Title: Cross-Culture
1Chapter
Cross-Culture
Modular Afjal Hossain Assistant
Professor Department of Marketing Patuakhali
Science and Technology University
Schiffman G. Leon Kanuk Lazar Leslie
Consumer Behavior, 8th ed. Ch. 14, p. (471-492)
2Learning Objectives
- How cross-culture satisfies international market?
- How cross-culture is formed?
- How cross-culture is measured in consumer
behavior/ selling?
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
02
3Definition
- Cross-Culture Analysis
-
- The culture of two/ more nations. Cross-culture
consumer analysis is the effort to determine to
what extent the consumers of two/ more nations
are similar or different.
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
03
4Basic Research Issues in Cross-Cultural Analysis
- Difference in language meaning
- Difference in market segmentation opportunities
- Difference in consumption patterns
- Difference in the perceived benefits of products
and services - Difference in economic and social conditions and
family structures - Difference in marketing research and conditions
- Difference in marketing research possibilities
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
04
5Objectives
- Similarities and differences among people
-
- The greater the similarity between nations, the
more feasible it is to use relatively similar
marketing strategies in each nation. On the
contrary, if the cultural beliefs, values
customs of specific target countries are found to
differ widely, then a highly individualized
marketing strategy is indicated for each country.
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
05
6Objectives
- Time Effects
-
- In USA, 80 of work time spent on task 20 is
used to social activities. - In India/ Nepal, 50 of each.
- In Japan, social time is having tea with peers
in the middle of the day.
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
06
7Objectives
- The growing global middle class
- Income equivalent to 5,000/yearly is considered
a middle class people. - Acculturation is needed
- Acculturation is the dual process 1st marketer
must thoroughly orient themselves to the values,
beliefs customs of the new society to
approximately position and market their products.
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
07
8Objectives
- Acculturation is needed
- 2nd To gain acceptance for a culturally new
product in a foreign society, they must develop a
strategy that encourages members of that society
to modify or even break with their own
traditions. - But in Saudi Arabia, It is illegal to stop
people on the streets because most gatherings of
4/ more people are outlawed.
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
08
9Objectives
- Applying research techniques
- Language and/ word usages often differ from
nation to nation. - Another issue is the scales of measurement.
- In USA, 5/ 7 point scale is adequate but some
other countries 10/ 20 point scale are used. - Research facilities i.e. telephone interviewing
are not available in some countries.
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
09
10Importance of Cross-Culture
- To be multinational
- Now marketing of a product is not limited to
home country, it goes to other countries for
their future growth. - Acquiring exposure to other countries
- Consumers obtain a taste of different cultures
from contact with foreign movies, theater, art
and artifacts, through travel, living and working
in foreign countries or even by immigration. - Country of origin effects
- Many consumers associate France with wine,
fashon clothing and perfume, whereas Italy with
pasta, furniture, shoes sports. Japan with
camera and China with consumer electronics.
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
10
11Importance of Cross-Culture
- Examples
-
- NAFTA (North American Free Trade Agreement)
consisting of USA, Canada Mexico provides free
market access to these countries people. -
- ASEAN (Association of South-East Asian Nations)
consisting of Indonesia, Singapore, Thailand, The
Philippines, Malaysia, Brunei and Vietnam also
provides free market access to these nations.
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
11
12Alternative Multinational Strategies
- Global vs Local
- segment whether by shared needs and values or
by national borders - Favoring a world brand
- world brand products are manufactured, packaged
positioned in exactly the same way for each
country they are sold. Ex Pantene Olay oil are
the 2 major world brand of Procter Gamble. - Adaptive Global Marketing
- Ronald McDonald has been renamed Donald McDonald
in Japan because The Japanese language does not
contain the letter R.
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
12
13Framework for assessing multinational strategies
Product Strategy Communication Strategy Communication Strategy
Product Strategy Standardized Communication Localized Communication
Standardized product Global Strategy Uniform product/ Uniform message Mixed Strategy Uniformed product/ Customized message
Localized product Mixed Strategy Customized product/ Uniform message Local Strategy Customized product/ Customized message
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
13
14Framework for assessing multinational strategies
- When looking for success in a foreign market, it
has been suggested that a company shuld remember
3 Ps - Product
- Place
- People
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
14
15Degree of fit between marketing strategies and 3
Ps
3 Ps Marketing strategies Marketing strategies Marketing strategies
3 Ps Specific Elements Standardization Localization
Product Technology Culture bound Reputation Product perception High Low Sterling High Low High Poor or unknown Low
Place Economy Partners Competition Prosperous Few Low Struggling Plentiful Intense
People Tastes Sophistication Segments Classification Little preference High Few Industrial/ Consumer durables High preference Low Many Consumer nondurables
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
15
16Cross-Cultural Psychographic Segmentation
- There are 6 psychographic segmentation variables
are
Segment Name Descriptions
Strivers They consider material things extremely important i.e. value wealth, status, ambition, and power. Ex Computers
Devout Have more traditional values like faith, duty, obedience and respect. Least involved in media/ western brands.
Altruists Interested in social issues and causes. Generally well educated older (median age 44) i.e. Russia Latin America
Intimates They are focused on relationship close to home i.e. spouses, family or friends. Heavy users of media/ talking with others.
Fun Seekers Youngest group. They value adventure, excitement, pleasure etc. They are focused on electric media (music).
Creative Dedicated to technology, knowledge learning from books, magazines newspapers.
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
16
17Marketing Mistakes
-
- Product Problems
- Different country has different choices. Ex
Japan consumers preferred clearer, les sweet iced
tea. - The same color often has different meanings in
different cultures. -
- Ex Blue Holland (warmth) Iran (death) India
(purity) -
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
17
18Marketing Mistakes
-
- Promotional problems
- Promotional message must be consistent with the
language and customs of the particular target
society. - The word clock in Chinese sounds like the word
death
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
18
19Marketing Mistakes
-
- Pricing Distribution problems
- Japan products will be value less if there are
not sufficient middle men because to reach the
products to the consumer they use a lot of middle
men. - But USA just opposing Japan.
Leon G. Schiffman Leslie Lazar Kanuk Consumer
Behavior 8th edition, Prentice Hall 2006
19