CONSUMER BEHAVIOR IN THE INTERNATIONAL CONTEXT

CONSUMER BEHAVIOR IN THE INTERNATIONAL CONTEXT

26.11.2020 International Marketing, Alireza Ahmadi, Wintersemester 2020-2021 101

Chapter Outline

• Perspectives on Consumer Behavior

• Motivation

• Learning

• Personality

- Personality Traits

- Hofstede's National Cultures

- Clustering: Commonality and Diversity

• Psychographics


Chapter Outline

• Perception

- Formation of Perception

- Country of Origin and Perceived Product Quality

• Attitude

• Social Class

• Group

• Family

• Opinion Leadership

• Diffusion Process of Innovations


Perspectives on Consumer Behavior

The major behavioral sciences relevant to consumer study are:

PSYCHOLOGICAL FACTORS

- unit of analysis = individual

SOCIAL FACTORS

- unit of analysis = group

CULTURAL ANTHROPOLOGICAL FACTORS

- unit of analysis = culture, subculture, and social class


Psychological Factors

• Motivation

Motivation is fundamental in initiating consumer behavior. Motivation may be

viewed as a drive that is directed by a motive formed in relation to a particular goal

- Rational motives: price, durability, and economy in operation

- Nonrational motives: prestige, comfort, and pleasure

• Learning

Motives, cultural norms, and consumption habits are all learned



• Personality

- Personality Traits

- Hofstede's National Cultures

- Clustering: Commonality and Diversity

• Psychographics

AIO (activities, interests, and opinions) study


Hofstede’s National Culture

• Individualism vs. Collectivism

• Large vs. Small Power Distance

• Strong vs. Weak Uncertainty Avoidance

• Masculinity vs. Femininity

• Temporal Orientation: short- vs. long-term


Hofstede’s National Culture Geert Hofstede

• Developed a theory to measure cultural differences.

• Problem: How to quantify culture?


Hofstede’s National Culture Geert Hofstede

Defining culture in 5 dimensions, based on research at IBM:

• Power Distance index

• Individualism

• Uncertainty avoidance index

• Masculinity

• Long term orientation


Hofstede’s National Culture Power Distance Index

• Power distance is the extent to which the less powerful members of organizations

and institutions (like the family) accept and expect that power is distributed

unequally.

• Does not reflect an objective difference in power distribution, but rather the way

people perceive power differences.


Hofstede’s National Culture Individualism

The degree to which individuals are

integrated into groups.

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Hofstede’s National Culture Uncertainty Avoidance Index

• A society's tolerance for uncertainty and ambiguity.

Reflects the extent to which members of a society

attempt to cope with anxiety by minimizing

uncertainty.

• People in cultures with high uncertainty avoidance

tend to be more emotional. More attention for

planning step by step and procedures

➢ High uncertainty avoidance

➢Low uncertainty avoidance

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Hofstede’s National Culture Masculinity

The distribution of emotional roles between the

genders. Masculine cultures' values are

competitiveness, assertiveness, materialism, ambition

and power, whereas feminine cultures place more

value on relationships and quality of life.


Hofstede’s National Culture Long term orientation

Long-term orientation is when you are

focused on the future. You are willing

to delay short-term material or social

success or even short-term emotional

gratification in order to prepare for the

future. If you have this cultural

perspective, you value persistence,

perseverance, saving and being able to

adapt.

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• Perception

Perception goes beyond sensation by providing meaning to sensory stimulations.

➢ Country of origin and perceived product quality

• Attitude

Attitude is the learned tendency to

respond to an object in a consistently

favorable or unfavorable way.


Country of Origin and Perceived Product Quality


Country of Origin and Perceived Product Quality

• Factors Affecting Perception of Product Quality

- Country of Assembly

- Country of Design

- Retailer's Image

- Brand Name

- Marketing Factors

- Halo Effect vs. Product-Specific Effect


Social Factors

• Social Class

• Group

• Family

• Opinion Leadership

• Diffusion Process of Innovations

• Culture

• Subculture

QUESTIONS

• Distinguish among these three disciplines in terms of the unit of analysis: psychology,

sociology, and anthropology.

• Are rational motives more effective than their emotional counterparts in motivating

consumers to make a purchase?

• Are consumers’ perceptions of products affected by the information concerning the

products’ countries of origin?

• Explain how attitudes toward (a) marketing and (b) women may vary across

countries.


DISCUSSION ASSIGNMENTS

• Compared to Europeans, are Asians and Africans: (1) more group oriented, (b)

more family oriented, and (c) more concerned with social status? How might such

orientations affect the way you market your product to Asian and African

consumers?


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CONSUMER BEHAVIOR IN THE INTERNATIONAL CONTEXT