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Reshoring from a demand-side perspective: Consumer reshoring sentiment and its market effects

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  • Grappi, Silvia
  • Romani, Simona
  • Bagozzi, Richard P.

Abstract

Reshoring is the company decision to relocate activities back to the home country. Our study complements the existing research in IB by adopting a demand-side perspective. We identify new, demand-based drivers for reshoring that integrate with the firm-based ones, thereby further informing the company decision process in this context. We develop a Consumer Reshoring Sentiment (CRS) scale through multiple studies conducted on consumers (total=1149) in two countries. Our findings reveal: six demand-based drivers that compose CRS; a link between CRS and consumer willingness to reward the reshoring company; and the effectiveness of CRS in segmenting and targeting the market.

Suggested Citation

  • Grappi, Silvia & Romani, Simona & Bagozzi, Richard P., 2018. "Reshoring from a demand-side perspective: Consumer reshoring sentiment and its market effects," Journal of World Business, Elsevier, vol. 53(2), pages 194-208.
    • Handle: RePEc:eee:worbus:v:53:y:2018:i:2:p:194-208
    DOI: 10.1016/j.jwb.2017.11.001
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    References listed on IDEAS

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    2. Silvia Cosimato & Roberto Vona, 2021. "Digital Innovation for the Sustainability of Reshoring Strategies: A Literature Review," Sustainability, MDPI, vol. 13(14), pages 1-16, July.
    3. Ping Chen, 2023. "The Effect of Value Creation on Startups Performance in the Digital Environment: Evidence from Chinese Digital Startups," Sustainability, MDPI, vol. 15(5), pages 1-18, February.
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    5. Di Mauro, Carmela & Ancarani, Alessandro, 2022. "A taxonomy of back-shoring initiatives in the US," International Business Review, Elsevier, vol. 31(5).
    6. Mukherjee, Debmalya & Kumar, Satish & Pandey, Nitesh & Lahiri, Somnath, 2023. "Is offshoring dead? A multidisciplinary review and future directions," Journal of International Management, Elsevier, vol. 29(3).
    7. Ryan W. Tang & Ying Zhu & Hongbo Cai & Jinrong Han, 2021. "De-internationalization: A Thematic Review and the Directions Forward," Management International Review, Springer, vol. 61(3), pages 267-312, June.
    8. Luíza Neves Marques Fonseca & Angela Rocha, 2023. "Setbacks, interruptions and turnarounds in the internationalization process: a bibliometric and literature review of de-internationalization," Management Review Quarterly, Springer, vol. 73(3), pages 1351-1384, September.
    9. Grego, Marica & Magnani, Giovanna & Denicolai, Stefano, 2024. "Transform to adapt or resilient by design? How organizations can foster resilience through business model transformation," Journal of Business Research, Elsevier, vol. 171(C).
    10. Barbaglia, Martina & Bianchini, Roberto & Butticè, Vincenzo & Elia, Stefano & Mariani, Marcello M., 2023. "The role of environmental sustainability in the relocation choices of MNEs: Back to the home country or welcome in a new host country?," Journal of International Management, Elsevier, vol. 29(5).
    11. Xie, Lei & Liu, Yunping & Han, Hongshuai & (Martin) Qiu, Chun, 2023. "Outsourcing or reshoring? A manufacturer's sourcing strategy in the presence of government subsidy," European Journal of Operational Research, Elsevier, vol. 308(1), pages 131-149.
    12. Kim, Yun Geon & Chung, Byung Do, 2022. "Closed-loop supply chain network design considering reshoring drivers," Omega, Elsevier, vol. 109(C).
    13. Młody Michał & Stępień Beata, 2020. "Principles of reshoring development in luxury goods sector," International Journal of Management and Economics, Warsaw School of Economics, Collegium of World Economy, vol. 56(2), pages 140-158, June.
    14. McIvor, Ronan & Bals, Lydia, 2021. "A multi-theory framework for understanding the reshoring decision," International Business Review, Elsevier, vol. 30(6).
    15. Silvia Grappi & Simona Romani & Richard P. Bagozzi, 2020. "Consumer Reshoring Sentiment and Animosity: Expanding Our Understanding of Market Responses to Reshoring," Management International Review, Springer, vol. 60(1), pages 69-95, February.
    16. Tomoki Sekiguchi & Norihiko Takeuchi & Tomokazu Takeuchi & Shiho Nakamura & Azusa Ebisuya, 2019. "How Inpatriates Internalize Corporate Values at Headquarters: The Role of Developmental Job Assignments and Psychosocial Mentoring," Management International Review, Springer, vol. 59(5), pages 825-853, October.
    17. Młody Michał & Stępień Beata, 2020. "Principles of reshoring development in luxury goods sector," International Journal of Management and Economics, Warsaw School of Economics, Collegium of World Economy, vol. 56(2), pages 140-158, June.
    18. Diletta Pegoraro & Lisa Propris & Agnieszka Chidlow, 2022. "Regional factors enabling manufacturing reshoring strategies: A case study perspective," Journal of International Business Policy, Palgrave Macmillan, vol. 5(1), pages 112-133, March.

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