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Chapter 4 PDF

This document summarizes key aspects of culture and its impact on international marketing. It defines culture as values, rituals, symbols, beliefs, and thought processes shared and transmitted within a group. Culture is influenced by geography, history, and social institutions like family, religion, education, government, and corporations. Elements of culture include values, rituals, symbols, beliefs, and thought processes. Hofstede's cultural dimensions of individualism/collectivism, power distance, uncertainty avoidance, and masculinity/femininity are discussed as ways to analyze and compare cultures. However, limitations to Hofstede's model are noted.

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62 views

Chapter 4 PDF

This document summarizes key aspects of culture and its impact on international marketing. It defines culture as values, rituals, symbols, beliefs, and thought processes shared and transmitted within a group. Culture is influenced by geography, history, and social institutions like family, religion, education, government, and corporations. Elements of culture include values, rituals, symbols, beliefs, and thought processes. Hofstede's cultural dimensions of individualism/collectivism, power distance, uncertainty avoidance, and masculinity/femininity are discussed as ways to analyze and compare cultures. However, limitations to Hofstede's model are noted.

Uploaded by

ImraanHossainAyaan
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
You are on page 1/ 20

International Marketing

th
15 edition

Chapter 4

Cultural Dynamics in
Assessing global Markets

Philip R. Cateora, Mary C. Gilly, and John L. Graham 1


OVERVIEW

• The importance of culture to an international


marketer
• Definition and origins of culture
• The elements of culture
• The impact of cultural change and cultural
borrowing
• Strategies of planned and unplanned change

2
DEFINITIONS AND
ORIGINS OF CULTURE
• Traditional definition of culture
• Culture is the sum of the values, rituals, symbols,
beliefs, and thought processes that are learned,
shared by a group of people, and transmitted
from generation to generation.
• Individuals learn culture in three ways
• Socialization (growing up)
• Acculturation (adjusting to a new culture)
• Application (decisions about consumption and
production)

3
ORIGINS, ELEMENTS,
AND CONSEQUENCES OF
CULTURE
Exhibit 4.4

4
GEOGRAPHY
• Exercises a profound control
• Includes climate, topography, flora, fauna, and
microbiology
• Influenced history, technology, economics, social
institutions and way of thinking
• The ideas of Jared Diamond and Philip Parker
• Jared Diamond
• Historically innovations spread faster east to west than north to south
• Philip Parker
• Reports strong correlations between latitude (climate) and per capita
GDP

5
HISTORY
• History - Impact of specific events can be
seen reflected in technology, social
institutions, cultural values, and even
consumer behavior
• Tobacco was the original source of the
Virginia colony’s economic survival in the
1600s
• Military conflicts in the Middle East
brought about new cola alternatives such as
Mecca Cola, Muslim Up, and Arab Cola.
6
SOCIAL INSTITUTIONS

• Family – forms and functions vary substantially


around the world even around the country.

• Religion – Chanel (French Fashion House) and The


Verses from Quran {They are the ones who found
guidance }

7
SOCIAL INSTITUTIONS

• School – the most important social institution


• Direct link between a nation’s literacy rate and its
economic development
• Difficult to communicate with a market when a
company must depend on symbols and pictures
• The media – it has replaced family time
• TV and the Internet
• American educational system produces a lower
percentage of college graduates than 12 other
countries including Russia, Japan, and France

8
SOCIAL INSTITUTIONS

• Government - influences the thinking and


behaviors of adult citizens
• Propaganda through media (BTV)
• Passage, promulgation/Announcement, promotion, and
enforcement of laws
• Russia Pays $9200 for 2nd Child
• Corporations - most innovations are introduced
to societies by companies
• Spread through media
• Bill Payment Machines from HSBC

9
ELEMENTS OF CULTURE (1 OF 4)

• Values
• Rituals
• Symbols
• Beliefs
• Thought processes

10
ELEMENTS OF CULTURE (2 OF 4)

• Cultural values – Geert Hofstede’s Cultural Dimension


• Individualism/Collectivism Index
• Reflects the preference of behavior that promotes one’s self interest
• United States is individualistic (scoring a 91). This is the Americans’ hope for
a better quality of life and a higher standard of living than their parents’.
• Power Distance Index
• Measures the tolerance of social inequality
• Germany 35, Arab 80, Austria 11
• Uncertainty Avoidance Index
• Measures the tolerance of uncertainty and ambiguity
• Germany is a reasonable high uncertainty avoidance (65) than Singapore (8).
Germans are not to keen on uncertainty, by planning everything carefully
they try to avoid the uncertainty. In Germany there is a society that relies on
rules, laws and regulations

11
ELEMENTS OF CULTURE
• Masculinity versus femininity refers to the distribution
of roles between the genders
• (a) women’s values differ less among societies than men’s
values; (b) men’s values from one country to another contain
a dimension from very assertive and competitive and
maximally different from women’s values on the one side, to
modest and caring and similar to women’s values on the other.
The assertive pole has been called ‘masculine’ and the
modest, caring pole ‘feminine’.
• Masculine traits include assertiveness, Materialism/material
success, self-centeredness, power, strength, and individual
achievements.

12
HOFSTEDE’S INDEXES
LANGUAGE, AND LINGUISTIC
DISTANCE

Exhibit 4.6

13
DRAWBACKS OF HOFSTEDE’S CONCEPT 1

• The Hofstede Model of Cultural Dimensions can be


of great use when it comes to analyzing a country’s
culture. There are however a few things one has to
keep in mind.
• Firstly, the averages of a country do not relate to
individuals of that country. Even though this model has
proven to be quite often correct when applied to the general
population, one must be aware that not all individuals or
even regions with subcultures fit into the mould. It is to be
used as a guide to understanding the difference in culture
between countries, not as law set in stone. As always, there
are exceptions to the rule.

14
DRAWBACKS OF HOFSTEDE’S CONCEPT 2

•Secondly, how accurate is the data? The data has


been collected through questionnaires, which have their
own limitations. Not only that, but in some cultures the
context of the question asked is as important as its
content. Especially in group-oriented cultures, individuals
might tend to answer questions as if they were addressed
to the group he/she belongs to. While on the other hand in
the United States, which is an individualistic culture, the
answers will most likely be answered and perceived
through the eyes of that individual.

AKJ IUB 2012 15


DRAWBACKS OF HOFSTEDE’S CONCEPT 3

•Lastly, is the data up to date? How much does the


culture of a country change over time, either by internal or
external influences?

16
ELEMENTS OF CULTURE (3 OF 4)

• Rituals – patterns of behavior and interaction that are


learned and repeated
• Marriages , funerals, baptisms, graduations
• Symbols
• Language
• Linguistic distance – relationship between language and international
marketing (Tambo = Roadside inn Bolivia, Colombia, Ecuador and
Peru BUT Brothel in Chile.
• Aesthetics as symbols
• Insensitivity to aesthetic values can offend, create a negative
impression, and, in general, render marketing efforts ineffective or
even damaging

17
ELEMENTS OF CULTURE (4 OF 4)
• Beliefs
• Superstitions play a large role in a society’s belief
system and therefore, to make light of superstitions in
other cultures can be an expensive mistake
• The number 13 in the western hemisphere is
considered unlucky, where as the number 8 in China
connotes “prosperity”
• The practice of “Feng Shui”
• Thought processes
• Difference in perception between the East and the
West
• Focus (Western) vs. big-picture (Eastern)

18
SIMILARITIES – AN ILLUSION

• A common language does not guarantee a


similar interpretation of word or phrases
– Difference between British and American English
– Chips Crisps, French Fries Chips, Fall
Autumn.
• Just because something sells in one country
doesn’t mean it will sell in another.

19
THE END

20

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