• Social stratification refers to a society's categorization of its people into groups based on socioeconomic factors like wealth, income, race, education, ethnicity, gender, occupation, social status, or derived power (social and political). As such, stratification is the relative social position of persons within a social group, category, geography region, or social unit. • In modern Western societies, social stratification is typically defined in terms of three social classes: the upper class, the middle class, and the lower class; in turn, each class can be subdivided into the upper-stratum, the middle-stratum, and the lower stratum. Moreover, a social stratum can be formed upon the bases of kinship, clan, tribe, or caste, or all four. Meaning of social class • A social class is a set of concepts in the social sciences and political theory centered on models of social stratification which occur in a class society, in which people are grouped into a set of hierarchical social categories, the most common being the upper, middle and lower classes. Membership in a social class can for example be dependent on education, wealth, occupation, income, and belonging to a particular subculture or social network. Nature of Social Class Influences 1. Class is an economic group: • Although a social class is mostly determined on the basis of the location of the production and distribution of social wealth, they are not mere economic groups or divisions. It also includes both the subjective and objective criteria such as, class consciousness, class solidarity and wealth, property, income, education and occupation. Marx considered class on the economic basis. 2. Class is also a status group: • Class is also related to status dimension. The consideration of the class as a status group is applied to a society which has many strata. Status groups are composed of persons having the same life style and receiving about the same social honour from others. Therefore, the status consciousness separates the individuals both physically and psychologically. 3. An achieved pattern: • Status is achieved in a class system and not ascribed. As such, birth is not the basis of acquisition of one‟s status and one‟s status is not fixed throughout his life. One may improve his status if he acquires capability and talent necessary for that. On the other hand, one may also lose his status, if he fails to maintain his ability and talent. 4. The class system is ubiquitous: • As a universal phenomenon class system is prevalent in all the modern and complex social systems. However, small, simple and primitive societies are mostly free from such a pattern of stratification. 5. Feeling of class-consciousness: • Feeling of class consciousness is experienced among the members of a particular class at three levels. First, the members feel a sense of equality within their own class. Secondly, the feeling of inferiority inheres in the minds of those who occupy the lower status in the socio-economic hierarchy. Thirdly, the members of a class experience the feeling of superiority in relation to those who are placed in the lower range in the hierarchy. Such feelings cause class consciousness and finally result in strengthen the basis of class. 6. Prestige dimension: • Wealth, income, education and occupation are some of the basic determinants of class. As it is an open system, anyone who satisfies the basic criteria can become its member. Therefore persons belonging to a particular class develop status consciousness and this is reflected through the status symbols of different class groups. The status symbols of the upper classes are considered prestigious, whereas the status symbols of the middle classes are considered less prestigious. 7. Relatively stable group: • A class is characterised by an element of stability, unlike a crowd or mob of course, social mobility is possible due to the openness of the system, nevertheless it cannot be interpreted as transitory. Under certain extraordinary situations the class is subject to rapid transformation. Such circumstances include crises in the social, economic and political spheres, revolutions, movements, wars etc. 8. Open to social mobility: • An open system of stratification is characterised by vertical mobility pattern in which upward and downward movements of individuals in the social hierarchy are possible. This is not to say that there is no resistance at all, but the resistance is mild and not as severe as found in the caste system. 9. Varieties of life styles: • A particular social class is marked off from the other classes by its „life styles‟ which comprises the mode of living such as, the dress pattern, the type of house and the social environment, where the members live, the leisure time activities, the mode of consumption, the pattern of relationship between the spouses and their off-springs, the exposure to media, the circle of friendship, the mode of conveyance and communication, ways of behaving etc. All these make differences between different classes and exhibit the class- values and caste preferences. Social Influence on consumer Behaviour Cultural factors • Culture = it refers to the people of specific region, caste or religion and describe what they think, what they believe in, what are their moral & ethical values, what are their customs and tradition,etc. The roots of the consumer behavior lie in the culture in which he has been brought up. Fashionable clothes, gifts, food stuffs, routine dresses etc are bought. Non veg.= muslim culture Veg.= hindu culture so, culture depend on b.b. of consumeres. Contd. • Sub culture = each culture consist of different sub culture like Hindu culture consist of Bhrahmin, Kahatriya, vaisya, Sudra culture. Each sub culture has its own beliefs & way of life • Social class = in Indian culture we find different levels of classes. from income point of view society can be divided into diff. income classes like rich, upper, middle class, poor class. Life style and standard of living of each class is different. Social factors • Family = family is the most important external factor influencing the behaviour of family members. The personality and values of the individual are also developed by the family culture • Reference group = its includes friends, colleagues, neighbours, etc. While purchasing durables like tv, cars, A/c seeks advice of the reference group contd • Its influence consumer behaviuor in 3 ways: 1. Reference group expose an individual to new behaviour and life style. 2. They can also influence the person’s attitudes and self concept. 3. They can create preassures to conform to their advice or opinion which affect consumer’s choice. People are also influenced by the group of which they are not the members. Personal factors • Age & stag in life cycle = people buy different products and services over their lifetime. They need baby food during child-hood, variety of food in mature years, special diet in the old age. Consumption also affected by the stages of family life cycle. Bachelor stage, newly married couple, couple with children, old retired couple,etc. Contd. • Occupation = consumption pattern is also influenced by the occupation of the consumer. a blue collar worker needs work clothes, wrist watch, work shoes and lunch box. Senior executive of the company may need suit, neck tie, club membership, air travel, costly shoes. • Economic circumstances = of the consumer are characterized by his earning, savings, liquid fund, fixed assets, borrowing power and attitude toward spending. Contd. • Life style = a person’s lifestyle is reflected in his activities, interest, hobbies, opinions, and thinking. The requirements of a man believing in simple living and high thinking will be simple and limited But a man believing in luxurious life will purchase expensive and luxurious products. • Personality = personality means sum total of appearance, physique, knowledge, intelligence values and different types of skills of an individual. Each one has got unique personality. the man believe in innovation may prefer new product, innovative product. Contd. • Self concept or self perception = our own perception of ourself or our belief about self image in the context of society as known as self perception. Self perception includes two things: self image about the self and the other is his own perception about what others believe him to be. Psychological factors • Unsatisfied needs of the consumer = needs means want of something useful. There are two types of individual needs. 1. Physiological needs like hunger, thirst, shelter, etc. 2. Psychological needs like self respect, social status, to be loved by others or to love others, etc. When a person feels that his certain needs remain unfulfilled or not satisfied it create a drive in the mind. Motivation and involvement • Motivation is the inner force or urge which drives an individual to adopt specific type of behaviour to satisfied his needs. • E.g. one person has social needs to increase his social status so he may joining MBBS course. And another person may satisfied the same needs by joining Lions club. • The differentiation in motivational factors is due to different levels of involvement of consumer. e.g. professional musician purchase a music system. attitude • The another personal factor influencing consumer behaviour is the attitude of the buyer towards the product or services. • Attitude means feeling for a person, people, product, or events. The man develop attitude from his experience. • E.g. investment in share mkt. Learning and memory • This is age of information explosion. People cannot afford to study and memorise each information. Therefore, they adopt selective approach of learning and memorising the information of their liking and interest. Information and processing • Different individuals process and evaluate the same information in a diff. manner
• PERCEPTION OF THE SITUATION
Meaning of culture • Culture is the sum of learned beliefs, values, and customs that regulate the behaviour of members of a particular society. Through our culture, we are taught how to adjust to the environmental, biological, psychological, and historical parts of our environment. • Edward B Tylor: culture as that complex whole which includes knowledge, belief, art, morals, law, customs, and any other capabilities and habits acquired by man as a member of society. MEANING OF SUB-CULTURE • While culture is defined as the “personality of a society”, (inclusive of language, customs and traditions, norms and laws, religion, art and music, etc), it is not entirely homogenous in nature. Not all people within a social system share the same language, religion, customs and traditions. • For example, while we are all Indians, and our culture is Indian (with a common national language, Hindi, and common festivals like Diwali), North Indians are different from South Indians. While North Indians, celebrate Lohri, as a harvest festival in January, the South Indians celebrate Pongal as their harvest festival at the same time. In other words, people within smaller units share the same language, religion, customs and traditions; and, this would be different in smaller or larger magnitude to people in other sub-units. TYPES OF SUB-CULTURE • Based on the varying criteria, there can be different types of sub-cultures. The important subcultural categories are nationality, geographical location, religion, race and caste, gender and age. From a marketing perspective, these could also be discussed as market segments, which need to be studied and assessed carefully before deciding on a product/service offering and formulating a marketing mix for a particular segment(s). Cross Culture Marketing Analysis • Cross-cultural marketing is the strategic process of marketing among consumers whose culture is different from that of the marketer's own culture. Examples of the fundamental cultural aspects to be considered include: social norms, values, language, education, religion, economic systems, business etiquette, laws, and style of living. Area of Research for Cross Cultural Analysis • In cross cultural analysis, the firm has to do research in the following areas: • 1. Language; • 2. Differences in market segmentation; • 3. Differences in criteria for evaluating products and services; • 4. Differences in consumption pattern of consumers and perceived benefits of products and services. • 5. Differences in economic and cultural, social condition and family structure.