herrnans, and
Parker 2004), teens' attitudes toward prestige or luxury items (Beaudoin and
Lachance 2006; Flouri 1999; Lachance, Beaudoin, and Robitaille 2003; Nelson
and McLeod 2005; Wooten 2006), teens' social consumption motivation (Moschis
1981; Moschis and Churchill 1978), and finally, studies addressing teens' self
aspects (Huebner and Mancini 2003; Montemayor and Eisen 1977; Nelson and
McLeod 2005). These studies suggest that there are logical connections between
the constructs of interest in our research. Rather than trying to explain teens’
attitudes toward luxury by examining the influence of external factors such as
advertising and promotions, our study focuses on internal factors of self,
materialism, peer pressure and social consumption motivation.

The overarching objective of our research is to investigate how
perceptions of the self impact teens’ attitudes toward luxury brands in a
developing country and to provide theoretical contributions to the field of
teenager’s consumer behavior. Using a framework that represents a sum of
interrelated fields such as consumer psychology, sociology and marketing, the
specific objectives of our study are 1) to increase our understanding of
teenager's attitudes toward luxury brands in a developing country, 2) to

understand the impact of self on social consumption motivations among

teenagers, 3) to investigate how peer pressure affects teenagers’ consumption
motivations, 4) to analyze how social consumption motivations affect teenagers’
attitudes toward luxury brands, 5) to examine how materialism influences
teenagers’ motivations and attitudes toward luxury brands, and 6) to explore the
applicability of scales created in US with Brazilian teenagers.

The following sections of the dissertation are organized as follows:
Chapter II presents a comprehensive literature review followed by hypotheses.
Chapter III offers a discussion of methods, followed by a summary of the pre-test
results. Data analysis and hypothesis testing are discussed in Chapter IV and in
Chapter V conclusions, discussion, limitations, and suggestions for future

research are presented.

10

CHAPTER 2
LITERATURE REVIEW
In presenting a review of the literature relevant to our study, first, we
present and discuss the conceptual framework related to self, materialism, social
consumption motivations, attitude toward luxury, reference group theory and peer
pressure. We follow with a detailed examination of the hypothesis development
for the study. The last section of this chapter provides the research model that is

the basis for the research, focusing on Brazilian teenagers.

Conceptual Framework

Conventionally, marketers segment luxury consumers in terms of
demographic characteristics (e.g., social class) which are not strong descriptors
of the differences among luxury consumers (Dubois and Duquesne 1993).
Marketers need to understand the impact of social and personal influences on
individual tastes and preferences in order to more richly describe luxury
consumers. Our study does not offer an overall evaluation of teenager consumer
behavior related to luxury brands, but rather proposes a framework intending to
investigate the areas of reference group (peers and social groups in general),
self and materialism which have been identified as relevant for influencing
teenager’s attitudes towards luxury brands. Figure 1 depicts our conceptual
model. We first discuss the exogenous variables of self, peer pressure and
materialism, followed by a discussion of how social consumption motivation

influences attitudes towards luxury brands.

11

Figure 1. Conceptual Model

 

 
        
  

 
 
       
   
   

Social consumption
motivations

 

Attitude toward
luxury brands

 

 

 

 

  

Peer
pressure

Materialism

+ D Exogenous Variables
.
“MUD Endogenous Variables

 

 

The connection between self and consumer behavior has been
investigated for more than five decades (Grubb and Grathwohl 1967). Available
data strongly support the role of self as an element that helps to establish human
behavior, hence, representing a promising area for marketing research (Markus

and Kitayama 1991; Tsai 2006).

 

Campbell, Trapnell, Heine, Katz, Lavallee and Lehman (1996) illustrate
that early researchers treated self-concept as a unitary entity, a stable,
comprehensive view of the self. Contemporary researchers, on the contrary, rely
on a multi-dimensional, dynamic construal of the self-concept. For that reason,
for our research, we propose to use three constructs about self in an attempt to
better capture such a complex aspect of an individual’s life.

There are several constructs related to self-concept; for instance there are
ideal self, actual self, ought self (Higgins et al. 1986; Sirgy 1982), possible self
(Markus and Wurf 1987), self-congruity (Grzeskowiak and Sirgy 2007; Sirgy et al.
2008), academic self-concept, social self-concept, and physical self—concept
(Shavelson, Hubner, and Stanton 1976). The other dimensions of self that relate
most directly to our study are: self-concept clarity, independent self-construal,
and interdependent self-construal. According to parents, concepts such as
independency and interdependency are very important during the teenager
phase (Bristol and Mangleburg 2005). Other aspects of self such as
ideallpossible/academic self may be too complex for our teenage sample and
may be less relevant to the study of luxury consumption.

Self- concept clarity is a concept interrelated with the concepts of identity
and self-consistency (Gergen and Morse 1967) and it indicates an organized
structure about the self that is stable and consistent over time. In other words, it
is what or who an individual is, perceived by himself, during a period of time
(Campbell et al. 1996).

13

The central point of independent self-construal is the perception of the self
as an object separated from others, where a sense of autonomy, internal rights,
convictions and goals are maintained (Markus and Kitayama 1991). In other
words, it is a self view that emphasizes uniqueness. Lastly, interdependent self
stresses the relationships with others; it is the dimension of self that desires to
maintain connections and harmony and it operates under the premise that the
boundaries between the self and others are open and flexible (Cross and
Madson 1997).

The three dimensions of self are connected with social influences,
consumption and materialism; objects (such as clothes, watches etc.) are
sometimes used purposively to express aspects of the self to others (Douglas
and Isherwood 1979) and materialistic individuals are more likely to use
possessions to express characteristics of personal success and status (Richins
and Dawson 1992).

In summary, the self is the way a person views himself (Krech, Crutchfield,
and Ballachey 1962, p. 495-496). The self regulates intentional behavior and
permits the person to function efficiently in his social world (Banaji and Prentice
1994; Markus and Wurf 1987). An individual's evaluation of himself greatly
influences his behavior, and therefore, the more valued the self, the more
organized and constant his behavior becomes (Grubb and Grathwohl 1967).
Consequently, this theoretical framework about self informs our investigation of
teenagers’ attitudes toward luxury, first bemuse teens’ self perceptions are

formed during adolescence and secondly, because teens’ attitudes toward luxury

l4

might be a way to express who they really are inside, to the outside world, rather

than the attitudes being solely a result of environmental/cultural influences.

Materialism
Materialism is broadly defined as placing a value on possessions (Richins

and Dawson 1992) or the belief that possessions will bring happiness (Belk
2001). It is an orientation which views material goods as important for personal
happiness and social progress (Ward and Wackman 1971). Although authors
define materialism differently, their definitions share the following concept: that
consumption is related to more than the instrumental or functional value of
objects, suggesting that individuals seek a relationship with objects whereby they
can improve themselves in some way. As proposed earlier by James (1890), a
person’s definition of himself is comprised of everything that he can call his.

Although possessions communicate personal values such as materialism
(Dittrnar, Beattie, and F riese 1995), there are very few studies relating
materialism with luxury product consumption (Richins 1994a; Wong and Ahuvia
1998). A study by Richins (1994b) found that materialists were more likely to
consume in public if a brand was perceived as expensive in relation to a similar
product, creating a link between consumption and personal values.

Some studies found high levels of materialism among adolescents (Fields
1999; Roedder-John 1999). This is not surprising since a frequent theme of the
modern consumer culture is that happiness can be purchased at the mall, on the

lntemet, in a catalog, or on the l-phone (Kasser 2002). The literature on

15

materialism offers a framework that helps researchers understand how
consumers become attached to their belongings (Belk 1985; Vigneron 1998).
Attitude toward luxury is related to materialistic consumer behavior, because
materialistic-oriented consumers rely heavily on external cues (Richins and
Dawson 1992) and they understand that possessions (such as luxury brands)
signal who they are and what their status or position is (Belk 1985; Douglas and
Isherwood 1979).

To summarize, materialism is “a value that guides people’s choices and
conduct in a variety of situations, including, but not limited to, consumption
arenas” (Richins and Dawson 1992, p. 307). The materialism approach uses a
framework that can facilitate the examination of teens’ attitudes toward luxury,
because many consumers appear to emphasize image and use material
possessions such as luxury brands to portray images that display success and
status (Richins 1994a; Wang and Wallendorf 2006). The materialism framework
has significant implications for consumption meanings, self-identity (Zinkhan
1994), peer relationships (Banerjee and Dittrnar 2008) and teenagers (Schaefer
et al. 2004). Materialism affects what consumers expect from their possessions

and which products they believe can fulfill their desires (Richins 1994a).

Social consumption motivations

Notably, within a given society an individual identifies more with some
people than others, thus seeing himself as being more similar to some individuals

than others. In general, people feel more comfortable associating with others

16

who are somewhat like them: “Many consumption decisions are intended,
consciously or subconsciously, to signal one’s place in the social continuum.
Clothing, hair styles, club memberships, automobiles, and housing
neighborhoods all have some component of social identification associated with
them” (Friedman and Grilo 2005, p.2). Consequently, individuals who exhibit
social consumption motivation believe that it is important to know what others
think about different brands and products and also what kinds of people consume
certain brands and products (Prendergast and Wong 2003) in order to blend in
better within their own society.

Social consumption motivation is the level of importance that individual
consumers place on what other consumers think or do prior to purchasing a
product (Moschis 1981). Social consumption motivation is related to the wish to
make an impression on others, mainly by showing that one can afford high priced
and prestigious products (Prendergast and Wong 2003). Particulariy, the issues
related to social consumption from the teenage perspective are related to the fact
that social relationships, including those with parents, teachers, other adults and

friends are influenced by social consumption (Moschis and Churchill 1978).

Attitudes toward luxury brands

Attitudes in general are an essential matter to study in a consumer
behavior setting. Since early 1960, studies investigate how attitudes are
developed, established and most importantly, how they can influence human

behavior (Katz 1960; Smith et al. 2008). Attitude is commonly defined as an

17

individual preference (Bass and Talarzyk 1972), and a predisposition of the
individual to evaluate some symbol or object of his world in a favorable or
unfavorable manner (Katz 1960). Attitudes are important for marketing studies
because they represent an effort in trying to predict an individual’s behavior and
intentions (Ajzen 1991 ).

From a historical point of view, the concept of luxury is associated with
unproductive behavior and tension amongst members of society, and in modern
times, luxury is something inessential but conducive to pleasure and comfort,
something expensive or hard to get; luxury is associated with consumer behavior
(Dubois and Laurent 1994; Hader 2008; Mortelmans 2005; Seringhaus 2005).
“Luxury products are scarce, i.e., they are limited in production and distributed
highly selectively...however it is not sufficient that a product is not massively
produced, it also needs to be subjectively rare” (Mortelmans 2005, p. 505). A
recent study establishes that luxury from the customer point of view is a
“promise”, it is a brand's commitment that the customer will be taken care of in
precisely the way he expects, whether purchasing a $20 million yacht, a diamond
encrusted cell phone, or a $20 chocolate bar (Hader 2008). The target group for
luxury brands has to believe that they belong to a select group of people who are
able to buy these types of brands. Therefore, most luxury product companies
strictly guard their distribution, setting up a sophisticated network of boutiques all
over the world (Mortelmans 2005; Ruffin 2007; Seringhaus 2005).

Previous studies found that consumer’s attitudes in general are

multidimensional (Batra and Ahtola 1991), and the same applies to attitudes

18

toward luxury brands. While Dubois and Laurent (1994) identified four
dimensions of luxury brands, the scope of attitudes toward luxury brands in our
study is limited to two dimensions: evaluative attitudes toward luxury brands and
interest toward luxury brands. Evaluative attitudes toward luxury brands means
what an individual thinks about luxury brands, in other words, their general
opinion about luxury brands. Interest toward luxury brands implies that a brand is
considered to be significant for an individual, meaning that an individual thinks
luxury is important and/or is curious about luxury brands (Dubois and Laurent
1994). There are two reasons we limited the scope of study to two dimensions
rather than four as proposed by Dubois and Laurent (1994). The other two
dimensions are named personal rapport with luxury and mythical/symbolic values
attached to luxury, which imply a personal affinity with luxury and a personal
knowledge of the supposed value attached to luxury. These two dimensions
assume a level of experience with luxury products, which teenagers are not likely
to have obtained. The second reason is that we wish to focus on general

attitudes toward luxury brands that a broad base of teenagers can possess.

Peer Pressure

Peer pressure and social consumption motivation are derived from
reference group theory. The ways in which individuals perceive different
circumstances and interactions are often influenced by the groups with whom
these individuals are associated, known by most theorists as reference groups.
Reference groups expose people to behavior and lifestyles, influence self-

concept development, contribute to the formation of values and attitudes, and

19

generate pressure for conformity to group norms (Bearden and Etzel 1982).
What an individual thinks other people think about him influences, in some
manner, the way that individual perceives or feels about himself. The focal idea
of reference group theory is based on the principle that individuals adopt the
standards of others they consider significant as a basis for making self-
appraisals, comparisons, and ultimately choices (Dawson and Chatrnan 2001;
Venkatesan 1966).

Reisman and Roseborough (1955) as well as Parsons, Bales .and Shils
(1953) speculate that children learn from their peers important elements of
consumption, such as how to select a product and how to shop. Previous studies
also indicate that at different stages of socialization, there may be a stronger
interest in this process of “learning to consume”, such as with adolescents
(Campbell 1969; Park and Lessig 1977; Wooten 2006). In fact, previous findings
confirm that adolescent peer and social groups are particularly significant
sources of consumption influence (Bristol and Mangleburg 2005; Campbell
1 969).

Peer pressure takes place when an individual actively encourages or
insists that a person from the same group acts or thinks in a similar way as him,
whether or not the person actually wants to do it (Wells 2006). Peer pressure
becomes an important issue and a strong force in preteen and teen years,
because there is a strong desire to “fit in” (Jacobs 2005; Santor, Messervey, and
Kusumakar 2000). As stated by Jacobs (2005, p. 1) “As social beings, individuals

want the sense of belonging to a group and fear being an outcast.” In other

20

i— "'W“

words, for better or for worse, peer groups have strong power over adolescents’
socialization and self identity (Jacobs 2005).

Peers can facilitate new forms of behavior from a consumer purchasing
perspective (Bearden and Etzel 1982). These behaviors often reflect a need for
exclusivity in products and services, such as those offered by luxury brands that
may not be easily available to the general public (Bearden and Etzel 1982; Ruffin
2007). Therefore, a combination of factors that demonstrate preferences towards
luxury brands and easily recognizable products is preferred, especially among
teenagers (Bearden and Etzel 1982; Wooten 2006).

Boume and Francis (1957), introduced the “theory of reference group” as
the basis of the decision-making process for luxury items. Decades later Bearden
and Etzel (1982) found that the conspicuousness of a product was positively
related to the receptiveness of the individual’s reference group influence and also
that publicly consumed luxury products (such as cars, purses, watches) were
more likely to be classified as conspicuous products rather than privately
consumed luxury products (such as a refrigerator, sofa, make up) which were
less likely conspicuous, or unlikely to be seen and observed by members of one’s
reference group. Reference group theory prompts the marketer to look at not
only how a consumer uses their products, but the environment in which the
product is selected and used.

For the purpose of our study, reference group theory, as demonstrated
through social consumption motivation and peer pressure, helps to explain

teenager attitudes and consumer behaviors by illustrating that teens are

21

immersed in a reference group much of the time, even when they are making
very basic, daily decisions. In the next section, using the theoretical
underpinnings from self (Gudykunst et al. 1996; Sirgy 1982), materialism
(Banerjee and Dittrnar 2008; Goldberg et al. 2003; Sirgy 1998), and reference
group theory (Bearden and Etzel 1982; Boume and Francis 1957; Park and
Lessig 1977), we propose a research model for teenager’s attitudes toward
luxury brands that relates materialism, peer pressure, self perceptions, including T
self-concept clarity, independent self-construal and interdependent self-construal,

with social consumption motivation.

Hypothesis Development
This section is divided into three parts: 1) self dimensions and relationship
to social consumption motivation and peer pressure, 2) social consumption
motivations and attitude toward luxury, 3) role of materialism. The proposed
research model (Figure 1), where constructs and hypothesized relationships are

indicated, is presented at the end of this section.

Self dimensions/social consumption motivation, and peer pressure

Self has emerged as one of the most studied areas of psychology (Brewer
and Hewstone 2004). Self-concept encapsulates personal traits and
characteristiee like personality and self-perceptions. Self-concept is what comes
to mind when we think of ourselves (Neisser 1993); it comprises how a person

perceives himself, and it can reflect characteristics such as culture and social

22

level. It is important to note that most of the previous studies about self exist
primarily in the psychological and sociological arena, and that studies connecting
self with consumer behavior are recent and not large in number (Wong and
Ahuvia 1998). During the adolescence years, the process of building one’s own
character takes place. For that reason, examining self-concept can assist in
understanding how attitudes and consumption represent a way to express a
teen’s individual self to the outside world.

The stability of the self-concept can be gauged with the construct called
self-concept clarity, which represents the degree of consistency in that an
individual perceives himself (Campbell et al. 1996). A well-developed self-
concept is less susceptible to the influence of external factors. Individuals with a
lucid self-concept deal better with stress and have more healthy behaviors such
as positive self-talk and better mental skills (Campbell et al. 1996; Campbell
1990). Past research establishes a positive relationship between high self-
concept clarity and some indices of psychological health and well-being such as
high self—esteem and lack of mental problems (Campbell et al. 1996; Campbell
1990). The fact is that having a poorly developed or ambiguous self-concept may
direct people to rely on, and to be very affected by, external sources such as
peer pressure, mass media, social consumption motivations, and other values
such as materialism that can influence individuals’ attitudes and decision making
processes (Kernis et al. 2000).

Social consumption motivation increases with age and maturity (Churchill

and Moschis 1979) and although it plays a critical role in the development of

23

teenagers” sense of self, its relationship with self-concept clarity has yet to be
clarified by empirical research. Previous findings show that self-concept clarity is
positively related to self esteem (Campbell 1990; Erikson 1959) and individuals
with high self esteem are less influenced by external sources. Campbell (1990)
found that individuals with low self-concept clarity are more susceptible to and
dependent on the social environment. This implies that teenagers with high self-
concept clarity would construct their own behavior as being separate from the
social context. We propose the following hypothesis:

H1- Self-concept clarity is negatively related to social consumption
motivation.

It may be observed that obtaining the support of reference groups (peers),
from a popularity standpoint is largely dependent upon the power of possessing
specific luxury products (Wooten 2006) and teenagers often feel social pressure
to conforrn to the group of peers with whom they socialize. Peer pressure to
conforrn can influence how adolescents dress, what kind of music they listen to,
and in what types of behavior they engage, including even risky behaviors such
as using drugs, tobacco, alcohol, and engaging in sex (Robin and Johnson 1996;
Santor et al. 2000; Wells 2006). Thus, peers can have a negative or positive
influence on knowledge, attitudes, perceptions, beliefs and behaviors. The
positive influence of peer pressure is demonstrated through peer education, as in
groups like the Boy Scouts and Girl Scouts, 4-H, Boys & Girls Clubs, other
activity clubs, and sport teams (Jacobs 2005). ‘A previous study found that

support from peers is related to a positive sense of identity (Meeus, Oosterwegel,

24

and Vollebergh 2002), and that peer acceptance and academic performance are
related to self-concept in early adolescence (Harter, Whitesell, and Kowalski
1 992).

The intensity of peer pressure varies from situation to situation.
Sometimes in the child and teenager segments, an individual gives in to peer-
pressure because they desire to be liked or because they are concerned that
other kids may ridicule them if they do not go along with the group (Wooten
2006). For instance, clothing is one of the most important status symbols for
young individuals (Elliott and Leonard 2004). For many consumers, the desire to
impress others, including peers and those in different social or age groups, is
very significant; therefore, they will purchase clothing items that are associated
with specific brands to achieve the support of others (Prendergast and Wong
2003). Most importantly, even across cultures, a strong correlation exists
between the ways in which brands are perceived and the strong desire to own
products from these brands (Prendergast and Wong 2003; Wooten 2006).

As mentioned previously, peer pressure is a powerful force among
teenagers because it has the power to change the way teens behave and care
about external influences. Both peer pressure and self concept clarity are forces
that emerge slowly from childhood to the teen years (Bachmann, John, and Rao
1993; Shavelson et al. 1976). We believe that peer pressure is a complex issue
and can influence even high self concept ”clarity individuals. Furthermore,
previous studies found that even teenagers with high self esteem and self

confidence are subject to the effects of peer pressure (Michell and Amos 1997).

25

Even though we previously proposed a negative relationship between self-
concept clarity and social consumption motivation (as in H1), if there is a high
level of peer-pressure, this negative relationship should be modified. We
expected that there will be no effect of self-concept clarity on social consumption
motivations. Therefore, we propose the following:

H2- The impact of self concept clarity on social consumption motivation
will be moderated by peer pressure.

Everyone possesses dimensions of both independent and interdependent
self construal because the self is a complex structure (Singelis 1994). Yet,
individuals are inclined to use one dimension of self-construal more than the
other to guide their behavior (Markus and Kitayama 1991). Independent self-
construal “requires construing oneself as an individual whose behavior is
organized and made meaningful primarily by reference to one’s own internal .
repertoire of thoughts” (Markus and Kitayama 1991, p. 226). One can conclude
that an individual’s behavior is based on his own independent self-construal if his
own internal attributes (e.g., feelings and thoughts) determine or cause his own
behavior (Markus and Kitayama 1998). In short, individuals with a prominent
independent selfoconstrual exhibit a propensity to be individualistic, egocentric,
autonomous, self-reliant, and self-contained, mainly because they prioritize
personal goals over group goals and perceive a clear boundary that separates
the seIf from others (Kitayama 2000; Singelis 1994; Triandis 1989; Tsai 2006).

Clark (2006) conducted a study with university students in the US. and

found that global independency is negatively related to social consumption

26

motivation. According to Wong and Ahuvia ( 1998) independent self-construal
individuals prevail in Western cultures, where there is a belief that unique
individuals are naturally distinct, consequently high independent self individuals
are less susceptible to external influences in general, such as social pressures.
Additionally, previous findings state that high independent self individuals are
more focused on internal experiences (Abe and Bagozzi 1996). Based upon
these empirical studies, suggesting that independent self individuals reject
motivations that are socially generated, we propose the following hypothesis:

H3- lndependent self-construal is negatively related to social consumption
motivation.

Markus and Kitayama (1991, p. 227) express that interdependent self-
construal “entails seeing oneself as part of an encompassing social relationship
and recognizing that one’s behavior is determined, contingent on, and to a large
extent, organized by what one perceives to be the thoughts, feelings, and actions
of others in the relationship”. The important tasks for individuals with elevated
interdependent self-construal are: fit-in with their in-groups, act in suitable ways,
promote their in-group goals, and conform to their social groups. Consequently,
the behavior of individuals with a strong interdependent self is a reaction to
others with who they are interrelated (Markus and Kitayama 1998).

Previous research suggests a negative correlation between independency
and social consumption motivations, which leads us to believe that conversely,
interdependency is positively related to social consumption motivations (Clark

2006). Individuals with high interdependent self-construal think about themselves

27

in conjunction with others, and there is a sense that the self and others are highly
intertwined (Singelis 1994). Thus, unlike the independent self-construal,
interdependent refers to the view of the self as defined by assimilation with
others rather than distinguishing the self from other people. In summary,
interdependent people represent those who assign importance to their
relationships with others and emphasize harmony and balance as comprised of
social roles and relationships (Kitayama 2000; Swaminathan, Page, and Gurhan-
Canli 2007; Tsai 2006). Hence, we hypothesize the following:

H4- lnterdependent self construal is positively related to social

consumption motivation.

Social consumption motivations and attitude toward quugy

Luxury is something that many individuals cannot easily afford; however,
some consumers continue to make purchases of luxury products, regardless of
their financial ability, because luxury products may provide a sense of power or
control over others or because the possession of brands may be identified by
their peers (Kapferer 1998; Prendergast and Wong 2003; Ruffin 2007). The peer
impact is particularly advantageous for younger consumers, who often crave the
attention and status, that luxury brands can provide (Wooten 2006).

Many younger consumers search for products that they consider to be
prestigious, through association with a specific designer, brand name, or an
emerging trend; in many ways, these products fulfill some type of social

requirement (Heaney et al. 2005). For those consumers with discretionary

28

income, a significant portion of these funds are often spent on goods that
accommodate a social need or message (Heaney et al. 2005; Ruffin 2007).
Social consumption motivation is related to the fact that individuals want to
show symbols of their own consumption behavior to others. Bhat and Reddy
(1998) argue that what a brand symbolizes is a significant component of
consumer-buying behaviors, as brand image is significant in consumer decision
making. The concepts of functionality and symbolism are identified as important
to consumers as they make purchase decisions because they integrate specific
criteria that may be exclusive to a specific product or brand (Bhat and Reddy
1998). Consumers are motivated by the wish to make an impact on others with
their ability to pay for prestigious brands (Mason 1981) and social consumption
motivation makes consumers more aware of social cues related to brand
consumption. Martin and Turley (2003) established that social consumption
motivation predicts the preference for design, variety, excitement, and ambience,
while Clark’s (2006) findings show that social consumption motivation positively
affects prestige sensitivity. Another study conducted by Clark, Zboja and
Goldsmith (2007) showed that consumers’ attention to social comparison
information has a positive influence on status consumption. These findings show
that consumer interest (if a brand is considered important for an individual) and
evaluation (what an individual thinks about a brand) of different brands often
reflects a strong tendency to identify with the brand’s symbolic nature and to

identify with their own social motivations. For this reason, we propose that social

29

consumption predicts the interest and evaluative attitude towards luxury brands.
Therefore we hypothesize that:

H5a- Social consumption motivation is positively related to interest toward luxury
brands.

H5b- Social consumption motivation is positively related to evaluative attitude

toward luxury brands.

Role of materialism

Prendergast and Wong (2003) investigated the relationships of
materialism and expenditure and social consumption motivations and
expenditure, but they did not examine the relationship between materialism
levels and social consumption motivations. However, as previously mentioned,
both social motivation and materialism are important factors in making purchase
decisions (Heaney et al. 2005).

Previous findings positively relate prestige sensitivity with social
consumption motivation. Given that prestige sensitivity might be seen as a sign
of materialism, one might conclude that materialism would also be positively
related to social consumption motivation (Clark 2006). Earlier studies determined
that materialism is important in both public and personal contexts, because an
individual will be able to identify himself with a particular status group and
increase personal development of his own self-esteem (Heaney et al. 2005;
Prendergast and Wong 2003). In summary, materialism can influence what

motivates a person to consume, therefore, we hypothesize that:

30

H6- Materialism is positively related to social consumption motivation.

The emphasis that consumers place upon social status is important in
analyzing how status symbols, like luxury brands, are represented in modern
society (Heaney et al. 2005). Identification with a particular social status creates
new challenges for individuals and their perceptions of materialism; individuals
may want to identify with a specific social status and they might not be able to
afford the products that represent that social status (Heaney et al. 2005). This is
particularly important for teenager consumer behavior because teens have been
through their own identity formation and may perceive social status as highly
desirable (Bristol and Mangleburg 2005).

Nueno and Quelch (1998, p. 62) define luxury brands as “those whose
ratio of functional utility to price is low while the ratio of intangible and situational
utility to price is high” and Ziccardi (2001, p. 18) describes luxury as “less about
items being sold, and more about what the brand name stands for.”

Previous findings demonstrate that materialism influences consumption
patterns, such as the type and the quantity of goods purchased (Richins and
Dawson 1992). Additionally, other studies (Foumier and Richins 1991; Richins
1994b; Wong 1997) showed materialism has a direct positive effect on status
consumption. Based upon these empirical studies showing that materialism can
influence what a teenager thinks about luxury brands (evaluative dimension) and
it can confer an importance to luxury and/or awaken the curiosity about luxury
brands among teenagers (interest dimension), we propose the following

hypothesis:

31

H7a- Materialism is positively related to interest toward luxury brands.
H7b— Materialism is positively related to evaluative attitudes toward luxury
brands.

The model proposed in Figure 2, 1) explores the relationship between self
dimensions and social consumption motivation 2) examines the moderating
effect of peer pressure on the relationship between teens’ self-concept clarity and
social consumption motivation 3) examines the effect of social consumption
motivation on attitudes toward luxury brands, and 4) investigates the effect of

materialism on attitude toward luxury.

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CHAPTER 3
RESEARCH METHODS
We presented the conceptual framework and model and the resulting
hypotheses in Chapter 2. In Chapter 3 we explain the research design, followed
by a discussion of sample selection and data collection. Then, we discuss the
measures of the constructs in the proposed model, followed by results from
preliminary tests. Finally, we describe techniques of data analysis to test the

proposed model.

Research Design

We used a self-report, paper and pencil survey instrument to collect data
from high school students in the $30 Paulo state, Brazil. In keeping with school
committees’ policies and following their evaluation and approval of the
questionnaire, the administrators of the selected schools first agreed to
participate in the study. In addition, we required a signed authorization of a
parent or guardian, and also a written consent from the teenager. We provided a
cover letter, explaining the purpose of the study and directions for completing the
survey, with the questionnaire. This research was cross-sectional, since the
focus is on the relationship between different variables at one specific point in

time.

34

Sample
The population considered for this study consisted of high school students

between 12 and 19 years of age (grades 7 through 12). For the purpose of this
research, we selected three private high schools in the city of Santos, state of
$30 Paulo! Brazil. Although in the US, private schools usually imply affluence,
that is not the case for Brazil, where there is a shortage of public high schools.
Private schools are available and affordable to all socioeconomic sectors. In
order to get a diverse sample, tuition price was used as an indicator of
socioeconomic status. The three selected schools represented various tuition
price ranges.

Sec Paulo is the largest state in the Southern hemisphere (IBGE Brazilian
Census 2002). Santos, SP is considered a median city with a population of
418,436 (IBGE Brazilian Census 2007). Santos’ port is the main port of Brazil
and the largest port in Latin America (Ewing 2007).

In cooperation with each school, we recruited students from approved
classrooms. All students were informed that their participation was voluntary
(even with their signed parental authorizations) and that any and all responses
they provided would be held in the strictest of confidence. We invited all the
students in the class with parental/guardian authorization to complete the
questionnaire.

Using the rule of thumb of taking the number of indicators (i.e., manifest
variables: defined as a variable that is directly observable or measurable)

multiplied by 10 (Mitchell 1993), the ideal sample size appropriate for the model

35

we tested would be 770 individuals (77 indicators times 10). Considering the
limited resources available, it would be very hard to achieve this number; in
addition, we are aware that the chi-square statistic is biased in complex models
with small sample sizes. To avoid misleading results, Bearden, Sharrna and Teel
(1982); and Garson (2007) suggest that the minimum sample for use in a
complex model is 200 subjects. Given that we expected a high response rate
(around 70%) from this specific population (Flouri 1999), a sample size of around
250-300 individuals would be sufficient to estimate the proposed model.

Therefore, we targeted a sample size of at least 300.

Instrument

Once developed in English, the instrument was translated into Portuguese
by a native speaker. Then, it was translated back into English by a different
native Portuguese speaker (also fluent in English), not affiliated with this project.
The instrument was pre—tested with 50 students, and reliability (see Table 2) was
satisfactorily assessed for the constructs, indicated by an acceptable range of
Cronbach’s Alpha Coefficient scores close to .70 or better (Kline 2000; Nunnally
and Bernstein 1994). Since the items needed no alterations, we incorporated the

pre-test sample into the final sample. The full instrument and consent forms

appear in Appendix A.

36

Measures

Self-concept clarity. Self-concept clarity is represented by a clearly,
confidently-defined and stable aspect of self (Campbell et al. 1996). It is a
perceptual and belief-based concept. Self-concept clarity scale was developed
by Campbell et al. (1996), and has a reported Cronbach’s alpha coefficient of
0.85. This scale is formed by twelve items and all items are measured using a 1
to 7 scale (1 = strongly disagree, 7= strongly agree). Sample statements include
“On one day I might have one opinion of myself and on another day I might have
a different opinion” and ”If I were asked to describe my personality, my
description might end up being different from one day to another day.” This scale
was used before in a study by Nezlek and Plesko (2001) with a reported
reliability coefficient alpha of 0.98 and by Tian, Bearden and Hunter (2001) with a
reported reliability coefficient alpha of 0.89.

Independent self-construal: Individuals with strong independent self-
construal are commonly identified as individualistic, egocentric, autonomous,
self-reliant and self-contained. These individuals prioritize personal goals over
group goals and perceive a clear boundary that separates the self from others,
where a particular emphasis is placed on personal goals, personal achievement
and appreciation (Kitayama 2000; Singelis 1994; Triandis 1989; Tsai 2006). We
use a scale developed by Gudykunst, Matsumoto, Ting-Toomey, Nishida and
Karimi (1994) and later improved by Gudykunst and Lee (2003). This measure
was drawn from instruments used in past research in a variety of cultures (Hui

1988; Markus and Kitayama 1991; Singelis 1994; Venna 1992; Yamaguchi

37

1994). The Gudykunst and Lee (2003) scale has fourteen items with reported
Cronbach’s alpha of .82 for US sample, .77 for Japanese sample, .73 for Korean
sample and .83 for Australian sample. Sample items include: “Being able to take
care of myself is a primary concern for me” and “It is important for me to act as
an independent person.” All the items are measured using a 1 to 7 scale (1=
strongly disagree, 7= strongly agree). This scale was previously used by
Hackman, Ellis, Johnson and Staley (1999) with reported Cronbach’s alpha of
0.85.

Interdependent self-construal: lnterdependent self-construal represents a
view of the self as defined by assimilation with others rather than distinguishing
the self from other people. It is characterized by those who assign importance to
their relationships with others, emphasizing harmony and balance (Markus and
Kitayama 1998). This scale was developed by Gudykunst and Lee (2003), and
has fourteen items; original Chronbach’s alphas are: .80 for US sample, .84 for
Japanese sample, .85 for Korean sample and .85 for Australian sample. For the
purpose of this study, three items related to work relationships were deleted,
given that teenagers in urban areas of Brazil typically do not have jobs. So, we
use a scale comprised of eleven items and all the items are measured using a 1
to 7 scale (1= strongly disagree, 7= strongly agree). Sample items include: “I
consult others before making important decisions” and “It is important to consult
close friends and get their ideas before making a decision.” This scale was used

before by Hackman et al. (1999) with reported Cronbach”s alpha of 0.84.

38

 

 

Social consumption motivation: Social consumption motivation is defined
as a motivation to impress others through the ability to purchase high priced and
prestigious products (Prendergast and Wong 2003). We use a four-item scale,
originally developed by Moschis and Churchill (1978) and updated by Moschis
(1981). Before the items are presented, the participant is instructed to think about
this question “What is important to know before purchasing a product?” Sample
items that follow this question include “What others think of different brands or
products” and “What brands or products to buy to make a good impression on
others” all the items are measured using a 1 to 7 scale (1= strongly disagree, 7=
strongly agree). Martin and Turley (2004) and Prendergast and Wong (2003)
used this scale, with reported Cronbach’s alphas higher than 0.80.

Attitude toward luxury. Attitudes represent consumer's overall evaluations
of an object such as a product/brand or store, it is a response involving general
feelings of liking or favorability (American Marketing Association 2007). We use a
short version of the attitude toward luxury scale created by Dubois and Laurent
(1994) that fits the scope of our research. Dubois and Laurent (1994) established
an “interest toward luxury factof' comprised of seven items, and an “evaluative
attitude toward luxury factor” comprised of four items.

0 Interest toward quugg factor was refined to six items because one
of the items was not identified as being part of the factor during a
content validity analysis. All the items are measured using a 1 to 7
scale (1= disagree, 7= agree). Sample items are “I’m not interested

in luxury" and “I could talk about luxury for hours”.

39

o Wive Latitude toward luxury is a four-item factor where all the
items are measured using a 1 to 7 scale (1= disagree, 7= agree).
Sample of the items are “People who buy luxury try to differentiate
themselves from others" and “In my opinion, luxury is too expensive
for what it is”.

The Dubois and Laurent (1994) scale is the most well known scale for
attitudes toward luxury and has been used in several studies such as Tidwell and
Dubois (1996), Dubois, Czellar and Lauren (2005), Dubois, Laurent and Czellar
(2001) and, Kim, Baik and Kwon (2002). According to Czellar (2007, June 30)
who used this scale on her study in 2005, no Cronbach”s alpha was reported
because her particular study did not use a conventional domain sampling
paradigm (Churchill 1979), but focused more on content validity as advocated by
Rossiter (2005). From this perspective, she justified that alpha coefficients are
less informative than from the perspective of domain sampling.

Peer-pressure: Peer pressure is defined as a subjective experience of
feeling pressured, urged, or dared by others to do certain things (Jacobs 2005).
Santor et al. (2000) developed a measure based on the previous work of Brown,
Clasen and Eicher (1986). Santor’s scale was previously used in a study by
Gonzalez, Huerta-Sénchez, Ortiz-Nieves, Vézquez-Alvarez and Kribs-Zaleta
(2003). As most measures of peer pressure that focus on teenagers, it includes
items that relate to a number of delinquent behaviors, such as substance use
and skipping classes. Using a 1 to 7 scale (1=strongly disagree, 7=strongly

agree), eleven items measure teenager‘s level of peer pressure. Statements

40

 

 

include items such as: “My friends could push me into doing just about anything”
and “I often feel pressured to do things that I wouldn’t normally do.” Santor et al.
(2000) did not provide a reliability for the scale itself, but all the reliabilities in his
study had reported Cronbach’s alphas ranging from 0.69 to 0.91 for all
measures.

Materialism: Materialism is measured using a material values scale.
Material value is defined as orientations emphasizing possessions and money for
personal happiness and status (Moschis and Churchill 1978, p. 607). Fifteen
items assess teenager’s materialism value, measured using a 1 to 7 scale (1=
strongly disagree, 7= strongly agree). The measure was developed by Wong,
Rindfleisch and Burroughs (2003) and was previously tested in a cross cultural
setting. Sample questions include: “How do you feel about people who own
expensive homes, car, and clothes?” and “How do you feel about owning things
that impress people?” The reported Cronbach’s alpha for Wong, et al. (2003)
scale was US 0.88, Thailand 0.70 and Japan 0.82. Furthermore, a study by Rose
and DeJesus (2007) that also used the same scale, reported a Cronbach”s alpha
of 0.82.

Reliabilny and validity

To ensure reliability and validity, we used previously tested and/or
modified versions of existing scales. To assess content validity and internal

reliability, we pre-tested of the instrument using a sub-set of Brazilian teenagers.

41

 

 

According to Bagozzi (1994) there is a widespread cultural bias in
consumer research because of the common practice of applying American
developed scales to foreign cultures without considering their cultural
appropriateness. Thus, a major task of this research is to assure that all scales
function with Brazilian’s adolescents in a reliable (given that the instrument will
measure the same way each time it is used) and valid manner (given that the

instrument measures the underlying concept it is supposed to measure).

Procedure

We contacted the selected schools and provided copies of the instrument,
letter of support, and parental/guardian consent forms. After the school agreed to
participate in the study, the scth administration suggested times/classesldays
for data collection. Then the formal letter requesting school’s support of this
research was signed by the director/dean of the targeted school. We
administered questionnaires during class time. One day prior to the data
collection, the teacher sent home a parental consent with each student. Only
students who brought the parental consent form signed were eligible to complete
the survey, after reading and signing their own assent form. The students who
did not bring their own signed parental consent form or who did not want to
participate in the survey were instructed by their teacher to complete an in-class
activity. Teachers did not collect any parental or child consent/assent form nor

did they have any access to their students’ responses.

42

We told the students that their participation in this survey was completely
voluntary and that they could withdraw at any time. Furthermore we explained
that the privacy of the participants was protected to the maximum extent
allowable by law and their participation will be kept strictly confidential.
Responses were confidential and anonymous; they were aggregated so that
individual responses cannot be isolated. The research assistants interacted with
the students to collect data during their regularly scheduled class time at Santos
high schools facilities. As an incentive, one name was drawn from the classroom
participants list to receive a Michigan State University T-shirt; in addition, one

Michigan State University pencil was given to every participant.

Preliminary Tests

To check for content validity, an initial version of the translated and back-
translated questionnaire was evaluated by two Brazilian teenagers individually
(age 15 female and age 14 male), who checked to determine whether an item
belonged to the appropriate category/construct; they suggested some minor
changes in wording on five statements. After making those changes, the
questionnaire was checked again and no additional changes were necessary.
Furthermore, during the collection of the pre-test data, students were asked to let
the investigators know if any of the questions did not make sense to them. We
also interviewed several random participants who had finished their own

questionnaire to identify problems with comprehension, but identified no issues.

43

Fifty high school students from the city of Santos/SP/Brazil participated in
the pre-test of the full version of the questionnaire with 67 items, (see full
instrument in Appendix A). The data were collected during August 2007 following

the same procedures described for the main data collection.

Table 2

Pre-test Results (50 participants)

 

 

Scale Questions Cronbach’s alpha
Peer-pressure 1- 11 0.633
Material Values Scale 12-26 0.809
Independent self-construal 27- 40 0.786
Interdependent self-construal 41-51 0.693
Self-concept clarity 52- 63 0.830
Social consumption motivation 64— 67 0.849

 

The internal consistency of the presented scales approached Nunnally
and Bemstein’s (1994) acceptable range of .70 and an increased sample size is
likely to yield higher Cronbach’s Alpha Coefficient scores [note that Cronbach”s
alpha coefficient of interest toward luxury factor and evaluative attitude toward
luxury factor established a pn'on' by Dubois and Laurent (1994) were not reported

in this stage following Czellar (2007, June 30) suggestion as mentioned before].

Data analysis

We use structural equation modeling to test the proposed model (see
Figure 2) (Jereskog and Scrbom 1996). Before estimating the structural model,
we established the measurement model using confirmatory factor analysis. We
based all analyses on the covariance matrix of the variables under study. As
necessary, we made revisions to the measurement model prior to estimating the
structural model. Using the revised measurement model, we estimated the
structural model.

Furthermore, in order to check for the moderating effect (peer-pressure),
we first ran the model with no moderator and then we added the moderator into
the model to investigate any changes in the path coefficients. The objective was
to check whether the paths coefficients were different by adding a moderator; if
the path coefficient is not different, we are inclined to conclude that this variable

does not represent a real moderator.

45

CHAPTER 4
RESULTS

Sample Demographics

The total sample consisted of 558 teenagers between the ages of 12 and
19 (grades 7 through 12) from three different high schools (347 from Universitas
School, 97 from Sao Jose School and 114 from lntegracao School).
Respondents were asked about ten demographic characteristics: gender, age,
ownership of mobile phone, products purchased with allowance money, job,
parent’s relationship status, parent’s education, grade level, number of siblings
and number of TVs at home. As recorded in Table 3, out of 558 respondents,
40% were 17 years old and the proportion between males (44%) and females
(43%) was nearly equal. Almost three-fourths of the respondents have 3 or more
TVs at home, and nearly two-thirds spend their own allowances on
entertainment, clothes and shoes.

In terms of school year, 41% were in the 11th grade. More than a half of
the respondents have at least one brother or sister (51%). According to Guaiquil
(2006) 62.9% of Brazilian teens have their own mobile phone, while recent global
research reports that 75% of teens (by age 17) in the world have their own
mobile phone (O’Donnell 2007). However, 85% of our total sample owns their
mobile phone, even though 84% of them do not have a job. The larger
percentage of mobile phone usage could simply represent the annual growth rate

since our data were collected more recently than the comparison percentage.

46

Over two thirds of their parents are married (68%) and over half have a

 

 

 

 

 

 

 

 

 

 

bachelor’s degree (51%).
Table 3
Demggraphic Variables
Frequency Percent
Gender Male 245 44%
Female 241 43%
Age 12 18 3%
13 15 2%
14 50 9%
15 88 16%
16 221 40%
17 151 27%
18 8 1%
Own mobile Yes 477 85%
phone
No 57 10%
Number of 0 ( don’t have any) 124 22%
siblings
1 287 51%
2 93 17%
3 36 7%
4 9 2%
5 or more 4 0.7%
TV’s at home More than 4 NS 219 39%
3-4 194 35%
2-3 98 18%
1-2 31 6%
Only one TV 6 1%
None 3 0.5%
Allowance spend Entertainment 207 37%
Clothes/shoes 163 29%
Food/snacks 48 9%
School needs 8 1%
Cosmetics 18 3%
Others 108 19%
Have a job Yes 76 14%
No 467 84%
Parents status Married 381 68%
Separated 67 12%
Divorced 60 11%
Never Married 17 3%
Don’t know/none of the 28 5%
above
Education parents Undergraduate 14 3%
Bachelor’s 76 14%
Graduate Degree 285 51 %
Don’t know/none of the above 135 24%

 

47

Purification of the scale and measurement model

In order to assess scale fit we used LISREL 8.70 software from SSSI
Scientific Software (Jdreskog and Scrbom 2004) to perform a confirmatory factor
analysis (CFA) on each scale, except on the scales related to attitudes toward
luxury brands: interest and evaluative, because as mentioned before in Chapter
3, this particular scale did not use the conventional domain sampling paradigm.
After this first run of CFA in LISREL we chose to remove two items: self concept
clarity number 68, and materialism number 36, because these two items were
not significantly loading onto their factors.

Then, we proceeded with our first round of structural equation modeling.
Initial results of the analysis indicated that our main model converged, but due to
the sheer number of indicators involved, the loadings of the indicators on their
factors were not significant, indicating that we needed to purify our scales further.
A high number of indicators can cause estimation problems as acknowledged by
Diamantapoulus and Wrnklhofer (2001, p. 272) “the excessive number of
indicators is undesirable because of both the data collection demands it imposes
and the increase in the number of parameters when the construct is embedded
within a broader structural model (eg. in a LISREL context)”

In order to further refine our scales and have fewer numbers of indicators
one should perform an extra round of confirmatory factor analysis (CFA). Most
researchers, when dealing with scales already tested and publicly well known
(like our case), perform only confirmatory factor analysis followed by a structural

equation modeling (CFA-> SEM) with no major problems, but because we have

48

an excessive number of indicators we added an extra step; this is a very
common procedure as reported by previous authors (Nyamathi, Stein, and
Brecht 1995; Prajogo and Hong 2008; Prajogo and McDermott 2005). CFAs were
estimated through using the method of maximum likelihood, oblique rotation. For
each construct, first we systematically removed items with factor loading scores
below 0.4 (Hair et al. 1998). Second, we analyzed semantic differences, and third
we analyzed the percent of variance explained by each construct. The scales
used to measure the latent constructs in the model are provided in Appendix B,
Table 8.1.

There were a high number of items that loaded significantly onto the
materialism factors; thus, we relied more heavily on examining the semantics of
each item in determining the final items for this factor. We decided that
semantically the results of a two composite score for the materialism construct
was coherent and decided to maintain only a composite score (of eight indicators
divided in two groups) for the materialism construct as suggested by Anderson
and Gerbing (1988).

Since our research does not focus on nor have implications for drug
usage, we deleted the two items (number 10 and number 11) from the peer
pressure scale that were related to drugs. Also, after analyzing each item
semantically, we determined that items 1 to 4 were the most representative items
of this group, and given that they were loading together, we maintained them as

the core items for this construct.

49

‘ In accordance with the two-step approach advocated by Anderson and
Gerbing (1988), before testing the hypothesized relationships between the latent
constructs in a structural equation model (SEM), we first estimated the
measurement model using LISREL 8.70 software from SSSI Scientific Software
(Jbreskog and Scrbom 2004). This allowed us to assess the unidimensionality
and reliability of the scales, which represents a way to double check whether the
factors are loading properly. We tested the resulting 32-item, 8-factor
measurement model to assess the fit (Table 4), convergent validity and internal
consistency reliability of the measures (Appendix B, Table 8.2, Table 8.3), and

descriptive statistics (Appendix B, Table 8.5).

Table 4

Measurement Model Results

 

 

Fit Indices Value
Chi- squared (df=436) 1094.10
P-value .000
Comparative fit Index (CF I) .91
Root mean square error of approximation (RMSEA) .052
Goodness of fit index (GFI) .89

 

A review of the results of the measurement model indicates a good fit for
the data. All scale reliabilities approached the cutoff of 0.6 established by
Bagozzi and Yi (1988) (Appendix B, Table 8.2). Corrected item-total correlations
approached the guideline of 0.3 (Field 2005) demonstrating that all scales were

reliable (Appendix B, Table 8.2). Convergent validity was assessed by examining
50

the magnitude and sign of the loadings of the observed variables onto their
respective latent factors (Appendix B, Table 8.3). Each loading was in the
anticipated direction and magnitude, and each loading was significantly different

from zero (p<.05).

Collinearity Analysis for Self Concepts

Because interdependent self construal, self-concept clarity and
independent self construal are conceptually similar constructs, we wanted to
establish that the estimated coefficients were not inflated due to multicollinearity.
Therefore, we analyzed collinearity for the three constructs.

The variance inflation factor (VI F) indicates how much of the variance is
inflated (estimated coefficients are inflated when multicollinearity exists) and is a
measure of how much the variance of the estimated regression coefficient is
”inflated” by the existence of correlation among the predictor variables in the
model. A VIF of 1 means that there is no correlation among the predictors and
hence the variance is not inflated. The general rule of thumb is that VIFs
exceeding 4 warrant further investigations, while VlFs exceeding 10 are signs of
serious multicollinearity (Simon 2007). All the VIP values in our analysis were
between 1.215 and 1.765 (Appendix 8, Table 8.4) indicating that multicollinearity

did not represent a threat to our analysis.

Manipulation check on luxury
In order to check whether the subjects understood the concept of luxury,

we posed an open-ended item in our questionnaire. First we defined luxury

51

brands: “’Luxury brands’” represent those which are special and superior,
commonly more expensive than ‘non-luxury brands’. Luxury brands are those
you desire to own.” Then we instructed the subjects to “Think about your favorite
luxury brand and record its name under this section. In case you have more than
one favorite luxury brand, pick one to focus on.” Appendix B, Table 8.6 provides
a list of the brands mentioned by the subjects, such as Nike, Adidas, Puma and
Dior. In Brazil international sports brands such as Nike are very costly, some
stores even offer an installment plan with up to 10 installments in order to ease
the burden on the customer budget and also increase their sales (Circuito MT
2009). These brands are highly appreciated by teenagers, mostly because their
logos are easily recognizable and their advertisements focus on famous national

and international sports idols (Bose et al. 2006).

Structural equation model

The hypothesized model was tested via structural equation modeling
(LISREL 8.70). Initial results of the analysis indicated that the model fit could be
improved (Chi- square= 1275.67, df= 455, p-value= 0.00000, RMSEA= 0.057).
Following Bollen (1989) and Steiger (1990), we attempted to refine the model by
freeing error variances of conceptually similar items one by one as suggested by
modification indices provided by LISREL. The structural model was specified with
the PHI, TD, PS and TE matrices symmetric and fixed. Errors were treated
independently to avoid interpretational confounds. The lambda matrices (both X

and Y) were full and fixed. Then the individual items associated with the

52

exogenous and endogenous constructs were freed. The resulting model fit the
data relatively well based on criteria set forth by Blalock (1985) which suggest
that the chi- square value should approximate less than twice the value of the
degrees of freedom (Chi- square=1046.22, df= 451, p-value= 0.00000, RMSEA=
0.049, GFI= 0.89, CFI= 0.93) (Figure 3). The model exceeded the normally
accepted criteria of .90 for CFI (Garson 2007), is within the criteria of RMSEA s
.06 (Hu and Bentler 1999), and approached the GFI guideline of 2 .90 (Kline
2000). Overall, the model has achieved a good fit for the number of parameters
being investigated.

Hypothesis 1 stated that self concept clarity will negatively impact social
consumption motivation. Table 5 shows that self concept clarity has a significant
negative relationship with social consumption motivation with a path parameter of
-0.29, p<.001; this result shows support for hypothesis 1.

Hypothesis 2 stated that peer pressure would moderate the relationship
between self—concept clarity and social consumption motivation. In order to check
for the moderating effect of peer-pressure, we added the moderator into the
model to investigate any changes to the path coefficients. This technique of
testing the model with no moderators and then adding the moderator construct
into the model has been amply used in previous research, especially when the
goal is to test the suppression effect (Baron and Kenny 1986; Cortina, Chen, and
Dunlap 2001). The suppression effect is defined as a variable which increases or
diminishes the predictive validity of another variable (or set of variables) by its

inclusion in a regression equation, if the magnitude of the relationship between

53

an independent variable and a dependent variable becomes significantly larger
or smaller when a third variable is included, suppression is indicated

(MacKinnon, Krull, and Lockwood 2000). Suppressor variables can improve the
prediction of the criterion. In essence, these variables suppress irrelevant
variance in the other predictor variable, thus indirectly allowing for a more
concise estimate of the predictor-criterion relationship (Lancaster 1999). The
results presented on Table 5 show that adding peer pressure into the model does
not change the path parameter significantly; consequently hypothesis 2 is not
supported by our data.

Hypothesis 3 predicted that independent self-construal is negatively
related to social consumption motivation. As expected, this relationship was
significantly supported, with a path parameter of -0.13, p <.01.

Hypothesis 4 stating that interdependent self construal is positively related
to social consumption motivation was not significantly supported by our data.
Neither Hypothesis 5a: social consumption motivation is positively related to
interest toward luxury brands, nor Hypothesis 5b: social consumption motivation
is positively related to evaluative attitude toward luxury brands were supported;
their respective path parameters were -0.07 and -0.31. Surprisingly, the
relationship (H5b) between social consumption motivation (SCM) and evaluative
attitude toward luxury brands (EATL) turned out to be negative which lacks
theoretical support.

Hypothesis 6 that stated that materialism is positively related to social

consumption motivation, as well as hypothesis 7a that stated that Materialism is

54

positively related to interest toward luxury brands, and hypothesis 7b that stated

materialism is positively related to evaluative attitudes toward luxury brands,

were all fully supported by our data. Their respective path parameters were 0.54,

0.93 and 0.72 all significant at p<.001.

As a result, the model provided support for five of the nine proposed

hypotheses. The results of estimation of our model are included on Table 5

 

 

 

 

 

 

below.
Table 5
Hypotheses (Parameters)
Estimate t-value P- Result Expected
path value
coefficient
SelfConc —> SCM
H1 Self-concept clarity is _ _ .
negatively related to social 0.29 5.71 <.001 Supported Negative
consumption motivation
SelfConc T» SCM Peer Peer
pressured pressured Not
PPress added into added "“0 supported
H2 The impact of self concept the mode. the ”099' < 01 (t_ value
clarity on social consumption -024 ‘4-89 '0 difference
motivation will be moderated by pee, Peer mam, "-8-
peer ressure ”933"”
p ”$3.12" "3,3336 “2.1;”
the model model <.001 significant)
-0.29 _5.71
Indep__, SCM
H3 Independent self-construal .
is negatively related to social 0'13 2'66 <01 Supported Negatlve
consumption motivation
Inter-b SCM
H4 lnterdependent self Not . .
construal is positively related to 0'00 0'10 '460 supported Posltlve
social consumption motivation
SCM—> ITL
H5a Social consumption Not ..
- . - . . P t
motivation is positively related to 0 07 0 74 228 supported 05' lve

interest toward luxurLbrands

55

Table 5 (Cont’dI

 

 

 

 

 

 

 

 

 

 

SCM —> EATL Not
H513 Social consumption supported
motivation is positively related to (in fact it
evaluative attitude toward luxury -0.31 -3. 16 <.001 was found a Positive
brands sig.
negative
correlatiom
MAT—9 SCM
H6 Materialism is positively . .
related to social consumption 0.54 6.63 <.001 Supported Posmve
motivation
MAT—D ITL
H73 Materialism is positively . .
related to interest toward luxury 0.93 6.19 <.001 Supported Posmve
brands
MAT—> EATL
H7b Materialism is positively . .
related to evaluative attitudes 0'72 4'83 <'001 Supported Positive
toward luxury brands
Goodness of fit
Chi- squared (df=451) 1046.22
P-value <o,oo1
Comparative fit Index (CFI) 0.93
Root mean square error of approximation (RMSEA) 0.049
Goodness of fit index (GFI) 0.89

 

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57

CHAPTER 5
CONCLUSION
Discussion
This study is to increase our understanding of teenagers’ self and attitudes
toward luxury brands in a developing country. We analyze how social
consumption motivations affect teenagers’ attitudes toward luxury brands, how

teen’s self concepts can influence social consumption motivations and whether

 

peer pressure can moderate this relationship and we also examine how
materialism influences teenagers’ social consumption motivations and attitudes
toward luxury brands. One of the key contributions of this study is that we
demonstrate that materialism is a powerful force in developing more positive
attitudes towards luxury brands among Brazilian”s teenagers conforming with
Prendergast and Wong study (2003). In addition, the desire for wealth and
material ownership is positively associated with social incentives to consume
(social consumption motivation), consistent with Christopher and Schlenker
(2004).

Furthermore, an additional goal of our study was to understand the impact
of self aspects on social consumption motivations among Brazilian teenagers
and to investigate whether peer pressure affects the aforementioned relationship.
Thus, by focusing on the teenage market in Brazil, we were able to demonstrate
that self aspects are very important for Brazilian teen's consumer education; self
aspects can influence the way teens perceive group pressures to shop/purchase,

which represents a fundamental aspect in the study of teen consumer behavior

58

(John 1999; Moschis and Churchill 1978). For example, Brazilian teenagers that
have self-beliefs that are clear, confidently defined, internally consistent, and
stable have a stronger tendency to resist social motivations to consume, because
the clearer they are about themselves the less they attend to external sources
and stimuli.

In addition, we explored the cross-cultural applicability of the scales
created in the US, for use with Brazilian teenagers. We did not find any problems
related to the translated scales; this might be because we performed a pre-test
and because some of our scales were previously tested in cross-cultural studies.
However, it is possible that the measures were not sensitive enough, which could
explain why our data did not support the expected positive association between
collective incentives to consume and teens overall evaluations of luxury brands.
The fact is that our Brazilian study did not replicate similar results previously
found by Prendergast and Wong (2003) that established that there was a positive
relationship between social consumption motivation and expenditure on luxury
brands. Nevertheless, the reason why our data did not support similar previous
results is an issue that demands further investigation.

Instead of trying to explain teens’ attitudes toward luxury by examining the
influence of external factors such as demographics, advertising and promotions,
our study deals with internal factors of self, materialism, peer pressure and social
consumption motivation. In reviewing the literature, we found that the major
constructs in this study have been addressed separately by various researchers.

Consequently, a major contribution of the current research was the integration of

59

these main constructs into a more cohesive model. Our framework draws from
such interrelated fields as consumer psychology, sociology and marketing.
Additionally, our study takes a step further than Wong and Ahuvia (1998) since
we propose independent self and interdependent self as characteristics within a
specific culture, Brazilian teenagers, rather than as a differential characteristic

between cultures.

Implications

The findings of our study provide strategic implications for global
companies that are targeting Brazilian teens. International marketing managers
in luxury brand companies should first acknowledge that Brazilian teens who
know themselves very well (self concept clarity) or that believe that their ideas
are unique (independent self), are not concerned about collective incentives to
consume (social consumption motivation); therefore they represent a difficult
target market to focus on, given that most advertising efforts seek to demonstrate
that by buying a specific brand, an individual will impress others. This finding
corroborates with Tsai (2005, p. 450) who suggested that “luxury brand
marketing managers should avoid confining their perspective narrowly to the
consumer’s desire to impress others” and with Coulter, Price and Feick (2003)
and Puntoni (2001) that established that socially oriented motives are not
sufficient to explain the whole picture of luxury market consumption.

Our study, for the Brazilian teen market, revealed however, that luxury

brand retailers could shift advertising efforts to concentrate on materialistic

6O

aspects of luxury brands and how they can assist in achieving personal
happiness and status. Thus, luxury brand companies should understand that
some teens relate luxury brands more to their own belief that money can buy
them happiness and that acquiring material possessions is a form of
demonstrating one’s achievements in life (Banerjee and Dittmar 2008).
Furthermore, a recent study found that materialistic individuals represent the
largest consumer segment for luxury brands (Wledmann, Hennigs, and Siebels
2009). Consequently luxury marketing attempts must be also geared to the
needs of self-directed pleasure and self gift giving as a way to connect luxury
brands, accomplishments, status and personal happiness (Tsai 2005).

An unexpected finding was a negative association between social
consumption motivation and evaluative attitude toward luxury brands, which
contradicts conventional wisdom. Evaluative attitude toward luxury brand is
defined as what a teenager thinks about luxury brands, their personal opinion
about luxury brands (Dubois and Laurent 1994). In other words, it is an
individuals’ view about luxury brands. A possible explanation for our result could
be that what one thinks about luxury brands is more related to personal values
and not to the desire to impress others by acquiring prestigious or expensive
brands. This explanation complements some previous findings from Vigneron
and Johnson (1999). They stated that perfectionist and hedonist motives
influence luxury consumption; the hedonic effect ensues when consumers value
the perceived utility acquired from a luxury brand to arouse personal feelings and

affective states.

61

In developing countries, research demonstrates that young consumers
seeking better their economic position are likely to perceive brands as a way to
believe that buying global brands allows them to participate in a global arena
(Anholt 2003; Elliott and Leonard 2004). Consequently, it is important that
teenagers feel like they are global citizens. Indeed, recent studies indicate that
global youth have a high degree of homogeneity, share common interests and
identify similarly with high exposure brands (Burgess and Steenkamp 2006;
Strizhakova, Coulter, and Price 2008). Thus, although we did not focus on global
luxury brands or even on global teenagers, we still believe that our findings are
relevant to global luxury brands companies that plan to focus on the teenage
market.

Previous research found that adolescents are deceptive in many situations
related to consumer purchases. Teenagers often hide new purchases from their
parents, or refuse to disclose the real price of a product out of fear of getting in
trouble (Bristol and Mangleburg 2005). This may be due to materialism or low
independent self; for instance, a teenager can feel pressured to comply with the
opinion of other people (low independent self) or be struggling to find happiness
through their possessions (materialism). _As a result, the teen may do whatever it
takes to obtain a certain brand. From a teenagers’ personal perspective, income
and financial standards are not likely to be considered as important values;
rather, obtaining luxury and popular brand name products is essential (regardless
of income status) as a source of social prestige (Banerjee and Dittrnar 2008;

Goldberg et al. 2003). Understanding these motivations may help parents; they

62

can help their teenager understand that when advertising shows a luxury brand
owner as a happier person that it does not necessarily represent the truth in all
situations. Moreover, schools should discuss aspects of self during their regular
activities in order to assist in clarifying the teenager’s own perception of himself.
For instance, teachers may conduct exercises in class about what kind of people
teens admire and why; and how a teenager believes he connects with this
person; this kind of exercises generates a discussion that might help teenagers
to evaluate themselves and their values.

The world economic situation changed significantly since we collected our
data. The world is now in an unprecedented economic crisis; Brazil is also
affected. Most newspapers show people losing their jobs and companies closing
their doors. Despite the financial crisis, still there are a lot of luxury brands being
sold in the Brazilian market. Since October 2008, when reports about the
financial crisis were published until recently, several new companies announced
or are already open for business in Brazil (i.e.: the disco Pink Elephant, the
brands Laura Ashley, Beverly Hills Polo Club, Fiorruci, Topshop and Marc
Jacobs from Louis Vuitton) (Lima and Scheller 2009). In addition, some Brazilian
luxury companies are also opening abroad (Daniel 2009). Our findings should be
useful for those companies, especially now. Because, if for Brazilian teens,
luxury brand value does not lie exclusively in social aspects, a comprehensive
marketing strategy of luxury brands should rest not only on social appeals, but
also on the benefits from a personal orientation point of view, as this might

represent an important competitive advantage during an economic crisis market.

63

On one hand, some reports suggest that sales volume of luxury brands
has not decreased recently (Osborne 2009; Osmar 2009; Sherman 2009);
people are still buying but some of them feel ashamed of buying expensive
brands during such an economic crisis (Wharton.universia.net 2008). Other
specialists speculate that the elite segment is happy since more financial
restrictions result in fewer people having access to luxury goods. Russ Alan,
president of the research company Prince & Associates, called this actual phase
as “luxury rebirth” where only the ones who can really appreciate luxury will be
able to afford it (as cited in Osmar 2009). On the other hand, some predict that
2009 will be among the worst for luxury brands. According to Alexandra Gillespie
(from Fashion Luxury Retail group-FLR) (as cited in Wharton.universia.net 2008),
consumers will begin to trade down (Anonymous 2009; Dolliver 2009). In sum,
our research is an important topic to be discussed, analyzed and investigated
particularly in periods of economic and financial crises, when teenagers are
already reporting a decrease of 14% on spending and a less brand-loyal attitude
(Wilson 2009). By understanding how teenagers develop their attitudes,
companies can use the information to develop strategies to increase their
competitive market advantage and retain their market share even during tough

times.

Suggestions for Future Research and Limitations
The present study investigated how attitudes toward luxury are developed

by Brazilian teenagers. The constructs that were part of this study are: aspects of

64

self, materialism, peer pressure, attitudes toward luxury and social consumption
motivation. This study empirically showed that the attachment to possessions
influences the opinion that one has about luxury brands and also influences how
an individual perceives social pressure to consume. In addition this study
demonstrated that individuals who perceive themselves as free from the
influence, control, or determination of others, as well as individuals who are very
clear about who they are and what they want in life, represent individuals who do
not pay much attention to collective incentives to consume.

It is not clear, however, how a greater variety of demographic variables
(age, gender, income, education level, parent’s employment status) would help
the study to generate additional interesting findings. For instance the study
conducted by Roberts and Clement (2007) found that as income declined more
individuals equated happiness with material possessions. Furthermore, previous
work by Kasser (1995) and, Elliot and Leonard (2004) found that teenagers
growing up in less advantageous socio-economic circumstances placed greater
value on financial success aspirations than on self acceptance. The study
suggests that such teens may focus more on external rewards, because intrinsic
sources of worth and security are less supported by and less prevalent in
disadvantaged communities.

In addition, it would be interesting to investigate teenager’s attitudes toward
counterfeit luxury items (Cheung and Prendergast 2006; Gentry et al. 2001)
given that some companies really consider this a threat to their brands, and also,

given that in economic downturns consumers may focus on spending less, no

65

matter how. In addition, Brazilian researchers found that currently, the social
acceptance of counterfeit luxury items in growing (D’Angelo 2009). This might be
related to another issue that we also did not examine in our research, the
customer’s perception of quality (Cheng, Cripps, and Chen 2006). One might say
that teens spend more on counterfeit luxury items because they do not perceive
an additional value for money or an extra intrinsic quality that usually only an
authentic item can offer.

It may also be important to investigate a connection between materialistic
teens, luxury brands and issues related to quality of life. Some previous studies
found that those who are materialistic are more likely to be dissatisfied with their
possessions because they have high possession expectations (Sirgy et al. 1998),
also it was found that developing materialistic values may be inversely related to
quality of life (DeAngelis 2004; Larsen et al. 1999; Sirgy 1998) and that this
damaging relationship (resulting from reduction of quality of life) leads to overall
life dissatisfaction. This relationship was seen primarily when the likelihood of
purchase is reduced due to lack of resources (i.e.: an individual who wants a
branded watch, but does not have enough money, may be depressed and
unsatisfied with their own life as whole) (Sirgy 1998; Wang and Wallendorf 2006).

Another topic that could be investigated that might add some extra insights
to our findings is how teenager’s attitudes toward luxury brands change overtime
through a longitudinal study. It is possible to argue that parents support their
children’s purchasing behavior as a means of helping the children deal with the

transition period from childhood to adulthood. Specifically, Prendergast and

66

Wong (2003) demonstrated that parents often spend extra money to purchase
luxury brand products for their offspring. This behavior might lead to the
assumption that parents seek to express their financial wealth through their
children, or that parents try to compensate for lack of quality time together with
their children by buying them expensive merchandise. This behavior pattern
might contribute to the later consumption practices of teenagers and
consequently to the positive perceptions of luxury brands by teenagers. Belk,
Mayer and Driscoll (1984) also stated that individual preferences in the younger
population could reflect exposure to different brands, as demonstrated by
parental or other adult influence.

Luxury goods are highly attractive for many consumers in different
countries; many individuals are often inspired by luxury and are passionate about
the meaning that it brings to their lives. Specifically, there are a number of
important reasons why luxury is so important for many consumers. As Kapferer
(1998) mentioned, many young people equate status with luxury, and many
brands provide this connection, such as Coach, Kipling, and Abercrombie &
Fitch. Future research could test the replicability of our findings with additional
samples and cultures. Cross-cultural replication might find differing degrees of
attitudes toward luxury brands based on differing core cultural values toward
change, conformity/distinction, or fashion (Dubois and Laurent 1996; Wong and
Ahuvia 1998).

Another suggestion for a future investigation is to examine in a more

qualitative manner, the concept of luxury brands among teens. “Luxury is

67

particularly slippery to define,” notes Cornell (2002) and “luxury is wider than the
narrow definition” notes Mortelmans (2005). The purpose of our research was not
to define luxury per se, as some authors reported it to be hard task (Galhanone
2005; Mortelmans 2005; Wiedmann et al. 2009) , but more modestly, our aim
was to investigate attitudes toward luxury brands among Brazilian teens. There
are several definitions for luxury, usually they represent something inessential,
costly but conducive of enjoyment (Dubois and Laurent 1994; Galhanone 2005;
Hader 2008; Mortelmans 2005; Seringhaus 2005). Besides, important differences
in the concept of luxury may exist across generation in one single country
(Dubois et al. 2005). The fact is that luxury is still a very complex term, since
something that might be considered as luxury to one, might not be considered as
luxury by other, and a study aiming to further define and refine this term both
qualitatively and quantitatively would be a long range project.

Our data failed to show an expected positive relationship between
interdependent self construal and social consumption motivation, and the effect
of peer pressure on moderating the relationship between self concept clarity and
social consumption motivation. In our study, all variables were measured
concurrently, therefore, the statistical relationships among the constructs may not
reflect causation, and our study design as well as many other studies does not
permit causal conclusions (Rose and DeJesus 2007). Consequently, our last
suggestion would be to investigate in more detail what can affect the
aforementioned relationships and which constructs should be used to measure

them. A possible solution would be to conduct some qualitative studies in order

68

to create measures specific for teenagers, although this would definitely be a
more costly study and demand extra time. Another solution would be to perform
longitudinal studies in order to evaluate how individuals develop aspects of self
differently, in an effort to examine oscillations of self over time rather than their
perceptions of self at one point in time.

A main critique of survey-based research in general, is that people’s
responses are extemporaneous without much prior thought involved; therefore,
our research does not avoid this limitation. Kotler observed that people’s
motivation is not always obvious, and to a certain degree conscious. “If one
asked why he purchased an expensive foreign sports-car, he may reply that he
likes its maneuverability and its looks. At a deeper level he may have purchased
the car to impress others, or to feel young again. At a still deeper level, he may
be purchasing the sports car to achieve substitute gratification for unsatisfied
sexual strivings” (Kotler 1965, p. 41). Indeed, abstract concepts are more difficult
to measure in research surveys. Moreover, measuring consumer attitudes toward
luxury may be one of the most difficult areas of research given that our need for
prestige is one of our most closely guarded secrets (Garfein 1989; Vigneron
1 998).

Consumers in different parts of the world buy, or wish to buy, luxury brands
for apparently varied reasons. However they possess similar values regardless of
their country of origin; the difference is the weight of each value for a particular
individual (Wiedmann, Hennigs, and Siebels 2007). Despite the limitations and

necessary steps in future research, the primary contribution of this framework lies

69

in developing a comprehensive model of consumers’ perceptions of luxury by
integrating the dimensions of self, social consumption motivation, peer pressure
and materialism to identify relevant behavioral patterns among teens in a
developing country. The findings of this study will hopefully stimulate further
research on teens and luxury brands. In particular, future research should
explore and test more aspects of self and teens’ behavior as we believe it to be

crucial for marketers, educators, and parents.

70

APPENDICES

APPENDIX A:
SURVEY ITEMS AND CONSENT FORMS

Teens and Consumer Behavior

gem

PEER PRESSURE
Please use this 7-point scale to indicate your agreement or disagreement with each statement

(just mark just one alternative per statement).

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

1) My friends could push me into doing Strongly 1 2 3 Strongly
just about anything Disagree Agree

2) I give into peer pressure easily Strongly 1 2 3 Strongly

Disagree Agree

3) When at school, if a group of people Strongly 1 2 3 Strongly
asked me to do something, it would Disagree Agree
be hard to say no

4) At times, I've broken rules because Strongly 1 2 3 Strongly
others have urged me to Disagree Agree

5) At times, I’ve done dangerous or Strongly 1 2 3 Strongly
foolish things because others dared Disagree Agree
me to

6) I often feel pressured to do things I Strongly 1 2 3 Strongly
wouldn’t normally do Disagree Agree

7) If my friends are drinking, it would be Strongly 1 2 3 Strongly
hard for me to resist having a drink Disagree Agree

8) I’ve skipped classes, when others Strongly 1 2 3 Strongly
have urged me to Disagree Agree

9) I’ve felt pressured to have sex, Strongly 1 2 3 Strongly
because a lot of people my own age Disagree Agree
have already had sex

10) I’ve felt pressured to get drunk at Strongly 1 2 3 Strongly
parties Disagree Agree

11) At times I've felt pressured to do Strongly 1 2 3 Strongly
drugs, because others have urged Disagree Agree
me to

SECTI N II

MATERIAL VALUES SCALE [(r) reverse code]
Please use this 7—point scale to indicate the extent to which you believe best represents your

Opinion about the question (mark only one alternative per question).

 

 

 

 

 

 

 

 

 

 

 

 

12) How do you feel about people Do not 1 2 3 Greatly
who own expensive homes, cars, admire admire
and clothes?

13) How do you shop? (r) Buy 1 2 3 Buy only

 

 

71

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

anything I whatl
mlght want need

14) How do you feel about owning Makes me Makes
things that impress people? un- me feel

comfortable great

15) How do you feel about acquiring Not Very
material possessions as an important Important
achievement in life?

16) How do you approach your life in More is Simple is
terms of your possessions (i.e., better better
buying and owninLthings)? (r)

17) Would your life be any better if Not any Much
you owned certain things that you better better
don’t have?

18) Do you think the amount of Very much Not at all
material objects people own
shows how successful they are?

(r)

19) How would you feel if you could Not any Much
afford to buy more things? happier happier

20) How would you feel if you owned Much Not any
nicer things? (r) happier happier

21) What do the things you own say Very little A great
about how well you are doing in deal
life?

22) How do you feel about spending Do not Really
money on things that aren’t enjoy enjoy
practical?

23) Do you feel that you have all the Need more Have aIlI
things you really need to enjoy need
Iife?(r)

24) How much pleasure do you get Very little A great
from buyirm things? deal

25) How do you feel about the things Very Not all
you own? (r) important that

important

26) How do you feel about having a Do not Really
lot of luxury in your life? enjoy enjoy

W

INDEPENDENT SELF-CONSTRUAL (items 27-40)

INTERDEPENDENT SELF-CONSTRUAL (items 41 -51)

Please use this 7-point scale to indicate your agreement or disagreement with each statement
(mark only one alternative per statement). Please note that “group” is a small, relatively intimate
group of peers who interact with you on a regular basis.

 

 

 

 

 

 

 

 

 

 

27) I should be judged on my own merit Strongly 1 2 3 4 5 6 7 Strongly
Disagee Agree

28) Being able to take care of myself is a Strongly 1 2 3 4 5 6 7 Strongly
primary concern for me Disagree Agree

29) My personal identity is important to Strongly 1 2 3 4 5 6 7 Strongly
me Disagree Agee

 

 

 

 

 

72

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

30) I prefer to be self-reliant rather than Strongly 6 Strongly
depend on others Disagree Agree
31) I am a unique person separate from Strongly 6 Strongly
others Disagree Agree
32) If there is a conflict between my Strongly 6 Strongly
values and values of groups of which Disagree Agree
I am a member, I follow my values
33) I try not to depend on others Strongly 6 Strongly
Disang Agree
34) I take responsibility for my own Strongly 6 Strongly
actions Disagree Agree
35) It is important for me to act as an Strongly 6 Strongly
independent person Disagree Agree
36) I should decide my future on my own Strongly 6 Strongly
Disagree Agree
37) What happens to me is my own Strongly 6 Strongly
doirg Disagree Age
38) I enjoy being unique and different Strongly 6 Strongly
from others Disamee Agree
39) I am comfortable being singled out Strongly 6 Strongly
for praise and rewards Disagree Agree
40) I don't support a group decision Strongly 6 Strongly
when it is wrong Disagree A ree
41) l consult others before making Strongly 6 Strongly
important decisions Disagree Agree
42) I will sacrifice my self-interest for the Strongly 6 Strongly
benefit of my group Disagree Agree
43) I stick with my group even through Strongly 6 Strongly
difficulties Disagree Agree
44) I respect decisions made by my Strongly 6 Strongly
group Disagree Agree
45) I will stay in a group if it needs me, Strongly 6 Strongly
even if I am not happy with it Disagree Agree
46) I maintain harmony in the groups of Strongly 6 Strongly
which I am a member Disagree Agree
47) I respect the majority’s wishes in Strongly 6 Strongly
groups of which I am a member Disagree Agree
48) I remain in the groups of which I am Strongly 6 Strongly
3 member if they need me, even Disagree Agree
though I am dissatisfied with them
49) It is better to consult others and get Strongly 6 Strongly
their opinions before doing anything Disagree Agree
50) It is important to consult close friends Strongly 6 Strongly
and get their ideas before making a Disagree Agree
decision
51) My relationships with others are Strongly 6 Strongly
more important to me than my Disagree Agree
accomplishments
seem

SELF-CONCEPT CLARITY [(r) reverse code]

73

 

Please use this 7-point scale to indicate your agreement or disagreement with each statement

(mark only one alternative per statement).

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

52) My beliefs about myself often conflict Strongly Strongly
with one another (r) Disagree Agree

53) On one day I might have one cpinion Strongly Strongly
of myself and on another day I might Disagree Agree
have a different opinion (r)

54) I spend a lot of time wondering about Strongly Strongly
what kind of person I really am (r) Disagree Agree

55) Sometimes I feel that I am not really Strongly Strongly
the person that I appear to be (r) Disagree Agree

56) When I think about the kind of person Strongly Strongly
I have been in the past, I’m not sure Disagree Agree
what I was really like (r)

57) I seldom experience conflict between Strongly Strongly
the different aspects of my personality Disagree Agree

58) Sometimes I think I know other Strongly Strongly
people better than I know myself (r) Disagree Agree

59) My beliefs about myself seem to Strongly Strongly
change very frequently (r) Disagree Agree

60) If I were asked to describe my Strongly Strongly
personality, my description might end Disagree Agree
up being different from one day to
another day (r)

61) Even if I wanted to, ldon’t thinkl Strongly Strongly
would tell someone what I’m really Disagree Agree
like (r)

62) In general, I have a clear sense of Strongly Strongly
who I am and what I am Disagree Agree

63) It is often hard for me to make up my Strongly Strongly
mind about things because I don’t Disagree Agree
really know what I want (r)

w

SOCIAL CONSUMPTION MOTIVATION
Please use this 7-point scale to indicate your agreement or disagreement with each statement (mark
only one alternative per statement). All statements below are related to the topic: Mat is Impprtant
to 1‘ re rch in a roduct?

 

Tofi: What is important to know before

 

 

 

 

 

 

 

 

 

 

 

 

 

purchasing a product?

64) What others think of different brands or Strongly Strongly
products Disagree Agree

65) What kind of people buy certain brands Strongly Strongly
or products Disagree Agree

66) What others think of people who use Strongly Strongly
certain brands or products Disagree Agree

 

74

 

 

67) What brands or products to buy
make a good impression on others

 

to Strongly12345
Disagree

 

 

 

 

 

 

 

 

 

Strongly
Agree

 

§ECTION VI

ATTITUDE TOWARD LUXURY [(r) reverse code, (i) interest toward luxury factor, (e) evaluative

attitude toward luxury factor]

Please use this 7-point scale to indicate your agreement or disagreement with each statement

(Mark only one alternative per statement).

 

 

 

 

 

 

 

 

 

 

differentiate themselves from others

(9) (r)

 

 

 

 

 

 

 

 

 

 

68) I don’t know much about the luxury Disagree 1 2 3 4 5 6 7 Agree
world (i)(r)

69) In my opinion, luxury is too expensive Disagree 1 2 3 4 5 6 7 Agree
for what it is (e) (r)

70) In my opinion, luxury is flashy (e) (r) Disagree 1 2 3 4 5 6 7 Agree

71) All things considered, I rather like Disagree 1 2 3 4 5 6 7 Agree
luxury (i)

72) I’m not interested in luxury (i) (r) Disagree 1 2 3 4 5 6 7 A ree

73) I could talk about luxury for hours (i) Disagree 1 2 3 4 5 6 7 Agree

74) I would not feel at ease in a luxury Disagree 1 2 3 4 5 6 7 Agree
shop 0) (r)

75) I almost never buy luxury products( i) Disagree 1 2 3 4 5 6 7 Agree
(0

76) People who buy luxury products seek Disagree 1 2 3 4 5 7 Agree
to imitate the rich (e) (r)

77) People who buy luxury products try to Disagree 1 2 3 4 5 6 7 Agree

 

Please respond to the following questions about yourself.

78) Please indicate your gender
1) Male
2) Female

79) Please indicate your age
1) 12
2) 13
3) 14
4) 15
5) 16
6) 17
7) 18

80) Do you have a cell phone?
1) Yes
2) No

SECTI N VII

81) Please Indicate your number of siblings

1) 0(l don’t have any)
2) 1
3) 2

75

 

 

4) 3
5) 4
6) Sor more

82) How many TV’s do you have in your home?
1) More than 4 W5
2) 3
3) 2
4) Only 1 TV
5) None

83) Mark the top category that you usually spend your allowance on (or the money that
you usually receive from your job or parentslrelatives). Please, mark only one category

1) Entertainment (movies, games, magazines, CD’s)

2) Clothes! shoes

3) Food/snacks

4) School needs (pen, paper)

5) Cosmetics (cologne, make up, cleanser)

6) Others

84) Do you have a job?
1) Yes
2) No

85) Please indicate the status of your parents’ relationship
1) Married
2) Separated
3) Divorced
4) Never married
5) Don’t know/none of the above

86) What Is the highest degree obtained by either of your parent (s)?
1) No high school
2) High School
3) Bachelor’s
4) Graduate degree
5) Don’t know/none of the above

87) Please indicate your grade
1) 6th
2) 7th
3) 8th
4) 9th
5) 10th
6) 11th
7) None of the above! not sure

Thank you for taking the time to fill out our survey @

76

Assent Form (to be signed by the teenager)
Teens and Consumer Behavior

This is a research study of teens and consumer behavior. You are being asked to
participate because you are a high school student, and your parent or guardian has
agreed to allow you to participate. Your participation will involve completing the attached
survey, which should take about 15 minutes. This research is being conducted by
Luciana de Araujo Gil (PhD student from Michigan State University) as part of her
dissertation requirement.
There are no right or wrong answers.
We are Interested in your ideas and Opinions.

Who will have access to your responses? How will the information be used?

Your participation is completely voluntary. All survey responses will remain confidential.
Your survey responses will be available only to members of our research team and will
never be identified with you personally. You may decline to answer any question at any
time during the study. The research offers no risk to respondents. You will not benefit
from participation in the study. However, your participation may contribute to
understanding more about teenagers’ consumer behavior. All of your answers will be
anonymous. Responses will be combined with other respondents so that individual
responses cannot be isolated.

 

How will your privacy be protected?

You may choose not to participate in the study, you may decline to answer specific
questions, and you may discontinue participation at any time. Your privacy will be
protected to the maximum extent allowable by law.

What if you have questions about the study?

If you have any questions about this study, please contact the principal investigator, Dr.
Kyoung-Nan Kwon, Assistant Professor, 367 Comm Arts Building, Michigan State
University, East Lansing, MI 48824; by phone (517) 353-9909; or by email
kwonky@msu.edu. You may also contact the secondary investigator, Luciana de Araujo
Gil, Ph.D. Retailing student, at Rua Govemador Pedro de Toledo 34 apto 22 Santos/SP
phone (13) 32849289; or by email gillucia@msu.edu.

If you have questions or concerns regarding your rights as a study participant, or are
dissatisfied at any time with any aspect of this study, you may contact - anonymously, if
you wish — Peter Vasilenko, Ph.D., Director of the Human Subject Protection Programs
at Michigan State University, by phone: (517) 355-2180, fax: (517) 432-4503, email:
irb@msu.edu, or regular mail: 202 Olds Hall, East Lansing, MI 48824.

Your signature below indicates your voluntary assent to participate in this study.

 

 

Name [please print] Date

 

Signature

77

Request for letter of commitment or support template
Michigan State University

August, 14 2007

Address letter to: Ms. Maria Bemardete da Silva
Colégio Stella Maris
Av. Conselheiro Nebias, 771
Santos/SP Brazil zip 11-100

Subject: Request for letter of commitment or support for data collection project

I am writing you to ask for Colégio Stella Maris support for my research project.
The project focuses on a research study of teens and their consumer behavior. Your
student’s participation will involve completing the attached survey and will take about 15
minutes. There are no right or wrong answers, and no benefit or risk to your students.
We are only interested in your student’s ideas and opinions.

Prior to administering the survey, a consent form will be sent to parents/guardian
and only students who bring the consent form signed will be allowed to participate in our
research.

The research activities will help me to achieve my goals to finish my dissertation
and obtain my PhD degree. The overall aspiration of the proposed project is to
demonstrate how and why teenagers consume luxury brands.

Colégio Stella Maris will be involved in the project in the following ways:

0 Selecting classes to answer a survey questionnaire about
teenagers behavior and attitude toward luxury

0 Evaluating a copy of the questionnairel and consent forms before
the collection of the data

Please send the letter of commitment or support to:
Luciana do Araujo Gil,

PhD CandidatelMichigan State University

750 Pine Forest Drive #103

East LansinglMI 48823

OR

Just sign and date this letter, your signature below indicates your voluntary support our
research project and the participation of your students in our data collection.

 

 

Your Name [please print] Date

 

Your Signature

78

Consent Form (parents/guardian)
Child’s Participation in Studszeens and Consumer Behavior

What is your child’s involvement in this study?

You are being asked to consent to your child’s participation in a research study of teens
and consumer behavior. Your child’s participation will involve completing a survey during
class time and will take about 15 minutes. There are no right or wrong answers. We are
only interested in your child’s ideas and opinions. This research is being conducted by
Luciana de Araujo Gil (PhD student from Michigan State University) as part of her
dissertation requirement.

Who will have access to what your child says? How will the information be used?

Your child’s participation is completely voluntary. All survey responses will
remain confidential. Your child’s survey responses will be available only to members of
our research team and will never be identified with him or her personally. Your child will
not benefit from participation in the study. However, his or her participation may
contribute to understanding more about teenager consumer behavior. All of the answers
will be anonymous. Responses will be combined with other respondents so that
individual responses cannot be isolated.

How will your child’s privacy be protected?

You may choose not to have your child participate in the study, your child may decline to
answer specific questions, and your child may discontinue participation at any time.
Your child's privacy will be protected to the maximum extent allowable by law. If you
provide your consent, your child may still make his or her own choice to participate.

Are there any risks involved in this study?
No, there is no risk to any of the respondents of this survey.
What if you have questions about the study?

If you have any questions about this study, please contact the principal investigator, Dr.
Kyoung-Nan Kwon, Assistant Professor, 367 Comm Arts Building, Michigan State
University, East Lansing, MI 48824; by phone (517) 353-9909; or by email
kwonky@msu.edu. You may also contact the secondary investigator, Luciana de Araujo
Gil, Ph.D. Retailing student, at Rua Govemador Pedro de Toledo 34 apto 22 Santos/SP
phone (13) 32849289; or by email gillucia@msu.edu.

If you have questions or concerns regarding your rights or your child’s rights as a study
participant, or are dissatisfied at any time with any aspect of this study, you may contact
- anonymously, if you wish - Peter Vasilenko, Ph.D., Director of the Human Subject
Protection Programs at Michigan State University, by phone: (517) 355-2180, fax: (517)
432-4503, email: irb@msu.edu, or regular mail: 202 Olds Hall, East Lansing, MI 48824.

Your signature below indicates your voluntary consent for your child to participate in this
study.

79

 

 

Your Name [please print] Child’s Name [please print]

 

 

Your Signature Date

80

APPENDIX B:

 

 

 

 

TABLES

Table 8.1
Scale items - Factor Analysis (maximum likelihood/ oblique rotation)

Factor 1 Factor 2

Peer pressure
My friends could push me into doing just about anything -0.108 1.069
I give into peer pressure easily 0.089 0.891
When at school, if a group of people asked me to do something, it 0.052 0.736
would be hard to say no
At times, I’ve broken rules because others have urged me to 0.702 0.555
At times, I’ve done dangerous or foolish things because others dared me 0.874 0.490
to
I often feel pressured to do things I wouldn’t normally do 0.512 0.229
If my friends are drinking, it would be hard for me to resist having a drink 1.146 0.007
I’ve skipped classes, when others have urged me to 0.929 0.367
I’ve felt pressured to have sex, because a lot of people my own age have 0.729 0.014
already had sex
I’ve felt pressured to get drunk at parties (eliminated related to drugs) 1.008 -0.223
At times I’ve felt pressured to do drugs, because others have urged me to 0.707 -0.095 '
(eliminated related to drugs)
Materialism

How do you feel about people who own expensive homes, cars, and 0.364 0.243
clothes?
How do you shop? (r) -0.046 0.619
How do you feel about owning things that impress people? 0.306 0.293
How do you feel about acquiring material possessions as an 0.488 0.108
achievement in life?
How do you approach your life in terms of your possessions (i.e., buying 0.345 0.276
and owning things)? (r)
Would your life be any better if you owned certain things that you 0.638 -0.058
don’t have?
Do you think the amount of material objects people own shows how 0.307 -0.032
successful they are? (r)
How would you feel if you could afford to buy more things? 0.680 0.037
How would you feel if you owned nicer things? (r) 0.539 0.202
What do the things you own say about how well you are doing in life? 0.382 0.003
How do you feel about spending money on things that ' aren't 0.123 0.432
practical?
Do you feel that you have all the things you really need to enjoy life? 0.422 -0.133
It)

How much pleasure do you get from buying things? -0.039 0.579
How do you feel about having a lot of luxury in your life? 0.377 0.333
Independent self construal
I should be judged on my own merit 0.656 -0.030
Being able to take care of myself is a primary concern for me 0.525 0.003
My personal identity is important to me 0.521 -0.061
I prefer to be self-reliant rather than depend on others 0.505 -0.017
I am a unique person separate from others -0.074 0.742
If there is a conflict between my values and values of groups of which I 0.050 0.641

am a member, I follow my values
I try not to depend on others 0.131 0.559
I take responsibility for my own actions 0.288 0.240

81

 

Table 8.1 (cont’d)

 

 

 

It is important for me to act as an independent person 0.426 0.208
I should decide my future on my own 0.377 0.191
What happens to me is my own doing 0.454 0.134
I enjoy being unique and different from others 0.416 -0.073
I am comfortable being singled out for praise and rewards 0.292 0.046
I don’t support a group decision when it is wrong 0.310 0.013

lnterdependent self construal
I consult others before making important decisions 0.654 -0.012
I will sacrifice my self-Interest for the benefit of my group 0.640 -0.010
I stick with my group even through difficulties 0.636 0.028
I respect decisions made by my group 0.548 -0.046
I will stay in a group if it needs me, even IfI am not happy with It 0.541 0.032
I maintain harmony in the groups of which I am a member -0.104 0.821
I respect the majority’s wishes in groups of which I am a member -0.024 0.702
I remain in the groups of which I am a member if they need me, even 0.051 0.497
though I am dissatisfied with them
It is better to consult others and get their opinions before doing anything 0.172 0.356
It is important to consult close friends and get their ideas before making a 0.335 0.115
decision
My relationships with others are more important to me than my 0.423 -0.031
accomplishments

Self concept clarity

My beliefs about myself often conflict with one another (r) 0.454 -0.015
On one day I might have one opinion of myself and on another day I 0.798 -0.125
might have a different opinion (r)
I spend a lot of time wondering about what kind of person I really am 0.589 0.066
(0
Sometimes I feel that I am not really the person that I appear to be (r) 0.400 0.193
When I think about the kind of person I have been in the past, I’m not sure 0.076 0.462
what I was really like (r)
Sometimes I think I know other people better than I know myself (r) 0.221 0.351
My beliefs about myself seem to change very frequently (r) 0.521 0.279
If I were asked to describe my personality, my description might end up 0.262 0.470
being different from one day to another day (r)
Even if I wanted to, I don’t think I would tell someone what I’m really like -0.143 0.873
(r)
In general, I have a clear sense of who I am and what I am 0.067 0.420
It is often hard for me to make up my mind about things because I don’t 0.297 0.059
really know what I want (r)

Social consumption motivation (The maximum number of factors for this scale is 1)
What others think of different brands or products 0.841 NA
What kind of people buy certain brands or products 0.784 NA
What others think of people who use certain brands or products 0.722 NA
What brands or products to buy to make a good Impression on 0.718 NA

others

(note “f' reverse score/highlighted items represented the selected ones)

82

Table 8.2
Scale Items and Measurement Properties

 

 

 

 

 

Corrected Item-Total Scale Cronbach's
Correlation Alpha
Peer pressure
My friends could push me into doing just 0.447 0.626
about anything
I give into peer pressure easily 0.494
When at school, if a group of people asked 0.320
me to do something, it would be hard to say
no
At times, I’ve broken rules because others 0.328
have urged me to
Materialism
MT1 0.715
How do you feel about acquiring material 0.392
possessions as an achievement in life?
Would your life be any better if you owned 0.504
certain things that you don’t have?
How would you feel if you could afford to buy 0.590
more things?
How would you feel if you owned nicer 0.495
things? (r)
Do you feel that you have all the things you 0.325
really need to enjoy life? (r)
MT2
How do you shop? (r) 0.396
How do you feel about spending money on 0.374
things that aren’t practical?
How much pleasure do you get from buying 0.389
things?
Independent self construal
I should be judged on my own merit 0.439 0.656
Being able to take care of myself is a primary 0.482
concern for me
My personal identity is important to me 0.396
I prefer to be self-reliant rather than depend 0.430
on others
Interdependent self construal
I consult others before making important 0.426 0.738
decisions .
I will sacrifice my self-interest for the benefit 0.522
of my group
I stick with my group even through difficulties 0.586
I respect decisions made by my group 0.490
I will stay in a group if it needs me, even if I 0.476

am not happy with it

 

83

Table 8.2 (cont'd)
Self concept clarity

 

 

 

 

On one day I might have one opinion of 0.563 0.717
myself and on another day I might have a
different opinion (r)
I spend a lot of time wondering about what 0.530
kind of person I really am (r)
My beliefs about myself seem to change very 0.517
frequently (r)
Social consumption motivation
What others think of different brands or 0.653 0.849
products
What kind of people buy certain brands or 0.711
products
What others think of people who use certain 0.751
brands or products
What brands or products to buy to make a 0.638
good impression on others
Interest toward luxury brands
I don’t know much about the luxury world (r) 0.426 0.726
All things considered, I rather like luxury 0.497
I’m not interested in luxury (r) 0.537
I could talk about luxury for hours 0.404
I would not feel at ease in a luxury shop (r) 0.348
I almost never buy luxury products(r) 0.541
Evaluative attitude toward luxury brands
In my opinion, luxury is too expensive for 0.273 0.609
what it is (r)
In my opinion, luxury is flashy (r) 0.470
People who buy luxury products seek to 0.462
imitate the rich (r)
People who buy luxury products try to 0.369

differentiate themselves from others (r)

 

84

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Table 3.4

Collinearity Analysis- Coefficients a

 

 

 

 

 

 

 

Unstandardized Standardized Collinearity
Coefficients Coefficients Statistics
M0d8| 8 Std. Error Beta t SiQ- Tolerance VIF
(Constant) 5.280 .499 10.586 .000
inter54 .091 .055 .075 1.654 .099 .768 1.303
inter55 -092 .054 -.087 -1.698 .090 .609 1.543
inter56 .058 .044 .071 1.335 .182 .566 1.765
inter58 -.100 .048 -.104 -2.082 .038 .644 1.553
inter59 .009 .040 .011 .222 .824 .644 1.554
rclar64 -.085 .037 -.111 -2.279 .023 .674 1.484
rclar65 .038 .035 .052 1.090 .275 .704 1.420
rclar70 -.178 .041 -.206 -4.304 .000 .700 1.429
|NDEP40 .073 .057 .058 1.278 .202 .779 1.284
INDEP42 -.012 .044 -012 -.269 .788 .753 1.328
INDEP43 -.116 .045 -.113 -2.556 .011 .823 1.215
INDEP49 -.121 .055 -.101 -2.226 .026 .774 1.292

 

87

a. Dependent Variable: Social Consumption Motivation

TABLE 8.5
Descriptive Statistics

 

 

 

 

 

 

Mean SD Skewness N Scale
mean
Peer pressure 2.549
My friends could push me into doing 2.388 1.518 0.870 558
just about anything
I give into peer pressure easily 2.164 1.383 1.264 558
When at school, if a group of people 3.278 1.871 0.360 558
asked me to do something, it would
be hard to say no
At times, I’ve broken rules because 2.363 1.858 1.202 558
others have urged me to
Materialism 3.838
MT1 3.421 1.873 0.217 558
How do you feel about acquiring
material possessions as an
achievement in life?
Would your life be any better if you 3.940 1.766 —0.100 558
owned certain things that you don't
have?
How would you feel if you could 4.593 1.721 -0.453 558
afford to buy more things?
How would you feel if you owned 3.811 1.808 0.023 558
nicer things? (r)
Do you feel that you have all the 2.573 1.787 0.984 558
things you really need to enjoy life?
(0
MT2
How do you shop? (r) 4.593 1.863 -0.337 558
How do you feel about spending 2.844 1.735 0.612 558
money on things that aren't
practical?
How much pleasure do you get 4.910 2.042 -0.627 558
from buying things?
Independent self construal 5.963
I should be judged on my own merit 6.318 1.266 ~2.219 558
Being able to take care of myself is 5.810 1.678 -1.428 558
a primary concern for me
My personal identity is important to 5.697 1.551 -1.160 558
me
I prefer to be self-reliant rather than 6.026 1.332 -1.558 558
depend on others
Interdependent self construal 5.138
I consult others before making 6.151 1.328 -1.860 558
important decisions
I will sacrifice my self-interest for 5.522 1.510 -0.977 558
the benefit of my group
I stick with my group even through 4.666 1.946 -0.522 558

88

Table 3.5 (cont’d)

 

 

 

 

difficulties

I respect decisions made by my 5.232 1.666 -0.872 558
group

I will stay in a group if it needs me, 4.115 2.002 -0.146 558
even ifl am not happy with it

Self concept clarity 4.338
On one day I might have one 3.781 2.088 0.187 558
opinion of myself and on another

day I might have a different opinion

(It)

I spend a lot of time wondering 3.861 2.158 0.126 558
about what kind of person I really

am (r)

My beliefs about myself seem to 5.371 1.849 -0.892 558
change very frequently (r)

Social consumption motivation 2.989
What others think of different 3.161 1.921 0.345 558
brands or products

What kind of people buy certain 2.887 1.924 0.602 558
brands or products
What others think of people who 2.915 1.903 0.535 558
use certain brands or products
What brands or products to buy to 2.992 1.969 0.559 558
make a good impression on others

Interest toward luxury brands 3.859
I don’t know much about the luxury 4.122 1.877 -0.086 555
world (r)
All things considered, I rather like 3.925 1.969 -0.038 553
luxury

I'm not interested in luxury (r) 4.449 1.839 -0.321 552
I could talk about luxury for hours 2.447 1.777 1.071 550
I would not feel at ease in a luxury 4.502 1.945 —0.279 553
shop (r)

I almost never buy luxury 3.766 1.950 0.112 549
products(r)

Evaluative attitude toward luxury brands 3.887
In my opinion, luxury is too 2.776 1.786 0.936 555
expensive for what it is (r)

In my opinion, luxury is flashy (r) 3.992 1.976 0.084 553
People who buy luxury products 4.703 1.961 -0.329 554
seek to imitate the rich (r)

People who buy luxury products try 4.064 1.963 0.050 554

to differentiate themselves from
others (r)

 

note “r" reverse score

89

Table 8.6
Top ten luxury brands chosen by our sample % mentioned (open question)

 

Nike 13
Adidas
Puma
Dior
Quicksilver
Oakley
Colcci
Armani

. Billabong
10. Apple

11. Channel
12. Gucci

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9O

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