chapter 14 cross cultural consumer behavior
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Consumer BehaviorNinth EditionSchiffman and KanukTRANSCRIPT
Copyright 2007 by Prentice Hall
Consumer Behavior,Ninth Edition
Schiffman & Kanuk
Chapter 14
Cross-Cultural Consumer Behavior: An International
Perspective
Copyright 2007 by Prentice Hall 14 - 2
Chapter Outline
• The Imperative to Be Multinational
• Cross-Cultural Consumer Analysis
• Alternative Multinational Strategies
• Cross-Cultural Psychographic Segmentation
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The Imperative to Be Multinational
• Global Trade Agreements– EU– NAFTA
• Acquiring Exposure to Other Cultures
• Country-of-origin Effects
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Table 14.1 The World’s Most Valuable Brands
1. Coca-Cola2. Microsoft3. IBM4. GE5. Intel6. Disney7. McDonald’s8. Nokia9. Toyota10.Marlboro
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Most of these brands offer
different Web sites for each
country.
weblink
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Discussion Questions
• What challenges may Toyota have faced to get this status?
• What might they have done right in their marketing strategy to achieve this status? Consider the 4Ps.
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Country of Origin Effects: Negative and Positive
• Many consumers may take into consideration the country of origin of a product.
• Some consumers have animosity toward a country– People’s Republic of China has some animosity to
Japan– Jewish consumers avoid German products– New Zealand and Australian consumers boycott
French products
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Swiss Watches
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More Swiss Watches
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Can’t Beat the EngineeringThe “American” Twist
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This U.S. Government
Web site helps those who
want to buy USA products.
weblink
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National Identity Figure 14.2
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Cross-CulturalConsumer Analysis
The effort to determine to what
extent the consumers of two
or more nations are similar or different.
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Cross-Cultural Consumer Analysis
• Similarities and differences among people
• The growing global middle class
• The global teenage market
• Acculturation
• The greater the similarity between nations, the more feasible to use relatively similar marketing strategies
• Marketers often speak to the same “types” of consumers globally
Issues
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Discussion Questions
• Are people becoming more similar?
• Why or why not?
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Table 14.2 Comparisons of Chinese and American
Cultural Traits
Chinese Cultural Traits• Centered on
Confucian doctrine• Submissive to
authority• Ancestor worship• Values a person’s
duty to family and state
American Cultural Traits• Individual centered• Emphasis on self-
reliance• Primary faith in
rationalism• Values individual
personality
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Cross-Cultural Consumer Analysis
• Similarities and differences among people
• The growing global middle class
• The global teenage market
• Acculturation
• Growing in Asia, South America, and Eastern Europe
• Marketers should focus on these markets
Issues
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Cross-Cultural Consumer Analysis
• Similarities and differences among people
• The growing global middle class
• The global teenage market
• Acculturation
• There has been growth in an affluent global teenage and young adult market
• They appear to have similar interests, desires, and consumption behavior no matter where they live.
Issues
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The iPod has global appeal to the young
market.
weblink
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Cross-Cultural Consumer Analysis
• Similarities and differences among people
• The growing global middle class
• The global teenage market
• Acculturation
• Marketers must learn everything that is relevant about the usage of their product and product categories in foreign countries
Issues
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Table 14.6 Basic Research Issues in Cross-Cultural Analysis
FACTORS
Differences in language and meaning
Differences in market segmentation opportunities
Differences in consumption patterns
Differences in the perceived benefits of products and services
EXAMPLES
Words or concepts may not mean the same in two different countries.
The income, social class, age, and sex of target customers may differ dramatically in two different countries.
Two countries may differ substantially in the level of consumption or use of products or services.
Two nations may use or consume the same product in very different ways.
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Table 14.6 continuedFACTORS
Differences in the criteria for evaluating products and services
Differences in economic and social conditions and family structure
Differences in marketing research and conditions
Differences in marketing research possibilities
EXAMPLES
The benefits sought from a service may differ from country to country.
The “style” of family decision making may vary significantly from country to country.
The types and quality of retail outlets and direct-mail lists may vary greatly among countries.
The availability of professional consumer researchers may vary considerably from country to country.
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World Brands
Products that are manufactured, packaged, and
positioned the same way regardless of the country in which they
are sold.
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Are Global Brands Different?
• According to a survey – yes.
• Global brands have:– Quality signal– Global myth– Social responsibility
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Multinational Reactions to Brand Extensions
• A global brand does not always have success with brand extentions
• Example Coke brand extension – Coke popcorn– Eastern culture saw fit and accepted the
brand extension– Western culture did not see fit
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Adaptive Global Marketing
• Adaptation of advertising message to specific values of particular cultures
• McDonald’s uses localization– Example Ronald McDonald is Donald
McDonald in Japan– Japanese menu includes corn soup and
green tea milkshakes
• Often best to combine global and local marketing strategies
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Discussion Question
• If your university is considering a satellite business program in Korea– How would they need to adapt the
program?– What would prompt these changes?
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Alternative Multinational Strategies: Global Versus Local
• Framework for Assessing Multinational Strategies– Global– Local– Mixed
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Table 14.8 A Framework for Alternative Global Marketing Strategies
PRODUCT STRATEGY
COMMUNICATON STRATEGY
STANDARDIZED COMMUNICATIONS
LOCALIZED COMMUNICATIONS
STANDARDIZED PRODUCT
Global strategy:Uniform Product/ Uniform Message
Mixed Strategy:Uniform Product/ Customized Message
LOCALIZED PRODUCT
Mixed strategy:Customized Product/ Uniform Message
Local Strategy:Customized Product/ Customized Message
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Cross-Cultural Psychographic Segmentation
The only ultimate truth possible is that humans are both deeply the same and
obviously different.
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Table 14.10 Six Global Consumer Segments
Strivers 23%
Altruists18%
Devouts22%
Fun Seekers12%
Creatives10%
Intimates15%