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Consumer Behavior: Building Marketing Strategy PDF

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Final PDF to printer Consumer Behavior Building Marketing Strategy THIRTEENTH EDITION David L. Mothersbaugh University of Alabama Del I. Hawkins University of Oregon Contributing Authors Linda L. Mothersbaugh Integrated Solutions, LLC Gail Tom California State University, Sacramento haw32549_fm_i-1.indd 1 6/11/15 3:10 PM Final PDF to printer CONSUMER BEHAVIOR: BUILDING MARKETING STRATEGY, THIRTEENTH EDITION Published by McGraw-Hill Education, 2 Penn Plaza, New York, NY 10121. Copyright © 2016 by McGraw-Hill Education. All rights reserved. Printed in the United States of America. Previous editions © 2013, 2010, and 2007. No part of this publication may be reproduced or distributed in any form or by any means, or stored in a database or retrieval system, without the prior written consent of McGraw-Hill Education, including, but not limited to, in any network or other electronic storage or transmission, or broadcast for distance learning. Some ancillaries, including electronic and print components, may not be available to customers outside the United States. This book is printed on acid-free paper. 1 2 3 4 5 6 7 8 9 0 DOW/DOW 1 0 9 8 7 6 5 ISBN 978-1-259-23254-1 MHID 1-259-23254-9 Senior Vice President, Products & Markets: Kurt L. Strand Vice President, General Manager, Products & Markets: Michael Ryan Vice President, Content Design & Delivery: Kimberly Meriwether David Managing Director: Susan Gouijnstook Director: Michael Ablassmeir Brand Manager: Kim Leistner Director, Product Development: Meghan Campbell Product Developer: Heather Darr Director, Content Design & Delivery: Terri Schiesl Executive Program Manager: Faye M. Herrig Content Project Managers: Jessica Portz, Danielle Clement, Judi David Buyer: Susan K. Culbertson Design: Tara McDermott Content Licensing Specialist: Keri Johnson Cover Image: © Frederic Cirou/PhotoAlto/Corbis Compositor: SPi Global Printer: R. R. Donnelley All credits appearing on page or at the end of the book are considered to be an extension of the copyright page. Library of Congress Cataloging-in-Publication Data Hawkins, Del I. Consumer behavior : building marketing strategy / David L. Mothersbaugh, University of Alabama, Del I. Hawkins, University of Oregon.—Thirteenth edition. pages cm Hawkins’s name appears first on earlier editions. ISBN 978-1-259-23254-1 (alk. paper) 1. Consumer behavior—United States. 2. Market surveys—United States. 3. Consumer behavior—United States—Case studies. I. Mothersbaugh, David L. II. Title. HF5415.33.U6H38 2016 658.8’3420973—dc23 2015003823 The Internet addresses listed in the text were accurate at the time of publication. The inclusion of a website does not indicate an endorsement by the authors or McGraw-Hill Education, and McGraw-Hill Education does not guarantee the accuracy of the information presented at these sites. www.mhhe.com haw32549_fm_i-1.indd 2 6/11/15 3:10 PM Final PDF to printer Preface Marketing attempts to influence the way consumers paintings. If you had certain natural talents, the right behave. These attempts have implications for the orga- teacher, and the right topic, you might even produce a nizations making them, the consumers they are trying masterpiece. The same approach should be taken by to influence, and the society in which these attempts one wishing to become a marketing manager, a sales- occur. We are all consumers and we are all members of person, or an advertising director. The various factors society, so consumer behavior, and attempts to influ- or principles that influence consumer behavior should ence it, is critical to all of us. This text is designed to be thoroughly studied. Then, one should practice provide an understanding of consumer behavior. This applying these principles until acceptable marketing understanding can make us better consumers, better strategies result. However, while knowledge and prac- marketers, and better citizens. tice can in general produce acceptable strategies, great marketing strategies, like masterpieces, require special talents, effort, timing, and some degree of luck (what MARKETING CAREERS AND if Mona Lisa had not wanted her portrait painted?). CONSUMER BEHAVIOR The art analogy is useful for another reason. All of us, professors and students alike, tend to ask, “How A primary purpose of this text is to provide the student can I use the concept of, say, social class to develop a with a usable, managerial understanding of consumer successful marketing strategy?” This makes as much behavior. Most students in consumer behavior courses sense as an artist asking, “How can I use blue to cre- aspire to careers in marketing management, sales, or ate a great picture?” Obviously, blue alone will sel- advertising. They hope to acquire knowledge and skills dom be sufficient for a great work of art. Instead, to be that will be useful to them in these careers. Unfortu- successful, the artist must understand when and how nately, some may be seeking the type of knowledge to use blue in conjunction with other elements in the gained in introductory accounting classes; that is, a set picture. Likewise, the marketing manager must under- of relatively invariant rules that can be applied across a stand when and how to use a knowledge of social class variety of situations to achieve a fixed solution that is in conjunction with a knowledge of other factors in known to be correct. For these students, the uncertainty designing a successful marketing strategy. and lack of closure involved in dealing with living, This book is based on the belief that knowledge of breathing, changing, stubborn consumers can be very the factors that influence consumer behavior can, with frustrating. However, if they can accept dealing with practice, be used to develop sound marketing strat- endless uncertainty, utilizing an understanding of con- egy. With this in mind, we have attempted to do three sumer behavior in developing marketing strategy will things. First, we present a reasonably comprehensive become tremendously exciting. description of the various behavioral concepts and It is our view that the utilization of knowledge of theories that have been found useful for understand- consumer behavior in the development of marketing ing consumer behavior. This is generally done at the strategy is an art. This is not to suggest that scientific beginning of each chapter or at the beginning of major principles and procedures are not applicable; rather, subsections in each chapter. We believe that a person it means that the successful application of these prin- must have a thorough understanding of a concept in ciples to particular situations requires human judgment order to successfully apply that concept across differ- that we are not able to reduce to a fixed set of rules. ent situations. Let us consider the analogy with art in some detail. Second, we present examples of how these con- Suppose you want to become an expert artist. You cepts have been utilized in the development of mar- would study known principles of the visual effects of keting strategy. We have tried to make clear that these blending various colors, of perspective, and so forth. examples are not “how you use this concept.” Rather, Then you would practice applying these principles they are presented as “how one organization facing a until you developed the ability to produce acceptable particular marketing situation used this concept.” iii haw32549_fm_i-1.indd 3 6/11/15 3:10 PM Final PDF to printer iv Preface Third, at the end of each chapter and each major groups. As educated citizens, we have a responsibility to section, we present a number of questions, activities, take part in these sorts of debates and work toward posi- or cases that require the student to apply the concepts. tive solutions. However, developing sound positions on these issues requires an understanding of such factors as information processing as it relates to advertising— CONSUMING AND an important part of our understanding of consumer CONSUMER BEHAVIOR behavior. The debates described above are just a few of the The authors of this book are consumers, as is everyone many that require an understanding of consumer behav- reading this text. Most of us spend more time buying ior. We present a number of these topics throughout and consuming than we do working or sleeping. We the text. The objective is to develop the ability to apply consume products such as cars and fuel, services such consumer behavior knowledge to social and regulatory as haircuts and home repairs, and entertainment such issues as well as to business and personal issues. as television and concerts. Given the time and energy we devote to consuming, we should strive to be good at FEATURES OF THE it. A knowledge of consumer behavior can be used to enhance our ability to consume wisely. THIRTEENTH EDITION Marketers spend billions of dollars attempting to Marketing and consumer behavior, like the rest of influence what, when, and how you and I consume. the world, are changing at a rapid pace. Both the Marketers not only spend billions attempting to influ- way consumers behave and the practices of studying ence our behavior but also spend hundreds of millions that behavior continue to evolve. In order to keep up of dollars studying our behavior. With a knowledge of with this dynamic environment, the thirteenth edition consumer behavior and an understanding of how mar- includes a number of important features. keters use this knowledge, we can study marketers. A television commercial can be an annoying interrup- tion of a favorite program. However, it can also be a Internet, Mobile, and fascinating opportunity to speculate on the commer- Social Media cial’s objective, its target audience, and the underly- ing behavior assumptions. Indeed, given the ubiquitous The Internet, mobile marketing, and social media are nature of commercials, an understanding of how they dramatically changing the way in which consum- are attempting to influence us or others is essential to ers shop and buy. This edition integrates the latest understand our environment. research, practices, and examples concerning technol- Throughout the text, we present examples that ogy throughout the text and the cases. illustrate the objectives of specific marketing activi- ties. By studying these examples and the principles on which they are based, one can develop the ability to Global Marketing discern the underlying logic of the marketing activities Previous editions have included a wealth of global encountered daily. material, and this edition is no exception. Most chap- ters contain multiple global examples woven into the SOCIAL RESPONSIBILITY text. In addition, Chapter 2 and several of the cases are devoted to global issues. AND CONSUMER BEHAVIOR What are the costs and benefits of regulating the mar- Ethnic Subcultures keting of food to children? How much more needs to be done to protect the online privacy of children? Of This edition continues our emphasis on the exciting adults? What is the appropriate type and size of warn- issues surrounding marketing to ethnic subcultures. ing label for cigarettes that should be mandated by the Ethnic diversity is increasing and we draw in the lat- federal government? These issues are currently being est research and emerging trends to shed light on this debated by industry leaders and consumer advocacy important topic. haw32549_fm_i-1.indd 4 6/11/15 3:10 PM Final PDF to printer Preface v Strategic Application many segmentation schemes that provide insights into the development of marketing strategy. The opening This edition continues our emphasis on the application examples, in-text examples, and consumer insights of consumer behavior concepts and theory to exciting provide additional strategic insight by showing how marketing problems and important emerging trends. specific companies utilize various consumer behavior We do this through our heavy emphasis on segmenta- concepts in developing effective marketing strategies. tion schemes, as well as opening examples, featured Finally, cases provide an opportunity to apply con- consumer insights, and cases. This edition contains sumer behavior concepts to real-world problems. haw32549_fm_i-1.indd 5 6/11/15 3:10 PM Final PDF to printer Walkthrough Chapter Features Revised Pages Each chapter contains a variety of features designed to chapter enhance students’ understanding of the material as well as to make the material more fun. 2 Cross-Cultural Variations Learning Objectives In Consumer Behavior We are dedicated to making this text a valuable learning Revised Pages and teaching resource. We believe the learning objectives Revised Pages aid both students and instructors. Each chapter starts with a set of learning objectives linked to key learning out- comes that are then integrated throughout the t7e8xt and in Part Two External Influences other learning and teaching resources. pronounced for women). Understanding such dif- help make the grocery shopping task more engag- ferences for grocery retailers is critical. A second ing. Providing free samples may also be effective critical marketing factor is adjusting numerous because it is a major factor cited by men in terms of LEARNING OBJECTIVES aspects of grocery retailing toward men. This may influencing them to switch brands. Finally, appropri- include a range of issues including store layout, ate inclusion of male-oriented themes in advertising LO1 Define the concept of culture. LO4 Summarize key aspects of the global youth in-store promotions, and advertising for grocery is critical. Only a quarter of men currently feel that culture. products. For example, “themed events” catering ads in the grocery category are designed to speak LO2 Describe core values that vary across culture LO5 Understand the role of global demographics and influence behaviors. to men’s interests such as beer-tasting nights may to them. LO3 Understand cross-cultural variations in non- LO6 List the key dimensions in deciding to enter a verbal communications. foreign market. Chapter 2 discussed how variations in values influence consumption patterns across cultures. Here, we describe how changes in values within culture over time influence consumption patterns, with a specific focus on the United States. The changing role Firms often aspire to be global. The benefits countries must obtain trademarks for its name of men and women in American society, highlighted in the chapter opener, reflects can be significant, but the challenges are stag- separately for each country (cThaarnggeest Uin. Sth. ed i“dm saos culine/feminine” value described in Chapter 2. As this example gering. The adaptations, adjustments, and in 1966–67; Target Australima adkieds csloe airn, c1u9lt6u8ra)l. values are not constant. Rather, they evolve over time.2 We begin by examining the evolution of American values in general. Next, we examine four considerations necessary when doing busi- Why Target U.S. would hamvea rkaelltoinwge tdre nthdsis t hisat have evolved in response to changing values: green marketing, ness across country and cultural borders are speculative, but one expert csauugseg-eresltast:ed marketing, marketing to gay and lesbian consumers, and gender-based numerous. The following examples (Target, marketing. • . . . the two Targets [likely] had some sort of AreBausnn iiens ,t ahned Acphpalep) itlleusrt rtahtea tth ed beraanl dwingi tahn da leairnnfo-rmal, handshake agreemeCnt.H FiAfty NyeGarsE agSo, IN AMERICAN CULTURAL VALUES ingl oogob jisescuetisv cere aatreed btay gglgobeadl trfaodre meaarsk yla wre.ference. • The sTuarmgemt: aUrnyite sde cSttaitoens viner stuhse A eunstdra-lioa—f-chaprweettaereilr wv earsy pferwim, airf ilya nayL ,O lo1trcualyl bgO culuosblbistneuaerlr vsabaslrb avalenan dldussh e.tis hf,Tt eswh reeiidn e lbye hhaevldio br,e liinecfsl utdhiantg a fcfoirnmsu wmhpatito ins dbeeshiaravbioler,. Tofhteerne froerfele, citt issh nifetsc eisn- Target, the 1,800-store Minneapolis-based sary to understand the underlying value shifts to understand current and future consumer material is organized around the learninidge a that Target U.S. and Target Australia would retailer, recently established its first non-U.S. behavior. Although we discuss American values as though every American has the same • objsetocrteisv eins C taon apdrao.1v Aildtheo uagdh dthitisi oisn Taalr gcelta’sr ity.somehow cross paths seemevtdiao lnrue,e mcsh,o iatnne gf aaects t b it3nhe6 esvrtae.l uise ssu tbesntda ntoti aol cvcaurri asnlocew ilny vaanldu eusn aecvreonslsy i nadcrivoisdsu ianldsi avniddu garlos uapnsd. Ignr oaudpdsi-. Thefir sst tuvednetunret qbueyioznzde sit so Anm tehriec asnt ubdorednerts ,o nlineC urrently, Target U.S. anWd hTilaer tgraeutm Aautisc tervaelinat s such as the 9/11 attacks and the recent major recession can produce leasrinncine g1 9c6e8n ttheerre (hSatvue dbeenent OTaLrgCet )d aepraer tt-aggaered n ot directly competing. vBaulute t hshei fgtsl,o ab salloizwe dev olution is more common. Caution should be used in assuming that short-term behavioral or attitudinal changes in response to such events represent long- by mtheents es tloereasr nini nAgu ostbrajliea.c tTivaregset. Australia nature of consumer buyingl,a stthineg Uvpnateitlleurdme-4 s e3h6aifbtsil.ity 4/20/15 9:01 AM (300 stores, $3.8 B annual revenue) bears an of country boundaries providFeigdu rbe y3 –1In pterersneentt s our estimate of how American values are changing. These are the uncanny resemblance to the U.S. Target, with access, and Target U.S.’ssa mdee sviarleu est ou segdr otow d escribe different cultures in Chapter 2. It must be emphasized that Figure 3–1 is based on the authors’ subjective interpretation of the American society. You the same (a) “Target” name in the same font; beyond its borders paintss hoau lds cfeeenl afrreioe , itnhdaete d compelled, to challenge these judgments. (b) red and white bulls’-eye logo on its store- could create challenges and conflict moving front, website, and ads; (c) tagline “Expect forward. Self-Oriented Values more, Pay less”; as well as a mix of products Pink Bunnies: EneLOr2gizer Tvreardsituiosn aDlluyr, aAcmelel—ricans have been active, materialistic, hardworking, religious people that consumers likely would find indistinguish- The localized nature of traidneclminaerdk t olwawarsd aablsstoin ence and postponed gratification. Beginning after the end of World vi able from those offered in Target U.S. explains the existence of twWo abr aItIt earnyd baucncenlieersa,t ing rapidly during the 1970s and early 1980s, Americans placed increased emphasis on leisure, immediate gratification, and sensual gratification. While The explanation for this seemingly odd the Energizer Bunny in the tUhensiete cdh aSngtaetse hsa vaen rdem ained relatively intact, we discuss what role, if any, the most recent occurrence can be found in trademark law Canada and the Duracell Breucnenssieiosn i(nd uEbbuerdo pbey some as the Great Recession) has had on specific values such as materialism and immediate gratification. and the historical development of regional and and Australia. In 1973, Duracell created the local brands at a time when globalization was Duracell Bunny to personify the long life of its less prevalent. Trademarks for the most part batteries. In a worldwide advertisement cam- can be established only in one country at a paign from 1973 to 1980, the drum-beating time. A company doing business in multiple bunny powered by Duracell batteries outlasted haw32549_fm_i-1.indd 6 6/11/15 3:10 PM Untitled-3 78 4/20/15 8:59 AM 37 Untitled-4 37 4/20/15 9:01 AM Final PDF to printer Opening Vignettes Each chapter begins with a practical example that introduces the material in the chapter. These involve situations in which businesses, government units, or nonprofit organiza- tions have used or misused consumer behavior principles. Many of the opening vignettes are new to the thirteenth edition. RevisedR Peavgiessed PagesRevised Pages Four-Color Illustrations Print ads, web pages, storyboards, and pho- tos of point-of-purchase displays and pack- LEARNLEINAGR NOIBNJGE LCOETBAIJVREENCSITNIGV EOSBJECTIVES ages appear throughout the text. Each is LO1 DLeOf1ine thDee fcinone ctehLpeOt 1 coofn ccuDeleptufti rnoeef. cthuelt ucroen. cept of cultur e. LO4 SLuOm4marSizuem kmey a raiLzsOep4 ekcetys S aousfm ptehmceat sgr ilozoefb takhle eyy og aulosthpb eacl tyso uotfh t he global youth culture.culture. culture. directly linked to the text material both by LO2 DLeOs2cribeD ceosrcer i bvaeLl uOc2eosre t hvDaatleu vseacsrr yitb haeac tcr oovsaresry vc aaucllutrueorsse st hcautl tvua rrey L Oa5cros sU LcnOud5letursretaU nndd ethrse t arLonOld5e tohfe gU rloonbldeae lor sdf tegamlnodob gatrhl adep erhmoicloesg orfa pghloibcsa l demographics and influaenndc ein bfleuheanvcieo rbsae.nhda viinofrlsu.ence behaviors. text references to each illustration and by LO3 ULnOd3erstaUnndd ecrrso tsaLsnO-cd3u cltruoUrsasnl- dcveuarrlstiuatatrianoldn v sca rrinoia sntsioo-cnnu-sl tiunr naol nv a-riLaOt6ions LinLis Ont6 othne- Lkeisyt dthim e ekLneOsy6i odnimsL eiinns tsd iteohcneisd k iinengy d dteoicm eideninntesgri o taon se nint edre ac iding to enter a the descriptive comments that accompany verbal covmermbauln cicoamtimonusn.viceartbioanl cs.ommunications. foreign mfoarrekigent. market.foreign market. each illustration. These illustrations, which Firms oFftiermn sa sopftieren taos Fpbiriemre sg t looo bfbtaeeln. gTalhosepb iarbel.e nTtoeh feibt seb egnloecbfiotasul. n Ttrhieecs o bmuenuntsreitef iosts bm tauinsct tooraubdntaetrimnie astrr akmdsu efsomtr a oitrbskt san iafnom rt reiat sd neammaerk s for its name we’ve continued to update with the thir- can be sciagnn ibficea snigt,n bifuictca tanhnte, bbcehu ats ltilhgeenn igfciechsaa nlaletr,en b gsuettas tg ha-ere c shtaaslgelep-nagreastse aelyrp efao srrat eateaglc-yh fo cro esuaencpthray rc a(Toteaulrnyg tfreoytr (U Te.aaSrcg.h de ctid oU us.Son t.r dy i(dT asorg et U.S. did so teenth edition, provide vivid examples and gering. gTehrien g.a dTahpeta taigodenarsipn, tga.at idoTjnuhsse,t maaeddnjautsps,tt amatieonndnts s,, aaidnnj du1 s9tm66ei–nn6 t1s79,; 6Ta6an–rdg6 e7t; ATiaunrs g1tre9at6l iaA6 u–ds6idt7r a; slTioaa irdngi de1 t9 sA6ou8 is)n.t r1a9lia6 8d)i.d so in 1968). considecraotniosnidse rnaetiocensscs oannreysc ideweshsraeatnriyo ndwso hinnegen c bedsuossiani-rgy bwuWhseih-ny dToaWringhgey t bTUua.sSrig-. ewt oUuW.Sldh. yhw aTovauerl gdae lthlo aUwv.eeSd .a ltwlhooiwsu elidsd hthaivse isa llowed this is applications of the concepts and theorieResvi sed Pages ness acnreossss accoruonstsry c anoneudsns tc ryau clatrunordsas l c bcuooltruudnreatrrl syb aoarnredd e rcsu lsatuprerea cl ublaostripvdeeec,r sub luaattr ievo en,e b eusxtpp oeencreut lsaeutxigvpgee,er tsb tsusut: gognees etsx:pert suggests: presented in the text. numeronuusm. eTrhoeu sf.o lTlohwneui nmfgoe llreooxwuasinm.g p Tleehsxe a m(fToapllrolegwse itn,( gT aregxeatm, ples (Target, BunniesB, uannndi eAsp, palned) i lAlBupsuptnrlanet)ie eils lut,h saetnr badtr eaA npthdpeinle bg) r iaallunnsddt irnagte a tnh.d e.   b. rtahned.  ti.wn g.o tahTnead rgt wetos T[lai.k reg. ley. ]t sthh a[elid kt ewslyoo] m hTeaa drsg oesrtots m o[elfi k esolyr]t hoafd some Rsoervt iosef d Pages informal,i nhfaonrmdsahl,a hkaen adgsrhienaefkomerme anagtlr., e Fheiafmtnyed ynseth.a arFskif etay ga ygoer, eaersm aegnot,. Fifty years ago, logo issluoegso cisresauteesd c breyloa ggtelood bi sabsly ut ergaslod cberamela attrreakdd l aebwmy. agrlko blaawl t.rreatdaiel mwaarsrek tpa liarli mwwa.arsil yp ari mloarceraitlyal ibla u wsloaincsea spl srbi muasnaidrnile yts hsae raleon cda l thbeursei ness and there 62 Part Two External Influences Target: TUarngiteetd: USntaitteedTs a Srvgteeartts:eu ssU nvAeituerssdut rsaS litaAa—utesstr avliear—sus Australia— were verwye freew v, eirfy a fneyw, ,t wriuf elayr eng yvl,o ebtrryau ll yfeb wgral,on bdifa sal. nbTyrh,a ent rdusly. Tghloeb al brands. The Target, Tathrge et1, ,8t0h0e -s1tTo,a8rre0g 0e-Mts, tinotnrheee a pM1oi,nl8isn0-e0ba-apsstoeoldirse - bMasiendne apolis-based ILLUSTRATION 2-7 idea thati dTeaar gtheat tU T.Sar. gaentd idU Te.Saa r.t ghaeanttd AT Tuaasrrgtgreaetli taU A .wuSos. tuarlandldi a Twaorgueldt Australia would rsetotareiles4r 0,i rsnert eotCacreiealesnnr t,ali yndr eaeCc.s1eat annAbtrsalleytltdihost aaoehr.eisule1est gdra A,h bi nil trtlsi ehtPsh Ccoahfiersiuaert n sgndTittsahw lyi d nto Tstao eh a.nsfi1 rsi-tr g aUs Aeibts. lt Stl ’nihEssT.oxo hatneuerr-ggdnUaeh .lit tSIs’nstso.hf l umfisiere nshcits eo nswsToo ancmrr-goeUesh.stoS’ wsp. a cthross ssse poeammtheeshd o srweeem cmoroetesd s ar tep mbateohstste .s aete bmeesdt. remote at best. Tusheiss aad g cloabmapl ayiogunt h first venfirtsutr ev ebnetyuoren db fireistysto nvAdemn etitursirc ea Anbm eebyrooicrndadne r sitb,s o rAdmeres,rC icuarnre nbtColyr,ud rTeraersrng,t leyt, UTa.Srg.C eautn rUrde .nSTta.l yra,g neTdta rATguaerstgt rUeat.l SiaA. u asntrda liTaa rget Australia appeal to target style since 1s9i6nc8e th1e9r6e8 h tahvseeinr ecb eeh ea1nv9 e6mT 8baa rertgkeheneett r seTd caehlrpiganavegrett - tdobe etpreaanadr rteiT-t ianorongtae adltr iverde aenclpuotlatey srdct -itorhemactpt lmyea trcuienos gntm .ob pBte eud rttiiern etsghpc.ete l Bycg utlceotod btm.ha Felpiz oegertld ione bxga.a lmiBzeupdtl e th, eC hgilonbaa alipzepdea red to lweaodrledr.s around the ment smtoernets sinto reAsu smtinrea nliaAt .u ssTttoraearralegigase.e tr ilTnyAa u(rAagsneutrdtsa t lpriaAar luoiasf.it traanTblaiaaltyru g)ree ct o onpafA ytucu TsoretnVr aso ulcifam o cneotren sbsntuua smythuineoregrw , bost ufhl yiecki noepgn Ae,s rumtmhmeeere airpbc eaiblirntumy y Ieidnaogbl, il(ittShyue p peregrmirel aisb aili tCy hinese (300 sto(3re0s0, s$t3o.r8e sB, $a(3n3.n08u0 aB ls traoenvrneveusena,ru sl$ eir3o)e .nbv8e)e .nBa Hur saeo n)aw nbneue vaaelr srr,e o alvfa new cnoumuean)o ktbfr eyerc asobr tsuoh nuaetnnrreyd ahbraioevousef n cpdclraoaorumivenipdstre eydpd r bdoboovyuwid nneIdnd wat eriirbetnhyse trI epngrtoeurvlniadeteito dn sb tyo Imntaekrnee tth e con- uncannuy nrecsaenmnyb rlaensceemu tnbocla atnhncene yU trt.oSee sst.h teTaeman Urtbgs.l aeSant.c, c tTw ema itrthgoo er teth, cewo aUincth.scS ee.r svTsaa,a trcigavceneetdl,sy ws Ta,i tnahadr gn tedot kaTUcea.cerSgpe.se ’tssth ,e Ud aje.unSsdd.ir’g see Tsadt ofrerg soegimrtre o Uewtm.o S b.’gasrr oradwse ssiinreg tthoe cgoronwte stants. According to one expert: the samthee ( as)a “mTaer g(ae)t ”“t Thnaear mgseaetm ”i nen at(hmae) e “s Tianam rtgheee ft o”s nantma; me ef obinne ty;t hoen dsb aemityseo nbfodon rtdi;t esr sb obpreadyienortnssd pai atsisn ctbse onarad rieosr cse thnpaaatr iinot st haa t scenario that (b) red a(bn)d r ewdh aitned b wulhl(sbi’t-)e e ryebedu lllaosn’g-doeT y woheen h l oiatitegus to hbs ouotrolnilsrt ei’iet--sse yaserte ol correoeg-uaocl dtoi nncgc r ieotasaug tlasdeit n occsrthre eat-halletee ns geccnehossaua ltlladieonn ndcgar elecissao ttinaecfn, l icdcslh ti cgamohlletnolnyfvlgi icnreetgs b m ealolnivodiun scg o nnatfulicret omf othvien gco ntest front, wfreobnsti,t ew, eabnsdit eaf,r doasnn;t d, (c w)a edtbaspsg; irltio(necge,) r aat“manEgdsxl,i p nwaeedch sti“ c;E hx (cpp)fre ooctrmatw goaltirend efi.on rd“wEivxaiprddeu.aclti sm afonrdw paerrds.onal achievement. The winners become idols more, Pmayo rlee,s sP”a; ya sle swsme”;lol araess, waP eamlyl iwaxle sisot hsaf ” pe;m xraotixrsde uomwcf eetp lsli r noafsdlu uaec nmtcsPe ix ino okn f CBphruPoinnidnneukiseec s tBc:s iu tEniznneeinersgs.:i z P“eESirnnu kepv reeBgrrigsuzuienrsrln ” ie vDaselu:rs sroaEu cinsne etlrDlr—ogudizrueacrce edvll e—Crshuinse sDeu troa ctheell —concept that conthsautm ceorns sliukmeley rtwsh aoliktu ecldloy f niwnsduo muoinflde dv rifossint tilidinnk ggein.ul6ydi siwshto-inugldu ifsTinhhd-e inlodciTsahtliiznee gdluo icsnahal-itzuerde Tnohaf etut rraloedc eaomlfi zaetrrdak d nleaamwtuasrr eka lsolaofw tsra daelsmo ark laws also able froamb lteh ofrsoem o tfhfeorseaedb oilneff eTfrraoermdg e itnth UoTs.aSerg. oeftf eUre.Sd. in Taergxeptla Uin.sSe .xthpela ienxsi sttheen ceexe ixosptfe ltanwicnoes bothaf ettt weeroxy i sbbtaeutnntceneriey sob,f utnwnoie bs,a ttery bunnies, The exTphlaen aetixopnl anfoart iTothnhe is f oesrx epetlhaBminseia nytgsoiolenyne d m ofeodinlrddg elytrh si soat dhnsdede Eeamnuetithnrhgogeizrl yieE trin eoeBsdr ugdani tznteeyrm iBtnph uettinh nnEegy n Uetinorng ittmiezhedear i SUnBttnuaaitntieennsd y t raSianntd adtit hteieos nUaannld itce udl tSutraatle sv aalnudes , con- • U.S. teens no longer lead the way. Now it’s more about mind-set and the “creatives” are lead- occurreonccceu rcraenn cbe ec afooncu cnbuder r einfno custtreunrua mdsdc teea ionrmnsr atrabrrecakesrd eoelfnasomtwsu iant nhrdtkee riglnCnal awaottnbr iaoaeddn oeaaCfm lt aeabannnrrada khn d odtalahls dwe,a s snDetdreu oirtnnaChgcgeae ntplhDla rediuBdmaruea n caainensnil e dli trsh Br teeuhinisnerp nEloDoieuncusrsao rialbpin chle eee E llra uinBtraodugp nheenu airentsfd u ilns to oEm luoertociapmle ec su lmtuirse- Inteiindggea tsh, era nwdaa yli.k Ce treexapetirveesssi danrge tmhe omsCts eplrveevsa olienn vt airnvi oEuusr ewopaey s(rn, ointa ctlhued Uignngi tpeeder sSotnaat el sw)o,e abr ep faogpee sn a tnod n aerwt. aloncda lt hberaal ohnncisddats lot hbraiercta ahanli sddtitsmeo vraeiealct o lwnaoacdlp h adt melit mehbneve erenga hltwlnoo abiosdphbnatfsme dsaor inl eraiecizb cgt nga tuaiatoylto sli oonpidtbnifaneme aerl s vlewaei szeogsn aalwf.iodos t ipwhI onnmeanodnl re we alnaDgdenantldu od scdor,b i a fta aciAr zleeiurzeglaDelsa nicnotBtusriedonar:una7 anlniactAl n w.eaus ylnlta sI untdtBsor d au 1ylpni9a eni7.nr yaD3s dInnou,t ido nrcaD 1iafpcAyu9tee eru7talrslhs3s c tBeo,ter h anullDlalo inifaytuncn . rrg yrtaeeh Icnatlgeioef te ae l1ll rodp 9odnc e7flrgrt ee3hsi tsoae,slsi ftn eeDio fdyuof rftat chhicoteeseu lllno tncrrgye ,a lifttehe deor fet h itaesr e four • Utee.Sn.s b. rNaonwds tahree tnoopt tchurreree nartley S thoen yle (aJdaeprasn. )U, .NSo. bkriaan (dFsi nulsaendd t)o, abned t hAe dleidaadse r(sG aemrmonagn yg)l.obal less prelevsasle nptr.e vTaralednetm.le Tsarsrak dps erefmovr a•a lrtekhnseGt .fm looTrobr astahdtl e epc mamitraitoz rsketsn spfb oa(arr5 tt5t teh repie esmbr.ca oetIntsnet tr a)ipe— asw.r Pto Irnold saiwt biiwvdaeetot retaldordiewwvsiead. rretIdni s aeiadnm vtweeernronttri saldcetiwamominde-anelt abcdravamenr-dtiss eamnden vt iceawm t-hem as EthmaiArkcse ttehresa ginlo tbhlael/ UyonSuittehd c Soutlatuteresc mmuosvite asfi nindc lrwe aaysiIsn tgsol yu naswdearys utfarnodm ea nUd.S cs.o innnfleucet nwceit ha ntdh eb trraennddss, can be ceasnt abbeli sehsetda bolcinsalhyne dibn eoo nenlseyt aicnbo luiosnnhteer ydc aootun nlayt ryin aopt naaeig nc ofurponamtigr yn 1 a9ftr7 o3am to1 9p179a3i8g 0nto, ftr1ho9em 8 d01r, u9tm7h3e-b etdoar uti1mn9g-8 b0e,a ttihneg drum-beating and trendsetters across the globe. In addition, it is critical to understand that global youth time. At icmoem. pAa ncyo mdoptianimngy e b.d uAos iinncgeo smbsacu p oisansiunn ignmye ntsrudasylol t.i i pinonPl fger m ohbmuiugltishinbpieneulerenn stnq syui n api nblBoi utwmrynae;nuz rymleit lidpp,o olCsebwt yh e ciDnroeuandbr,c a uaebcnnryenn dlyDle bIdupna roaadtwtcboeeeonrilreulee sbtsd iaco abtou.t yertRl praDieaosurstreer aao dticeu ne t lrlatle hsbsetpae todUten nrsiieitbesi dloi tuSyttl aattsoet est dhae n dlo tchael Markasetlasotte esh,a r“vEse ua r fogpareeaacnt emtea ennnys ucruesmlteunrta elblyeri nuogn iuqthuoseu bgeehht taohvfi oairscs ,A aamttliet ruiidcseasns,s auwndiet hv saaln ua easc.s cAe ns to.”n1e17 eAxplseort, United Kingdom. the similarities described above are most noticeable among middle-class teens living in • Global dreamers (23 percent)—Positive toward international b3r7ands a3n7d buy into th37eir they aucurpbltaupnr ea.l rFyeaosr . t ePxhoaomerepirl,er ,r uCuroalkn ete ddenisest ionrfgtsueints haceosnn bfodertmwie nmengo rme aocjloofrs ue lrcyb aotno nctheensitreu rsso mcainedtey s’msr at rlaledri tcioitnieasl positive symbolic aspects; less concerned about corporate responsibility to the local and towns in China. Consider the following: country. Equally distributed across countries. behavior in the marketplace. We describe and • Antiglobals (13 percent)—Negative toward international brands; don’t like brands that discusIansn dth semt rsemssaaellse ntra csiyttei ea sn oadn dpf rtio cwet.n hIsn C eCohksien eau’sse slia ars gfaesmstu omuase rCksehtisn. ei tssTe T aVcht osrpe torats v“efeelian tgud rtehsei acs ohucipn tuTryasisiwdae-n ines ae hVoJt b. u. s. preach American values; don’t trust multinationals. Higher in the United Kingdom and who shows off his dance moves as he pretends his Coke can magnetically draw him to an attractive China. Lower in Egypt and South Africa. sions alwadhryo ewaca rnohts sto it hdgeo sththrienelgti.s” g tAhechicr ootrwdeinn gwd taoy ,ai aCns ook pept oehsxeedec utot i vtfoee,l l“oxTwhiten g ( uvar bfaaimna oTu Vsa )a acndto ir s a “asi miene tdht eha tb yuiosc usnpsgo ta.””d1u1 l8ts • Global agnostics (9 percent)—Don’t base decisions on global brand name; evaluate as Untitled-4 3U7ntitled-4 37 Untitled-4 37 they would local brands; don’t see global brands as special. Hig4/h20e/1r5 i n9: 04t1/h 2A0eM/1 5U 9n:0i1t eAdM Sta4/t2e0s/1 5 9:01 AM icon inT hteh deist inmctioan rbgetwienen. ruIrnal aandd urdbaint mioarknet,s iCs onhe aasppectte orf d2em0og riapsh ics dis- cussed next. and South Africa. Lower in Japan, Indonesia, China, and Turkey. devoted to social and regulation issues relating GLOBAL DEMOGRAPHICS Corporate responsibility and ethical issues can span from labor policies to influences on consumption of products linked to negative consequences. One example is American toLO 5maErcoknoemtieisn sugch pas rInadcia taindc Ceh.in aS haevve seeern aralp ido gfro wthth, ew hcicha hsase lsed ato rinecr eased tobacco companies, which are aggressively marketing their products in the developing also fpmoearrsckoenutaelrs sd ewisopdrolsd awobilden ei.n 11ce9o Cmtohen acinecrdn ass tarlob noogu t ratnh der egexrtogewntui ntogl wamhitidcodhl eer ccyolan sosimessi cst hguarot weartseh it,nh et heensvey a nodf countries of Asia, Latin America, Africa, and Eastern Europe. Smoking-related deaths are other countries will continue at current rates are beginning to appear due to rising fuel and now a leading killer in Asia, where increases in female smoking are a major concern.8 As including all of the cases following Part Six. one World Health Organization (WHO) official notes: Here in Japan we see Western cigarette brands marketed as a kind of liberation tool. We see cigarette vii companies calling on young Japanese women to assert themselves, shed their inhibitions and smoke.9 Untitled-11 62 4/20/15 9:27 AM Clearly, there are both subtle and direct ethical issues involved in international marketing. THE CONCEPT OF CULTURE LO1 Culture is the complex whole that includes knowledge, belief, art, law, morals, customs, and any other capabilities and habits acquired by humans as members of society. Several aspects of culture require elaboration. First, culture is a comprehensive concept. haw32549_fm_i-1.indd 7 It includes almost everything that influences an individual’s thought processes and behav- 6/11/15 3:10 PM iors. Although culture does not determine the nature or frequency of biological drives such as hunger or sex, it does influence if, when, and how these drives will be gratified. It influ- ences not only our preferences but how we make decisions10 and even how we perceive the Untitled-11 40 4/20/15 9:30 AM Confirming Pages Chapter Two Cross-Cultural Variations In Consumer Behavior 43 VARIATIONS IN CULTURAL VALUES Cultural values are widely held beliefs that affirm what is desirable. These values affect LO2 behavior through norms, which specify an acceptable range of responses to specific situa- tions. A useful approach to understanding cultural variations in behavior is to understand the values embraced by different cultures. Final PDF to printer Numerous values vary across cultures and affect consumption. We will present a classification scheme consisting of three broad forms of cultural values: other-oriented, environment-oriented, and self-oriented. The cultural values that have the most impact on consumer behavior can be classified in one of these three general categories. Other-oriented values reflect a society’s view of the appropriate relationships between individuals and groups within that society. These relationships have a major influence on marketing practice. For example, if the society values collective activity, consumers will look toward others for guidance in purchase decisions and will not respond favorably to promotional appeals to “be an individual.” Environment-oriented values prescribe a society’s relationship to its economic and technical as well as its physical environment. As a manager, you would develop a very different marketing program for a society that stressed a problem-solving, risk-taking, performance-oriented approach to its environment than you would for a fatalistic, security- and status-oriented society. Self-oriented values reflect the objectives and approaches to life that the individual members of society find desirable. Again, these values have strong implications for mar- keting management. For instance, the acceptance and use of credit is very much deter- mined by a society’s position on the value of postponed versus immediate gratification. Table 2-1 provides a list of 18 values that are important in most cultures. Most of the values are shown as dichotomies (e.g., materialistic versus nonmaterialistic). However, Tables 2-1 Cultural Values of Relevance to Consumer Behavior TABLE Other-Oriented Values • Individual/Collective. Are individual activity and initiative valued more highly than collective activity and conformity? •  Youth/Age. Is family life organized to meet the needs of the children or the adults? Are younger or older people viewed as leaders and role models? • Extended/Limited family. To what extent does one have a lifelong obligation to numerous family members? • Masculine/Feminine. To what extent does social power automatically go to males? • Competitive/Cooperative. Does one obtain success by excelling over others or by cooperating with them? •  Diversity/Uniformity. Does the culture embrace variation in religious belief, ethnic background, political views, and other important behaviors  and attitudes? Environment-Oriented Values • Cleanliness. To what extent is cleanliness pursued beyond the minimum needed for health? • Performance/Status. Is the culture’s reward system based on performance or on inherited factors such as family or class? • Tradition/Change. Are existing patterns of behavior considered to be inherently superior to new patterns of behavior? •  Risk taking/Security. Are those who risk their established positions to overcome obstacles or achieve high goals admired more than those  who do not? • Problem solving/Fatalistic. Are people encouraged to overcome all problems, or do they take a “what will be, will be” attitude? • Nature. Is nature regarded as something to be admired or overcome? Self-Oriented Values • Active/Passive. Is a physically active approach to life valued more highly than a less active orientation? • Sensual gratification/Abstinence. To what extent is it acceptable to enjoy sensual pleasures such as food, drink, and sex? Confirming Pages • Material/Nonmaterial. How much importance is attached to the acquisition of material wealth? • Hard work/Leisure. Is a person who works harder than economically necessary admired more than one who does not? • Postponed gratification/Immediate gratification. Are people encouraged to “save for a rainy day” or to “live for today”? • Religious/Secular. To what extent are behaviors and attitudes based on the rules specified by a religious doctrine? 2-1 CONSUMER INSIGHT Unilever Adapts to Sell Laundry Products Globally Unilever is highly successful in marketing its laundry are part of a healthy child’s development and “let Consumer Ihnaw32s549_ichg02_03h4-075t.insdd 43 products outside of the United States. The reason is it Unilever worry about5 g/2e7t/t1in5 g 1t:h4e5 irP Mclothes clean.” continually adapts to existing and emerging factors both • Infrastructure. A broad infrastructure issue in laundry within and across the countries where it does business. is access to hot water. Many in developing countries A stunning statistic is that “[e]very half hour 7 million don’t have access to hot water or large quantities These boxed discussions provide an in-depth people in the world wash their cloths with Unilever prod- of water. Unilever responded in India with Surf Excel ucts, and 6 million of them do so by hand.” Below we Quick Wash, an enzyme-based product that uses less look at a particularly interesting consumer touch on each of the seven global considerations as water and works under lower water temperatures. study or marketing practice. Each has sev- they relate to Unilever’s global strategy.138 • Communication. Europeans have traditionally • Cultural Homogeneity. In the global laundry cleaned their clothes in much hotter water with the eral questions within it that are designed to market, heterogeneity, even within a country, can logic being that “boiling clothes” is the only real way occur. For example, Brazil’s Northeast and South- to get them clean and kill germs. This trend is revers- encourage critical thinking by the students. east regions are very different. One difference is that ing as Unilever pushes more environmental-friendly in the poorer Northeast region, most laundry is done products and as Europeans have begun to wash in Many of the consumer insights are new to the by hand and more bar soap than powder is used. cooler temperatures to save energy. An interesting thirteenth edition. Iisn dthoen em ionr ea awffalusehnintg S mouatchheianset arnegdi omno, rme opsotw laduenrd ry ctivoenss eaqreu ennocwe doef mthaen sdheifdt ibs yt hEautr aonpteibaanc cteursiatol amdedris- to detergent is used than bar soap in the process. kill the germs. • Needs. Hand washing versus machine washing • Ethical Implications. While conversion of the leads to different laundry product needs. In addi- world’s consumers to fully automated washing tion, in developing countries that are an important machines would help standardize Unilever’s approach, focus for Unilever, products must be adapted to it has major implications for water usage. This is meet strength of cleaning needs related to removing because compared to hand washing, machine wash- sweat, odors, and tough stains due to physical labor. ing can, depending critically on the number of rinse • Affordability. Clearly affordability is a component cycles needed, use more water. Continued innovation in pricing the laundry detergents themselves to be in products toward lower water use will be a key ethical competitive. However, Unilever also faces the situa- and performance issue for Unilever moving forward. tion that a transition from hand washing to washing As you can see, Unilever has and must continue to machines depends in large part on the economic innovate and adjust as its target markets evolve along prosperity of a country or region, as this determines these critical dimensions. the affordability of washing machines. Adoption of Critical Thinking Questions washing machines, in turn, changes the type and 1. How might generational influences affect the adop- amounts of laundry products used, as we saw earlier. tion of washing machines even after economic condi- • Relevant Values. One source indicates that tions make them affordable? cleanliness, convenience, and sustainability are key value aspects in laundry products that vary across 2. What other features beyond price and form (bar ver- cultures. In many countries where Unilever oper- sus powder) do you think Unilever has had to adjust ates, there are segments of kids dubbed “Nintendo to meet different needs/wants/preferences across Kids” who don’t tend to go outside and play and different markets? thus don’t get dirty. A core strategy for a number 3. Which core value is related to sustainability and green of their brands in these markets is the “dirt is good” marketing? Does this value vary across countries and campaign that stresses that playing and getting dirty cultures? 67 haw32549_ch02_034-075.indd 67 5/27/15 1:46 PM viii haw32549_fm_i-1.indd 8 6/11/15 3:10 PM Confirming Pages 68 Part Two External Influences The Internet seems like a natural media through which to communicate to consumers. However, Internet access varies widely across countries as does the percentage of con- sumers who will actually buy online. Moreover, tailoring websites to specific countries is critical to online marketing success because of cultural variations in website dimensions driving purchase and loyalty.139 What Are the Ethical Implications of Marketing This Product in This Country? All marketing programs should be evaluated on ethical as well as financial dimensions. As discussed at the beginning of the chapter, international marketing activities raise many ethical issues. The ethical dimension is particularly important and complex in marketing to Final PDF to printer third world and developing countries. Consider Kellogg’s attempt to introduce cold cereal as a breakfast food in a developing country. An ethical analysis would consider various factors, including the following: If we succeed, will the average nutrition level be increased or decreased? If we succeed, will the funds spent on cereal be diverted from other uses with more beneficial long-term impacts for the individuals or society? If we succeed, what impact will this have on the local producers of currently consumed breakfast products? Such an ethical analysis not only is the right thing to do but also may head off conflicts with local governments or economic interests. Understanding and acting on ethical consid- Revised Pages erations in international marketing is a difficult task. However, it is also a necessary one. Consumer Insight 2–1 provides an illustration of how Unilever has dealt with a number of these considerations in marketing its laundry products globally. SUMMARY Chapter Two Cross-Cultural Variations In Consumer Behavior 69 LO1: Define the concept of culture masculine/feminine, competitive/cooperative, and Culture is defined as the complex whole that includes diversity/uniformity. Environment-oriented values knowledge, beliefs, art, law, morals, customs, and any prescribe a socLieOty’4s :re lSatuiomnshmipas wriitzhe it sk eecyon aomspic,e cts of the global LO6: List the key dimensions in deciding to other capabilities acquired by humans as members technical, and yphoyusitchal ecnuvlirtounmreents. Examples of enter a foreign market of society. It includes almost everything that influ- environment values are cleanliness, performance/status, ences an individual’s thought processes and behaviors. tradition/chanTgeh, erirsek tiask einvgi/dseecnurciety ,t hp raotb ulermb asonlv yinogu/th around the wEorldn dS evoen qfu esCtionsh area relpevantt efor rde veMlopinag a tcroess-rial Culture operates primarily by setting boundaries for fatalistic, and snhataurree. aSte llfe-oarsietn steodm vael uaessp reefcletsc t othfe a common culture. This cultural marketing strategy: (1) Is the geographic individual behavior and by influencing the function- objectives andc auplptruoraech iess dtor ilivfee nth abt yin wdivoirdludawl mideme -mass media and com- area homogeneous or heterogeneous with respect to iTnhge o bfo suuncdha irniessti,t ourti onnosr mass ,t haree f dameriilvye da nfdro mma cssu lmtuerdaila . bpearsss iovfe ,s osecniestuyma fli ongdrna d tmiefsicuiraastbiioclen .a/ aTnbhdset sisnepe inonccreltu,s dm sea tataecrrtsiiav. elE// merging aspects inScluudem mculaturrey? (2) What needs can this product fill in this values. Values are widely held beliefs that affirm what nonmaterial, htahred wimorpko/leritsaunrec,e p oosft ptoencehdn goralotifgicya taionnd/ the fact that U.S. culture? (3) Can enough of the people needing the is desirable. immediate gratteifeicnasti oann, dan bd rraenligdiso uasr/see cnuola lro.nger leading the way. product afford the product? (4) What values or patterns The suomf vmaluaesr ayre sreelecvatnito ton t hien ptuercgharsae taends u sme oaf ttheisr ial L cCuuOlltt2uu:rr aDel veaasnlcudre isib naefr lecu ocelranesc sveif aibeluedh einsa tvothi otahrrtse ve acrayte gaocrrioess:s LnNooOnn3vve:e rrUbbanald lc eocrmoLDsmmtOeaummnn5duio:c ng acUitrricoaonasnptsd ihs-oyecinscurtsselst mtudasre naasrldce rv titahbhree ieaa a rtrb ipoiotrnolaespr yuoi nlfa gtiloonb ianl tderemmso ogfr oiatspr shgiizaces,n izpleregoaddlu s ctatr?ur c(o5tu)u rWens hfdaotr attrhhee etphr eol ddeiusactrtr?ibn (u6it)in oInng, w poohlabitt iwjceaalyc, sat ncidavn e s to other, environment, and self. Other-oriented values meanings a cusltturruec atsusrigen, sa ancdti odniss,t ervibenuttsi,o ann.d Dtheinmgso graphics differ wpirdoelyv idwee acodmdmiutniiocantea alb ocutl athre iptryod.uct? (7) What are the reflect a society’s view of the appropriate relationships other than woradcsr. oMsasj ocru elxtuamrepsl easn odf nionnfvluerebnacl eco cmu-ltural values (and are ethical implications of marketing this product in this between individuals and groups within that society. munication vairniafblluees nthcaet da fbfeyc tt mheamrke)t earss awree tlilm aes, consumption patterns. country? Relevant values of this nature include individual/ space, symbols, relationships, agreements, things, and collective, youth/age, extended/limited family, etiquette. Key Terms KEY TERMS Cultural values 41 Monochronic time perspective 55 Power distance 49 haw32549_ch02_034-075.indd 68 Culture 40 5/2N7/1o5 n 1:v47e PrMbal communication Purchasing power parity (PPP) 64 Demographics 63 systems 54 Sanctions 41 Environment-oriented values 43 Norms 41 Self-oriented values 43 Glocalization 64 Other-oriented values 43 Terminal materialism 52 Guanxi 58 Personal space 56 Verbal communication systems 53 Instrumental materialism 52 Polychronic time perspective 55 Review Questions REVIEW QUESTIONS The review questions at the 1. What are some of the ethical issues c. Tradition/Change Revised Pages end of each chapter allow stu- involved in cross-cultural marketing? d. Limited/Extended family 2. What is meant by the term culture? e. Active/Passive dents or the instructor to test 3. What does the statement “Culture sets boundaries f. Material/Nonmaterial the acquisition of the facts on behaviors” mean? g. Hard work/Leisure h. Risk taking/Security 4. What is a norm? From what are norms derived? contained in the chapter. The 70 Part Two External Influences i. Masculine/Feminine 5. What is a cultural value? j. Competitive/Cooperative questions require memoriza- 6. Wh 1a0t .i sW a hsaatn icst imone?ant by each of the following as a form k. 1Y3o.u tWh/hAagt eare the differences between a monochronic tion, which we believe is an 7. Culturaol fv nalounevse crbaanl bceo mclamsusinfiiceadt iaosn a?ffecting one of l. Probtliemme psoelrvspinegc/tiFvaet aalnisdt iac polychronic time perspective? thre e tyap.e sT iomf erelationships—other, environment, or m. 1D4i.v eWrshitayt/ Ufonricfeosr mseietym to be creating a global youth important, though insufficient, self . Debs.c rSibpea ceeach of these, and differentiate each n. Postcpuolntuedre g?ratification/Immediate part of learning. 8. oHnoe w f rdoodmce.. s t SRhthyeeem loa ftbtiihrooeslntrs ssoh.fi pthse following paired o. 1gS5rea.n tsiWtfuoiac hilan atgttie roaarnrnteiaf tidicoeamntiaoolgn mr/Aaaprbkhseitcitnese?rsn W?cehy are they important orie ntatei.o nAs gdriefefemr efnrotsm the second? p. 1R6e.l igWiohuast/ iSse pcuurlacrhasing power parity? a. Indivfi.d Tuahli/nCgosllective 9. What is meant by nonverbal communications? Why b. Perfgo.r mEatinqcuee/Sttteatus is t 1h7is. aW dihfafitc iusl gt laorceaa ltioza atdiojuns?t Wtoh?at factors affect the need to adapt to local considerations? 11. What is guanxi? 18. What are the seven key considerations in deciding 12. What is the difference between instrumental and whether or not to enter a given international market? terminal materialism? DISCUSSION QUESTIONS Untitled-11 69 19. Why should we study foreign cultures if we do not d. Fast food 4/20/15 9:45 AM plan to engage in international or export marketing? e. Luxury cars 20. Is a country’s culture more likely to be reflected in f. Cell phones its art museums or its television commercials? Why? 27. Why is materialism higher in Korea than in the 21. Are the cultures of the world becoming more United States, where given their collectivist culture similar or more distinct? one might expect materialism to be lower? 22. Why do values differ across cultures? 28. What values underlie the differences between Fiji Island and U.S. children in terms of the strategies 23. The text lists 18 cultural values (in three they use to influence their parents’ decisions? categories) of relevance to marketing practice. What marketing implications emerge? Describe and place into one of the three categories two additional cultural values that have some 29. What are the marketing implications of the relevance to marketing practice. differences in the masculine/feminine orientation Discussion Questions 24. Select two cultural values from each of the three across countries? 30. Respond to the questions in Consumer Insight 2–1. categories. Describe the boundaries (norms) These questions can be used to help develop or retleevsatn tt htoe th satt vuadluee nint yso’u ru snocdieetyr asntda tnhed ing of 3 1t.h We h my dao tneornivaerlb al communication systems vary sanctions for violating those norms. across cultures? in the chapter. Answering these questions req 25u. iWrehsat tahree th se tmuodste renletv taont cuutltiulriazl vea ltuhese materi 3a2l. iWnh itchh,e if any, nonverbal communication factors chapter to reach a recommendation or solution.af ofHflelocowtiwningg et?hv eDe cerosc,n rsitubhme ephytoiwo nc a oanfdn e wa gchhye otnhf eethsree a vallluye sb aree an swam.e igWrheta btdceh reeslevant in the marketing of the following? without external activities such as customer inteparrvticiuelwarlys ;im tphoertranetf.ore, they can be assi gnbe. dJe waesl ry a. Internet c. Facial tissue in-class activities. b. MP3 player d. Laundry detergent c. Milk e. Lip balm ix d. Fast food f. Women’s clothing e. Luxury cars 33. What are the implications of guanxi for a Western f. Cell phones firm entering the Chinese market? 26. What variations between the United States and 34. To what extent do you think youth are truly other societies, other than cultural variations, may becoming a single, global culture? affect the relative level of usage of the following? 35. Will today’s youth still be a “global culture” when a. Internet they are 40? Why or why not? b. MP3 player 36. How do demographics affect a culture’s values? c. Milk How do a culture’s values affect its demographics? haw32549_fm_i-1.indd 9 6/11/15 3:10 PM Untitled-11 70 4/20/15 9:52 AM

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