Consumer Behavior,

Ninth Edition
Chapter 13
Cross-Cultural Consumer Behavior: An
Schiffman & Kanuk
International Perspective
MKT 344
Lecturer: NNA
The Imperative to Be Multinational

 Global Trade Agreements

 EU
 NAFTA
 Acquiring Exposure to Other Cultures
 Country-of-origin Effects
 Table 14.1 The World’s Most Valuable
Brands
1. Coca-Cola
2. Microsoft
3. IBM
4. GE
5. Intel
6. Disney
7. McDonald’s
8. Nokia
9. Toyota
10. Marlboro
Most of these
brands offer
different Web
sites for each
country.
Discussion Questions

 What challenges may Toyota have faced to

get this status?
 What might they have done right in their
marketing strategy to achieve this status?
Consider the 4Ps.
Country of Origin Effects:
Negative and Positive
 Many consumers may take into consideration the
country of origin of a product.
 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
Swiss Watches
More Swiss Watches
Can’t Beat the Engineering
The “American” Twist
This U.S.
Government
Web site helps
those who want
to buy USA
products.
National Identity
Figure 14.2
 The effort to
determine to what
Cross-Cultural
extent the
Consumer
consumers of two
Analysis
or more nations are
similar or different.
Cross-Cultural Consumer Analysis

Issues
 Similarities and  The greater the similarity
differences among between nations, the
people more feasible to use
relatively similar
marketing strategies
 Marketers often speak to
the same “types” of
consumers globally
Discussion Questions

 Are people becoming more similar?

 Why or why not?
Table 14.2
Comparisons of Chinese and American Cultural Traits

Chinese Cultural Traits American Cultural Traits

 Centered on Confucian  Individual centered
doctrine  Emphasis on self-
 Submissive to reliance
authority  Primary faith in
 Ancestor worship rationalism
 Values a person’s duty  Values individual
to family and state personality
Cross-Cultural Consumer Analysis

Issues
 The growing global  Growing in Asia, South
middle class America, and Eastern
Europe
 Marketers should focus
on these markets
Cross-Cultural Consumer Analysis

Issues
 The global teenage  There has been growth in an
market affluent global teenage and
young adult market
 They appear to have similar
interests, desires, and
consumption behavior no
matter where they live.
The iPod has
global appeal to
the young
market.
Cross-Cultural Consumer Analysis

Issues
 Acculturation  Marketers must learn
everything that is
relevant about the
usage of their product
and product categories
in foreign countries
 Table 14.6 Basic Research Issues in Cross-
Cultural Analysis
FACTORS
Differences in language and meaning
Differences in market segmentation
opportunities
Differences in consumption patterns
Differences in the perceived benefits of
products and services
EXAMPLES
Words or concepts may not mean the same
in two different countries.
The income, social class, age, and sex of
target customers may differ dramatically
in two different countries.
Two countries may differ substantially in
the level of consumption or use of
products or services.
Two nations may use or consume the same
product in very different ways.
 Table 14.6 continued
FACTORS
Differences in the criteria for evaluating
products and services
Differences in economic and social
conditions and family structure
Differences in marketing research and
conditions
Differences in marketing research
possibilities
EXAMPLES
The benefits sought from a service may
differ from country to country.
The “style” of family decision making
may vary significantly from country to
country.
The types and quality of retail outlets and
direct-mail lists may vary greatly among
countries.
The availability of professional consumer
researchers may vary considerably from
country to country.
 Products that are
manufactured,
packaged, and
World
positioned the same
Brands
way regardless of the
country in which they
are sold.
Are Global Brands Different?

 According to a survey – yes.

 Global brands have:
 Quality signal
 Global myth
 Social responsibility
Multinational Reactions to Brand
Extensions
 A global brand does not always have success
with brand extentions
 Example Coke brand extension – Coke
popcorn
 Eastern culture saw fit and accepted the brand
extension
 Western culture did not see fit
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
Discussion Question

 If your university is considering a satellite

business program in Korea
 How would they need to adapt the program?
 What would prompt these changes?
Alternative Multinational Strategies:
Global Versus Local

 Framework for Assessing Multinational

Strategies
 Global
 Local
 Mixed
 Table 14.8 A Framework for Alternative
Global Marketing Strategies

PRODUCT COMMUNICATON
STRATEGY STRATEGY

STANDARDIZED LOCALIZED
COMMUNICATIONS COMMUNICATIONS

STANDARDIZED Global strategy: Mixed Strategy:

PRODUCT Uniform Product/ Uniform Uniform Product/
Message Customized Message

LOCALIZED Mixed strategy: Local Strategy:

PRODUCT Customized Product/ Customized Product/
Uniform Message Customized Message
Cross-Cultural Psychographic
Segmentation

The only ultimate truth possible is that humans

are both deeply the same and obviously
different.
Table 14.10 Six Global Consumer
Segments

Strivers Devouts
23% 22%

Altruists Intimates
18% 15%

Fun Seekers Creatives

12% 10%