CULTURE

Learning Outcome
Enable the students in identifying important cultural dimensions of CB. In cross cultural marketing strategy formulation Application of cultural dimensions in marketing strategies of banking industry

PART II: EXTERNAL INFLUENCES

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Consumer Behavior In The News

Can You Guess what Motives Underlie Mens Clothing Purchases in Different Countries? Europe China Japan U.S.

How Might Fashion Retailers Respond?

Source: G. Deeny, The Men Who Spend it Like Beckham, Financial Times, February 23, 2008, p. 8

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Consumer Behavior In The News

Can You Guess what Motives Underlie Mens Clothing Purchases in Different Countries? Europe look and feel successful China social harmony Japan look strong U.S. reinvent themselves for attraction

How Might Fashion Retailers Respond?

Source: G. Deeny, The Men Who Spend it Like Beckham, Financial Times, February 23, 2008, p. 8

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Marketing Across Cultural Boundaries is a Difficult and Challenging Task : Dimensions of Culture

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Culture

The sum total of learned beliefs, values, and customs that serve to regulate the consumer behavior of members of a particular society.

 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)

Culture Is Learned
Issues
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

Culture Is Learned
Issues
Enculturation and acculturation Language and symbols Ritual Sharing of culture Without a common language shared meaning could not exist Marketers must choose appropriate symbols in advertising

Culture Is Learned
Issues
Enculturation and acculturation Language and symbols Ritual Sharing of culture 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)

Culture Is Learned
Issues
Enculturation and acculturation Language and symbols Ritual Sharing of Culture
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Culture is transferred through family, schools, houses of worship, and media

Table 12.2 Selected Rituals and Associated Artifacts

SELECTED Wedding RITUALS Birth of child Birthday 50th Wedding anniversary Graduation Valentines Day New Years Eve Thanksgiving TYPICAL ARTIFACTS White gown (something old, something new, something borrowed, something U.S. Savings Bond, silver baby spoon blue) Card, present, cake with candles Catered party, card and gift, display of photos of the couples life together Pen, U.S. Savings Bond, card, Candy, card, flowers wristwatch party, fancy dress Prepare a turkey meal for family and friends

The Measurement of Culture

Content Analysis Consumer Fieldwork Value Measurement Instruments

Content Analysis

A method for systematically analyzing the content of verbal and/or pictorial communication. The method is frequently used to determine prevailing social values of a society.

Field Observation

A cultural measurement technique that takes place within a natural environment that focuses on observing behavior (sometimes without the subjects awareness).

Characteristics of Field Observation

Takes place within a natural environment Performed sometimes without the subjects awareness Focuses on observation of behavior

ParticipantObservers

Researchers who participate in the environment that they are studying without notifying those who are being observed.

Value Measurement Survey Rokeach ValueInstruments Survey (RVS)

A self-administered inventory consisting of eighteen terminal values (i.e., personal goals) and eighteen instrumental values (i.e., ways of reaching personal goals)

List of Values (LOV)

A value measurement instrument that asks consumers to identify their two most important values from a nine-value list that is based on the terminal values of the Rokeach Value Survey

Values and Lifestyles (VALS)

A value measurement based on two categories: selfdefinition and resources (American Adults divided in 8 segments based on personal values)

Table 12.5 Excerpt from the Rokeach Value Survey

TERMINAL VALUES A comfortable life An exciting life A world at peace Equality Freedom Happiness National security Pleasure Salvation Social recognition True friendship Wisdom INSTRMENTAL VALUES Ambitious Broad-minded Capable Cheerful Clean Courageous Forgiving Helpful Honest Imaginative Independent Intellectual

 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.

The Concept of Culture : Hawkins Perspective

Cultural values give rise to norms and associated sanctions, which in turn influence consumption patterns.
Cultures are not static. They typically evolve and change slowly over time.

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Variations in Cultural Values

The numerous values that differ across cultures and affect consumption include:
Other-Oriented Values

Environment-Oriented Values
Self-Oriented Values

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Variations in Cultural Values

Other-Oriented Values Individual/Collective Youth/Age Extended/Limited Family Masculine/Feminine

Competitive/Cooperative
Diversity/Uniformity

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Variations in Cultural Values

Environment-Oriented Values Cleanliness Performance/Status

Tradition/Change
Risk taking/Security Problem solving/Fatalistic Nature

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Variations in Cultural Values

Environment-Oriented Values
Tradition/Change
A focus on technology as an indicator of change illustrates some dramatic differences across cultures that show the following:

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Variations in Cultural Values

Self-Oriented Values Active/Passive Sensual gratification/Abstinence Material/Nonmaterial Hard work/Leisure

Postponed gratification/Immediate gratification

Religious/Secular

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Applications in Consumer Behavior

Sensual Gratification/Abstinence Ad for Calvin Klein underwear: OK in U.S. and France. Not appropriate in cultures that place a high value on abstinence.

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Cultural Variations in Nonverbal Communications

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Cultural Variations in Nonverbal Communications Time

The meaning of time varies between cultures in two major ways:
Time perspective

Time Interpretations

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Cultural Variations in Nonverbal Communications Space

Overall use and meanings assigned to space vary widely among different cultures

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Cultural Variations in Nonverbal Communications Symbols

Colors, animals, shapes, numbers, and music have varying meanings across cultures. Failure to recognize the meaning assigned to a symbol can cause serious problems!

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Cultural Variations in Nonverbal Communications

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Cultural Variations in Nonverbal Communications Relationships

How quickly and easily do cultures form relationships and make friends?
Americans tend to form relationships and friends quickly and easily. Chinese relationships are much more complex.

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Cultural Variations in Nonverbal Communications Agreements

How does a culture ensure business obligations are honored? How are disagreements resolved? Some cultures rely on a legal system; others rely on relationships, friendships, etc.

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Cultural Variations in Nonverbal Communications 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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Cultural Variations in Nonverbal Communications Etiquette

The generally accepted ways of behaving in social situations. Behaviors considered rude or obnoxious in one culture may be quite acceptable in 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.
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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 Parity (PPP) rather than average or median income to evaluate markets. PPP is 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
Brazil China

Per Capita Income $4,791 $1,721

% of Total income (to top 10%) 45% 35%

Per Capita PPP $8,596 $4,091

United Kingdom United States

$37,266 $41,674

29% 30%

$31,580 $41,674
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Cross-Cultural Marketing Strategy

Considerations in Approaching a Foreign Market
1. Homogeneous versus Heterogeneous with Respect to Culture?
2. What Needs Can the Product Fill in this Culture? 3. Can Enough People Afford the Product? 4. What Values are Relevant to the Purchase and Use of the Product? 5. What are the Distribution, Political and Legal Structures for the Product? 6. In What Ways Can We Communicate About the Product? 7. What are the Ethical Implications of Marketing This Product in This Country?
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Applications in Consumer Behavior

This Western Union sign shows how marketers provide a local and/or regional flavor both in signage layout and through use of appropriate symbols and color.

Lars Niki

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