This study was conducted to analyze the effect of country of image, country of origin and country image on Ethiopian cloth purchase decision. The total number of participants were 236 of which 82.2 % were male and 17.8%female. Young people in the age range between 21 to 31 account 81.8 % of the respondents. The main product purchased by the respondents was clothing (49.2%). The two most important clothing features respondents give highest importance were variety of selection and quality of clothing (mean rating of 4.2 in 1 to 5 Likert scale). The least important clothing feature indicated was luxury status (mean rating of 2.98). The highest positive correlation (78.8%) was observed between product image and country of origin. While product image showed the least (29.1%) positive correlation with country image. Overall purchase decision (i.e. both self-purchase decision and decision to recommend to others) is more positively (51.2) correlated with product image. Regression analysis showed significant effect of country image (p<0.001) and product image (p < 0.001) on clothing purchase decision. Product's country of origin was not significant (p = 0.192). The variation explained by these three explanatory variables (country image, product image and country of origin) was 33.1% ((R2 = 33.1, R2 (Adj.) = 33.1)). The non -significance of country image seems to be due to its high correlation with product image which the participants have a firsthand experience. The results of this study showed as both country image and product image are important predictors of clothing purchase decision. Future study focusing on specific clothing product and at a wider population with contrasting income and other categories could reveal more explanatory variables that help to predict product purchase decision of customers.