Global Marketing Ethics and Culture

The Sociocultural Environment

Learning objectives• Discuss how the sociocultural environment will affect

the attractiveness of a potential market• Define culture and name some of its elements• Explain the ‘4+1’ dimensions in Hofstede’s modelReading:Core Text Ch 3 p63Hollensen Ch 7Usunier Marketing Across CulturesMuhlbacher Ch 5 Lee and Carter Ch 3

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Learning objectives (2)

• Discuss the strengths and weaknesses of Hofstede’s model

• Discuss whether the world’s cultures are converging or diverging

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Refers to one’s unconscious reference to one’s own cultural values when attempting to understand another culture?

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Self-reference criterion (SRC)

Approaches to eliminate SRC

• Define problem or goal in terms of home country culture, traits, habits, and norms

• Define problems or goals in terms of the foreign culture• Isolate the SRC influence and examine it carefully to see

how it complicates the problem• Redefine the problem without the SRC influence and

solve for the foreign market situation

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The Meaning of Culture The Johari Window

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Unconscious

Shared Blind Spot

Their Blind Spot

Open for Discussion

My Blind Spot

Insight

Things I see My blind spot

Things they see

Things they do not see

(Source adapted from S Jourard (1964) The transparent self, Nostrand Reihold, Princeton NJ.)

(Source adapted from S Jourard (1964) The transparent self, Nostrand Reinhold, Princeton N.J)

Culture

Culture is the collective programming of the mind which distinguishes the members of one human group from another.It is the learned ways in which a society understands, decides and communicates.

Hofstede (1980)

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Characteristics of culture

• Culture is learned• Culture is interrelated• Culture is shared

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The visible and invisible parts of culture

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A Cultural Framework - Terpstra and Sarathy (2000)

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Language Religion Values and

Attitudes

AestheticsEducation

Law and Politics

Technology and Material

Culture

Social Organisation

Cultures

Layers of culture

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Individual behaviour/ decision maker

Company culture

Business/industry culture

National culture

Understanding Culture and Consumer Behaviour

12Global Marketing Ethics and Culture

Approaches to the Study of Culture

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7-13

• Maslow (1970): Hierarchy of Needs• Lee (1966): Self Reference Criteria• Hall’s (1977): High and Low Context Cultures• Hofstede (2001, 1997): The four dimensions of

power distance, individualism and masculinity and uncertainty avoidance

Hall’s Communication Context

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Low-context cultures

High-context cultures

Comparing low- and high-context cultures (1)

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Communication Explicit, direct Implicit, indirect

Characteristic Low-context High-context

Informal handshakesFormal hugs, bows, and handshakes

Sense of self and space

Comparing low- and high-context cultures (2)

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Dress and appearance

Varies widely, dress for success

Indication of position in society,

religious rule

Characteristic Low-context High-context

Eating is anecessity, fast food

Eating is social eventFood

and eating habits

Comparing low- and high-context cultures (3)

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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 andfriends

Comparing low- and high-context cultures (4)

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Values and normsIndependence, confrontation

of conflict

Group conformity, harmony

Characteristic Low-context High-context

Egalitarian, challenge authority,

gender equity

Hierarchical, respect for authority,

gender rolesBeliefs and

attitudes

Comparing low- and high-context cultures (5)

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Mental process and learning

Linear, logical, sequential,

problem solving

Lateral, holistic,accepting

life’s difficulties

Characteristic Low-context High-context

Deal oriented, rewardsbased on achievement

Relationship oriented, rewards based

on seniority

Business/work habits

The contextual continuum of differing cultures

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The role of language in global marketing

• Language is important in information gathering and evaluation efforts

• Language provides access to local society• Language capability is important to company

communications• Language enables the interpretation of context

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Sensuality and touch culture in Saudi Arabian

versus European advertising

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Hofstede’s model of national cultures

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Power distance

Uncertainty avoidance

Individualism

Masculinity

Time perspective

Convergence of world’s cultures

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