Social and Cultural Environments

Basic aspects of culture:• it is not innate, but learned• the various facets of culture are interrelated -

touch a culture in one place and everything is affected

• it is shared by group members, and defines boundaries between different groups

Edward T. Hall, Beyond Culture (1977)

General Motors

• Ad should read ‘Body by Fischer’

• It actually read ‘Corpse by Fischer’

Hertz strap-line

• ‘Let Hertz put you in the driving seat’(liberation and action)

• ‘Let Hertz make you a chauffeur’ (change your occupation or status)

Cultures across countriesHigh context culture

– the meaning of individual behaviour and speech changes depending on the situation

– nonverbal messages are full of important meaning (Read between the lines)

– e.g. Saudi Arabia and Japan, written contracts are not always enforceable as new people move into executive positions (Chile, Mexico)

• Low context culture– intentions are expressed verbally– the situation does not change the meaning of

words– e.g. India, China, Australia, New Zealand

Social and cultural influences on the international buyer

• Cultural differences– language, spoken and silent

– mental processes and learning

– values and norms

– rewards and recognition

• Type of buyer behaviour– consumer

– business

– government

• The influence of others in the buying process• decision-making unit

• family

• peers

• SLEPT influences on buyer behaviour• Specific cultural influences

– religion– education– family– reference groups

• The influence of the market– distribution channels– manufacturer– service provider

Phillips, Doole and Lowe (1994)

‘Self-Reference Criteria’1. Define problem or goals in terms of home-country

cultural traits, habits and norms2. Define problem or goals in terms of foreign

cultural traits, habits and norms3. Isolate the SRC influence in the problem and

examine it carefully to see how it complicates the problem

4. Redefine the problem without the SRC influence and solve for the foreign market

James Lee (1966)

Written English: but what does it mean?

Japanese hotel notice to guests:

‘ You are invited to take advantage of the chambermaid’

Bangkok dry cleaner to potential customers

‘Drop you trousers here for best results’

A Roman laundry innocently suggests:

‘ Ladies, leave your clothes here and spend the afternoon having a good time’

A Copenhagen Airline promises to

‘Take your bags and send them in all directions’

A Hong Kong dentist claims to extract teeth

‘By the latest Methodists’

An outline of cross-cultural analysis of consumer behaviour

• Determine the relevant motivations of the culture• Determine the characteristic behaviour patterns• Determine what broad cultural patterns are

relevant to this product• Determine the characteristic forms of decions

making

• Evaluate promotion methods appropriate to the culture

• Determine appropriate institutions for this product in the mind of the consumer