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Learning Outcome

Enable the students

in identifying important cultural dimensions of

CB.

In cross cultural marketing strategy

formulation

Application of cultural dimensions inmarketing strategies of banking industry

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PART II: EXTERNAL INFLUENCES

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Consumer Behavior In The News

Can You Guess what Motives Underlie Mens

Clothing Purchases in Dif ferent Countr ies?

Europe

China

Japan

U.S.

How Migh t Fashion Retai lers Respond?

Source: G. Deeny, The Men Who Spend it Like Beckham,Financial Times, February 23, 2008, p. 82-4

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Consumer Behavior In The News

Can You Guess what Motives Underlie Mens

Clothing Purchases in Dif ferent Countr ies?

Europelook and feel success ful

Chinasocia l harmony

Japan look strong

U.S.reinvent themselves for attract ion

How Migh t Fashion Retai lers Respond?

Source: G. Deeny, The Men Who Spend it Like Beckham,Financial Times, February 23, 2008, p. 82-5

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Marketing Across Cultural Boundaries isa Difficult and Challenging Task :

Dimensions of Culture

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Culture

The sum total of learned

beliefs, values, and

customs that serve toregulate the consumer

behavior of members of

a particular society.

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Beliefs- feelings about things.

Values-Priorities about things and possessions.

Customs- Modes of behaviour (Routine

Behaviour).

EG-Criteria for evaluating a brand through

general value (quality and country of origin)

and Special beliefs (about south korean

brands)

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Culture Is Learned

Enculturation and

acculturation

Language and

symbols

Ritual

Sharing of culture

Enculturation The learning of ones

own culture

Acculturation The learning of a new or

foreign culture

I ssues

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Culture Is Learned

Enculturation and

acculturation

Language and

symbols

Ritual

Sharing of culture

I ssues

Without a common

language shared meaning

could not exist

Marketers must choose

appropriate symbols inadvertising

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Culture Is Learned

Enculturation and

acculturation

Language and

symbols

Ritual

Sharing of culture

I ssues

A ritual is a type of

symbolic activity consisting

of a series of steps

Rituals extend over the

human life cycle Marketers realize that

rituals often involve

products (artifacts)

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Culture Is Learned

Enculturation and

acculturation

Language and

symbols

Ritual

Sharing of Culture

I ssues

Culture is transferred

through family, schools,

houses of worship, and

media

weblink
http://www.celebrationceremonies.com/http://www.celebrationceremonies.com/

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Table 12.2 Selected Ri tuals and Associated

ArtifactsSELECTED

RITUALS

TYPICAL ARTIFACTS

Wedding White gown (something old, something

new, something borrowed, something

blue)Bir th of child U.S. Savings Bond, sil ver baby spoonBirthday Card, present, cake with candles

50th Wedding

anniversary

Catered party, card and gif t, display of

photos of the couples life togetherGraduation Pen, U.S. Savings Bond, card,

wristwatchValentines Day Candy, card, f lowersNew Years Eve party, fancy dress

Thanksgiving Prepare a turkey meal for famil y and

friends

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The Measurement of Culture

Content Analysis

Consumer Fieldwork

Value Measurement Instruments

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ContentAnalysis

A method for

systematically analyzing

the content of verbal

and/or pictor ial

communication. The

method is frequently

used to determine

prevail ing social valuesof a society.

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FieldObservation

A cul tural

measurement

technique that takes

place within a natural

environment that

focuses on observing

behavior (sometimes

without the subjectsawareness).

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Characteristics of Field

Observation Takes place within a natural environment Performed sometimes without the subjects

awareness

Focuses on observation of behavior

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Participant-Observers

Researchers who

participate in the

environment that theyare studying without

notifying those who

are being observed.

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Value Measurement Survey

Instruments Rokeach Value Survey (RVS) A self-administered inventory consisting of eighteenterminal values (i.e., personal goals) and eighteeninstrumental values (i.e., ways of reaching personalgoals)

List of Values (LOV) A value measurement instrument that asks consumers to

identify their two most important values from a nine-valuelist that is based on the terminal values of the RokeachValue Survey

Values and Lifestyles (VALS) A value measurement based on two categories: self-

definition and resources (American Adults divided in 8segments based on personal values)

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Table 12.5

Excerpt from the Rokeach Value Survey

TERM INAL VALUES INSTRMENTAL VALUESA comfortable li fe Ambitious

An exciting li fe Broad-minded

A world at peace Capable

Equality Cheerful

Freedom Clean

Happiness Courageous

National security Forgiving

Pleasure Helpful

Salvation Honest

Social recognition Imaginative

True fr iendship I ndependent

Wisdom Intel lectual

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Using The Rokeach Value Survey, adult

Brazilians were categorised into six distinctive

value segments.

Seg A most concerned about world peace,

inner harmony and true friendship.Considered

low in testing new products.

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The Concept of Culture : HawkinsPerspective

Cultural valuesgiverise tonormsandassociatedsanct ions,which in turn influenceconsumpt ion patterns.

Cultures are not static.

They typically evolve

and change slowly over

time.

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Other-Oriented Values

Environm ent-Oriented Values

Self-Orien ted Values

Variations in Cultural Values

The numerous values that differ acrosscultures and affect consumption include:

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Environment-Oriented Values

Cleanl iness

Performance/Status

Tradit ion/Change

Risk taking/Securi ty

Problem so lving/Fatal ist ic

Nature

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Self-Oriented Values

Active/Passive

Sensual grat i f icat ion/Abstinence

Material/Nonmaterial

Hard work /Leisure

Postponed grat i f icat ion /Immediate grat i f icat ion

Religious/Secular

2-27

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Applications in Consumer Behavior

Ad for Calvin Klein

underwear:

OK in U.S. andFrance.

Not appropriate in

cultures that place a

high value on

abstinence.

Sensual Grati f icat ion /Abs tinence

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Cultural Variations in NonverbalCommunications

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Time

Time perspective

TimeInterpretations

The meaning of time varies

between cultures in two majorways:

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Overall use and meaningsassigned to space vary widely

among different cultures

Space

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Symbols

Colors, animals, shapes,

numbers, and music havevarying meanings across

cultures.

Failure to recognize the

meaning assigned to a symbolcan cause serious problems!

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Agreements

How does a culture ensure

business obligations arehonored? How are

disagreements resolved?

Some cultures rely on a legal

system; others rely onrelationships, friendships, etc.

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Things

The cultural meaning of things leads

to purchase patterns that one would

not otherwise predict.

The differing meanings that cultures

attach to things, including products,

make gift-giving a particularly difficult

task.

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Etiquette

The generally accepted ways of behaving in

social situations.

Behaviors considered rudeor obnoxiousin oneculture may be quite acceptablein another!

Normal voice tone, pitch, and speed of speech

differ between cultures and languages, as do the

use of gestures.

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Global Cultures

A Global Youth Culture?

Mass media and the Internet have

had an impact of uniformity among

teens around the world.

They tend to watch many of the

same shows, movies and videos,

listen to the same music, and dress

alike.

Technology is important factor but

U.S. youth and brands no longer lead

the way. 2-38

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Global Demographics

Demographics describe a population in terms of its size,

structure, and distribution.

Demographics are both a result and a

cause of cultural values.

For example, densely populated

societies, such as China, are likely to

have more of a collective orientation

than an individualistic one.

Disposable income is one aspect of

demographics--the rapid growth in

personal income in parts of China has led

to an overall market explosion!

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Global Demographics

Marketers increasingly use Purchasing Power Pari ty (PPP)

rather than average or median income to evaluate markets.

PPPis based on the cost of a standard market basket of

products bought in each country.

The following shows four countries in terms of PPP:

Country Per CapitaIncome % of Total income(to top 10%) Per CapitaPPP

Brazil

$4,791 45% $8,596China $1,721 35% $4,091United Kingdom $37,266 29% $31,580United States $41,674 30% $41,674

2-40

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Cross-Cultural Marketing Strategy

Considerations in Approaching a Foreign Market1. Homogeneous versus Heterogeneous wi th Respect to

Culture?

2. What Needs Can the Produc t Fi l l in th is Culture?

3. Can Enough People Afford the Product?

4. What Values are Relevant to th e Purchase and Use of th eProduct?

5. What are the Distr ibu t ion, Pol i t ical and Legal Structu res for

the Produc t?

6. In What Ways Can We Communicate Abo ut the Produc t?

7. What are the Ethical Impl icat ions o f Market ing This Produc tin This Country?

2-41

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Applications in Consumer Behavior

This Western

Union s ign show s

how marketers

pro vide a local

and/or regional

f lavor bo th in

signage layou t

and through useof app rop riate

symbols and

color. Lars Niki

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