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Chapter 14

Consumer Behavior,Consumer Behavior,Eighth EditionEighth Edition

SCHIFFMAN & KANUK

Cross-Cultural Consumer Behavior: An International

Perspective

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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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Country of Origin Effects: Negative and Positive

• Many Chinese consumers consider Sony high-end and high-quality, but may refuse to buy due to animosity toward Japan– High-animosity consumers own fewer Japanese

products than low-animosity consumers

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Cross-Cross-Cultural Cultural

Consumer Consumer AnalysisAnalysis

Research to determine the extent to which consumers of two or more nations are

similar in relation to

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Issues in Cross-Cultural Consumer Analysis

• Similarities and Differences Among People• Time Effects• The Growing Global Middle Class• Acculturation

– Research Techniques

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Table 14.2 Some ComparisonsChinese Cultural Traits• Centered on

Confucian doctrine• Submissive to

authority

American Cultural Traits• Individual centered• Emphasis on self-

reliance• Primary faith in

rationalism

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The Effect of Guo Qing

• Due to the one-child policy in China, families emphasize high quality purchases for their “

• Children in China are given more than $3 billion collectively to spend as they wish and influence about 68% of parental spending.

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Table 14.3 The Pace of Life

Switzerland 31

WALKING 60 FEET

OVERALL PACE

12

PUBLIC CLOCK

POSTAL SERVICE

Ireland 12 113

Germany 53 81

Japan 74 64

Italy 105 212

England 46 139

Sweden 137 75

Austria 238 38

Netherlands 29 2514

Hong Kong 1410 146

SPEED IS RELATIVE(rank of 31 countries for overall pace of life and for three measures)

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AcculturationAcculturation

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Table 14.4 Basic Research Issues in Cross-Cultural Analysis

FACTORS

Differences in language and meaning

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 14.4 continuedFACTORS

Differences in the criteria for evaluating products and services

Differences in economic and social conditions and family structure

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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The Feasibility of Consumer Telephone Research in Asia

COUNTRY FEASIBILITYAustralia yes

China, Mainland no, but within five years in big citiesHong Kong yes, best method by far

India yes, for big cities and in English

Indonesia yes, in Java, Bali and Sumatra

Japan yes

South Korea yes

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Alternative Multinational Strategies: Global Versus Local

• Favoring a “World Brand”• Adaptive Global Marketing• Framework for Assessing Multinational

Strategies– Global– Local– Mixed

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Figure 14.3 Leading Wrist-

Watch Manufacturer Uses Global Advertising

Strategy

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Products that are manufactured, packaged, and

positioned the same way regardless of the country in which they

are sold.

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Table 14.6 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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Advertising to the World’s Consumers

RANKRANK COUNTRYCOUNTRYPER-CAPITA MEDIA PER-CAPITA MEDIA

SPENDING*SPENDING*

1 Japan $2,137

2 United States 1,861

3 France 1,845

4 Germany 1,593

5 Netherlands 1,517

6 Denmark 1,504

7 Belgium 1,357

8 United Kingdom 1,286

REACHING PEOPLE(media spending per capita for top-ranking and bottom ranking countries, 1996)

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Table 14.8 Six Global Consumer Segments

Strivers 23%

Altruists18%

Devouts22%

Fun Seekers12%

Creatives10%

Intimates15%

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Marketing Mistakes: A Failure to Understand Differences

• Product Problems• Promotional Problems• Pricing and Distribution Problems

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Consider Color

• Meanings of Blue– Holland - warmth– Iran - death– Sweden - coldness– India - purity

• Meanings of Yellow– U.S. - warmth– France - fidelity