Different dimensions of conspicuous consumption in the emerging market of Bangladesh

Published: Jul 10, 2023

Abstract:

Purpose: This study wishes to explore the level of understanding of how consumers in the market perceive conspicuous consumption.

Research methodology: A qualitative research process was applied for collecting and evaluating the information, and the data is collected using the Ethnographic and Netnographic approaches to conduct this study.

Results: Customers buy luxury things based on aesthetic value, originality, social standing, desired states, and money use. For social standing, people purchase premium products. The desire to consume luxury items and services also encourage their conspicuous purchase, according to the research. People use luxury things to maximize their fortune.

Limitations: This research is conducted within Bangladesh. If it is broader research and there is available time, the study can be performed in different regions of the country. Core data can be obtained if observing each respondent for a long time is possible.

Contribution: According to this study, Bangladeshi consumers redefine luxury through their product attitudes. This research has managerial and academic uses. This research teaches about conspicuous consumption. This study suggests luxury brand owners modify items to diverse countries so cultural differences don't affect conspicuous purchasing. As counterfeit items may be dangerous to health, particularly electronics, marketing managers can raise awareness by researching this research.

Keywords:
1. Luxury
2. conspicuous consumption
3. counterfeit
4. Bangladesh
5. theories
Authors:
1 . Moutusi Tanha
2 . Ather Yeasir Fahim
3 . Shahira Tasnim
4 . Md Ali Reza Raju
5 . Waliul Islam
6 . Fahimuzzaman Shawn
7 . Moin Talukder
8 . Md. Jahidul Islam
How to Cite
Tanha, M., Fahim, A. Y., Tasnim, S., Raju, M. A. R., Waliul Islam, Shawn, F., Talukder, M. ., & Islam, M. J. (2023). Different dimensions of conspicuous consumption in the emerging market of Bangladesh. Annals of Management and Organization Research, 4(1), 65–87. https://doi.org/10.35912/amor.v4i1.1524

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References

    Akter, S. (2021). Companies’ vision, mission, and core values focus on human resource management. International Journal of Financial, Accounting, and Management, 2(4), 343-355.

    Alam, S. I., & Iqbal, S. N. (2023). The Product Inventory Basket (PIB) Model to Measure Consumer Lifestyles and the Corresponding Consumption Behaviors in Dhaka City, Bangladesh. Journal of Sales, Service and Marketing Research (e-ISSN: 2582-7804), 23-31.

    Armitage, J., & Roberts, J. (2016). The spirit of luxury. Cultural Politics, 12(1), 1-22.

    Azungah, T. (2018). Qualitative research: deductive and inductive approaches to data analysis. Qualitative research journal, 18(4), 383-400.

    Berry, J. W. (2005). Acculturation: Living successfully in two cultures. International Journal of Intercultural Relations, 29(6), 697-712.

    Chigora, F., Kapesa, T., & Svongoro, P. (2021). Revisiting nation branding: An infrastructure financing perspective in Zimbabwe. International Journal of Financial, Accounting, and Management, 3(2), 179-192.

    Danziger, P. N. (2019). 'Luxury' Has Lost Its Meaning—Here's How To Get It Back. Retrieved from https://www.forbes.com/sites/pamdanziger/2019/07/10/luxurys-lost-its-meaning-heres-how-to-get-it-back/?sh=ee090e2c4b9c

    Dokku, S. R., Rajesh, C., & Lakshmi, P. A. (2022). A Study on Customers’ Expectations towards Purchase of Smartphones in India: with Reference to Andhra Pradesh, India. Annals of Management and Organization Research, 3(3), 179-191.

    Elhichou, M. (2021). A New Luxury: Deconstructing Fashion’s Colonial Episteme. Luxury, 8(2), 213-227.

    Eton, M., Fabian, M., & Eliab, B. M. (2023). Financial Management Practices and Small-Scale Businesses' Profitability, from the Viewpoint of Kabale Municipality, Uganda.

    Fahim, A. Y., Al Mamun, A., Hossain, A., Chakma, T., & Hassan, E. M. (2022). Unpacking Brand Imperialism in Bangladesh: Emerging Market Perspective. International Journal of Financial, Accounting, and Management, 4(2), 219-239.

    Fahim, A. Y., & Tasnim, S. (2020). AN ANALYSIS OF THE CHALLENGES OF INTERNAL MARKETING IN THE HOTEL INDUSTRY OF BANGLADESH.

    Fassnacht, M., & Dahm, J.-M. (2018). The Veblen effect and (in) conspicuous consumption-a state of the art article. Luxury Research Journal, 1(4), 343-371.

    Franchetti, C. (2013). A Reconsideration of Werner Sombart’s" Luxury and Capitalism".

    Gani, M. O., Alam, M. I., Chowdhury, S. A., & Faruq, M. O. (2019). Factors affecting consumers’ purchase intention for counterfeit luxury goods in Bangladesh. Innovative Marketing, 15(4), 27.

    Granot, E., Russell, L. T. M., & Brashear-Alejandro, T. G. (2013). Populence: Exploring luxury for the masses. Journal of Marketing Theory and Practice, 21(1), 31-44.

    Handayani, W., Musnaini, M., & Praditya, W. (2020). Purchase intentions of consumer hedonic effect. Jurnal Perspektif Pembiayaan dan Pembangunan Daerah, 8(1), 91-100.

    Horváth, C., & Ad?güzel, F. (2018). Shopping enjoyment to the extreme: Hedonic shopping motivations and compulsive buying in developed and emerging markets. Journal of Business Research, 86, 300-310.

    Huang, M., Zhan, M., Huang, R., & Wu, J. (2023). How commuting time influences hedonic consumption: The role of perceived stress. Journal of Consumer Behaviour, 22(2), 439-454.

    Ishida, H., & Slater, D. H. (2012). Social Class in Contemporary Japan Structures, Sorting and Strategies: Routledge.

    Istiqomah, N. H., & Rohim, A. M. (2022). Repurchase Intention of Total Detergent: Halal Label and Brand Image. Annals of Management and Organization Research, 3(3), 207-219.

    Jaikumar, S., Singh, R., & Sarin, A. (2018). ‘I show off, so I am well off’: Subjective economic well-being and conspicuous consumption in an emerging economy. Journal of Business Research, 86, 386-393.

    Jashim, M. M., Singh, J. S. K., & Yin-Fah, B. C. (2020). Influence of religiosity and attitude towards intention to purchase counterfeit products. An empirical study in Dhaka, Bangladesh. International Journal of Psychosocial Rehabilitation, 24(2), 1137-1148.

    Kamil, M. A. A., Wiliasih, R., & Irfany, M. I. (2022). Determinants of Saving Decisions at Indonesian Islamic Banks During the COVID-19 Pandemic. Annals of Management and Organization Research, 4(1), 1-19.

    Kapferer, J.-N. (2014). The artification of luxury: From artisans to artists. Business horizons, 57(3), 371-380.

    Kozinets, R. V., Scaraboto, D., & Parmentier, M.-A. (2018). Evolving netnography: How brand auto-netnography, a netnographic sensibility, and more-than-human netnography can transform your research (Vol. 34, pp. 231-242): Taylor & Francis.

    Kuwashima, Y. (2016). Structural equivalence and cohesion can explain bandwagon and snob effect. Annals of Business Administrative Science, 15(1), 1-14.

    Li, Y., & Zhao, M. (2021). Underdog or Top Dog Brand Story? The Role of Self-Construal and Need of Uniqueness. Frontiers in psychology, 12, 765802.

    Lin, C.-W., Wang, K.-Y., Chang, S.-H., & Lin, J.-A. (2019). Investigating the development of brand loyalty in brand communities from a positive psychology perspective. Journal of Business Research, 99, 446-455.

    Matchett, R. M. (2021). Book Review: A Practical Introduction to In-Depth Interviewing: SAGE Publications Sage CA: Los Angeles, CA.

    Mayasari, I., Haryanto, H. C., Wiadi, I., Wijanarko, A. A., & Abdillah, W. (2022). Counterfeit purchase intention of fashion brands: The personal values and social aspect of consumers as determinants. Gadjah Mada International Journal of Business, 24(1), 1-24.

    McMillan, A., & Keane, A. (1996). Shifting resonances from a frequency band by applying concentrated masses to a thin rectangular plate. Journal of Sound and Vibration, 192(2), 549-652.

    McNeil, P., & Riello, G. (2016). Luxury: A rich history: Oxford University Press.

    Morris, A. (2015). A practical introduction to in-depth interviewing: Sage.

    Moussa, H. L., & Bans-Akutey, A. (2022). Technology and banking operations: Perspectives of international students in a Ghanaian University. Annals of Management and Organization Research, 4(1), 21-33.

    Muhammad, S., Salleh, S., & Yusr, M. M. (2020). Understanding employee brand trust and internal Brand Communications & Training (BCT) effects on employee brand performance: a study of the banking industry. International Journal of Financial, Accounting, and Management, 2(2), 95-120.

    Munir, Z. (2015). What’s behind Bangladesh’s surging consumer market? Retrieved from https://www.weforum.org/agenda/2015/11/whats-behind-bangladeshs-surging-consumer-market/

    Okonkwo, U. (2016). Luxury Fashion Branding: Trends, Tactics, Techniques: Springer.

    Pathak, A., Velasco, C., & Calvert, G. A. (2019). Identifying counterfeit brand logos: On the importance of the first and last letters of a logotype. European Journal of Marketing, 53(10), 2109-2125.

    Pepall, L., & Reiff, J. (2016). The “Veblen” effect, targeted advertising and consumer welfare. Economics Letters, 145, 218-220.

    Phau, I., Phan, M., Lwin, M., & Shimul, A. S. (2017). Introduction to the Special section: The Mystique of Luxury Brands. Retrieved from

    Podoshen, J. S., Li, L., & Zhang, J. (2011). Materialism and conspicuous consumption in China: A cross?cultural examination. International Journal of Consumer Studies, 35(1), 17-25.

    Prinhandaka, D. J. P., Rohman, I. Z., & Wijaya, N. H. S. (2022). Supportive leadership and employee creativity: Will Leader-Member Exchange mediate the relationship? Annals of Management and Organization Research, 4(1), 35-45.

    Richardson, T. (2021). The global Scapes of Postmodernity: A Proposed model for “global Cultural Flow” in fashion education. Fashion Theory, 25(6), 819-835.

    Serdari, T. (2017). Luxury Brands in China and India: Taylor & Francis.

    Sevtap, Ü., Deniz, E., & Nisa, A. (2019). Determining the factors that influence the intention to purchase luxury fashion brands of young consumers. Ege Academic Review, 19(2), 221-236.

    Sharma, P., & Chan, R. Y. (2017). Exploring the role of attitudinal functions in counterfeit purchase behavior via an extended conceptual framework. Psychology & marketing, 34(3), 294-308.

    Shukla, P. (2012). The influence of value perceptions on luxury purchase intentions in developed and emerging markets. International Marketing Review.

    Sofi, U. Q. (2019). The study of the consumption process with a prominence of behavioral approach and its influence on the business units. International Journal of Financial, Accounting, and Management, 1(1), 57-68.

    Sombart, W. (1937). A New Social Philosophy (K. F. Geiser Ed.): Princeton University Press.

    Song, L., Meng, Y., Chang, H., Li, W., & Tan, K. (2021). How counterfeit dominance affects luxury fashion brand owners’ perceptions: A cross-cultural examination. Journal of Business Research, 130, 1-13.

    Tanha, M., Mahumd, A., Sultana, M., Chakma, T., Hassan, E. M., Mabud, S. A., . . . Joy, A. H. (2022). Self and counterfeit consumption in emerging markets. Annals of Management and Organization Research, 4(1), 47-64.

    Tunçel, N. (2022). Willingness to purchase counterfeit luxury brands: A cross?cultural comparison. International Journal of Consumer Studies, 46(2), 494-514.

    Veblen, T. B. (1957). Quotations from Veblen, Part I 9(5).

    Veg-Sala, N., & Roux, E. (2014). A semiotic analysis of the extendibility of luxury brands. Journal of Product & Brand Management.

    Voutsina, C. (2018). A practical introduction to in-depth interviewing. International Journal of Research and Method in Education, 41(1), 123-124.

    Walters, T., & Carr, N. (2019). Changing patterns of conspicuous consumption: Media representations of luxury in second homes. Journal of Consumer Culture, 19(3), 295-315.

    Weller, S. C., Vickers, B., Bernard, H. R., Blackburn, A. M., Borgatti, S., Gravlee, C. C., & Johnson, J. C. (2018). Open-ended interview questions and saturation. PloS one, 13(6), e0198606.

    Widjaya, A., & Padmoprayitno, A. I. (2022). The Effect of Promotion Mix, Price, and Service Quality on Study Decisions. Annals of Management and Organization Research, 3(3), 221-230.

    Woiceshyn, J., & Daellenbach, U. (2018). Evaluating inductive vs deductive research in management studies: Implications for authors, editors, and reviewers. Qualitative Research in Organizations and Management: An International Journal, 13(2), 183-195.

    Xi, E., & Cheng, K. (2017). The determinants of purchase intention on counterfeit sportswear. Journal of Applied Structural Equation Modeling, 1(1), 13-26.

    Yeoh, P. (2018). Explaining Conspicuous Consumption. Bus. L. Rev., 39, 221.

  1. Akter, S. (2021). Companies’ vision, mission, and core values focus on human resource management. International Journal of Financial, Accounting, and Management, 2(4), 343-355.
  2. Alam, S. I., & Iqbal, S. N. (2023). The Product Inventory Basket (PIB) Model to Measure Consumer Lifestyles and the Corresponding Consumption Behaviors in Dhaka City, Bangladesh. Journal of Sales, Service and Marketing Research (e-ISSN: 2582-7804), 23-31.
  3. Armitage, J., & Roberts, J. (2016). The spirit of luxury. Cultural Politics, 12(1), 1-22.
  4. Azungah, T. (2018). Qualitative research: deductive and inductive approaches to data analysis. Qualitative research journal, 18(4), 383-400.
  5. Berry, J. W. (2005). Acculturation: Living successfully in two cultures. International Journal of Intercultural Relations, 29(6), 697-712.
  6. Chigora, F., Kapesa, T., & Svongoro, P. (2021). Revisiting nation branding: An infrastructure financing perspective in Zimbabwe. International Journal of Financial, Accounting, and Management, 3(2), 179-192.
  7. Danziger, P. N. (2019). 'Luxury' Has Lost Its Meaning—Here's How To Get It Back. Retrieved from https://www.forbes.com/sites/pamdanziger/2019/07/10/luxurys-lost-its-meaning-heres-how-to-get-it-back/?sh=ee090e2c4b9c
  8. Dokku, S. R., Rajesh, C., & Lakshmi, P. A. (2022). A Study on Customers’ Expectations towards Purchase of Smartphones in India: with Reference to Andhra Pradesh, India. Annals of Management and Organization Research, 3(3), 179-191.
  9. Elhichou, M. (2021). A New Luxury: Deconstructing Fashion’s Colonial Episteme. Luxury, 8(2), 213-227.
  10. Eton, M., Fabian, M., & Eliab, B. M. (2023). Financial Management Practices and Small-Scale Businesses' Profitability, from the Viewpoint of Kabale Municipality, Uganda.
  11. Fahim, A. Y., Al Mamun, A., Hossain, A., Chakma, T., & Hassan, E. M. (2022). Unpacking Brand Imperialism in Bangladesh: Emerging Market Perspective. International Journal of Financial, Accounting, and Management, 4(2), 219-239.
  12. Fahim, A. Y., & Tasnim, S. (2020). AN ANALYSIS OF THE CHALLENGES OF INTERNAL MARKETING IN THE HOTEL INDUSTRY OF BANGLADESH.
  13. Fassnacht, M., & Dahm, J.-M. (2018). The Veblen effect and (in) conspicuous consumption-a state of the art article. Luxury Research Journal, 1(4), 343-371.
  14. Franchetti, C. (2013). A Reconsideration of Werner Sombart’s" Luxury and Capitalism".
  15. Gani, M. O., Alam, M. I., Chowdhury, S. A., & Faruq, M. O. (2019). Factors affecting consumers’ purchase intention for counterfeit luxury goods in Bangladesh. Innovative Marketing, 15(4), 27.
  16. Granot, E., Russell, L. T. M., & Brashear-Alejandro, T. G. (2013). Populence: Exploring luxury for the masses. Journal of Marketing Theory and Practice, 21(1), 31-44.
  17. Handayani, W., Musnaini, M., & Praditya, W. (2020). Purchase intentions of consumer hedonic effect. Jurnal Perspektif Pembiayaan dan Pembangunan Daerah, 8(1), 91-100.
  18. Horváth, C., & Ad?güzel, F. (2018). Shopping enjoyment to the extreme: Hedonic shopping motivations and compulsive buying in developed and emerging markets. Journal of Business Research, 86, 300-310.
  19. Huang, M., Zhan, M., Huang, R., & Wu, J. (2023). How commuting time influences hedonic consumption: The role of perceived stress. Journal of Consumer Behaviour, 22(2), 439-454.
  20. Ishida, H., & Slater, D. H. (2012). Social Class in Contemporary Japan Structures, Sorting and Strategies: Routledge.
  21. Istiqomah, N. H., & Rohim, A. M. (2022). Repurchase Intention of Total Detergent: Halal Label and Brand Image. Annals of Management and Organization Research, 3(3), 207-219.
  22. Jaikumar, S., Singh, R., & Sarin, A. (2018). ‘I show off, so I am well off’: Subjective economic well-being and conspicuous consumption in an emerging economy. Journal of Business Research, 86, 386-393.
  23. Jashim, M. M., Singh, J. S. K., & Yin-Fah, B. C. (2020). Influence of religiosity and attitude towards intention to purchase counterfeit products. An empirical study in Dhaka, Bangladesh. International Journal of Psychosocial Rehabilitation, 24(2), 1137-1148.
  24. Kamil, M. A. A., Wiliasih, R., & Irfany, M. I. (2022). Determinants of Saving Decisions at Indonesian Islamic Banks During the COVID-19 Pandemic. Annals of Management and Organization Research, 4(1), 1-19.
  25. Kapferer, J.-N. (2014). The artification of luxury: From artisans to artists. Business horizons, 57(3), 371-380.
  26. Kozinets, R. V., Scaraboto, D., & Parmentier, M.-A. (2018). Evolving netnography: How brand auto-netnography, a netnographic sensibility, and more-than-human netnography can transform your research (Vol. 34, pp. 231-242): Taylor & Francis.
  27. Kuwashima, Y. (2016). Structural equivalence and cohesion can explain bandwagon and snob effect. Annals of Business Administrative Science, 15(1), 1-14.
  28. Li, Y., & Zhao, M. (2021). Underdog or Top Dog Brand Story? The Role of Self-Construal and Need of Uniqueness. Frontiers in psychology, 12, 765802.
  29. Lin, C.-W., Wang, K.-Y., Chang, S.-H., & Lin, J.-A. (2019). Investigating the development of brand loyalty in brand communities from a positive psychology perspective. Journal of Business Research, 99, 446-455.
  30. Matchett, R. M. (2021). Book Review: A Practical Introduction to In-Depth Interviewing: SAGE Publications Sage CA: Los Angeles, CA.
  31. Mayasari, I., Haryanto, H. C., Wiadi, I., Wijanarko, A. A., & Abdillah, W. (2022). Counterfeit purchase intention of fashion brands: The personal values and social aspect of consumers as determinants. Gadjah Mada International Journal of Business, 24(1), 1-24.
  32. McMillan, A., & Keane, A. (1996). Shifting resonances from a frequency band by applying concentrated masses to a thin rectangular plate. Journal of Sound and Vibration, 192(2), 549-652.
  33. McNeil, P., & Riello, G. (2016). Luxury: A rich history: Oxford University Press.
  34. Morris, A. (2015). A practical introduction to in-depth interviewing: Sage.
  35. Moussa, H. L., & Bans-Akutey, A. (2022). Technology and banking operations: Perspectives of international students in a Ghanaian University. Annals of Management and Organization Research, 4(1), 21-33.
  36. Muhammad, S., Salleh, S., & Yusr, M. M. (2020). Understanding employee brand trust and internal Brand Communications & Training (BCT) effects on employee brand performance: a study of the banking industry. International Journal of Financial, Accounting, and Management, 2(2), 95-120.
  37. Munir, Z. (2015). What’s behind Bangladesh’s surging consumer market? Retrieved from https://www.weforum.org/agenda/2015/11/whats-behind-bangladeshs-surging-consumer-market/
  38. Okonkwo, U. (2016). Luxury Fashion Branding: Trends, Tactics, Techniques: Springer.
  39. Pathak, A., Velasco, C., & Calvert, G. A. (2019). Identifying counterfeit brand logos: On the importance of the first and last letters of a logotype. European Journal of Marketing, 53(10), 2109-2125.
  40. Pepall, L., & Reiff, J. (2016). The “Veblen” effect, targeted advertising and consumer welfare. Economics Letters, 145, 218-220.
  41. Phau, I., Phan, M., Lwin, M., & Shimul, A. S. (2017). Introduction to the Special section: The Mystique of Luxury Brands. Retrieved from
  42. Podoshen, J. S., Li, L., & Zhang, J. (2011). Materialism and conspicuous consumption in China: A cross?cultural examination. International Journal of Consumer Studies, 35(1), 17-25.
  43. Prinhandaka, D. J. P., Rohman, I. Z., & Wijaya, N. H. S. (2022). Supportive leadership and employee creativity: Will Leader-Member Exchange mediate the relationship? Annals of Management and Organization Research, 4(1), 35-45.
  44. Richardson, T. (2021). The global Scapes of Postmodernity: A Proposed model for “global Cultural Flow” in fashion education. Fashion Theory, 25(6), 819-835.
  45. Serdari, T. (2017). Luxury Brands in China and India: Taylor & Francis.
  46. Sevtap, Ü., Deniz, E., & Nisa, A. (2019). Determining the factors that influence the intention to purchase luxury fashion brands of young consumers. Ege Academic Review, 19(2), 221-236.
  47. Sharma, P., & Chan, R. Y. (2017). Exploring the role of attitudinal functions in counterfeit purchase behavior via an extended conceptual framework. Psychology & marketing, 34(3), 294-308.
  48. Shukla, P. (2012). The influence of value perceptions on luxury purchase intentions in developed and emerging markets. International Marketing Review.
  49. Sofi, U. Q. (2019). The study of the consumption process with a prominence of behavioral approach and its influence on the business units. International Journal of Financial, Accounting, and Management, 1(1), 57-68.
  50. Sombart, W. (1937). A New Social Philosophy (K. F. Geiser Ed.): Princeton University Press.
  51. Song, L., Meng, Y., Chang, H., Li, W., & Tan, K. (2021). How counterfeit dominance affects luxury fashion brand owners’ perceptions: A cross-cultural examination. Journal of Business Research, 130, 1-13.
  52. Tanha, M., Mahumd, A., Sultana, M., Chakma, T., Hassan, E. M., Mabud, S. A., . . . Joy, A. H. (2022). Self and counterfeit consumption in emerging markets. Annals of Management and Organization Research, 4(1), 47-64.
  53. Tunçel, N. (2022). Willingness to purchase counterfeit luxury brands: A cross?cultural comparison. International Journal of Consumer Studies, 46(2), 494-514.
  54. Veblen, T. B. (1957). Quotations from Veblen, Part I 9(5).
  55. Veg-Sala, N., & Roux, E. (2014). A semiotic analysis of the extendibility of luxury brands. Journal of Product & Brand Management.
  56. Voutsina, C. (2018). A practical introduction to in-depth interviewing. International Journal of Research and Method in Education, 41(1), 123-124.
  57. Walters, T., & Carr, N. (2019). Changing patterns of conspicuous consumption: Media representations of luxury in second homes. Journal of Consumer Culture, 19(3), 295-315.
  58. Weller, S. C., Vickers, B., Bernard, H. R., Blackburn, A. M., Borgatti, S., Gravlee, C. C., & Johnson, J. C. (2018). Open-ended interview questions and saturation. PloS one, 13(6), e0198606.
  59. Widjaya, A., & Padmoprayitno, A. I. (2022). The Effect of Promotion Mix, Price, and Service Quality on Study Decisions. Annals of Management and Organization Research, 3(3), 221-230.
  60. Woiceshyn, J., & Daellenbach, U. (2018). Evaluating inductive vs deductive research in management studies: Implications for authors, editors, and reviewers. Qualitative Research in Organizations and Management: An International Journal, 13(2), 183-195.
  61. Xi, E., & Cheng, K. (2017). The determinants of purchase intention on counterfeit sportswear. Journal of Applied Structural Equation Modeling, 1(1), 13-26.
  62. Yeoh, P. (2018). Explaining Conspicuous Consumption. Bus. L. Rev., 39, 221.