China has grown rapidly to become one of the largest manufacturing countries in the world. Products with China as Country of Origin can be seen everywhere today and the label “Made in China” is more of a rule than an exception. The question is how the consumers react on such labels; does it matter to them?

The purpose of this dissertation was to investigate whether China as Country of Assembly and/or Country of Design constituted a negative impact on the Swedish consumers. The study has also measured the differences in age groups and how the impact varies with the level of product differentiation.

To collect the necessary data a questionnaire was handed out to Swedish consumers in the southern part of Sweden. The sample consisted of 416 answers which can be assumed to represent the Swedish population.

Consumers are negatively affected to some extent of China as both Country of Assembly and Country of Design. Older consumers are more affected than younger consumers, with an exception of those aged 31 – 40 who are affected the most. The impact increases as the level of product differentiation becomes higher. Further, China is perceived rather similar both as Country of Assembly and as Country of Design.

Keywords: Country of Origin, China, Swedish consumers.