crosscultural issues
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The International Consumer
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Key Concepts
Cross-culturalsymbols
Values of Japan andthe U.S.
Back translation
Differences in timeperception
Nonverbal behavior
Ethnocentricity andanimosity
Binational products The matchup
hypothesis
Standardized globalmarketing
Pattern advertising
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Introduction No matter how hard man tries, it is
impossible for him to divest himself of
his own culture, for it has penetrated tothe roots of his nervous system anddetermines how he perceives the
worldPeople cannot act or interact atall in any meaningful way exceptthrough the medium of culture.
Hall and Hall (1987),Hidden Differences: Doing Business With the Japanese.
New York: Anchor Press/Doubleday, p. 188.
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Cross-Cultural Use of Symbols Meaning of symbols differs across cultures.
Symbolic meaning of nonverbal
communication can also create problems. It is important to know the implicit meaning
of a symbol when a company begins tomarket its products or servicesinternationally.
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International Business Cultural
Factors
Language
Values
Politics
Technologyand MaterialCulture
SocialOrganization
Education
Religion
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The East Asian Consumer How the societies view the individual
How employees and customers are viewed
Values in Japan are beginning to change with
an increased desire for leisure time
Karoshi (death by overwork) still an issue
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The Latin American Consumer NAFTA has
increased U.S.-
Mexico trade. U.S. products
viewed favorably.
Spanish languagevariations possiblyimportant.
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The East European Consumer Western products are in huge demand
Income is less than in western Europe, but
productivity is rising after political turmoil inthe early 1990s.
Marketing requires an understanding of thedifferent cultures and business practices.
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The West European Consumer The EU contains
many nations,
cultures, andlanguages
There is no
Euroconsumer
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The African Consumer Africa is changing rapidly. Africans are often
bilingual, speaking their own language andthat of former European colonialadministrators.
The culture and business climate is stronglyinfluenced by Europe with Francophone
(former French colony)countries liking Frenchproducts. Anglophone countries give highmarks to British and German goods.
American products are highly regarded but
only the well-to-do can afford them.
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Cross-Cultural Problem Areas Translation
National Languages
and Dialects Time perception
Symbols
Friendship Etiquette
Nonverbal Behavior
Country-of-Origin
Issues Ethnocentricity
Animosity
Bi-national products
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Translation Promotional messages must be accurately translated.
The method used to avoid mistakes is backtranslation. The process involves translating themessage back and forth by different translators. Inthis way differences in meaning can be identified.
Back translation may solve the translation issue,there is the question of whether the context is the
same, even if the words are translated accurately. National languages, local dialects: lingua franca
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National Languages and
Dialects China, India, and Africa present the greatest
linguistic challenges to Westerners.
China is slowly moving towards a commonlanguage.
India has even more languages than does China.Coverage of India for marketers is lesscomplicated because the states have three official
languages: English, Hindi, and the predominantstate language. Advertisers place the same in adin newspapers in these three languages.
In Africa there are over 1,000 mutuallyunintelligible languages, making marketing a
major challenge.
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Time perception Time is precious for Americans : in many
other countries, time is much less important.
A study was performed on the accuracy ofbank clocks, the average walking speed ofpedestrians on a city street, and how long ittook postal clerks to sell a stamp in severalcultures: On all three measures, Japan had the most
accurate and fastest times.
United States and England were either second orthird on each.
Indonesia tended to have the most relaxed pace.
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Symbols 7 is unlucky in Ghana, Kenya, lucky in India
and the Czech Republic.
4 is unlucky in Japan, China. 8, 3, 2 sound good in Hong Kong.
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Friendship In China & Japan friendship is a substitute for
a legal system.
We view friendships as more disposable. Guanxi (personal relationships and pull)are
seen as critical.
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Etiquette
Hugging and kissing
More prevalent in Latin America than here:
less prevalent in Asia than here. Eating habits
Chinese slurp noodles: some Europeanswont eat any food with their fingers.
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Non-verbal Behavior Actions, movements and utterances that
communicate.
In some Russian villages, boys dance withchairs until a girl indicates interest. So inRussia, It Takes One to Tango.
Spacing issues
Context
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Country-of-Origin Issues Bi-national products
assembled in X using materials from Y.
Made in Mexico by a Japanese company. Ethnocentrism
Assumption that own group is center of universe.
Match-Up Hypothesis
Animosity
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Ethnocentricity It is a common tendency for people to:
Interpret others from the perspective of their own
group. Reject those who are culturally dissimilar.
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Binational Products The current trend is manufacturing product
components in one country and assembling in
another, or designing in one andmanufacturing in another.
Firms should consider the effects of multiplenational origins on product quality
evaluations.
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Matchup Hypothesis Consumers have preferences for goods that
match their notion of the country of origin. Mexican tequila is good, Russian vodka is good,
but not the obverse.
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Animosity Some people may prefer not to buy products
from a certain country. Chinese consumers have been found to hold
animosity towards Japanese products in general.
Older Mexican consumers are less likely to buyU.S. products than younger Mexicans.
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Adapting or Standardizing
Products and Services Adapting products to the needs of local
consumers is closer to the marketing concept.
Standardizing products may result in savings
to the consumer.
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Tangible Products vs. Services
Generally, services
and industrialproducts are lesslikely than consumerproducts to need
adaptation to localmarkets.
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Research in International
Marketing To identify taste preferences, companies
must engage in marketing research acrosscultures.
A main problem is how to standardizemeasures of consumption values.
Technical problems (e.g. the ability to do mailsurveys) are also important.
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Country vs. Segment Targets
Two Approaches to
GlobalSegmentation:
Countries
Market Segments
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Country vs. Market Targets Managers of firms doing business in several
countries can choose two broad segmentationapproaches: Country segments or marketsegments. In the the first approach, Brazil is viewed as a
target market segment.
Using the second approach, although Brazil is the
physical location of a large group of consumers,the important variables for segmentation arecommonalities in needs and wants amongconsumers across nationalities.
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Managerial Implications Positioning. The origin of the product should
usually be clear to help differentiate it fromits competitors.
Research. Firms must perform cross-culturalresearch before venturing into anothercountry. The Internet has made international marketing
research easier, but it has introduced another setof issues: Penetration of the Internet varies from country to country.
Marketers using the Internet restrict themselves to those withinternet access!
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Implications continued Marketing Mix. Products should be
appropriate for local conditions. A recent study showed that men in Eastern
Europe are more fashionable than women becausemen have been more exposed to outsideinfluences. So male clothing should be moreflamboyant than female clothing.
Segmentation. The main segmentation issueis determining whether national borders areuseful segmentation variables. Concentrating on cross-border segments that
share commonalities may make more sense
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