Transcript Chap11

Part Two: Culture and Organizations
CHAPTER 11
CULTURE AND MARKETING
• Concept 11.1: Marketing in a cross-cultural
environment
• Concept 11.2: Advertising across cultures
Slide 11.1
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009
Traditional marketing activities
1. Market analysis:
- environment analysis
- buyer behaviour
- market research
2. Marketing strategy:
- market segmentation
- marketing mix
This classification of marketing activities has its critics
Slide 11.2
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009
Modern concept of marketing
• Market-driven management should be:
- Anticipating and responding to customer needs
- Defining and delivering customer value
• Integrated marketing functions
• Development of relationship marketing:
- Personal and organization
- Creation of networks
- Connecting with customers
Slide 11.3
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009
Cross-border market research
Problems for marketers:
• Language barriers: Translation even interculturally
(Mandarin to Tamil to Malay Languages.
• Sensitivity of questioning
• Research techniques: Explicit/Individualistic/US based.
Sentiments/ability to express varies culturally.
• Cultural differences: contextual differences
• Suspicion-how data will be used? Who?
• Statistical comparisons
• Fragmentation – decentralised structure, autonomy
Slide 11.4
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009
International marketing
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Definition:
Marketing activities that cross national borders
In line with the focus of a company’s operations
Companies have two different orientations:
Sales orientation - sales of same products in many
countries of similar consumer charac: CocaCola
- Societal orientation- know why buy it &how it can be
modified.
• A change of orientation may be necessary because of:
- Legal, cultural, economic reasons
Slide 11.5
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009
Intercultural marketing approach
Slide 11.6
• Adapting products and marketing strategies to the
consumer preferences
• Cultural identification with a product (Usunier & Lee,
2005):
- Notion of identity (desire to reproduce the national
culture, as it is-to feel at home)
- Notion of exoticism (desire to experience other values,
different ways of living)
• Consumers share cultural characteristics:
- Geographical cultural affinity zones (resemble national
cultural groups
- Cultural affinity classes (teenage from Japan, Europe &
Japan tend to share common values, behaviour &
interests)
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009
Cross-cultural consumer behaviour
• Increasing uniformity in consumer taste and
behaviour
• However,
- behavioural intentions of consumers need to be
established
• Take into consideration:
- Characteristics of the consumers’culture
- And their underlying models
Slide 11.7
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009
Branding
• What is a brand?
- The brand identifies a (range of)
products/services
- A brand is registered and becomes a trademark
• Multinationals need to use an uniform brand
• Language may be a problem:
- Pronunciation
- Different alphabet
Slide 11.8
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009
Brand and national images
• Important is the relationship between:
- the nationality of a product and the image it
evokes
• Consumer’s perception of product nationality
• Role of stereotypes
• Country of origin
• Country of brand
Slide 11.9
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009
Communication: advertising
In international marketing:
• Language and behavioural differences
• Meanings of the consumers give to:
- products, brands, messages and behaviours
• Advertising adapted to the local market:
- products/services are presented in a symbolic
way to create adhesion
• In the mind of the consumer:
- Image of the product associated with product
concept
Slide 11.10
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009
Notion of perception
• Perception is a complex act:
- Individuals are reconstructing their environment
• Theories of perception applied to advertising:
- Product must always involve the receiver
If not,
- Information will not retain the consumer’s
attention
• Differences in cultural systems determine:
- What is seen/how it is perceived
Slide 11.11
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009
Managing the meaning of brands
• Companies operating internationally:
- Building the strength of their brand
- Extending the number of market
• They have to adapt to:
- cultural differences in communication and
products
• Companies are intent on making sure that:
- intended meaning of the brand coincides with
- perceived meaning of the message
Slide 11.12
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009
Effective communication
Intended meaning
of the brand
effective
communication
Perceived meaning
of the message
Slide 11.13
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009
The managing meaning matrix
Figure 11.1
The managing meaning matrix
Source: Hoecklin (1995): 101
Slide 11.14
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009
Conclusion chapter 11
In international marketing:
• Focus more on the consumer than on
marketing methods
• Because the consumer presents the most
important cultural differences
• Communication: channels of advertising,
• Balance between product, message and
perception about the product
Slide 11.15
Browaeys and Price, Understanding Cross-cultural Management, 1st Edition, © Pearson Education Limited 2009