Globalization, Expectations Model of Economic Nationalism, and Consumer Behavior

Purpose ? The goals of the paper are to propose, measure, and empirically test the expectations model of economic nationalism. The model posits that economic nationalism is re?ected in people?s expectations of their government, domestic ?rms, and the general public, in terms of restricting the activities of foreign ?rms.Design/methodology/approach ? A con?rmatory factor analysis is conducted to test the model, using the LISREL procedure.Findings ? Results show acceptable ?t for the proposed model. Reliability of each of the three dimensions of economic nationalism is in the acceptable range. A nomological validity test showed that economic nationalism is related to other constructs not included in the model.Research limitations/implications ? A limitation of the model is that it is based on a single sample. Future studies can test the generalizability of model with samples from different countries.Practical implications ? The implication of the study is that increasing globalization might lead to an increase in economic nationalism. Business executives, therefore, need to focus not only on the bene?ts that they will derive from entering a country, but also the bene?ts they will deliver to the domestic economy by entering the country.Originality/value ? The paper presents an expectations model of economic nationalism. The model is based on the premise that people?s expectations of their government, domestic businesses, and the general public in terms of their role in restricting the activities of foreign ?rms are re?ective of economic nationalism. The more people expect of these three players the more economically nationalistic they will be. The value of the paper is to researchers in international business and global marketing and to business executives involved in managing global operations.