The construct the perception about country of origin, there are brand and country image over and above the perceives attributes of products. Changes in the constructed perception of consumers about country of origin occur over time. For example, during 1950 consumers considered "made in Japan" label as a cheap imitation of products. Later on, Japan manufacturers improved the production to knowledge-intensive products and enhance the product image. In these days consumers perceive "made in Japan" label as a high quality product, high innovative and high technology advanced production. (Lampert & Jeffe, 1998)
The perceptions constructed about country of origin have influence on price setting. The effect of product image can be measured by the ratio of two brand's prices within the same categories of the products that much more due to marketing than to economic variables. (Lampert & Jeffe,1998) Since consumers are more trust in the country of origin, many brands create its differentiation by using specific demographics such as state, city and region to reference the country of origin. Moreover locations can be also used to create product's such as California Peaches, Idaho Potatoes and put the origin with the brands name such as Bailey's Irish Cream (Keller,1998) that increase reliability and charge price of products.