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CHAPTER
THIRTEEN
Cross-Cultural
Consumer Behavior:
An International
Perspective
Learning Objectives
1. To Understand the Importance of Formulating an
Appropriate Multinational or Global Marketing
Strategy.
2. To Understand How to Study the Differences Among
Cultures While Developing Marketing Strategies.
3. To Understand How Consumer-Related Factors
Impact a Firm’s Decision to Select a Global, Local, or
Mixed Marketing Strategy.
4. To Understand How Lifestyle and Psychographic
Segmentation Can Be Used.
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Chapter Thirteen Slide 2
Under What Circumstances Would This English-Language Ad
Attract Affluent Consumers from Largely
Non-English Speaking Countries?
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Chapter Thirteen Slide
3
If They Frequently Visit the United States
and Regularly Read American Upscale Magazines
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Chapter Thirteen Slide
4
The Imperative to Be Multinational
• Global Trade
Agreements
– EU
– NAFTA
• Winning Emerging
Markets
• Acquiring Exposure to
Other Cultures
• Country-of-origin Effects
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Thirteen Slide 5
The Best Global Brands - Table 13.1
1. Coca-Cola
2. IBM
3. Microsoft
4. GE
5. Nokia
6. Toyota
7. Intel
8. McDonald’s
9. Disney
10.Google
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Chapter Thirteen Slide 6
Discussion Questions
• What challenges may Toyota have faced to get
their status as one of the top brands?
• What might they have done right in their
marketing strategy to achieve this status?
Consider the 4Ps.
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Thirteen Slide 7
Country of Origin Effects:
Positive
• Many consumers may take into consideration
the country of origin of a product.
• Country-of-origin commonly:
– France = wine, fashion, perfume
– Italy = pasta, designer clothing, furniture, shoes,
and sports cars
– Japan = cameras and consumer electronics
– Germany = cars, tools, and machinery
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Thirteen Slide 8
Country of Origin Effects:
Negative
• Some consumers have animosity toward a country
– People’s Republic of China has some animosity to Japan
– Jewish consumers avoid German products
– New Zealand and Australian consumers boycott French
products
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Chapter Thirteen Slide 9
Why Do Most Global
Airlines Stress Pampering
Business Travelers in Their Ads?
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Chapter Thirteen Slide 10
Upscale International Business
Travelers Share Much in Common.
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Chapter Thirteen Slide 11
Other Country-of-Origin Effects
• Mexican study uncovered:
– Country-of-design (COD)
– Country-of-assembly (COA)
– Country-of-parts (COP)
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Thirteen Slide 12
Conceptual Model of COD and COM
Figure 13.2
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Chapter Thirteen Slide 13
Cross-Cultural
Consumer
Analysis
The effort to
determine to what
extent the
consumers of two
or more nations are
similar or different.
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Thirteen Slide 14
Cross-Cultural Consumer Analysis
Issues
• Similarities and
differences among
people
• The growing global
middle class
• The global teen market
• Acculturation
• The greater the similarity
between nations, the
more feasible to use
relatively similar marketing
strategies
• Marketers often speak to
the same “types” of
consumers globally
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Thirteen Slide 15
Discussion Questions
• Are people becoming more similar?
• Why or why not?
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Thirteen Slide 16
Comparisons of Chinese and American
Cultural Traits - Table 13.2
• Chinese Cultural Traits
• Centered on Confucian
doctrine
• Submissive to authority
• Ancestor worship
• Values a person’s duty
to family and state
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• American Cultural Traits
• Individual centered
• Emphasis on selfreliance
• Primary faith in
rationalism
• Values individual
personality
Chapter Thirteen Slide 17
Cross-Cultural Consumer Analysis
Issues
• Similarities and
differences among
people
• The growing global
middle class
• The global teen market
• Acculturation
• Growing in Asia, South
America, and Eastern
Europe
• Marketers should focus
on these markets
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Thirteen Slide 18
Cross-Cultural Consumer Analysis
Issues
• Similarities and
differences among
people
• The growing global
middle class
• The global teen market
• Acculturation
• There has been growth in an
affluent global teenage and
young adult market.
• They appear to have similar
interests, desires, and
consumption behavior no
matter where they live.
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Thirteen Slide 19
Cross-Cultural Consumer Analysis
Issues
• Similarities and
differences among
people
• The growing global
middle class
• The global teen market
• Acculturation
• Marketers must learn
everything that is
relevant about the
usage of their product
and product categories
in foreign countries
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Thirteen Slide 20
Research Issues in Cross-Cultural Analysis
Table 13.8
FACTORS
EXAMPLES
Differences in language and meaning
Words or concepts may not mean the
same in two different countries.
Differences in market segmentation
opportunities
The income, social class, age, and sex of
target customers may differ dramatically
in two different countries.
Differences in consumption patterns
Two countries may differ substantially in
the level of consumption or use of
products or services.
Differences in the perceived benefits of
products and services
Two nations may use or consume the
same product in very different ways.
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Thirteen Slide 21
Table 13.8 (continued)
FACTORS
EXAMPLES
Differences in the criteria for evaluating
products and services
The benefits sought from a service may
differ from country to country.
Differences in economic and social
conditions and family structure
The “style” of family decision making
may vary significantly from country to
country.
Differences in marketing research and
conditions
The types and quality of retail outlets
and direct-mail lists may vary greatly
among countries.
Differences in marketing research
possibilities
The availability of professional consumer
researchers may vary considerably from
country to country.
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Thirteen Slide 22
Alternative Multinational Strategies:
Global Versus Local
•
•
•
•
•
Favoring a World Brand
Are Global Brands Different?
Multinational Reactions to Brand Extensions
Adaptive Global Marketing
Frameworks for Assessing Multinational
Strategies
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Chapter Thirteen Slide 23
World
Brands
Products that are
manufactured,
packaged, and
positioned the same
way regardless of the
country in which they
are sold.
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Chapter Thirteen Slide 24
Why Does One of the World’s Most Highly Regarded
Wristwatch Brands Use a Single Global Advertising
Strategy (Only Varying the Language)?
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Chapter Thirteen Slide 25
They Speak to Them in Their Own Language to
Maximize their “Comfort Zone.”
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Chapter Thirteen Slide 26
Cross-Border Diffusion of Popular Culture
Figure 13.6
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Chapter Thirteen Slide 27
Are Global Brands Different?
• According to a survey – yes
• Global brands have:
– Quality signal
– Global myth
– Social responsibility
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Chapter Thirteen Slide 28
Multinational Reactions to
Brand Extensions
• A global brand does not always have success
with brand extensions
• Example Coke brand extension – Coke
popcorn
– Eastern culture saw fit and accepted the brand
extension
– Western culture did not see fit
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Thirteen Slide 29
Adaptive Global Marketing
• Adaptation of advertising message to specific
values of particular cultures
• McDonald’s uses localization
– Example Ronald McDonald is Donald McDonald in
Japan
– Japanese menu includes corn soup and green tea
milkshakes
• Often best to combine global and local
marketing strategies
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Chapter Thirteen Slide 30
Discussion Questions
• If your university is considering a satellite
business program in Korea:
– How would they need to adapt the program?
– What would prompt these changes?
Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall
Chapter Thirteen Slide 31
Framework for Assessing
Multinational Strategies
• Global
• Local
• Mixed
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Chapter Thirteen Slide 32
A Framework for Alternative Global
Marketing Strategies - Table 13.10
COMMUNICATON
STRATEGY
PRODUCT
STRATEGY
STANDARDIZED
COMMUNICATIONS
LOCALIZED
COMMUNICATIONS
STANDARDIZED
PRODUCT
Global strategy:
Uniform Product/ Uniform
Message
Mixed Strategy:
Uniform Product/
Customized Message
LOCALIZED
PRODUCT
Mixed strategy:
Customized Product/
Uniform Message
Local Strategy:
Customized Product/
Customized Message
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Chapter Thirteen Slide 33
Cross-Cultural
Psychographic Segmentation
• The only ultimate truth possible is that
humans are both deeply the same and
obviously different.
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Chapter Thirteen Slide 34
Six Global Consumer Segments
Strivers
Devouts
Altruists
Intimates
Fun
Seekers
Creatives
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Chapter Thirteen Slide 35
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mechanical, photocopying, recording, or otherwise, without the prior written
permission of the publisher. Printed in the United States of America.
Copyright © 2010 Pearson Education, Inc. Publishing as
Prentice Hall
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Chapter Thirteen Slide 36