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Chapter 13
SUBCULTURE AND SOCIAL CLASS
AUTHORS' OVERVIEW OF THE CHAPTER
In this chapter, we discuss two aspects of the macro social environment--subculture and social class. Both subculture
and social class are large groups or segments of people within a culture who share common values and goals, beliefs
and attitudes, and norms and behavior patterns.
Subcultures. We define subculture as a distinctive group of people in a society that share common cultural meanings
about affective and cognitive responses (feelings, attitudes and beliefs), behavior (customs, rituals, and behavior
norms), and the environment (living conditions, geographic location, important objects). The demographic
characteristic of the populations in most countries are continually shifting as the population ages, moves about, and
becomes more or less prosperous. Thus, the relative sizes and prominence of various subcultures in society also
change over time. In America, some of these shifts have been dramatic and have had major impacts on marketing.
We begin by identifying several subcultures in America (see Exhibit 13.1). Then, we discuss how subcultures can be
analyzed at different levels. For instance, a marketer might identify a subculture of urban dwellers (in contrast to
people who live in rural areas). We point out that there is great variation between people in the same subculture, and
any subculture can be further differentiated on numerous levels, including values, lifestyles, ages, and sex. For
example, the urban subculture can be further divided into racial/ethnic subgroups, and each of these subcultures
could be divided into upper, middle, and lower classes. This process could continue until the subcultures were too
small to be useful. Marketers have to identify the level of analysis that is most relevant to their problem.
Next, we discuss several different subcultures in the United States. Most of these subcultures could be found in
other societies/countries. We discuss subcultures based on geographic location in the country and we describe a
special subculture of people who live along the border between the U.S. and Mexico. Then we discuss three age
subcultures--teens, baby boomers, and the mature market. We also discuss subcultures based on ethnic
characteristics, including the black or African American, Hispanic, and Asian subcultures in the United States. We
finish by briefly describing how marketers might treat gender (men and women) and income (downscale, middle
income, and upscale) as subcultures.
We finish the subculture section by discussing the acculturation process by which people in one culture or subculture
come to understand and adapt to the cultural meanings used in another culture or subculture. Consumer
acculturation refers to how people acquire the ability and cultural knowledge to be a skilled consumer in a different
culture or subculture. Acculturation is becoming very important around the world as many people immigrate to
different cultures or move (emigrate) within their own country and have to deal with new subcultures. We discuss a
model of acculturation that identifies four stages of acculturation: the honeymoon stage where everything about the
new culture is new and fascinating, the rejection stage where people might reject the new culture, the tolerance stage
where people begin to appreciate the cultural meanings of the new group, and integration where people adjust and
adapt to the new culture. The concept of cultural interpenetration (the amount of social interaction a person has with
members of the new culture) is important in explaining acculturation.
Social Class. In the last part of the chapter, we discuss social class and its influences on consumers. We begin by
describing how a society can be divided into social classes. We present Richard Coleman's simple model of
American social classes--upper, middle-class, working-class, and lower (see Exhibit 13.3). We point out that there is
great variation between people in the same social class and they can be further differentiated on numerous levels,
including values, lifestyles, ages, and race. Then, we discuss how income can be used to further segment social
class, and we discuss the implications of over- and under-privileged consumers in a social class. We conclude with a
brief discussion of the issues regarding using social class versus income as a basis for market segmentation.
KEY CONCEPTS AND ISSUES
 Subculture
 Types of subcultures including geographic location (Northeast, Southwest), age (teens, elderly), race
(black, Caucasian, Oriental), ethnic origin (Hispanic, Polish, Jewish), gender, and income level
 Acculturation process
 Cultural interpenetration
 Social classes in American society
 Social class versus income as predictors of consumer purchase behavior
CHAPTER OUTLINE
Chapter 13. SUBCULTURE AND SOCIAL CLASS
A. Mountain Dew
B. Subcultures
C. Analyzing Subcultures
1. Geographic subcultures
a. Borderland regions
2. Age subcultures
a. The teen market
b. Baby boomers
c. The mature market
3. Ethnic subcultures
a. The black subculture
b. The Hispanic subculture
c. Asian subculture
4. Gender as a subculture
5. Income as a subculture
6. Acculturation processes
D. Social Class
1. Social class versus income
E. Back to ... Mountain Dew
F. Marketing Strategy in Action: Abercrombie & Fitch
TEACHING OBJECTIVES
After completing this chapter, students should be able to:
 define subculture.
 describe several types of subcultures in the U.S.
 discuss some marketing implications of subcultural analysis.
 describe the stages of acculturation.
 discuss the role of cultural interpenetration in acculturation.
 define social class, describe the various social classes in American society, and discuss their general
characteristics.
 discuss using social class versus income to segment markets.
TEACHING IDEAS AND SUGGESTIONS
Overview. The material in this chapter is reasonably simple and straightforward. Rather than lecture from the text,
class time could be spent discussing implications of these macro social influences for creating marketing strategies.
You and/or your students could bring examples into class for discussion. Below we have provided several examples
that could be the basis for in-class discussions.
In-Class Exercise: Subcultures in the U.S. Marketers also need to understand cultural factors in the domestic
market. In most countries, for instance, several subcultures may be important. Even in cultures that appear to be
quite homogeneous to outsiders (the Scandinavian countries come to mind or the Netherlands/Holland), contain
distinct subcultures within the overall culture. These subcultural differences can be important for marketing many
products.

Ask student to identify as many subcultures as they can.
The text gives some examples of subcultures in Exhibit 13.1. Subcultures can be defined in terms
of age, income, race, ethnic origin, geographic location, lifestyle, etc. Highlight 13.1 describes the
gay subculture, which some companies have targeted as an important market segment for their
products.
Once started, students should be able to identify many different subcultures. Some of them may be
rather small and insignificant for most marketing purposes (workers at an auto assembly plant in
Michigan; street gangs in Los Angeles).
Students should begin to realize that the key problem for marketers is not identifying possible
subcultures. The main difficulty is identifying which subcultures are most relevant for their
product and determining the appropriate level of analysis for understanding that subculture.

For each subculture identified, ask students to consider some differences among people in that group.
Students (and marketers) should realize that all the people in a major subculture are not alike. Here is a
detailed example that you could describe in class.
For instance, consider the Hispanic market in the U.S. Hispanics come from many different
cultural backgrounds. The majority of Hispanics come from Mexico (about 60 percent), but
substantial numbers come from Puerto Rico, Cuba, and the countries of Central and South
America. There are significant differences in these cultures, so making blanket statements about
the Hispanic market is risky.
However, these different cultures have one thing in common--the Spanish language, a very
important aspect of the Hispanic subculture. Marketers are paying more attention to the
importance of Spanish. Fewer marketers are bungling translations such as Eastern Airline's slogan,
"Fly first class in leather," that in Spanish became, "Fly first-class naked in your seat." Most ads
are designed by copywriters who understand the Hispanic culture and use authentic Hispanic
actors.
Although Hispanics share many values with the general American population, they have some unique
perspectives. Many Hispanics tend to be interested in propriety and "keeping up appearances," and they
prefer the known to the unfamiliar. These traits were once strongly associated with middle-class
Americans. Families, especially extended families, are quite important in Hispanic culture. Researchers
have found some evidence that Hispanics may be more brand loyal than consumers in other subcultures.
These and other aspects of the Hispanic subculture must be studied and understood by marketers.
A final point: Hispanics in general seem to be less interested than other ethnic groups in participating in the
melting pot vision of America (quickly integrating into the American culture). Many Hispanics have strong
values for preserving their culture and their language. For these reasons, we can expect Hispanics to have a
strong influence on the overall American culture and on marketing strategies. [Sources: Susan Hayward,
"Understanding Hispanics: A Key to the Future, Marketing Research, June 1990, pp. 76-77; and Rick
Marin, "3-1/2 Hours of 'Gigante' Advertising," Insight, July 17, 1989, pp. 60-61.]
In-Class Exercise: Effects of Marketing Strategies on Culture. A lively and interesting discussion can be
generated on the important issue of how marketing strategies can influence culture meanings held by an entire
country or a subculture. Many students will have opinions about whether marketing has an overall positive or
negative impact on culture.
In the text we suggest that the effects of marketing strategies on culture can be significant, especially over longer
time periods. Some of these effects may be judged to have positive impacts on society; while others might be
considered negative.

Ask students to discuss how marketing strategies have affected culture. This might be difficult for
students at first. Perhaps you will have to "prime the pump" with an example or two.
Possible examples include the controversy surrounding Nestlé’s marketing of baby formula in
Third World countries, or the somewhat less controversial export of American cultural tastes
around the world, as in Levi's jeans or McDonald's and Kentucky Fried Chicken fast food.
Highlight 12.5 in the previous chapter describes how American popular culture is diffused
throughout the world.

Challenge students to describe in more depth how marketing strategies may have influenced various
aspects of a culture, including the beliefs, attitudes, and values of people; their patterns of behaviors;
and their physical and social environments.
As an example, the Hallmark Card "case" (Marketing Strategy in Action, Chapter 7) illustrates
how the aggregate marketing strategies for greeting cards, applied over many years, have created
strong cultural meanings and values about using greeting cards in U.S. society. However,
consumers in other societies/countries do not use greeting cards as much or in the same way as do
American consumers.
Greeting cards and related attitudes, values, and behaviors are now an integral part of American
culture. In fact, it is hard to imagine American culture without this product. For instance, some
people feel slighted or insulted if they do not receive greeting cards on certain occasions during the
year. Thus, cultural expectations have changed about what is appropriate behavior.
However, the entire cultural meaning of greeting cards cannot be attributed solely to the marketing
strategies of Hallmark and the other major companies. Other entities in the culture have had a
social influence, too--including families, media, educational institutions, etc. It is more realistic to
say that these factors interacted with marketing strategies over time to mutually create the current
cultural meanings of greeting cards.
Example: Important Changes in Demographics. Students should understand the importance of subcultures and
the necessity of keeping up with demographic changes in these large consumer segments. Consider how marketers
have tried to keep pace with the aging baby boomers.
The 77 million so-called baby boomers (Americans born between 1946 and 1964) have become middleaged. This large group will continue to have a disproportionate effect on the culture and economy of the
United States, probably even more than they did when they were teenagers and young adults. For instance,
by 1997 the 35 to 50 age group increased by 26 percent over 1987 and earned an awesome $195 billion.
This group became the nation’s biggest spenders. In contrast, the number of consumers in the 25 to 34 age
group fell by 9 percent and dropped $67 billion in purchasing power.
Many marketers have not understood or appreciated middle-aged consumers. But they have become too
large a market for most companies to ignore. Advertisers must learn how to appeal to these older and more
mature consumers. The old approaches of portraying baby boomers as a young and energetic bunch of
jeans-wearing, granola-eating, rock music-listening kids won’t work anymore.
The pervasive anxiety that many Americans have about growing older is a major impediment to creating
attractive, imaginative advertising for the not-so-young. As one advertising executive put it, “Advertisers
feel that youth is sexy and glamorous, old age is humorous, and middle age is dreary.” This had to change,
and fast.
By the mid 1990s, many companies were getting the idea. For instance, Clinique Laboratories (marketer of
cosmetics) stopped routinely retouching photos of its models to remove wrinkles. Quaker Oats replaced
paunchy Wilford Brimley as brand spokesperson with “George,” a 60-something, balding model working
out in a muscle T-shirt. Saks Fifth Avenue began using attractive, silver-haired models that were 50-plus,
rather than the 20-year-olds that used to fill its catalogs. Levi Strauss is one company that has followed the
baby boomers for three decades. It must continue to change with its market. To promote its popular
Dockers line of casual slacks, it showed a group of 40-ish men sitting around and jokingly reminiscing
about the good old days. The product was not mentioned until the conclusion. According to a Levi’s
executive, “Real people don’t sit around and talk about the brand of clothes they’re wearing.” The pants
were already a hit, but sales accelerated after these ads were shown. [Sources: Faye Rice, “Wooing Aging
Baby-Boomers,” Fortune, February 1, 1988, pp. 67-77; Susan B. Garland, “Those Aging Boomers,”
Business Week, May 20, 1991, pp. 106-112; Lisa Gubernick and Luisa Kroll, “Gray Hair is Cool,” Forbes,
May 6, 1996, p. 116.]
Example: Developing Marketing Strategies to Meet the Health Care Needs of the Elderly. This example
describes marketing strategies developed in response to demographic changes in the target market. This example is
related to the chapter case, "Marketing Strategy in Action: Hyatt and Marriott Build Retirement Housing for the
Elderly."
The number of elderly people in America (and most other countries) increased dramatically during the
1990s. These people will need many more long-term health care facilities than are now available. Here is
what one company is doing to meet these emerging consumer needs.
In 1989, Marriott Corporation, after five years of intensive marketing research, decided to become the
leader in the "hybrid" retirement/nursing home business. Over the next five years, Marriott will spend more
than $1 billion to build 150 handsomely appointed retirement centers around the nation, all with nursing
homes attached. What does Marriott have going for it? Its good name and reputation for quality, for two
things. When their first two developments opened in 1989, 80 percent of the units were presold.
Marriott is building "life care" units, so named because several levels of care are available to residents over
their lifetime. The bulk of each complex consists of apartments for independent living, including pools and
health clubs. But assisted living (caregivers can come in to help residents get dressed or take a bath) is
available when needed. Also, skilled part-time nursing care is available for people who still live in their
own apartments. Should a person's health deteriorate further, they can move into a nursing home wing for
around-the-clock nursing care. In some areas, Marriott will build units that offer only the assisted living
and nursing care options.

Ask your students to identify the prime target market for this product/service and suggest how Marriott
should market their product to the target consumer.
The psychology of marketing this product is extremely tricky. The prime market consists of people in their
late '60s and early '70s. Many people buy into these units before they are needed, as a kind of insurance
policy against the time when they will be needed. Most of these people see themselves as younger and
healthier than they really are. Thus, Marriott must get these people to think about the unthinkable, a time
when they will not be able to care for themselves, without at the same time turning them off.
To sell its first development, Marriott mailed brochures to nearly 50,000 affluent elderly residents
of the Washington, D.C. area. They were invited to become charter members and pick their own
apartments in a luxury high-rise building that had not yet been built. Marriott received an
overwhelming response--1800 people sent in a $1000 deposit.
After the sale, depositors are contacted several times. Marriott sent questionnaires on design issues, greeting
cards at holidays, and invitations to parties and luncheons. The company offered seminars on selling a
home and estate planning. These programs were intended to help people get to know the other residents
and stimulate the social life of the complex, a big part of the attraction of living there. [Source: Janet
Novack, "Tea, Sympathy, and Direct Mail," Forbes, September 18, 1989, pp. 210-211.]
In-Class Exercise: Marketing Implications of Social Class. The conceptual aspects of social class are covered in
the text. You could briefly review these concepts and then give students some experience in identifying different
marketing strategies aimed at consumers in different social classes.

Ask students to find ads (or other marketing strategies) that seem targeted at a particular social class and
come to class prepared to discuss their example.

Alternatively, you could bring examples of print or TV ads into class, and ask students to identify the
targeted social class and discuss the key aspects of the strategy that make it effective (or not) for those
consumers.
Students' analyses should include a consideration of the three elements of the Wheel of Consumer
Analysis. They should identify the unique affective and cognitive responses, environments, and
behaviors of consumers in each social class.
Possible Mini-Lecture: Changes in America's Vast Middle Class. Recent cultural changes have made social
class more difficult to use in marketing analyses. In particular, marketers and social scientists have become aware of
major changes in the vast middle class, which accounts for approximately 1/3 of the total population in the U.S.
Students should consider how marketers might react to these changes. At present, it is not clear how marketers will
respond.
According to the press, the American middle class, once the backbone of the country, was in "decline" or
was "fragmenting." Despite these dire predictions, however, a survey in the late 1980s revealed that an
amazing 92 percent of Americans considered themselves part of the middle class. In contrast, most social
class theories suggest that the middle class is about 1/3 of the total population.
Many marketing and social analysts believe the middle class with its once tightly-knit, highly consistent
values and behavioral norms is breaking apart. The changes are evident in economic terms as well. By
some accounts, the number of households with middle-class incomes has declined during the 1980s. The
variations in income levels have increased within social class groups traditionally defined by occupation
and education levels. No longer is each social class a huge group of buyers with common goals, values,
motivations and beliefs. Especially the middle class has become increasingly fragmented over the past two
decades.
Some researchers claim there is no longer a set of middle-class values that can describe this group. There
seem to be fewer goals, values, and lifestyles that everyone wants. There are fewer behaviors that most
middle-class people feel compelled to perform. Many people seem to have less motivation to conform to a
cultural sense of what one "should do." The traditional notions of middle-class morality, self-sacrifice and
loyalty, have given way to independence to do one's own thing.
Increasing numbers of people no longer feel compelled to meet the expectations of their fellow social class
members. Peoples' lifestyles have changed along with their values. Participation sports (individuality) have
increased; more people have taken out passports for personal use, fewer people value having a nice lawn.
So called life-style enclaves have sprung up where people with similar interests can live together-retirement villages, yuppie neighborhoods, pilots who build homes around an airstrip, sailboard enthusiasts
who live near windy waters. In short, more people are living their lives the way they want to.
Why have these changes occurred in the social class subcultures? For one thing, the increasing divorce rate
has splintered families. As media have proliferated and become narrower in their focus (TV stations,
magazines, etc.), people receive multiple, fragmented messages about what is important and valued in
society. Manufacturers obliged by increasing the variety of products, brands, and models they make.
In the late forties to early sixties, most people aspired to mainstream society--the middle class. (Apparently
most people still do, but the meaning of the middle class has changed.) Marketers accommodated these
changes with a hierarchy of brands that reflected changes in status. For instance, you started with a
Chevrolet (or Ford) and then moved up to a Mercury or Pontiac, then to an Oldsmobile or Buick, and then
to a Cadillac.
American companies used mass marketing techniques to sell a few products to millions of consumers who
were pretty similar. But, no longer. Chrysler sold 10 basic car models in 1965; now dealers stock 25.
Coca-Cola went from a single product to many permutations on the theme, including Classic Coke, Diet
Coke, Cherry Coke, Diet/Caffeine Free Coke, and so on. Hart, Shaffner and Marx went from three suit
styles to 15. Levi Strauss went from its one model of blue jeans to more than 5,000 clothing styles today.
So, markets are increasingly defined in terms of values and lifestyles--how consumers see products as fitting
into their lives (means-end chain analysis is useful for understanding this). As markets fragment, traditional
(mass) market segmentation becomes more difficult. The days are long gone when a marketer could
segment the mass market on a few simple variables such as education, occupation and income (the key
social class indicators) and then develop a single marketing strategy targeted at the huge middle class.
Today, the name of the game is niche target markets. [Source: John Koten, "A Once Tightly Knit Middle
Class Finds Itself Divided and Uncertain," The Wall Street Journal, March 9, 1987, p. 19; John Koten,
"Upheaval in Middle Class Forces Changes in Selling Strategies," The Wall Street Journal, March 13,
1987, p. 21.]
Possible Mini-Lecture: Marketers Need a Flexible, Relativistic Perspective. We like to emphasize in our
classes that marketers frequently have to develop strategies targeted at consumers from very different cultures,
subcultures, and social classes from their own. This can be very difficult. Many (maybe most) marketing people
find it difficult to accept that people (potential customers) may have very different perspectives about the products
and brands the marketers care so much about.
Marketers need to be highly sensitive to and tolerant of other people's values, beliefs, and behaviors.
Marketers should be able to empathize, to understand and appreciate other people's points of view. Some
marketers probably have greater innate abilities than others to empathize and understand how other people
think and feel. But, all marketers should strive to cultivate a flexible, relativistic perspective.
Detailed consumer analysis--through careful marketing research--is one way that marketers try to gain this
knowledge about different types of consumers. Means-end chain analysis is useful for this purpose.
1. Discuss how subcultures and social class influence how consumers learn cultural meanings (values, behaviors,
lifestyles). Give a specific example.
This review question asks for a discussion of how environmental factors (both physical and social) at the
level of subculture and social class can affect the cultural meanings of individual consumers.
Cultural meanings represent the shared meanings by which people in a social system represent significant
aspects of their environments. These meanings and associated behaviors are learned through a socialization
processes called acculturation--in which various social groups and institutions create these meanings and
transfer or move them to individuals. Thus, individuals in subcultures or social classes come to have
cultural meanings (beliefs and values) that are similar to others in that group.
Acculturation occurs through the influences of such social organizations such as businesses, churches, and
schools; reference groups (friends, co-workers), family (immediate and extended), and the media (TV,
magazines, books). In addition, individuals can be influenced through vicarious learning, by observing the
behaviors of other people in the same subculture or social class.
Students should recognize that all types of learning can occur during the social interactions that produce
acculturation. These include cognitive learning of beliefs and meanings, classical conditioning of affective
responses, operant conditioning of behaviors based on reinforcers and punishments, and modeling or
vicarious learning of behaviors.
2.
Check out the Nike web page devoted to women’s sports and sports equipment at
http://www.nike.com/nikegoddess. Discuss how Nike seems to understand women as a subculture and how that
approach has directed their marketing strategies. Contrast your analysis of Nike with another competitor such
as Reebok (www.reebok.com).
This is a somewhat difficult and thought provoking question. The short answer to this is that Nike has addressed
its communication and products squarely at women. Nike seems to understand that although women are part of
the mainstream, they do have different needs and different sports than men. Thus, their strategies are aimed at
influencing the cultural meanings held by women. In doing this they are also communicating a degree of
sensitivity toward women which may well be appreciated. Recall the now famous example of Virginia Slims
and their tag of, “You’ve come a long way, baby. You’ve got your own cigarette.” This slogan exclusively
targeted women.
3. What ethical factors should a marketer consider in developing marketing strategies targeted at particular
subcultures or social classes? (What is your reaction to selling fortified wine to homeless people, cigarettes to
Hispanics, or diet plans to overweight people?)
This question asks students to go beyond the text material to address ethical considerations. You might
encourage students to explore all sides of the issue before settling on one position.
Some consumers have become quite sensitive about products that are targeted at certain subcultures,
especially those aimed at racial minorities, certain age groups, women, or low-income people. In some
ways, these reactions seem to reflect a paternalistic goal of "protecting" groups of people. The underlying,
but implicit assumption of some critics seems to be that members of such subcultures are weak-willed,
defenseless, or otherwise unable to protect themselves and therefore require special protection.
Manufacturers of certain products have been criticized for targeting consumers in various subcultures
(women, children, elderly) with special products and marketing strategies. Critics felt that these marketing
strategies would have a strong and unfavorable influence on people in subcultures. The social backlash, in
some cases, has been considerable.
Students may remember some well-publicized incidents about brands targeted at particular subcultural
segments. Several new products were taken off the market in the early 1990s following a social uproar over
their introduction (especially their targeting of certain subcultures). For instance, PowerMaster, a highalcohol beer targeted at black males, was pulled from the market after severe criticism. Similar protests
caused R.J. Reynolds to drop a new cigarette targeted at black smokers.
Although not an ethical issue, per se, another negative reaction to marketing strategies targeted at
subcultures is they treat all consumers in the subculture as "alike." Some members of the subculture in
question might feel they are being treated as a monolithic block, not as diverse individuals. Other
companies risk being criticized for stereotyping members of the subculture or exploiting them.
Despite the problems in targeting members of subcultures, particularly ethnic and racial subcultures, this is
a growing trend that is not likely to decrease. The United States is a highly diverse society, with many
subcultures. Given their equally diverse needs and interests, marketers cannot afford to ignore subcultures
in creating products to satisfy those needs.
4. Are college students a subculture? Why or why not? How could a marketer use knowledge about this group to
develop marketing strategy?
The text defines a subculture as a distinctive group of people who share certain cultural meanings (values,
goals, attitudes, behavior norms, lifestyles). College students are certainly a distinct social group that share
many cultural meanings. Thus college students seem to meet the requirements of being a subculture.
Of course, not all college students have exactly the same cultural meanings (values, beliefs,
behavior patterns). Despite considerable commonalty in their cultural meanings, college students
are quite diverse. This diversity in the college student subculture mirrors similar variations in
social groups at all levels from culture to social classes to reference groups and families. Because
marketers tend to focus on the common or shared cultural meanings, they sometimes lose sight of
the considerable variation among members of the same subculture and social class.
Thus, marketers must decide on the appropriate level of analysis for subcultures or social classes.
There is a trade-off between defining a subculture too broadly (all college students) and too
narrowly (male, middle-income, 20-year-old, city-dwelling, African-American, college students).
Marketers would like to know the cultural content (values, goals, attitudes) of members of the college
student subculture. This would help them position their brands and link the brands to important values and
consequences that are important to members of this subculture. It would also be useful to know some of the
rituals used by college student consumers to move meanings from products to themselves.
5.
Identify the age subcultures among members of your own family (or neighborhood). How do these cultural
differences affect the consumption behaviors of these people for foods, personal care products, and clothing?
This is a relatively simple review and application question that will produce idiosyncratic answers.
Students should identify variations in the cultural meanings held by people in different age subcultures.
These meanings would include peoples' values, beliefs, behaviors (norms, rituals, and customs), emotional
reactions, and environments (decoration of rooms or homes). We can expect people of different ages to
reflect considerable differences in these factors.
Most students should be able to talk intelligently about differences in the cultural meanings held by
members of their own family or household or people living in their neighborhood. For some students, the
textbook discussion of teens, baby boomers, and the mature market (see pages 326-331) accurately reflects
the cultural meanings of themselves, their parents, and their grandparents. Other people in your class may
have different cultural meanings. In the classroom discussion, students should consider these differences
more deeply and in more detail.
Students should consider how cultural differences between subcultures can lead to different consumption
behaviors. This should help students develop a deeper appreciation of the importance of subcultural
analysis in consumer behavior.
You are likely to have to probe and stimulate students to delve more deeply in their discussions. You could
ask students why particular behaviors (or cognitive views, meanings, or feelings) exist. Usually, a cultural
influence will be at work.
6. Define the concept of social class. What are the major social class groups in the United States. (or your home
country)? What are the major social class groups in the immediate community where you live? How did you
recognize these social class groupings?
This is a simple review question. Students should have no trouble with it. The four broad social class
groupings in America--upper, middle, working and lower classes--are described in Exhibit 13.3. Question 7
below asks for more specific implications of these classes.
Students should recognize two important characteristics of social class. First, most societies (including the
U.S.) categorize people into a hierarchy of groups in terms of esteem and prestige. The labels upper,
middle, and lower connote this hierarchical status distinction. The other concept is that the social class
categories are based on a composite of several variables. The key factors for determining social status and
prestige in the U.S. (and thus social class membership) are education, occupation, and amount of income.
In other countries, status might be more determined by one's family prestige, area of residence, or source of
wealth.
Social class is important because these factors (occupation, education, and income) define social groups
with relatively similar cultural meanings. In turn, these cultural meanings affect the buying behavior of
members of the social classes. Thus all aspects of marketing strategy will be affected, including product,
distribution, price, and promotional strategies.
Interestingly, many Americans do not like to think about class distinctions. In fact, one survey reported that
94% of the respondents defined themselves as middle class. Actually, about 51% of the 95 million U.S.
households fall into the narrow income band of $15,000 to $50,000, which economists define as "middle
class." About 25% have incomes greater than $50,000 (rich in economists terms), while 24% with incomes
lower than $15,000 are considered "poor." These distinctions based strictly on income are not very useful.
For one thing, it makes a big difference where you live. An income of $60,000 might be considered "rich,"
but not if you live in New York City, while a person earning $40,000 might be able to join a country club in
the Midwest. A retired couple earning $16,000 but owing their home free and clear, might feel relatively
prosperous. Thus, it seems that people of widely differing incomes think of themselves as middle-class, no
matter what they do for a living. Surprisingly, there is considerable movement among income levels. Every
year about 24% of the upper income group drops, 44% for the middle group changes levels, and 17% of the
lowest group moves up.
An interesting counterpoint to the U.S. example comes from Great Britain, where the class
structure is more rigid and mobility is more difficult than in the U.S. In one recent survey, about
2/3 of Britons considered themselves working class.
7. Select two product classes (such as foods, beverages, clothing, automobiles, furniture). How might each social
class you identified in question 6 respond to marketing strategies for these products.
Students might refer to Exhibit 13.3 as a guide for answering this application question.
Fast food restaurants such as McDonald's have a broad appeal across all the social classes.
However, McDonald's is most likely to appeal to the two huge social class groups--middle and
working-class--and probably the lower Americans too.
Furniture as a product category is used by people throughout the range of social classes, of course.
However, furniture brands have rather narrow social class targets with quite different styles, levels
of quality, and price levels. Various brands and price ranges have been developed, along with
styles that appeal to different social class groups. Very expensive, high quality designer furniture
and museum-quality antiques appeal to upper class Americans. Good quality, moderately
expensive furniture brands and "good" antiques appeal to upper-middle and some middle class
consumers. More popular brands of furniture sold at "regular" prices appeal most to middle and
working class consumers. Inexpensive, self-assembly furniture probably appeals most to working
class consumers. Used furniture exchanges are most frequented by working class and lower class
consumers.
Automobile brands are obviously targeted at different social classes. Imported luxury automobiles
(Mercedes, BMW, Lexus, Infinity, Volvo) are targeted to upper class Americans. Volvo, Audi,
Honda are brands targeted at upper-middle and middle class consumers. Chevrolet, Ford, and
certain models of Toyota, Nissan are targeted at middle and working class consumers. Various
models (pickups, 4-wheel drive, sports cars) have varying appeals to different social classes.
Students should be able to see that people in these social classes have quite different lifestyles, values and
goals, beliefs and feelings, and behaviors. These fundamental differences influence the types of products
desired, the prices ranges that can be afforded, and the specific motivations for purchasing a particular
product or brand. Thus, we would expect these consumers to have rather different means-end chains for
these products. Of course, there are some cultural similarities across social classes, too.
Students should also recognize that social class factors are more important for some product categories than
others. Extra reading or secondary research might result in good papers on this topic.
In this discussion, you will need to watch out for shallow analysis and excessive stereotyping. Be ready to
challenge students about the assumptions they are making, perhaps without a thorough consideration of
alternatives.
8. Think of a subculture not discussed in the text and briefly describe it. Discuss marketing implications for this
subculture. What product categories would be most relevant for this cultural group?
This is a simple review and application question that should generate a good discussion. Once you get them
started, students should be able to think of several subcultures not mentioned in the text. As ways of
segmenting the overall culture, these subcultures have standard marketing implications.
In many large cities, immigrants from various regions of the world live closely together and maintain a
unique cultural environment. These groups can be considered subcultures. Consider Koreans in Los
Angeles, Haitians in New York City, Italians in Boston, Poles in Chicago, or the Turks who live together in
many European cities. Various foods, clothing, and other products may be targeted at these groups.
People in certain occupations seem to develop an identifiable subculture. Perhaps lawyers, doctors, longhaul truck drivers, rock musicians, TV and film actors, or college professors could qualify as subcultures.
There are marketing implications for certain products tailored for people in these occupations (radar
detectors and CB radios for truck drivers, magazine subscriptions).
Finally, certain activities seem to create subcultures (skydivers, alpine skiers, gardeners, rock climbers,
tennis fanatics). The marketing implications here are obvious.
One could think of some religious affiliations as identifiable subcultures. Perhaps Muslim, Jewish,
Catholic, Baptist, or Unitarian would qualify. The marketing implications are obvious for companies
selling religiously oriented products.
9. Discuss the acculturation process by describing what might happen if you come into contact with a different
subculture (say, you moved to a different area of your country or another city).
This review question forces students to consider the acculturation process at a personal level.
Acculturation occurs when people are exposed to a different culture. They will develop some level of
understanding about the cultural meanings of the new society or subcultural group and have some level of
adaptation to its customs. The text identifies four stages of the acculturation process.

Honeymoon stage--fascination with the unusual cultural meanings of the new group.

Rejection stage--recognize that one's prior meanings are inappropriate for the new subculture
which is seen as having strange and bizarre meanings.

Tolerance stage--as experience in the new subculture accumulates, person begins to see the
positive qualities of the new cultural meanings.

Integration stage--sufficient experience has accumulated that the person understands the social
basis for the cultural meanings of the subculture and is able to function adequately in the
subculture.
The speed and depth of acculturation depend on the person's level of cultural interpenetration--the amount
and depth of social interaction a person has with members of the subculture. People who are exposed to a
different subculture but stick to themselves or interact mainly with people like themselves tend not to
become very acculturated. For example, some military personnel who are assigned overseas live on the
base in a foreign country. They associate nearly all the time with other Americans and never become
acculturated in the foreign country. Others intentionally live off base in the community to give themselves
the opportunity to become acculturated.
10. Discuss the concept of cultural interpenetration in terms of the acculturation of immigrant populations in your
country. What marketing opportunities do you see in this situation?
Cultural interpenetration refers to the amount and type of social interactions that newcomers to a society
have with people in the new culture. The social contact could be through work, living arrangements (see
example just above), or general social interactions such as shopping.
Some immigrants tend to become acculturated rather quickly (at least to the level of tolerance) because their
social situation puts them into daily contact with people in the host culture. In the United States, for
instance, Indian immigrants who are more highly educated tend to become acculturated more rapidly,
probably because their work forces them to deal with members of the host culture. Less educated
immigrants often work and live with other people with the same cultural background. Their acculturation
process will proceed more slowly and may require two or three generations or more to become "fully"
acculturated into the host society.
Additional Discussion Questions, with Possible Answers.
A. Use a holiday or season other than Christmas to contrast subcultural values and consumption behaviors. Your
classmates or secondary sources could be used as resources.
This application question could be combined with some casual research, probably talking to some friends,
acquaintances or members of the class. Or, this could be a topic for class discussion.
Another idea is to discuss spring break holidays from school. In many classes, you will have
enough subcultural differences to identify groups who use the time to travel to certain vacation
spots (the Florida beaches are popular with Eastern university students), some who expect to spend
time with their families, and others who intend to work, perhaps even double shifts, to save money
for the rest of the term.
Discussing religious holidays such as Easter or Hanukkah, or nonsecular holidays such as
Thanksgiving, Halloween, or Valentine's Day, will present the number of differences in how
members of subcultures celebrate (or not).
B. How would recognition of subcultural differences in target markets affect the marketing research and strategy
development of a food products marketer?
This applications question requires students to think a bit deeply about some of the implications of cultural
differences. Various cultural and subcultural factors might be of interest, including age categories, race, or
ethnic origin.
Students should be able to recognize some ways in which cultural differences would affect marketing
research. A major decision would be whether to subdivide the target market into "subsegments"
representative of the important cultural differences. For instance, sampling frames should be designed so
that people with the important cultural characteristics are adequately represented.
Attention would have to be devoted to measurement including questionnaire construction. Of course,
questions would have to be in the appropriate language. Wording of specific questions should be designed
so that respondents clearly understand what is being asked of them.
Consider food products marketing. Here cultural differences might influence product strategy issues such
as ingredient content, spice levels, package sizes, or label design and color. Specific stores in a grocery
chain can vary in decor and some of the products carried, depending on the cultural characteristics of the
immediate population of customers.
When considering subcultures, managers face a broad strategic decision concerning whether to adopt a
standardized approach to a target market or adapt to cultural differences.
C. Consider how the three main approaches to dealing with cultural factors in international marketing could be
applied to developing marketing strategies for subcultural groups within a country. Are there extra problems or
advantages to the marketer in each situation?
In Chapter 12, we identified three main approaches to international marketing strategies--standardization or
global strategies, adaptation to the local culture, and strategies intended to change the culture. Students
should be able to see that these options are also relevant when dealing with subcultural differences within a
society (such as the U.S.).
The standardization or global strategy can be appropriate when faced with subcultural differences.
Companies that follow a global strategy at the international level, probably also have a global strategy for
subcultures within a society. For the most part, Coca-Cola, Marlboro, and Bennetton have a standardized
strategy. A standardized approach is easier within a country because there are more shared cultural factors
including a common language. In some situations, other factors influence the standardized approach.
Sometimes, it is not easy to isolate and precisely target promotions or distribution strategies to particular
subcultural groups.
On the other hand, adaptation may, when economically feasible, provide some key competitive advantages.
The ability of the marketer to encourage change will be influenced by the competitive environment and the
desire of the group to either assimilate or to preserve differences.

If your students need stimulation, you can suggest that they take a trip to the grocery store and look
there for examples of all three approaches, often in the same product area (e.g., canned sauces; frozen
foods; breads).
Of course, the ethnic foods shelves in the local store in most communities will reveal cross-cultural
differences. As another example, personal care products aimed at different racial groups will often
be displayed side-by-side in stores near some campuses.