Transcript Chapter 4 Social and Cultural Environments

Chapter 4
Social and Cultural
Environments
PowerPoint
by
Kristopher Blanchard
North Central University
© 2005 Prentice Hall
4-1
Task of Global Marketers
Study and understand the country
cultures in which they will be doing
business
Incorporate this understanding into the
marketing planning process
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Introduction
“It is not just speaking a common language. It
is sharing a culture and understanding
friendships in the same way”
Juan Villanonga – Former Chairman of
Telefonica
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Society, Culture, and
Global Consumer Culture
Culture – Ways of living, built up by a
group of human beings, that are transmitted
from one generation to another
Culture is acted out in social institutions
Culture has both conscious and unconscious
values, ideas and attitudes
Culture is both material and nonmaterial
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Society, Culture, and
Global Consumer Culture
“Culture is the collective programming of the
mind that distinguishes the members of one
category of people from those of another.”
- Geert Hofstede
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Society, Culture, and
Global Consumer Culture
Global consumer cultures are emerging
– Persons who share meaningful sets of
consumption-related symbols
– Pop culture; coffee culture; fast-food culture
Primary the product of an interconnected
world
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Attitudes, Beliefs and Values
Attitudes - learned tendency to respond in a
consistent way to a given object or entity
Belief - an organized pattern of knowledge that an
individual holds to be true about the world
Value - enduring belief or feeling that a specific
mode of conduct is personally or socially
preferable to another mode of conduct
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Religion
Religion is one important
source of society’s
beliefs, attitudes, and
values. The world’s
major religions
include: Buddhism,
Hinduism, Islam,
Judaism, and
Christianity.
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Religion
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Aesthetics
The sense of what is
beautiful and what is
not beautiful
What represents good
taste as opposed to
tastelessness or even
obscenity
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Visual – embodied in
the color or shape of a
product, label, or
package
Styles – various
degrees of complexity,
for example are
perceived differently
around the world
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Dietary Preferences
Would you eat…..
– Reindeer (Finland)
– Rabbit (France)
– Rice, soup, and grilled fish for breakfast
(Japan)
– Kimchi - Korea
– Blood sausage (Germany)
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Language and Communication
Linguistic Category
Language Example
Syntax
English has relatively fixed word order;
Russian has relatively free word order
Semantics
Japanese words convey nuances of feeling
for which other languages lack exact
correlations; ‘yes’ and ‘no’ can be
interpreted differently than in other
languages.
Phonology
Japanese does not distinguish between the
sounds ‘l’ and ‘r’; English and Russian both
have ‘l’ and ‘r’ sounds.
Morphology
Russian is a highly inflected language, with
six different case endings for nouns and
adjectives; English ahs fewer inflections.
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Language and Communication
Verbal Cues
Nonverbal cues or body language
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Marketing’s Impact on Culture
Universal aspects of the cultural
environment represent opportunities to
standardize elements of a marketing
program
Improved communications have contributed
to a convergence of tastes and preferences
in a number of product categories
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Marketing’s Impact on Culture
Movement has 70,000
members in 35
countries
“Slow food is about
the idea that things
should not taste the
same everywhere.”
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High- and Low-Context Cultures
High Context
– Information resides in
context
– Emphasis on background,
basic values
– Less emphasis on legal
paperwork
– Focus on personal
reputation
Saudi Arabia, Japan
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Low Context
– Messages are explicit and
specific
– Words carry all information
– Reliance on legal
paperwork
– Focus on non-personal
documentation of
credibility
Switzerland, US, Germany
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High- and Low-Context Cultures
Factor/Dimension
High Context
Low Context
Lawyers
Less Important
Very Important
A person’s word
Is his/her bond
Not reliable – get it in
writing
Responsibility for
Organizational
error
Taken by highest level
Pushed to the lowest level
Space
People breathe on each Private space maintained
other
Time
Polychronic
Monochronic
Competitive
Bidding
Infrequent
Common
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Hofstede’s Cultural Typology
Power Distance
Individualism / Collectivism
Masculinity
Uncertainty Avoidance
Long-term Orientation
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Self-Reference Criterion and
Perception
Unconscious reference to one’s own cultural
values; creates cultural myopia
How to Reduce Cultural Myopia:
– Define the problem or goal in terms of home country
cultural traits
– Define the problem in terms of host-country cultural
traits; make no value judgments
– Isolate the SRC influence and examine it
– Redefine the problem without the SRC influence and
solve
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Diffusion Theory
The Adoption Process
Characteristics of Innovations
Categories of Adopters
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Marketing Implications
The topics in this chapter must be
considered when formulating a global
marketing plan
Environmental Sensitivity reflects the
extent to which products must be adapted to
the culture-specific needs of different
national markets
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Environmental Sensitivity
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Looking Ahead to Chapter 5
The Political, Legal, and Regulatory
Environments of Global Marketing
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Social Institutions
Family
Education
Religion
Government
Business
These institutions function to reinforce
cultural norms
Return
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Material and Nonmaterial
Physical components
of culture
– Objects
– Artifacts
• Clothing
• Tools
• Pictures
• Homes
Subjective or abstract
culture
– Religion
– Perceptions
– Attitudes
– Beliefs
– Values
Return
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Aesthetics and Color
What do you associate
with Red?
– Active, hot, vibrant
– Weddings in some
Asian cultures
– Poorly received in
African countries
With white?
– Purity, cleanliness
– Death in parts of Asia
Return
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Phonology in action
Colgate is a Spanish command that means
‘go hang yourself’
Technology implications for Text messages
– 8282 means ‘hurry up’ (Korea)
– 7170 means ‘close friend’ (Korea)
– 4 5683 968 means ‘I Love You’ (Korea)
Return
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The Adoption Process
The mental stages through which an individual passes from
the time of his or her first knowledge of an innovation to
the time of product adoption or purchase
–
–
–
–
–
Awareness
Interest
Evaluation
Trial
Adoption
Return
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Characteristics of Innovations
Innovation is something new, five factors
that affect the rate at which innovations are
adopted include
–
–
–
–
–
Relative advantage
Compatibility
Complexity
Divisibility
Communicability
Return
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Categories of Adopters
Classifications of individuals within a
market on the basis of their innovativeness.
Five categories
– Innovators
– Early Adopters
– Early majority
– Late majority
– Laggards
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Categories of Adopters
Return
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