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Article
National Sentiment and Consumer Choice: The Iraq War and Sales of US Products in Arab Countries
Scandinavian Journal of Economics (2015)
  • Sofronis Clerides, University of Cyprus
  • Peter Davis, Compass Lexecon
  • Antonis Michis
Abstract

Did the rise in anti-American sentiment caused by the Iraq war affect sales of US goods abroad? We address this question using data on soft drink and fabric detergent sales in nine Arab countries. We find a statistically significant negative impact of the war on sales of US soft drinks in seven countries. The impact dissipates after a few months in two countries but persists in the other five. In the case of detergents we only find a significant negative impact in one country. We conclude that international politics can sometimes affect consumer behavior and impact market outcomes.

Keywords
  • national sentiment,
  • consumer choice,
  • consumer boycotts,
  • Iraq war
Publication Date
July, 2015
Citation Information
Sofronis Clerides, Peter Davis and Antonis Michis. "National Sentiment and Consumer Choice: The Iraq War and Sales of US Products in Arab Countries" Scandinavian Journal of Economics Vol. 117 Iss. 3 (2015)
Available at: http://works.bepress.com/sofronis_clerides/12/