© 2009 South-Western, a division of Cengage Learning. Chapter 8 Consumer Culture BABIN / HARRIS.

© 2009 South-Western, a division of Cengage Learning.

Chapter 8Consumer CultureChapter 8Consumer Culture

BABIN / HARRISBABIN / HARRIS

© 2009 South-Western, a division of Cengage Learning. 8-2

Learning Outcomes

Understand how culture provides the true meaning of objects and activities.

Use the key dimensions of core societal values to understand the concept of cultural distance.

Define acculturation and enculturation.

List fundamental elements of verbal and nonverbal communication.

Discuss current emerging consumer markets and scan for opportunities.

LO1

LO2

LO3

LO4

LO5

© 2009 South-Western, a division of Cengage Learning.

LO1

Understand how culture provides the true meaning of objects and

activities.

Understand how culture provides the true meaning of objects and

activities.

© 2009 South-Western, a division of Cengage Learning. 8-4

What is Culture?

Commonly held societal beliefs that define what is socially gratifying.

Commonly held societal beliefs that define what is socially gratifying.

LO1

© 2009 South-Western, a division of Cengage Learning. 8-5

The World Is Their Cup!

How can Starbuck’s succeed in China?

© 2009 South-Western, a division of Cengage Learning. 8-6

Exhibit 8.1Culture, Meaning and Value

LO1

© 2009 South-Western, a division of Cengage Learning. 8-7

Exhibit 8.2Culture is Hierarchical

LO1

© 2009 South-Western, a division of Cengage Learning. 8-8

Culture, Meaning, and ValueLO1

Gives meanings to objects

Gives meanings to objects

Gives meanings to activities

Gives meanings to activities

Facilitates communication

Facilitates communication

© 2009 South-Western, a division of Cengage Learning. 8-9

Cultural Norms and Sanctions

Cultural NormRule that specifies the appropriate behavior in a a given situation within a specific culture.

Cultural NormRule that specifies the appropriate behavior in a a given situation within a specific culture.

LO1

Cultural SanctionPenalty associated with

performing a non-gratifying or culturally

inconsistent behavior.

Cultural SanctionPenalty associated with

performing a non-gratifying or culturally

inconsistent behavior.

© 2009 South-Western, a division of Cengage Learning.

LO2

Use the key dimensions of core societal values to understand the

concept of cultural distance.

Use the key dimensions of core societal values to understand the

concept of cultural distance.

© 2009 South-Western, a division of Cengage Learning. 8-11

Exhibit 8.3Inputs and Outputs of Culture

LO2

© 2009 South-Western, a division of Cengage Learning. 8-12

Tradition

Religious traditions shape consumption experiences.

© 2009 South-Western, a division of Cengage Learning. 8-13

Dimensions of Cultural ValuesLO2

MasculinityMasculinity

Uncertainty Avoidance

Uncertainty Avoidance

IndividualismIndividualism

Power DistancePower Distance

Long-Term Orientation

Long-Term Orientation

© 2009 South-Western, a division of Cengage Learning. 8-14

Individualism

A typical advertisement appealing to individualism as CSV.

© 2009 South-Western, a division of Cengage Learning. 8-15

Exhibit 8.4CSV Scoreboard

LO2

© 2009 South-Western, a division of Cengage Learning. 8-16

Cultural Distance

Represents how disparate one nation is from another in terms of their CSVs.

Where,• CD = Cultural Distance• TCSV = Target Country Value Score on Dimension i• BCSV = Baseline Country Value Score on Dimension i

5

1

2)(i

ii BCSVTCSVCD

LO2

© 2009 South-Western, a division of Cengage Learning. 8-17

Exhibit 8.5: CSV Difference Scores Relative to American Consumers

LO2

Lower CD scores implies greater similarities.

© 2009 South-Western, a division of Cengage Learning.

LO3

Define acculturation and enculturation.

Define acculturation and enculturation.

© 2009 South-Western, a division of Cengage Learning. 8-19

How Is Culture Learned?LO3

EnculturationEnculturation

SocializationSocialization

AcculturationAcculturation

© 2009 South-Western, a division of Cengage Learning. 8-20

Exhibit 8.6: Factors Associated with Faster Acculturation

LO3

© 2009 South-Western, a division of Cengage Learning. 8-21

Exhibit 8.7Quartet of Institutions

LO3

© 2009 South-Western, a division of Cengage Learning. 8-22

World Teen Culture

Teens are similar around the world!

LO3

© 2009 South-Western, a division of Cengage Learning. 8-23

Exhibit 8.8: Similarities and Differences Among Teen Consumers

LO3

© 2009 South-Western, a division of Cengage Learning. 8-24

Modeling and Shaping

ModelingA process of imitating others’ behavior.

ModelingA process of imitating others’ behavior.

LO3

ShapingConsumers’ behaviors slowly adapt to a culture through a series of rewards and sanctions.

ShapingConsumers’ behaviors slowly adapt to a culture through a series of rewards and sanctions.

© 2009 South-Western, a division of Cengage Learning. 8-25

What Consumers Do Know Can Hurt Them?

The Chinese government censors information its citizens receive through the Internet, which has impacted Google, Yahoo, and Microsoft.

© 2009 South-Western, a division of Cengage Learning.

LO4

List fundamental elements of verbal and nonverbal

communication.

List fundamental elements of verbal and nonverbal

communication.

© 2009 South-Western, a division of Cengage Learning. 8-27

Verbal and Nonverbal Communication

Verbal CommunicationThe transfer of information through either the literal spoken or written word.

Verbal CommunicationThe transfer of information through either the literal spoken or written word.

LO4

Nonverbal CommunicationCommunication not involving the literal spoken or written word.

Nonverbal CommunicationCommunication not involving the literal spoken or written word.

© 2009 South-Western, a division of Cengage Learning. 8-28

Exhibit 8.9Problems With Verbal Communication

LO4

© 2009 South-Western, a division of Cengage Learning. 8-29

Translational and Metric Equivalence

• Translational equivalence – exists when two phrases share the same precise meaning in two different cultures.

• Metric equivalence – the state in which consumers are shown to use numbers to represent quantities the same way across cultures.

LO4

© 2009 South-Western, a division of Cengage Learning. 8-30

Verbal Communication

What does this mean?

© 2009 South-Western, a division of Cengage Learning. 8-31

Exhibit 8.10Nonverbal Communication

LO4

© 2009 South-Western, a division of Cengage Learning. 8-32

These Are a Few of Our Favorite Things

Is this your favorite thing? Answers will differ around the world.

© 2009 South-Western, a division of Cengage Learning.

LO5

Discuss current emerging consumer markets and scan for

opportunities.

Discuss current emerging consumer markets and scan for

opportunities.

© 2009 South-Western, a division of Cengage Learning. 8-34

Emerging CulturesLO5

BRIC MarketsBrazil, Russia, India, and China

BRIC MarketsBrazil, Russia, India, and China

ChindiaRefers to the combined market and business potential of China and India.

ChindiaRefers to the combined market and business potential of China and India.

© 2009 South-Western, a division of Cengage Learning. 8-35

Exhibit 8.11: Attractive Consumer Markets for Foreign Direct Investment (FDI)

LO5

© 2009 South-Western, a division of Cengage Learning. 8-36

Exhibit 8.12: Purchasing Power Parity of Leading Consumer Nations

LO5

© 2009 South-Western, a division of Cengage Learning. 8-37

Glocalization

Represents the idea thatmarketing strategy may beglobal but the implementationof that strategy at themarketing tactics level shouldbe local.

Represents the idea thatmarketing strategy may beglobal but the implementationof that strategy at themarketing tactics level shouldbe local.

LO5

© 2009 South-Western, a division of Cengage Learning. 8-38

ESPN Has Glocalized!LO5