Influence of Corporate Image and Country of Origin Image on South Korean Attitudes towards and Beliefs about Foreign Subsidiaries

This study examined the South Korean public’s image of the multinational corporations (MNCs) Coca-Cola and Sony and their countries of origin (the U.S. and Japan) as well as the attitude toward and beliefs about the South Korean subsidiaries of these companies. The study also investigated the relationship between MNC and country images, on the one hand, and attitudes and beliefs about the subsidiaries, on the other.This study examined the South Korean public’s image of the multinational corporations (MNCs) Coca-Cola and Sony and their countries of origin (the U.S. and Japan) as well as the attitude toward and beliefs about the South Korean subsidiaries of these companies. The study also investigated the relationship between MNC and country images, on the one hand, and attitudes and beliefs about the subsidiaries, on the other.

The study found that, in general, images of Coca-Cola and Sony as corporations as well as of the U.S. and Japan as countries of origin of these MNCs, among a convenience sample of residents of Seoul, were somewhat more positive than negative across various dimensions. However, their attitudes towards foreign subsidiaries of these MNCs — Coca-Cola, South Korea and Sony, South Korea — were somewhat negative. In addition, the MNCs’ corporate image and country of origin image significantly predicted attitude towards and beliefs about the South Korean subsidiaries of these MNCs. MNCs and their subsidiaries need to pay particular attention to their business and social conduct in terms of good citizenship and responsible behavior towards the community.