Cross culture impact on consumer behavior

Example; Two countries may differ substantially in the level of use of products or services.

cross cultural consumer behaviour strategies

On the other hand, the ways in which people live their consumption life can already vary greatly within one country only. To assist in this imposing task, various frameworks have been developed to determine the degree to which marketing and advertising efforts should be either globalized or localized, or mixed or combined.

However, such values must be understood in the local context.

Cross cultural variations in consumer behaviour ppt

This understanding helps marketers making proper adaptations in their product, pricing, distribution, and promotion policies. It includes factors such as knowledge, language, religion, food customs, art, music, technology, work patterns, products and other facts that give a society its distinct flavor Schiffmann, Understanding cross-cultures help marketers to understand values of other cultures which influence their purchase behavior. Example; The benefits sought from a service may differ from country to country. Major sources of misunderstanding among cultures are the differences in values and priorities indicated. This attitude might be positive, negative, and neutral. Therefore it is important to understand where cultural values are settled, how they change and finally how market segmentation helps to identify them. Understanding of similarities and differences that exist between nations is critical to multinational marketer who must devise appropriate strategies to reach consumers in specific foreign markets. Thus it helps marketers to tailor their promotional programs on specific reference group. Culture makes a difference in problem identification and in the objectives motivating choice. Yellow, white, and grey are universally seen as weak but red and black are strong. One group of countries was defined as almost classless and contented.

This model suggests five basic orientations, which are thought to be common to all human groups. Buzzell, citing the economic advantages of standardizing products, packaging, and promotion, cautions that segmentation may still be appropriate where income levels, shopping patterns, language, access to media, and other factors seem to warrant a more narrowly focused approach.

Cross cultural psychographic segmentation

Such analyses can provide marketers with an understanding of the psychological, social and cultural characteristics of the foreign consumers they wish to target, so that they can design effective marketing strategies for the specific national markets involved. Finally, because change often generates complexity, marketers may resist changing cultural values rather than trying to take advantage of them. Differences in economic and social conditions and family structure. Because each of these values vary in importance, each provides an effective basis for segmenting consumer markets which will be the focus in Chapter 4. Open confrontation and active exchange of different opinions characterize individually oriented countries. A comparison between Germany and the US shows that the value of sense of belonging is very important to Germans, but less important to Americans which underlines the American individualistic character. Differences in consumption pattern. One group of countries was defined as almost classless and contented. Culture is not stable in itself. The four possibilities that this decision framework considers range from a company incorporating a global strategy to developing a completely local strategy. First, marketers must thoroughly orient themselves to the values, beliefs, and customs of the new society to appropriately position and market their products. Finally, the sixth group is called the new class society and is made up of Russia and its satellite countries. Failure to understand these differences may lead to noisy communication, misinformation and misunderstanding. Career stability is more important, conflicts are seen as a negative impact, clear procedures are expected and uncertainty is treated as a threat. Coca Cola.

Approaching World Markets: Recently, cross-cultural methodology has been applied to marketing research, closely aligned with developments in multinational marketing. Differences in consumption pattern.

The greater the similarity between nations, the more feasible it is to use relatively similar marketing strategies in each nation. The market segment will mainly refer to the consumer goods industry of both countries.

A comparison between Germany and the U.

subculture in consumer behaviour

Knowing this aspect of a culture helps marketers identifying reference groups that will have bearing on consumer behavior. Different product-different promotion: If both the cultural way of life and individual life styles is dramatically different in a new market, it may be most advisable to acquire existing firms there.

The first and most important dimension is individualism-collectivism. Ernest Dichter conceptualized six different types of countries based on the degree of middle class development.

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Consumer Behavior