Simultaneous Distinction, Democratization and Omnivorism Effects: A Longitudinal Analysis of Dynamic Symbolic Boundaries in Counterfeit Consumption Networks
Description
I examine counterfeit consumption, which allows consumers to appropriate high-status symbols associated with the elite, to argue that these three effects may be operating simultaneously. I employ a grounded-theory approach, conducting a longitudinal (two-and-a half year long) ethnography and follow-up interviews. I demonstrate how consumers’ relationships with the authentic brand change over time and analyze consumer behavior in two types of counterfeit market structures: the traditional atomistic street setting, and the increasingly prevalent socially-embedded “purse party” network setting. I find that the structure of the consumption setting (network or atomistic) can affect the way that consumers’ relationships with the brands develop over time and what type of distinction, democratization or omnivorism effects result. Contrary to managerial expectations, I find that a majority of the consumers in the embedded market un-adopt the fake or even adopt the authentic product. I show that the distinction effect is seen in the fact that the status associated with the luxury brands is preserved; the democratization effect is demonstrated as these consumers gain pseudo-access to the luxury brands via counterfeits; and the omnivorism effect is demonstrated when a segment of the counterfeit consumers incorporate the authentic luxury brand into their lifestyles while maintaining their previous social identities. This research contributes to our understanding of how symbolic boundaries can be dynamic in the hands of empowered consumers.