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Chapter 12
CULTURE AND CROSS-CULTURAL INFLUENCES
AUTHORS' OVERVIEW OF THE CHAPTER
In this chapter we discuss the broad, macro social influences of culture on consumer behavior. We also consider
cross-cultural differences--variations in the culture of different societies or countries. Culture is a macro influence
because it is a very large-scale aspect of the social environment that has broad and pervasive effects on consumers'
affect (moods and emotions), cognitions (beliefs and values), and behaviors.
We begin by discussing two approaches to the study of culture. The most common approach is to describe the
content of a culture by identifying the typical beliefs, attitudes, goals, and values held by most people in a society.
The content of a culture also includes the typical aspects of the physical and social environment. Although most
researchers have focused on the common values held by most people in a society, we define culture more broadly as
the meanings that are shared by most people in a social group.
Then, we briefly discuss several issues in cultural analysis. First, shared cultural meaning can be analyzed at
different levels or size of social group--at the level of an entire country, a subculture (a racial or ethnic group), a city
(New Orleans or Miami), or a much smaller group (a group of co-workers or a family). Normally, marketers think
about culture in terms of very large social groups such as a country or a large subgroup within a country (Hispanic
people in the U.S.; people who live in New England).
We briefly review three ways of measuring the content of a culture in terms of the shared meanings. They include
content analyses of materials produced by the culture (analyzing the number of references to money in books or TV
programs). A second approach involves ethnography research when researchers go into the "field" and closely
observe consumers in their natural environment (Japanese car companies hire researchers to spend an entire day with
someone driving around in their car). Finally, researchers have developed various measures of the common values
held by a society or subgroup in society.
Then, we shift to the other main approach to culture--culture as a process. This perspective focuses on how cultural
(shared) meanings are created by a social group (a society or ethnic group) and how these meanings are moved from
one "location" to another by social institutions and by the actions of individuals. We present a model (Exhibit 12.3)
that summarizes these flows of meanings between three major locations: (1) in the cultural world, (2) in products,
and (3) in consumers. The model also identifies several factors that influence the movement of cultural meanings
from one location to another. In a modern consumption society, there are two key influences on the movement of
cultural meaning: (1) consumers actively seek cultural meanings to create desirable personal identities or selfconcepts, and (2) marketing strategies are designed to move favorable cultural meanings into products so that
consumers can acquire these meanings by purchasing and consuming the product. All marketing strategies (price,
product, and distribution) are involved in the movement of cultural meanings into products, but advertising is the
most commonly studied mechanism.
Next, we briefly discuss some of the cultural meanings that are "in" products. Following, we discuss how the rituals
consumers perform help move the meaning in products into the consumers. Rituals are symbolic actions performed
to create, affirm, evoke, or revise certain meanings and move those meanings from one location to another. We
discuss several important consumer rituals including acquisition, possession, exchange, grooming, and divestment
rituals. The behaviors involved in each ritual move meaning from the product into the consumer where it can be
used in creating and maintaining a desirable self-concept. We then briefly discuss some of the cultural meanings that
are in consumers. Finally, we discuss how the cultural meanings in people can be moved back to the cultural world,
to create in fact the cultural environment.
The perspective of culture as a process suggests that a key task of marketing management is to manage the cultural
meaning of its products. We discuss several implications for marketing including establishing brand equity, the
shared cultural meanings of a brand. We also discuss the popular promotion strategy of using celebrities in
advertisements to move certain meanings into the product.
In the next section of the chapter, we examine cross-cultural influences. We begin by describing several issues in
cross-cultural analysis, including where to establish the boundaries between different cultures, variations in the
degree to which different societies have developed a consumption culture, and how various societies around the
world are experiencing similar changes in the content of their cultures. We discuss several cross-cultural differences
between societies, including self-concept and materialism.
Then we discuss the marketing implications of cross-cultural differences for developing international marketing
strategies. We describe three approaches to developing marketing strategies for different cultures. Marketers can
adapt their strategies to local cultures; they can ignore cultural differences and develop a single, global marketing
strategy; or they can attempt to change the culture through their strategies. We discuss the advantages and
disadvantages of global marketing, the approach that calls for a fairly standardized marketing strategy across
different cultures. We finish the chapter with comments on marketing implications of the European Union.
KEY CONCEPTS AND ISSUES
 culture
 factors in cultural analysis
 content of culture
 core cultural values
 culture as a process
 rituals as ways of moving meanings from products into consumers
 cross-cultural differences
 materialism
 strategic approach to culture--adapt to, ignore, or change cultural factors
 pros and cons of global marketing strategies
 European Union – cross-cultural differences
CHAPTER OUTLINE
Chapter 12. CULTURAL AND CROSS-CULTURAL INFLUENCES
A. McDonald’s …..All Around the World
B. What is Culture?
C. The Content of Culture
1. Measuring the content of culture
a. Content analysis
b. Ethnographic fieldwork
c. Measures of values
2. The core values of American culture
3. Changing values in America
D. Culture as a Process
1. Moving cultural meanings into products
2. Cultural meanings in products
3. Moving cultural meanings from products into consumers
a. Acquisition rituals
b. Possession rituals
c. Exchange rituals
d. Grooming rituals
e. Divestment rituals
4. Cultural meanings in consumers
5. Moving meaning to the cultural environment
6. Marketing implications
a. Managing cultural meaning
b. Using celebrity endorsers in ads
7. Helping consumers obtain cultural meanings
E. Cross-cultural influences
1. Cross-cultural differences
a. Differences in consumption culture
b. Self-concept
c. Similar cross-cultural changes
d. Materialism
e. Marketing implications
2. Developing international marketing strategies
a. Adapting strategy to culture
b. Standardizing strategy across cultures
c. Change the culture
3. Marketing implications: The European Union
F. Back to ... McDonalds ….. All Around the World
TEACHING OBJECTIVES
After completing this chapter, students should be able to:
 define culture and discuss its importance in consumer behavior.
 distinguish between studying the content of culture versus culture as a process.
 identify several core values in American culture.
 describe how cultural meanings are moved from the environment to products.
 define rituals and describe how consumers use rituals to move meanings from products to themselves.
 describe the key issues in cross-cultural analysis.
 describe some major cross-cultural differences between countries/societies.
 discuss the three approaches marketing management can take to dealing with cross-cultural differences
between countries.
 describe the EU (European Union) and discuss some marketing implications.
TEACHING IDEAS AND SUGGESTIONS
Overview. The material in this chapter is reasonably simple and straightforward, and it also is rich and interesting.
It is easy to spend two full days on this material. In day one, you could treat culture as content, focusing on the basic
values and behavior patterns of a culture. Cross-cultural factors can be discussed here. For day two, you could
address the many interesting issues and implications of treating culture as a process of moving meaning.
Rather than lecture from the text, class time can be spent discussing real-world examples of the key concepts and
developing implications for creating marketing strategies. You and/or your students could bring examples into class
for discussion. We provide some examples below that could be used for class discussions.
Possible Mini-Lecture: What is Culture and How Do People "Learn" It? Students need to understand that
culture includes all "man-made" meanings, including concepts, ideas, symbols, even the interpretations of feelings
and emotions. Culture also includes the physical aspects of the environment constructed by people (cities, parks,
products, stores) and various social environments (Congress, a work group, your family).

You could begin with a brief mini-lecture on the concept of culture. We define culture on page 288 of
the text.
Culture refers to the beliefs, attitudes, goals, values, behavioral patterns, norms and rules shared by
most people in a society. A large and important part of culture is the set of knowledge, meanings
and beliefs that are shared by a group, including symbolic meanings. Characteristic patterns of
behavior and behavior norms are also part of a culture (modes of living and lifestyles such as
drinking wine with meals, staying up late, and taking mid-afternoon naps). A group of people with
shared beliefs, knowledge, values, and behaviors have a common culture.
Culture also involves the physical objects and social institutions that have been constructed by a
group of people, and the meanings that these "things" have for these people. For instance, the
dominant architectural style, the sizes of homes and their configuration, traffic laws, art, and
household artifacts are aspects of culture. Culture also includes all the products and services
created by marketers and sold to consumers.

In addition, you could describe, briefly, how people in a society acquire the meanings, beliefs, values,
and behaviors that constitute their culture.
One way people acquire the elements of a culture is through socialization processes--by interacting
with other people. Exhibit 11.1 illustrates the hierarchical flow of influence from the macro social
influences of culture, subcultures and social class through various social institutions to the
individual person in a society. The family is a particularly important influence in this socialization
or learning process, especially in the early years. Reference groups also affect the socialization of
individual consumers. Other important influences include the schools, religious and governmental
institutions, and the media.
Possible Mini-Lecture: Culture and International Marketing Strategies. A major reason marketers are
interested in culture is for developing international marketing strategies. Of course, cultural considerations are also
relevant for developing marketing strategies for any domestic market (e.g., subcultures).

Ask students to discuss the various ways marketers can react to cultural factors when developing
marketing strategies.
Basically, marketers can take three approaches when faced with cultural factors in an international
marketing situation. The text discusses each of these and gives examples on pages 311-313. Each
approach has advantages and disadvantages. Each might be appropriate in certain cases (see the
Coca-Cola example below).
First, the marketer might adapt to the local culture. That is, the marketing strategy would be
modified and adjusted to "fit" with the culture of each market. This could be relatively minor
(different plugs and motor designs for power tools sold in different countries).
In contrast, marketers might develop a standardized strategy to be applied across different
cultures. Here, most of the elements of the marketing strategy would be consistent in different
cultures (except perhaps language). Many of the ads for Benetton clothing are used around the
world.
Third, marketers might try to change the culture through their marketing strategies. For instance, a
soft drink company might encourage consumers in some cultures who seldom drink such products
to include soft drink consumption into their daily lives.
Why Go Global? As discussed in the text, marketing experts disagree about how best to respond to cross-cultural
differences. Should a company try to develop local marketing strategies tailor-made for each culture in which one is
doing business? Or, should a company try to develop a single, so-called global marketing strategy that is applied in
essentially the same way in each country/culture where one is doing business? Is it desirable or even possible to
develop global marketing strategies?

Ask students to describe the concept of a global marketing strategy.
It is important at the outset to try to understand the concept of a global marketing strategy. The
text definition is given on pages 311. Students will probably say that it is a standard strategy that
is used in about the same way in various countries around the world. They should recognize that
companies doing business in many countries are international or multinational companies, but they
do not necessarily have a global marketing strategy.

Ask students to debate the pros and cons of globalization, developing similar marketing strategies for
the various markets in which you compete.
Sometimes, the arguments can get pretty heated and emotional. There has been a lot of fuzzy and
over simplification on both sides of this issue. For instance, a global strategy does not mean that
every detail of the strategy must be absolutely identical. Usually ads are translated into the local
language. Products may have to be slightly modified to meet local regulations.
Here are some thoughts to offer the class on this fascinating issue. For some major companies, this
is not a matter of debate--"going global" is a matter of survival (see the examples of Coca-Cola
and PepsiCo below).
Example: Coke--The Original (?) Global Marketer. Hearing about companies that attempt to develop and implement
a global marketing strategy can help students understand the difficulties and the advantages and disadvantages
involved. The strategies that these companies follow can be discussed and analyzed to clarify what a global strategy
can mean to a company. Students should also understand that companies which sell their products in foreign
countries (today, nearly all major companies do so) are not necessarily marketers with a global strategy. Here is an
example of a company that seems to have a global strategy.
Coke is sold in nearly every country in the world. Most Americans probably feel that Coke is "their product," as
American as apple pie. In fact, Coke may be the most prototypic American product, closely followed by Levi's blue
jeans, McDonald's, and a few others. Despite its strong American ties, the Coca-Cola Company has a worldwide
perspective. In 1989, Coca-Cola sold about 47 percent of all the soda consumed worldwide, about twice as much as
the second-place company, PepsiCo. Actually, the company makes more money selling Coke in Japan that it does
in the U.S.
Coke has recognized that its future growth is not in the U.S., but "overseas," where consumers currently drink only
about 14 percent as much soda pop as Americans do. Thus, these countries have tremendous market potential. For
example, compared to modest growth in U.S. soft drink sales of about 2 to 3 percent annually, the growth rates in
foreign countries is phenomenal--27 percent in Mexico, 24 percent in Brazil, Coke's second and third largest markets
after the U.S. Of all the soft drink companies in the world, Coke probably is best poised to take advantage of all this
potential growth.
Coca-Cola is a truly global company, with divisions and offices seemingly everywhere. By most accounts, CocaCola Company has been following a global marketing strategy for years.
Standardized Strategy. What marketing strategies does Coca-Cola use in all these different cultures? They use just
about the same overall marketing strategy as the one that made Coke a success in the U.S.

Coke tries to be ubiquitous (available everywhere). No outlet is considered too small to sell Coke. It is
sold in large and small stores, shops, kiosks, bars and restaurants, and vending machines all over the
world.

Exclusive distribution arrangements are part of the strategy. Coke is sold in most McDonald's, and most
airlines serve Coca-Cola products.

Coca-Cola tries to have close relationships with its customers--the stores that stock and sell Coke. In
Japan, Coke has held seminars showing how the sayayas, owners of the tiny mom-and-pop grocery
stores, can operate more efficiently.

Coke promotes itself heavily. For instance, Coke sponsors sporting events in many countries--bull fights
in Spain, camel races in Australia, sheep-shearing contests in New Zealand. In Paris, Coke supplied a
five-foot inflatable Coke can to hang outside Maison Bagoux, a small corner grocery store.

Coke's advertising presence is great in many countries, including print ads in magazines and newspapers,
posters, and TV (if available). Coke signs are ubiquitous in the United States and elsewhere around the
world.

Finally, Coke also works hard to woo the retail trade. For instance, they bring executives of big retailers
to the Olympic Games, of which they have long been a major sponsor. Coke set up a research project to
study the problems in the European grocery business. For such favors, Coke expects cooperation on
store promotions and other aspects (pricing strategies) of their marketing strategies.
Adapt to Culture. Of course, Coke must make some minor adjustments to their marketing strategies in different
countries. People in different cultures have slightly different perceptions of the product and may use it in somewhat
different ways. In Spain, for instance, Coke is used heavily as a mixer, even for wine. In China it is a prestige
product, served on silver trays at diplomatic affairs. In Italy, Coke is increasingly drunk as a mealtime beverage,
partially replacing wine and cappuccino. In France, the term "diet" connotes medicinal factors, so the popular Diet
Coke is called Coke Light.
Still, Coke's basic strategies are pretty similar around the world. In the "big" things that count, Coke is relentlessly
consistent--heavy promotion, wide distribution, consistent taste (quality control). Although the Coke name on the
label will be written in the local language, the package, the colors, the taste, and even the basic advertising appeals
do not vary much across cultures. Also, a prime concept that is stressed around the world is that Coke is THE allAmerican product. This fundamental symbolic meaning for Coke has helped the company ride the worldwide wave
of fascination with American culture.
Change the Culture. In some cultures, Coke finds that consumers do not have a taste for carbonated beverages. In
some of these cases, Coke has tried to change the culture. Consider their strategies to change consumer tastes in
Indonesia. The favorite national drinks in Indonesia were tea and tropical juice drinks. So Coke began by marketing
soda in fruit flavors (banana, strawberry, and pineapple) to get the Indonesian palate used to carbonated beverages.
Then, they gradually introduced Coke hoping that consumers might like a change to a less sweet taste.
However, such culture modification strategies have critics. A United Nations study criticized Coke for "wiping out"
the local indigenous beverages in the Philippines, including a drink made from lime juice and coconut water. The
study added that because young children preferred Coke to milk, some kids were suffering from vitamin deficiencies.
Coca-Cola disputed the report's conclusions.
Summary. So, is Coca-Cola following a global strategy? Basically, we think the answer is yes. Of course, Coke
must make some local adaptations in some specific cultures, but most of these modifications are rather minor
variations on the overall strategy. That key elements of the strategy, of course, involve portraying Coke as the
symbolic American product, closely guarding its standardized taste, insuring that it is distributed “everywhere,” and
promoting it strongly in about the same way everywhere. In sum, Coke's marketing strategy is about as close to a
global strategy as you can get. [Source: Michael J. McCarthy, "The Real Thing: As A Global Marketer Coke Excels
by Being Tough and Consistent," The Wall Street Journal, December 19, 1989, pp. A1 and A8.]
Possible Mini-Lecture: Think Global, Act Local. Many companies that do business in multiple cultural
environments have adopted a modified strategy to address cross-cultural differences. Called “think global, but act
local,” this approach essentially means that the company adopts a global marketing perspective, looks around the
world for market opportunities, but lets local managers adapt and modify the details of marketing strategies to better
fit the local culture.
One example of how this approach can work is provided by Bausch & Lomb. International sales are
booming at Bausch & Lomb--up from 25% of the company's revenues in 1984 to 46% in 1991. The key
factor seemed to be the "liberating" of local managers to make marketing decisions under the new think
global, act local corporate strategy. Until Bausch & Lomb reorganized in the mid-1980s, all production and
marketing policies were determined at corporate headquarters in Rochester New York. Today, corporate
executives at Bausch & Lomb set strategic goals and monitor progress, but allow regional and local
managers around the world to make product and marketing decisions that take advantage of cultural factors
in their local markets.
For example, Bausch & Lomb was unsuccessful in selling rigid gas-permeable contact lenses in Japan,
because ophthalmologists insisted on nearly perfect lens surfaces well beyond the clinical requirements.
Rather than arguing with these "irrational" demands, the company developed a process to meet these
requirements and built a plant in South Korea. By 1992, Bausch & Lomb had 11% of the Japanese market.
Ray-Ban is another good example of Bausch & Lomb's "think global, act local" approach to cross-cultural
marketing. The classic aviator sunglass model by Ray-Ban is classic Americana (like Coke, Levi's and
Marlboro) and sells well everywhere around the world. But not everyone in the world wants Ray-Ban
aviators. For instance, European consumers like more daring, high fashion designs. In 1986, only 1 of 25
new designs was aimed at foreign markets. In 1991, more than half of the new models were designed for
foreign markets. Now, the Ray-Bans targeted for Europe are flashier, more avant garde, and more costly
than in the U.S. In Asia, glasses were redesigned to fit the Asian face structure with higher cheekbones and
a flatter bridge. By 1992, Ray-Ban had an awesome 40% share of the world market for premium-priced
sunglasses. [Source: Rahul Jacob, "Bausch & Lomb: Trust the Locals, Win Worldwide," Fortune, May 4,
1992, pp. 76-77.]
Example: How Pepsi Broke Into India. Here is an interesting example of the types of strategies some companies
have to go through to gain approval to sell their products in another country. PepsiCo had to deal with several
aspects of the cultural environment in the long process of getting approval to enter the Indian market. Pepsi's actions
could be considered as marketing strategies, because they were actually marketing their proposal to the Indian
government and business community, as well as the Indian citizens.
PepsiCo wanted to "go global," in the worst way. In soft drinks, Pepsi was much less a global company than
archrival Coca-Cola. Pepsi's goal was to become a truly global consumer products company by 2000. They already
had made dramatic progress by 1990. In several other businesses, Pepsi was already a global presence--for instance,
Kentucky Fried Chicken and Pizza Hut restaurants are found in many parts of the world. But soft drinks were a
different story.
In the U.S., Pepsi was a close second to Coke, with a share of 32 versus 40 percent of the overall soft drink market.
But overseas, Pepsi lagged far behind Coke. Although both soft drinks were available in at least 150 countries, Coke
earned almost 80 percent of its total soft drink profits outside the U.S., compared to only 15 percent for Pepsi.
Pepsi's main problem is that Coke got into most of the foreign markets first. Typically, the first company to enter a
foreign market tends to dominate it. For instance, Pepsi was first into the Soviet Union in 1974, where they
dominate that market. In contrast, Coke was first into the People's Republic of China in 1979 (again; they were in
China before in the 1920s and '30s), where it outsells Pepsi.
Now, Pepsi has high hopes for India and its 850+ million potential consumers. Interestingly, Coke had a lock on the
Indian market until 1977 when, due to a series of political maneuvers, they were "forced" to leave the market. Then
the field was wide open to the two largest Indian bottlers, who grew fat and contented with an estimated 80 percent
of the market.
Pepsi had its eye on the Indian market for the entire 1980s. India was a tremendous market opportunity, with a
yearly consumption of only about three bottles per capita, compared to neighboring Pakistan's 13 bottles. Pepsi sees
a huge potential to increase the size of the Indian market, although perhaps not as great in Egypt, where yearly soda
consumption increased to 80 bottles per person after competition heated up.
Finally, after years of negotiating, Pepsi acquired the rights to sell its sodas in India. To do so, the company had to
deal with the political environment. To help the Indian balance of payments, Pepsi agreed to export materials worth
$5 for every $1 it imported. In addition, Pepsi established a research center to develop new varieties of fruits and
vegetables for the Indian climate. Moreover, Pepsi had to take on Indian partners who owned a 60 percent stake in
the company. Despite all these concessions, a political fight ensued. Pepsi had to develop complex political
strategies to gain approval of their plan, including convincing local farmers of the value of their plan. After more
than three years of wrangling, the Indian government finally approved the Pepsi proposal in September, 1988.
It seems that nearly everyone benefited from this marketing venture. Pepsi, of course, had a golden opportunity to
market its products to a huge consumer population. Indian farmers increased their incomes and add to India's
homegrown products. Even the local bottlers benefited, as the entire market was expected to triple in size by 1994.
Finally, consumers also should benefit from greater choice and from lower prices. Even before Pepsi sold a single
bottle in India, the local bottlers increased the size of their bottles by 25 percent without raising prices. [Source:
Adapted from Subrata N. Chakravarty, "How Pepsi Broke Into India," Forbes, November 27, 1989, pp. 43-44.]
Cross-Cultural Differences. Cultural differences between different societies and countries can generate very
interesting class discussions. Most of these differences will have implications for developing effective marketing
strategies.

Ask students to identify and discuss important cross-cultural differences and discuss how they affect
consumers' affect and cognitions (beliefs, emotions and attitudes) and their behaviors. Students should
be able to generate several examples from their own experiences. Following is one for you to discuss if
needed.
Food is a good topic, because some unusual cross-cultural differences exist. In some cultures,
people eat dogs or insects. Americans eat corn on the cob, considered pig food in some cultures.
In some cultures (Thailand, for instance) extremely hot foods are liked, while in other cultures
(perhaps Britain and Scandinavian countries) strong spices are minimal. Raw fish, including
octopus, is a desirable food in Japan; other people might be repulsed by eating "bait."
Consider the European penchant for horse meat. Many Americans find eating a "Mr. Ed steak"
rather repulsive. Although horse meat was once quite popular in Europe, many consumers are now
shying away from the product.
Europeans have always eaten horse meat, partly for its strong taste which many people like, and
partly for its low prices and high nutritional value. But per capita consumption of horse meat in
Europe has declined to just over a pound per year per capita, half of what it was a decade ago. The
decline is partly due to rising costs (horse meat now costs about the same as beef), partly to
changing cultural tastes (increased chicken and fish consumption have reduced the demand for all
red meats, much as has happened in the U.S.), and partly to changes in European's cultural
attitudes toward eating horses (supermarkets have even had to remove the posters of horses over
their meat counters).
In some European countries, the horse meat industry is trying to counter these cultural changes
with various marketing strategies. They have tried ad campaigns promoting the product as
nutritious and healthy (but not in TV ads). Trade groups in Paris, Brussels and Rome have sent
brochures to doctors extolling horse meat for high protein, low fat diets. Posters have been
produced showing healthy looking people in a pastoral farm scene over the slogan, "Horse Meat:
For Energy." They also planned a TV cooking show with a specialist to demonstrate [modeling]
how to cook a horse steak or make horse meat tartar (a raw meat delicacy).
A considerable amount of Europe's horse meat is imported, much of it from the U.S. and Canada
(about $82 million in 1988). In the U.S., horse meat is a major ingredient in pet foods, but there is
no significant human consumption. [Mark M. Nelson, "A Horse Is a Horse, Of Course, Of Course,
Unless It's Dinner," The Wall Street Journal, September 26, 1989, pp. A1 & A17.]
Possible Mini-Lecture: Cross-Cultural Differences--Celebrity Advertising in Japan. There are many other
differences between Japan and so-called "western" cultures. For example, celebrity advertising is more widely used
in Japan for a multitude of products than in the U.S. Why is this? George Fields, an Australian who spent many
years in Japan, offers some ideas about this question in his book, "Gucci on the Ginza."
According to Fields, the use of celebrities in ads began about 1970 when craggy actor Charles Bronson was
brought in to save a men's hair conditioner, renamed Mandom, which was under intense competition from
Vitalis. The campaign was a success and two years later the company hired actor David Niven.
Interestingly, the suave Niven was virtually the antithesis of Bronson. But no matter; both celebrities were
effective. Then, Japanese companies used a flood gate of celebrities, including Sammy Davis Jr. (for
Suntory drinks), Peter Fonda (for Renown fashion clothier), Orson Wells (for Nikka whiskey and an
English language instruction program), Sophia Loren (for Honda motor bikes and Lux soap), John McEnroe
(for a car), and Tony "Psycho" Perkins (for Kanebo male toiletries). To this day, celebrities are popular in
Japan.
But, why? Fields suggests that at first the foreigners were "different" and lent a cache of "foreign-ness" to
the products. Also, marketers hoped that celebrities would transfer some of their personal meanings and
charisma to the products they advertised. Perhaps this worked for Sylvester Stallone (Kirin beer), Paul
Newman (Nissan), and Madonna (Mitsubishi Electronics).
Celebrities can also increase brand name recall. Jack Nicklaus produced a highly rated American Express
commercial. The pro golfer became an instant sensation in Japan by struggling through the spot's wellknown tag line, "Don't leave home without it," in wretched but utterly charming Japanese. His poor
pronunciation was mimicked on TV game shows and by thousands of school kids.
Today, using foreign celebrities in ads is a way to personalize a brand, and rather quickly give it a
distinctive personality and image. In some cases, a celebrity can clearly establish the positioning for a
brand. In a fairly well-defined social structure, it is important to illustrate the type of person who is
"suitable" for a particular brand--is the brand for the up-and-coming young executive or the swinging, single
person? John Travolta once danced for Takara's line of canned alcoholic mixers, vaulting them into first
place in the category.
All of these reasons are much the same as why U.S. marketers might use a celebrity in their advertising.
[Sources: Andrew Tanzer, "The Celebrity is the Message," Forbes, July 14, 1986, pp. 88-89; and George
Fields, "Fulfilling an Eastern Fantasy," Advertising Age, May 8, 1989, p. 40.]
Possible Mini-Lecture: More About Japan. The text offers several examples of cultural factors concerning
marketing in Japan. The following material elaborates about Japanese/American cross-cultural differences. In
particular, it describes some ways in which Japanese culture is changing and how the business environment in Japan
and the U.S. is adapting to those changes.
Americans who travel to Tokyo are often shocked to see the prices of goods from fruits and vegetables in a
street market (an apple can cost $2), to wine with dinner (a $10 California chardonnay can cost $100), to
electronic equipment (Sony TVs for $500), to a hotel room ($200 and up for one night's sleep). Dinner for
four at a traditional Japanese restaurant can cost $600. (These are 1992 prices.)
But out in the suburbs and the smaller towns in the countryside a somewhat different picture emerges.
Prices are more reasonable there (much like leaving New York City or Chicago and being pleasantly
surprised that many things don't cost as much in rural Pennsylvania or Wisconsin.) Outside of Tokyo, one
can find discount stores selling products at relatively low prices. In fact, American-style shopping malls,
gigantic hyperstores, and discount stores are being built all over Japan, offering a wide range of goods at
surprisingly reasonable prices.
Shopping malls have become popular in Japan. In 1989, more than 1200 malls were proposed or
under construction. For instance, a huge shopping center recently opened on an old military base
outside Yokohama, a busy port city south of Tokyo. Called MyCal Honmoku (MyCal stands for
mind, young, casual, amenity, life), it contains over 200 stores, 38 restaurants, a sports club, openair terraces, and a large theater. Many other cities are developing their own mega-shopping
centers, some with independent merchandising outlets through which foreign companies can sell
direct to Japanese consumers.
It seems that many Japanese are getting tired of paying top yen for products and services. Like many
American consumers, they are willing to give up some of the extraordinary Japanese-style service for some
good prices.
Consider the discount retailing phenomenon now sweeping the country. Sales at Japanese discount
stores were about $4.2 billion in 1989, but were growing at twice the rate of regular department
stores and were expected to hit $10 billion by 1995. Some of Japan's largest retailers were getting
involved in discount pricing, along with entrepreneurial merchants with stores such as I World
("eye world") and Mr. Max.
And more than this is changing in Japanese retailing, which bodes well for American and European
marketers eager to sell their products and services in Japan. Some tariffs, duties, and other restrictions are
being lifted. Complex distributions systems are being dismantled. Foreign companies are finding it easier
to get a foothold in Japan and even to prosper.
Along with these trends, imports were increasing. Imports accounted for about 10 percent of
nationwide sales in 1989, up from 6 percent five years earlier.
As one example, Atsuto Haneda opened a shop in Tokyo called "The American Dream" to
capitalize on the favorable feelings many Japanese have towards the United States and the
American lifestyle. He sells U.S. products that he imports himself. To give customers the feeling
of shopping in an American store, he accepts only U.S. currency in payment (there is a currency
exchange in the store). He hopes to franchise the concept throughout Japan.
Why are these changes occurring in Japanese culture? One reason is that the Japanese currency is among
the strongest in the world. Japanese people have money to spend to improve their lifestyles and make their
life easier and more pleasant.
Also, in the last decade, many Japanese have traveled to other lands, where they found that not
everyone pays $40 for a melon. More Japanese consumers recognized how ridiculous the Japanese
pricing system was, and they didn't like it. Then, the government changed many of the restrictive
laws that had limited the kinds of changes described above. So, even though Japanese
merchandising strategies always emphasized service and quality, never price, things
changed...rather quickly.
Other aspects of Japanese culture have also been changing. For years, Japanese workers had a very strong
work ethic--many people worked late into the evening (12-hour workdays are common) and on Saturdays.
Many workers seldom if ever took a vacation (over 1/2 of Japanese workers did not use all their vacation
time in 1991). To stimulate consumption, partially in response to criticism from abroad and partially in
response to a lagging national economy, the Japanese government began encouraging citizens to enjoy life
by working less and spending more for leisure activities including holidays. The government, in a five-year
economic plan, promised a new era in which workers leave the office early enough to spend evenings with
their families in larger and less expensive houses or at concerts or art museums. Citizens can anticipate
vacationing at resorts and amusement parks built with tax revenues (Japan plans to spend some 400+ trillion
yen on public works over during the 1990s). Essentially, this policy seeks a cultural revolution. Whether it
will be effective in a society where many people have difficulty relating to leisure remains to be seen.
Schools and offices in Japan tend to create a different ethic (most schools hold classes on Saturdays). To
force workers to leave the offices Nissan had to shut off the lights at 6:30 p.m. [Source: Yumiko Ono and
Jacob M. Schlesinger, "Land of Rising Fun: With Careful Planning Japan Sets out to be 'Life Style
Superpower,'" Wall Street Journal, October 2, 1992, pp. 1 & 11.]
These changes may have negative consequences for some aspects of Japanese society. For instance,
traditionally, Japan has been a land of the mom-and-pop corner grocery. These small stores offered a
limited selection of products to a small circle of customers who lived within walking distance of the shop.
By some estimates, approximately 50 percent of the thousands of mom-and-pop stores in Japan will go out
of business over the next six years, partly due to the competitive pressures from discount stores and partly
due to more basic changes in Japanese society. For instance, as more Japanese women enter the work force,
they have less time to shop in small stores on a daily basis. Instead, they tend go to the supermarket once a
week. Another factor is the rise of American-style convenience stores (7-Eleven stores are franchised in
Japan) that sell magazines, soft drinks, and rice-based snacks and stay open late.
So, things are looking up for some Western companies that want to do business in Japan. The culture is
changing in ways that should make it easier for U.S. companies to sell successfully. According to Takuya
Okada, CEO of Jusco, the fourth largest retailer in Japan, "Merchandising in Japan is finally becoming
internationalized. We have enough customers, land and desire." [Source: Adapted from Carla Rapoport,
"Ready, Set, Sell--Japan is Buying," Fortune, September 11, 1989, pp. 159-164.]
Possible Mini-Lecture: Environmental Concern—A Growing Cultural Value. Many companies have
responded to consumers’ growing environmental values. In the 1990s, environmental concern became an important
value for consumers all around the world. Some claim environmentalism is “absolutely the most important issue for
business.” Among the companies that have reacted are the following:

Proctor & Gamble and many other marketers are trying to cast their products in an environmentally-friendly
light by using recycled materials for packaging and formulating some products to reduce pollution.

Wal-Mart has asked all its suppliers for more recycled materials for packaging and formulating some
products to reduce pollution.

Du Pont has stated a “zero pollution” goal. Among other initiatives, the company is getting out of a $750
million-per-year business in chlorofluorocarbons, which damage the earth’s ozone layer, and has spent
nearly $200 million developing a safe alternative.

McDonald’s is working to cut the huge waste stream produced at its more than 8,500 U.S. restaurants each
day. For instance, it requires suppliers to use corrugated boxes containing at least 35 percent recycled
materials. McDonald’s has tested a variety of things including reusable salad lids, nonplastic utensils,
pump-style containers for condiments, and refillable coffee mugs.
The growing environmental concern of consumers creates not just problems for companies but also
opportunities. Big business is forecast for companies in recycling, pollution control technology, and pollution
cleanup.
PROJECT
Cultural Influences
This project is intended to demonstrate the importance of cultural factors for developing marketing strategies.

Find examples of marketing strategies that are targeted at important cultural values in your society.
These could be ads, but other marketing strategies (pricing promotions) could be used too.
Ideally, these strategies will be for different brands in the same product class.
Describe the strategies in detail and critically evaluate them.
Did the strategy adapt to the culture (or social class), ignore certain cultural (or social class)
differences, or try to change the culture (or social class). Do you think the strategies were
effective? Why or why not?
NOTES AND ANSWERS TO REVIEW AND DISCUSSION QUESTIONS
1. Define culture and contrast two approaches to cultural analysis: the content of culture versus the cultural
process.
This straightforward review question determines if students understand the definition of culture and the two
broad approaches to studying culture.
Culture is defined as the meanings shared by most people in a social group. Culture includes beliefs,
attitudes, values, norms, and patterns of behavior common or similar for a group of people. Culture also
includes the physical and social environment and the shared meanings of these environments for the social
group.
Culture can be studied in terms of its content. Typically, the focus is in terms of values shared by people in
the society (or social group). Other aspects of culture content include attitudes, typical beliefs and
knowledge, and behavior norms.
Culture can also be studied as the process of moving cultural meaning from one "location" to another (see
Exhibit 12.3). Various institutions in a society, including marketing, are involved in moving meanings.
Marketing is most interested in moving attractive, symbolic, cultural meanings from the general physical
and social environment to products in order to make them more attractive to consumers. When consumers
purchase and use such products, they may acquire some of these meanings for themselves.
2. Identify a major change in cultural values that seems to be occurring in your society (choose one not discussed
in the book). Discuss its likely effects on consumers' affect, cognitions, and behaviors and on the social and
physical environment.
Answers to this application question, of course, will be idiosyncratic to each student and specific to your
society. Cultural values in the United States are continually changing, as they are nearly everywhere in the
world. American students can use the core value list in Exhibit 12.1 as a guide to the discussion. The
lifestyle trends listed in Exhibit 12.2 also reflect changes in American cultural values.

Nearly every business magazine has an article or two in every issue concerning cultural changes
in consumers' values (goals, ends). Some changes in values can have great impact on markets.
For instance, consider the impact of values changes concerning health and personal
responsibility on the liquor industry. Over the past decade or so, consumption of "hard liquor"
alcoholic beverages has declined rather steadily. Consumption of "lighter alcoholic beverages"
such as beer and wine has been essentially flat.

Other value changes are related to major demographic trends such as family structure and role
changes, or attitudes toward aging, health, or safety.

In America, health and fitness remain strong values, but the cultural meaning of health may be
changing a bit. A trend toward a more proactive approach to health may be emerging with
greater emphasis on preventive health care.

An emerging value in the 1990s is a less pretentious, less formal approach to life. This is
reflected in decreasing sales of men's business suits, increased sales of sports coats, and a more
casual approach to work clothes for executives.

Eating and drinking right continue to be important instrumental values. Sales of liquor continue
to decrease, wine and beer sales flattened, while sales of bottled water and sodas have increased.

A strong value in America for individualism and individual achievement which is reflected in
the continued fragmentation of lifestyles as each person develops a style of life that reflects
his/her personal value system. This leads to further fragmentation of markets as people search
for products that are "right" for them. However, there may be an emerging interest in group and
social cooperation.

The high levels of stress in American society leads to an increasing value on relaxation, gettingaway from it all, comfort, self-pampering.
Students should be able to discuss, with some level of sophistication, the effects of such values on
consumers' affective and cognitive responses and behaviors, as well as the social and physical environment.

If students have difficulty, ask them to consider the differences and similarities in values for two
different demographic groups. For instance, ask them to consider their personal views about what is
important in life compared to the values of their parents and grandparents. Differences between men
and women can also yield interesting comparisons.
3. Select a product of your choice and discuss two implications of your analysis in question 2 for developing
marketing strategies for that product.
Again, answers to this application question will be idiosyncratic. Students should be able to identify basic
marketing implications of their analysis.
New product development is an obvious example. Travel agencies might develop new vacation packages
targeted at very specific needs of the fragmented market, such as stress-reduction vacations to health spas
for weary executives, or educational vacations on an archaeological dig in Egypt for people who crave
stimulation.
More sophisticated answers might focus on means-end chain analyses of how a new product might be
connected to the dominant end goal or value.
4. Briefly describe one example of a price, product, and distribution strategy that moves cultural meaning into the
product (do not use examples cited in the text).
This question tests whether students understand the process by which marketing strategies can move
cultural meaning from one location to another.
Prices often have cultural meanings that can be transferred to products. Consider that a relatively high price
for cologne, jewelry or wine may carry meanings of higher quality. Giving a rebate on a car might transfer
particular cultural meanings (good deal; must have a problem) for certain groups of consumers.
Product features can have cultural meanings. Using leather and wood trim for the interior of a car may
move meanings of luxury and exclusivity into the car. How the controls feel when operating a machine can
transfer cultural meaning to the product.
Distribution characteristics also can have cultural meanings. The design of retail store or a catalog can
create meanings about the products being sold through that channel. Selling a product through discount
stores or exclusive boutique shops can move certain meanings into a product.
5. Select a print ad and analyze it as a mechanism for moving cultural meaning into the product.
This rather easy question concerns the idea of culture as a process of meaning transfer. Advertising is the
element of the marketing mix that is most easily understood as a mechanism for moving meaning into
products.

You may need to probe students and encourage them to go beyond the surface and obvious level to
conduct a deeper analysis of the cultural meanings in the ad. An example is found in Highlight 12.2
(pages 298) which discusses some of the cultural meanings of a popular brand symbol created by
advertising.
Classic marketing examples include the repositioning of Marlboro from a feminine cigarette in the
1950s to a highly masculine image in the 1960s. Early ads showed a hairy man's arm, complete
with a large tattoo of an anchor, holding a cigarette. The cowboy symbols used over the last 30
years convey symbolic meanings relevant to the Marlboro image that help make it an "allAmerican" brand. These meanings include rugged individualism, a do-your-own-thing approach to
life, wide-open spaces that connote personal freedom, and a macho approach to masculinity.

You could ask students to design an ad or at least select some of the cultural meanings they want to
convey and select symbols to convey those meanings. Students should become more aware of the
many decisions about which symbolic meanings from the culture should be included in a commercial or
print ad.
6. Choose a popular celebrity endorser and analyze the meanings being transferred to the product endorsed.
This is a fairly easy review question concerning the process of moving cultural meaning. There are very
many celebrity spokespersons to choose from, so answers will be idiosyncratic. Michael Jordon has been a
popular celebrity spokesperson, as is Bill Cosby. Students should try to identify the fundamental meanings
carried by these celebrities to the product.
You can expect arguments and disagreements. This allows you to point out that meanings are in the heads
of consumers, and not every consumer will see the meaning of a celebrity or a product in the same way.
Researchers have developed systems to measure celebrity appeals.
Students should recognize that some celebrities may be more effective as attention getters rather than a
source of symbolic meanings to be moved to the product. Students should have no difficulty discussing the
symbolic meanings of such celebrity endorsers. Probably lively arguments will ensue.
7. Select a holiday other than Christmas--for example, Thanksgiving or Independence Day. Discuss the major
cultural values reflected in this holiday celebration. What rituals did your family perform for this holiday and
how did the create meaning?
In countries other than the United States, students can discuss a major holiday in their culture.
American students might consider Independence Day. Many American families celebrate this day with
family reunions and picnics that bring together the extended family (grandparents, aunts and uncles). Such
rituals affirm the importance of family, love and belongingness.

Flying the American flag from one's house on July 4th is a simple ritual that demonstrates love
of country and patriotism.

Many smaller towns in rural areas hold parades on the 4th of July, consisting of school and
community bands, fire trucks, local dignitaries, and veterans groups. Parades can be seen as
mass rituals that affirm the shared values of community (many people participate in the parade
and many others are in the audience lining the streets), education (high school bands), civic
service (the mayor and other dignitaries ride in convertibles), hard work and community service
(fire companies often drive their fire trucks in the parades), and recognition of patriotic sacrifice
(veteran's groups often march in formation).

Thousands of people attend public fireworks displays in the evening, sponsored by local
governments or civic organizations. Could it be that this ritual symbolically affirms and
glorifies the War of Independence which secured America's independence from Great Britain as
well as the other wars the U.S. has fought to defend freedom?
8. Think about what you do when getting ready to go out. Try to identify some grooming rituals you perform that
involve certain products. How do you use some particular product (blow dryers, cologne, shampoo)? What
implications might these rituals have for marketing this product?
Again, this is a rather simple applications question which will yield completely idiosyncratic answers from
your students. You may need to probe to move students to deeper levels of analysis and discussion.
Some students may be slightly embarrassed about the symbolic meanings associated with these
products. The discussion probably will generate some giggles and nervous laughter as students
recognize others who share some of these meanings. We believe you should point out that these
meanings associated with personal care products are not necessarily "irrational" or "stupid."
Nearly any object may contain symbolic meanings.
Of course, marketers try to put desirable meanings into their personal care products, often using
celebrity endorsers such as famous models, actors, or actresses. The models used in such ads
typically are beautiful and sensuous in the style most valued by the culture (in American popular
culture, beautiful women are thin, with tautly muscled bodies, narrow hips, and large breasts). The
men used in shaving ads are similarly stereotyped with well-muscled stomachs and chests, square
jaws, dark hair and eyes, and heavy beards.
Highlight 12.3 gives a few ideas about the deeper symbolic meanings that may reside in various grooming
products. These symbolic meanings may be moved into consumers, at least temporarily, through purchase
and consumption of the products. Ritualistic use of the products is more effective in moving special
meanings into the consumer.
Some consumers may own several brands or types of shampoos or colognes that are used for
various occasions, depending on the types of cultural meanings desired (the sexy one, the business
one).
One of the most interesting things about grooming rituals and the "magical" meanings that consumers derive
from personal care products is their temporary nature. Most of the special meanings gained from a
shampoo, skin care product, special cologne, or cosmetic "wear off" with time. The product literally wears
off (the scent evaporates; the hairdo gets messed up, the skin dries out again, the mascara flakes off), and
the symbolic meanings also fade away with time (one feels less sexy a few hours after a special grooming
ritual). These meanings must be acquired again, perhaps by engaging in another ritualistic use of the
product.
9. Describe how possession rituals can transfer meaning from products to consumers.
Possession rituals help consumers acquire the meanings contained in products. Hosting a party to show off
a new stereo system, taking one's friends for a ride in a new car, or throwing a housewarming party helps the
owners establish that they now own this wonderful object and also possess its special cultural meanings.
Of all the rituals discussed in the text, possession rituals may be the most difficult for students to grasp.
Some possession rituals are so familiar and commonplace that they do not seem to be rituals at all.
Consider the sequence of events when checking out of a grocery store. At the checkout counter, a
simple ritual is being performed that includes placing the products on the counter, being handled
by the clerk, packaging them in a bag or wrapping, paying with a check, and carrying the bags out
of the store. Via this simple ritual, ownership of the various products is transferred to the buyer.
In cultures where bargaining and haggling is common, this cultural ritual symbolizes the exchange
of ownership and affirms the cultural meanings of the product for the purchaser.
Some specialty stores have developed more elaborate rituals to symbolize the transfer of ownership from
retailer to customer. The checkout process is more dignified and the products are handled more reverently.
Clothing may be gently folded, placed into attractive box, and carefully wrapped. Checkout in a discount
store is quite different. Clothing is handled roughly, casually folded and stuffed into a plain sack. Rather
different cultural meanings are transferred by these different rituals.
Different cultures handle possession rituals differently. One of the authors remembers shopping in a small,
but rather elaborate jewelry store on a tiny Greek island. The charming owner spent a great deal of time
showing and describing a few pieces of jewelry, including ritualistic display of the pieces on black velvet.
The ritual took nearly one hour and included serving cognac and chatting about spouses, the weather, and
international travel, occasionally interspersed with serious discussions about the quality and value of the
merchandise and rather elaborate bargaining over the price.
10. Describe a personal experience in which you performed a divestment ritual. What personal meanings did you
remove through the ritual?
This is another personal question, and the answers will necessarily be idiosyncratic. Most likely the product
had significant amount of personal meaning in order that a divestment ritual is necessary. Less self-related
products can be sold without much feeling of loss.
Perhaps a student sold a bicycle, or stereo system, or piece of sporting equipment. They may
remove some special parts of the object before selling it (remove the light or luggage rack from a
bike). Some people remove a special light fixture from a house before selling it.
Having a yard or garage sale is a divestment ritual that may make it easier for some consumers to
get rid of special items by including them in a large number of objects to be sold "all at once."
Perhaps selling the special object all by itself, say from an ad placed in the paper, would be too
painful.
Reducing use of a product may be a form of divestment. People who feel a strong attachment to
certain chair ("my chair") may intentionally stop sitting in it for a few weeks before selling to
decrease the emotional involvement with the product to the point that it can be sold.

Ask students if they have ever been so attached to an object that they were unable to "get rid" of it, even
though they may no longer use the product.
11. Discuss how the three main approaches to dealing with cross-cultural factors in international marketing could
be applied to the marketing of a soft drink such as Pepsi-Cola. Describe one problem with each approach.
Which do you recommend?
The three approaches to handling the cross-cultural factors in developing international marketing strategies
are (1) adapt the marketing strategies to each local culture, (2) develop a standardized or global marketing
strategy to be used in about the same way in each culture, and (3) develop marketing strategies to change
the culture in a favorable way.
Adapt to the local culture. Marketers at Pepsi could create special marketing strategies tailored to the
special needs of each market. In the extreme, this might include developing special formulations of Pepsi
for each market (perhaps different countries) to appeal to their cultural tastes. This could be expensive. An
adaptation strategy might require a great deal of management effort to create these special formulations.
Then management would have to find a local company that could produce the special formulation in
sufficient quantities and quality. It seems unlikely that Pepsi would do this.
Develop a global marketing strategy. Marketers at Pepsi could create a single overall marketing strategy
that would be used in about the same way in every culture/society. This has the advantage of simplicity and
lower costs. The formula for Pepsi could be given to local bottlers to produce the product. This approach
has the advantage of lower costs and easier management tasks. However, the global strategy might not be
effective in certain cultures.
Change the culture. Marketers at Pepsi could create an overall marketing strategy that would be designed to
change aspects of the culture. This can be quite difficult and the appropriate way to do so is often not clear.
A trial and error process is likely.
Because Pepsi is competing with Coca-Cola on an international basis, they are likely to focus on developing
a global marketing strategy. But there could be elements of adaptation to the local culture (even including
slight taste changes, changes in the advertising appeals, different pricing or distribution strategies). This
approach might be closer to the now popular perspective--think global, act local.
NOTES TO DISCUSSION QUESTIONS FOR MARKETING STRATEGY IN ACTION—
Sony
Overview. This case discusses the history of Sony, briefly tracing its growth from a small, post-World War II radio
repair company to a huge multinational corporation. Sony made its first big splash internationally with the
Walkman, introduced in 1979. By 2000, 250 million Walkmans had been sold worldwide.
This case describes some of the cross-cultural problems and opportunities facing Sony as it continues to expand its
operations around the world. These issues give students and the instructor many opportunities to discuss significant
concepts from the chapter (cultural meaning, global strategies) and raise issues (is a global marketing strategy for
Sony possible and desirable?) Students should focus on cultural meanings in a cross-cultural context.
The case deals with whether Sony should develop a global marketing strategy, and veer away from its current
strategy of marketing by region. Should Sony’s advertising messages be the same across cultures? Sony has also
traditionally been a very insular company. Should it reach out and partner with other firms around the world?
Suggestions for Discussion Questions.
1.
Identify and discuss some of the cultural meanings for Sony possessed by consumers in your country. Discuss
how these cultural meanings were developed and how they influence consumers’ behaviors (and affect and
cognition). What is the role of marketing strategies in creating and maintaining (or modifying) these cultural
meanings.
Students should have no problem engaging in an elaborate discussion of Sony’s cultural meanings. Of
course, if you have students with different cultural backgrounds in your class, they can relate the meanings
of Sony in their culture. The class can discuss similarities and differences in cultural meaning.
Students should recognize that consumers will acquire cultural meanings for Sony through a variety of
sources. Perhaps most important is the direct, personal experience of purchasing a Sony product. Also
important are the social influences of friends and relatives (children, siblings), which can influence how
consumers think and feel about Sony.
At this point in the course, students should be able to discuss how cultural meanings can influence behavior
and other affect and cognition. Students should recognize the influences of cultural meaning on the two
major cognitive processes in consumer decision making: (1) interpretation processes in comprehending new
information, and (2) integration processes by which various meanings are combined in decision making.
The integration processes will then influence decisions about behaviors.
Students should recognize that marketing strategies, particularly communication strategies, also could have
an impact on the meanings a consumer has for Sony. All marketing strategies, even new product
introductions and price deals, can create meanings about the company.
Of course, advertising is the primary carrier of meaning. Ads that show the high intensity action of a
PlayStation game or someone enjoying music on a Walkman can create part of the cultural meaning of
Sony.
2.
It is often stated that the world is becoming smaller because people today can communicate relatively easily
across time and distance. Discuss whether that has been beneficial for Sony. What are some of the marketing
challenges it presents?
This question requires students to consider the effects of communications technology on Sony’s marketing
efforts. It could be argued that the “shrinking” of the world has made it somewhat easier for Sony to market
its products. With people all around the world having access to the same kinds of cultural and media
influences, one might contend that cultures have become more homogenized and that Sony buyers in China
are really not all that different from Sony buyers in the United States. Thus, the cultural meanings for Sony
products might be similar around the world, and the company could implement a standard marketing
strategy across various cultures.
One could also argue that Sony’s corporate culture is not readily conducive to adaptation to the “shrinking”
world. Sony has traditionally been reluctant to form international partnerships and its lack of partnerships
with U.S. cable or television networks could prove problematic in the long run.
Another potential challenge for Sony, in addition to overcoming an insular corporate culture, is to determine
exactly which aspects of culture are becoming homogeneous around the world. Although cultures are
generally seen as becoming more similar, each culture may retain certain unique elements. A challenge for
Sony and all multinational corporations is to be able to read the specific nuances of each culture and learn
what makes each one unique.
3.
What do you think about Sony’s tradition of region-specific or nation-specific marketing? Would Sony be
better served by working to create more of a uniform global image?
In answering this question, students may bring up some of the issues discussed in the previous question.
Perhaps as cross-cultural influences increase, it might be more efficient for Sony to project a more uniform
global image for its products. It accomplished that to some degree with the Plato character, used to promote
the Walkman. Plato had a generic enough form to appeal to consumers in all cultures.
An argument in favor of region-specific or nation-specific marketing is that is does allow Sony to focus on
the micro elements of each culture. Sony would certainly want to pay close attention to the Asian market
because two-thirds of its target consumers will live in Asia by 2010. Despite the cultural homogenization,
Asian cultures certainly have unique features to which Sony should be sensitive. A global marketing
strategy might not hit upon those nuances of meaning that may be important in each culture.
4.
What kinds of factors do you think Sony considers when deciding how to market its products in various
countries? How might its American marketing efforts be different from those in Japan or Europe?
This question requires students to get into the heads of Sony’s marketers. Among the factors it tracks, Sony
tries to keep its finger on the pulse of young people. As stated in the case, the prime buyers of electronics
products are between the ages of 15 and 40, and the average age for the buyers of certain products (like
PlayStation 2) probably skews even younger. It is important for Sony to know what these consumers think
is trendy or cool, and to know if the definition of “cool” is different from one country or region to the next.
Sony certainly also stays abreast of advances in technology, so that it knows what features of a given
product are likely to seem freshest or most useful to consumers. Sony might also keep tabs on the political
and economic situations in the countries in which it markets its products. It may market the same product
differently during prosperous times than it would during an economic downturn or a period of political
turbulence.
Because of the tremendous cultural diversity across the continent, it would be difficult for Sony (or any
company) to develop a uniform marketing effort for all of Europe. This is a region in which paying
attention to the nuances of the various cultures of each country is of critical importance. Marketing efforts
in America and Japan would potentially be quite different. It is possible that American marketing could
focus on the sense of uniqueness Sony products provide consumers, appealing to Americans’ strong
individualistic orientation. Ads in Japan might play on that country’s strong group values, illustrating how a
Sony product can help consumers feel as one with their friends and neighbors. One might also argue that
Sony could attract a lot of younger Japanese buyers by emphasizing the “American-ness” of its products, in
light of the increasing popularity of Western culture among Japan’s youth.
5.
Describe the benefits Sony gets from some of the international alliances mentioned in this case study. Do you
believe Sony needs to become more aggressive in forming such partnerships?
Among the benefits these alliances provide Sony is access to technical know-how. Case in point: Toshiba
designing the power plant for the PlayStation2 system. The alliances with Intel and Palm also allowed Sony
to access the core competencies of these forms to help it design a better product.
These international alliances could also help Sony’s marketing efforts. An American firm like Palm might
have a more intimate knowledge of American business consumers than Sony and might be able to help Sony
tailor its marketing accordingly. These partnerships also serve as pre-emptive strikes. As more and more
companies form alliances, Sony would risk being left in the cold were it to remain completely isolated.
Partnerships like the ones with Palm, Intel, and Toshiba lay the groundwork for future collaborations.
Students could argue either side of whether Sony should become more aggressive in forming partnerships.
The points mentioned above are certainly important. However, a certain level of trust must be established.
In most partnerships, Sony would probably be the larger and most powerful of the two players. Thus it
would potentially have less to gain and more to lose.