Session4 Nexus Culture
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Transcript of Session4 Nexus Culture
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InternationalInternational
MarketingMarketingSession 4
The Impact of Culture
Xuemei Bian
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ObjectivesObjectivesTo create awareness of the cultural
factors impacting on:
Customer decision making Marketing management
To introduce different classifications ofculture
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Cultural EnvironmentCultural Environment
Culture is:the collective programming of the mind which
distinguishes the members of one group orcategory from those of another(Hofstede,
1991).
a learned, shared, compelling, interrelated setof symbols whose meanings provide a set oforientations for members of society. Theseorientations, taken together, provide solutions to
problems that all societies must solve if they areto remain viable(Terpstra and David, 1991).
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Cultural Environment Impacts on:Cultural Environment Impacts on:
All aspects of business and marketing relatedactivities, for example:
Customer decision making, preferences, needs.
Relationship with intermediaries
Managing sales staff
Acquiring customers
Managing employees
..
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A Model of CultureA Model of Culture
Hollensen, 2008, p. 141
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Example: Ikea Catalogue
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Differences in consumerDifferences in consumer
behaviour across culturesbehaviour across cultures
Hierarchies of needs which shape demand
across product categoriesCulture-based values which influence
purchasing behaviour and buyingdecisions
Usunier, p. 70.
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Instrumental and Social SocietiesInstrumental and Social Societies US/Instrumental
Tasks are key in a
competitive environment
Achievement matters
Life is about doing
Behavior
apan/Social
Relationships are key in a
cooperative environment
Values/Beliefs
BasicAxioms
Affiliation matters
Life is about being
Source: Andre Laurent, INSEAD
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Theory of Reasoned ActionTheory of Reasoned Action
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refers to ones unconscious reference toones own cultural values when
attempting to understand anotherculture.
Self-reference criterion (SRC)Self-reference criterion (SRC)
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Halls Communication
Context
Low-contextcultures High-contextcultures
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The contextualcontinuum of differing cultures
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Comparing low-
and high-context cultures (1)
Communication Explicit, direct Implicit, indirect
Characteristic Low-context High-context
Informal handshakesFormal hugs, bows,
and handshakes
Sense of self
and space
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7-15
Comparing low-
and high-context cultures (3)
Time
consciousness
Linear, exact,
promptness is valued,time = money
Elastic, relative,
time = relationships
Characteristic Low-context High-context
Nuclear family,
self-oriented,
value youth
Extended family,
other oriented,
loyalty
Family and
friends
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7-16
Comparing low-and high-context cultures (4)
Values and norms
Independence,
confrontationof conflict
Group conformity,
harmony
Characteristic Low-context High-context
Egalitarian,
challenge authority,
gender equity
Hierarchical,
respect for authority,
gender roles
Beliefs and
attitudes
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7-17
Comparing low-
and high-context cultures (5)
Mental process
and learning
Linear, logical,
sequential,
problem solving
Lateral, holistic,
acceptinglifes difficulties
Characteristic Low-context High-context
Deal oriented, rewards
based on achievement
Relationship oriented,
rewards based
on seniority
Business/
work habits
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7-18
Comparing low-
and high-context cultures (2)
Dress
and appearance
Varies widely,
dress for success
Indication of
position in society,religious rule
Characteristic Low-context High-context
Eating is a
necessity, fast foodEating is social event
Food
and eating habits
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QuestionQuestion
Where would you allocateChina?India?
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Cross-Cultural ComparisonCross-Cultural Comparison
Hofstedes (1980) study focused on work-related cultural values held by employeesof IBM including 50 countries.4 dimensions:
Power distance
Masculinity
Uncertainty avoidance
Individualism
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Power distance extent to which less powerful members of asociety accept that power is distributed unequally.
Masculinity dominant values are achievement and success.feminine values such as caring for others andquality of life are less important.
Masculine countries show a gap between mens
values and womens values.
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Uncertainty avoidance
extent to which people feel threatenedby uncertaintyand ambiguity and try to avoid these situations.
Individualism
people look after themselves and their immediate
family only. In collectivist cultures people belong to in-groups who look after them in exchange for loyalty.
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Swiss website, featuring a girl listening to music on her own (http://www.mcdonalds.ch)
http://www.mcdonalds.ch/http://www.mcdonalds.ch/ -
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Indian website (late 2003) (http://www.mcdonaldsindia.com)
http://www.mcdonaldsindia.com/http://www.mcdonaldsindia.com/ -
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Discuss
Does a country have a homogenousculture?Is culture stable or does it change over
time? Why would it change?Does a global consumer culture exist?
What drives it?
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Category level Example Functionalmeaning
Symbolic meaning
Superordinate Fast Food Satisfies the need for aconvenient way to have
breakfast, lunch or dinnerwhen time matters (GCC)
Symbolises a fast-paced andmodern urban life style(GCC)
Basic Burger Satisfies the need for afilling, simple, quick, tastyand hearty meal (GCC)
May symbolise Westernlifestyle in one culture versussimple meal in another(GLCC/LCC)
Subordinate Burger varieties Satisfies the need for goodvalue at a reasonable price
(GCC)
Adapted to traditionalcultural schema to more
easily assimilate product(LCC)
GLL = Global Consumer Culture; GLCC = Global-Local consumer culture, LCC Local Consumer Culture.
(Source: Merz et al. 2008Nexus)
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Summary: Elements of CultureSummary: Elements of Culture
Languagea mirror of culture
spoken and silent language
Social interaction
how members of society relate to one another nuclear versus extended family
reference groups
Religion
EducationValue system
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Summary: Cultural Differences And TheirSummary: Cultural Differences And Their
Possible Impact On Selected Aspects OfPossible Impact On Selected Aspects Of
Consumer BehaviourConsumer Behaviour
Motivation to own, buy, spend, share Age
valuation of younger vs older people in society,
distribution of purchasing power across generationsGroup influence
individualism/collectivismDecision making
family models
childrens influence on decision making
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http://teresa.elearning.tvu.ac.uk/BAHospManGSMUnit3/Application.htm