Global Social Cultural Environment

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    GLOBAL SOCIAL & CULTURAL

    ENVIRONMENT

    You can buy in your home-country language but

    you need to learn your customers language to sell.

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    Introduction

    A solid understanding of culture is essentialin international marketing.

    Cultural references impact significantly onconsumers cognitive, affective and

    connotativebehaviour.

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    A Definition

    So, what is culture?

    Culture prescribes the forms of behaviour that are acceptableto people in aspecific community

    Culture is the learned ways in which a society understands, decides andcommunicates

    Culture is difficult to define but some of the key characteristics are:

    Culture is learned Born into a culture/norms acquiredCulture is interrelated one part of culture is deeply connected with

    another part such as religion and marriage

    Culture is sharedtenets of culture extend to other members of a group

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    The Four Layers of Culture

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    National

    The national culture impacts on dealings withGovernments and is reflected in the valueson

    which laws and institutions are based.

    This explains why in some cultures transgressors

    can evade punishment.

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    Industry

    Culture impacts on negotiations within industry and the

    values and norms governing the activities performed by theindustry in the other country.

    Examples:Industry culture manifests itself in credit policyand theenvironment

    Business relationships are also effected by culture for example the way inwhich negotiations take place, a handshake is sufficient in some countries

    whereas the giving of gifts is expected in others

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    Organisational

    Organisational culture impacts on negotiationswith firms, as

    opposed to individuals. For example, when entering intoalliances or arranging takeovers.

    It is reflected in assumptionsthat are held by a firm

    They include: code of ethics, attitude to employees, decisionmaking style

    Example : In Asian countries the employer-employee have a more paternalrelationship. They are responsible for the welfare of their staff and

    their family. In Australian society, the employee is a short term commodity.

    Example:Decision making style in Japan by consensus, in Australia the finaldecision left with senior managers and imposed.

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    The Components of Individual Culture

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    Impact of Culture on International Marketing

    Q.So, why is culture important to marketing?Links back to the Marketing Conceptachieving organizational goals depends on determining the needs and wants of

    target markets and delivering the desired satisfaction more effectively and

    efficiently (Kotler)

    Culture affects ALLaspects of the

    Marketing Mix

    Price

    Product Place

    Promotion

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    THE 4Ps AND CULTURAL DIFFERENCES

    PRODUCTNames, flavours, aromas, strengths,packaging, labelling, colours

    PROMOTION Customs, symbols, language andadvertising practices

    PRICE Marketability of larger sizes

    PLACE Distribution channels may be differentsupermarket, hypermarket vs the corner shop

    3 ADDITIONAL Ps FOR SERVICE MARKETING:PEOPLE Different attitudes to personal service

    PROCESSES Different due to cultural requirementsPHYSICAL EVIDENCE Appearance and comfort e.g. hotels

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    7-11

    Elements of culture

    Language

    Manners and customs

    Technology and

    material culture

    Social institutions

    Education

    Values and attitudes

    Aesthetics

    Religion

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    Role of language in Global Marketing

    Important in information gathering and

    evaluation

    Provides access to local society

    Important in company communications

    Helps interpret contexts than mere words

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    7-13

    What is this?

    _____ includes time, space, material

    possessions, friendship patterns, and

    business agreements. It is more important

    in high-context than low-context cultures.

    Non-verbal language

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    Non-verbal communication (NVC) and

    global marketing

    NVC includes time

    Polychronic vs monochronic

    space

    Personal space and physical space material possessions

    friendship patterns Friends act as social insurance in high context cultures

    business agreements Rushing straight to business Reliance on complex agreements than on friendly handshakes

    It is more important in high-context than low-contextcultures.

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    High-context and low-context cultures

    High Is one where what is said

    only conveys a limitedportion of the meaning,which must also be

    interpreted in terms ofhow it is being said, whereit is being said, and thebody language of thespeaker

    Primary purpose is to form

    and develop relationships Eg. Middle East, Latin

    America, Asia

    Low Messages are mostly

    explicit and the wordsconvey most of themeaning in the

    communication Eg. Anglo-Germanic culture

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    7-16

    The contextual

    continuum of differing cultures

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    Non-verbal language and culture: Examples

    Italy

    -Italians do not hesitate to greet a person they know with an embrace

    -They are very animated and like to gesture with their hands

    -Personal space is much closer

    -Queue jumping is not a crime in Italy; they even admire someone who sees anopportunity and takes it!

    South Africa

    -Macho society, handshake on meeting

    -maintaining eye contact is essential

    -talking with hands in pockets is rude

    http://www.photos.com/en/search/close-up?oid=2643687&a=&pt=&k_mode=all&k_exc=europe&cid=&date=&k_var=africa&bl=/en/search/index?f_h=1&f_i=1&f_o=1&f_v=1&f_b=1&f_c=1&k_exc=europe&k_var=africa&k_mode=all&big=1&ppage=10&srch=Searching...&first=82&ofirst=&srch=Y&hoid=787afad58807b22011bda8e3c4fb5c33http://www.photos.com/en/search/close-up?oid=2711943&a=&pt=&k_mode=all&k_exc=europe&cid=&date=&k_var=italy&bl=/en/search/index?f_h=1&f_i=1&f_o=1&f_v=1&f_b=1&f_c=1&k_exc=europe&k_var=italy&k_mode=all&big=1&ppage=3&srch=Searching...&first=19&ofirst=&srch=Y&hoid=aba46539b1a0e117a50515bf6309561d
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    Non-verbal language and culture: Examples

    UK

    - The English are notoriously Undemonstrative

    -Stiff upper lip

    - Backslapping and hugs are discouraged

    -Lots of personal distance

    - Eye to eye contact is good for making a point but do not eye ball Someone.

    - Abhor Americanisms such as have a nice day

    - If there is a queue go to the end of the line

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    7-20

    Sensuality and

    touch culture in Saudi Arabian

    versus European advertising

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    Verbal language and culture: Examples

    Translations Found in Hotels Across the World

    MexicoThe manager has personally passed all the water served here.

    NorwayLadies are required not to have children at the bar.

    GreeceWe will execute customers in strict rotation.

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    Verbal language and culture: Examples

    COORS (Worlds 5thlargest beer company)ad slogan TURN IT LOOSEwas

    truly translated into Spanish-- Means suffer from diarrhoea

    Pepsi's slogancome alive with the Pepsi generationtranslatedinto Chinesemeans

    " Pepsi brings your ancestors back from the grave

    One of the brand names of facial tissuePuffs

    --- meansbrothels in colloquial German.

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    Verbal language and culture: Examples

    When Kentucky Fried Chickenentered the Chinese market, totheir horror they discovered that their slogan "finger lickin'

    good"came out as "eat your fingers off

    The American slogan for Salem cigarettes, "SalemFeelingFree," got translated in the Japanese market into "Whensmoking Salem, you feel so refreshed that your mind seems to

    be free and empty.

    General Motorshad a perplexing problem when they introducedthe Chevy Nova in South America. Despite their best efforts, they

    weren't selling many cars. They finally realized that in Spanish,"nova" means "it won't go".Sales improved dramatically afterthe car was renamed the "Caribe."

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    FordPinto in Braziland substituted them with "Corcel," whichmeans horse.

    When Branifftranslated a slogan touting its upholstery, "Fly in

    Leather," it came out in Spanish as "Fly Naked."

    The greatPARKER pen co. assumed the Spanish wordEMBRAZER means to Embarrass and released the pen ad.

    -- AsIt wont leak in your pocket and embrazar you

    actually the meaning of embrazar in Spanish isPregnancy

    the ad has been read asIt wont leak in your pocketand make you pregnant

    Verbal language and culture: Examples

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    Manners and customs

    Changes occurring in manners and customs

    must be carefully monitored

    Also important in negotiations- need to read

    correctly all types of communication

    Basic customs must be observed by foreign

    business persons

    Usage of left hand to eat is impolite in right-hand

    societies

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    Technology and material culture

    Technological advancement leads to cultural

    convergence

    Technology may help certain cultures

    Eg. Polaroid cameras

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    Social institutions

    Business, political and family/class related

    institutions influence behaviour of people

    Family relationships influence work

    environment and employment practices

    Eg. Nepotism is a part of business in India

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    Education

    Impact of educational levels on business

    functions

    Obstacles in recruiting in Japan:

    University graduates join only large and reputed

    foreign firms as they intend to stay long term in

    organizations and get stranded when firms wind

    up mid-way

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    Values and attitudes

    Values and attitudes help determine what we

    think is right or appropriate, important or

    desirable.

    The more rooted values and attitudes are in

    central beliefs, the more cautious global

    manager should be

    Eg. Barbie dolls

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    The original

    Barbiewas launched in

    1959

    Mattel started licensing dollsout to foreign countries as

    early as 1971. Most of these

    Dolls are the same as Their

    American counterparts

    http://en.wikipedia.org/wiki/File:Barbie_1959_First_Editions.jpg
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    The first Vintage Barbie Dolls were released in 1959

    http://www.fashion-doll-guide.com/Vintage-Barbie-Resort-Set.htmlhttp://www.fashion-doll-guide.com/Vintage-Barbie-Easter-Parade.html
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    Vintage Barbie1960Miss America Dolls

    i bi 96 66

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    Vintage Barbie 1963-64 Vintage Barbie 1965 - 66

    http://www.fashion-doll-guide.com/Vintage-Barbie-Magnificence.html
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    Barbie1967

    Vi t B bi 1969 1970

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    Vintage Barbie 1969 1970

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    Barbie 1971

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    1993 Filipina Barbie Spain 10th Anniversary Barbie

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    De Moda from

    Venezuela Wet and Wild Withney from Venezuela.

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    Mexican Steffie faced Barbie clone

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    Japan Barbie

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    Passeio Viky from Brazil an Argentinan Rock Star Barbie

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    China Barbie Barbie of SPAIN

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    Sumatra IndonesiaBarbie

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    INDIAN

    BARBIE DOLLS

    INDIAN BARBIE DOLLS

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    INDIANFESTIVALFUN BARBIE

    WORLD OF INDIAN BARBIE AND DOLLS

    INDIAN CLOTHING

    BARBIE-RAJASTHANI BARBIE PUNJABI

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    Swapna Sundari

    Barbie, part of the

    Expressions of India

    series

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    BARBIE IN BLACK DRESS

    INDIAN WEDDING FANTASY

    INDIAN BARBIE IN YELLOW

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    Fulla doll in Islamic countries

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