Global Cultural Environment
Transcript of Global Cultural Environment
Cultural Dynamics in Assessing Global
Markets
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The International Marketing Task
Political/legalforces
Economicforces
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2
Environmentaluncontrollables
country market A
Environmentaluncontrollables
countrymarket B
Environmentaluncontrollables
countrymarket C
Competitivestructure Competitive
Forces
Level of Technology
Price Product
Promotion Channels of distribution
Geography and
Infrastructure
Foreign environment(uncontrollable)
Structure ofdistribution
Economic climate
Cultural forces
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7Political/
legalforces
Domestic environment(uncontrollable)
(controllable)
Irwin/McGraw-Hill Copyright©2002 by The McGraw-Hill Companies, Inc. All rights reserved.
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Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved.
Elements of Culture
Material Culture
Technology Economics
Irwin/McGraw-Hill
� Social Institutions
Family Political Structure
Education The Media
� Humans and The Universe
Belief Systems
� Aesthetics
Graphics and Plastic Arts Music, Drama, and Dance
Folklore or
Language
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Fractured Translations
English Translations made by Japanese firm that were added to
labels to increase prestige for their products being sold in China.
Product English Translation
Equivalent to Japanese Spam Liver Putty
Toilet Paper My Fanny Brand
Ready to Eat Pancakes Strawberry Crap Dessert
Antifreeze Spray Hot Piss Brand
Pediatrician’s Slogan Specialist in Deceased Children
SOURCE: “Some Strawberry Crap Dessert, dear?” South China Morning Post, December 9, 1996 p. 12.Irwin/McGraw-Hill
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Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Irwin/McGraw-Hill
It’s Not the Gift That Counts, but How Your Present It
Japan Do not open a gift in front of a Japanese counterpart unless asked, and do not expect the Japanese to open your gift.
Avoid ribbons and bows as part of the gift wrapping. Bows as we know them are considered unattractive, and ribbon colors can have different meanings.
Do not offer a gift depicting a fox or badger. The fox is the symbol of fertility; the badger, cunning.
Europe Avoid red roses and white flowers, even numbers, and the number 13. Do not wrap flowers in paper.
Do not risk the impression of bribery by spending too much on a gift.
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It’s Not the Gift That Counts, but How Your Present It…
Arab World Do not give a gift when you first meet someone. It may be interpreted as a bribe.
Do not let it appear that you contrived to present the gift when the recipient is alone. It looks bad unless you know the person well. Give the gift in front of others in less –personal relationships.
Latin America Do not give a gift until after a somewhat personal relationship has developed unless it is given to express appreciation for hospitality.
Gift should be given during social encounters, not in the course of business.
China Never make an issue of a gift presentation—publicly or private.
Gifts should be presented privately, with the exception of collective ceremonial gifts at banquets.
Cultural Factors
Never touch the head of a Thai or pass an object over it
The head is considered sacred in Thailand.
Avoid using triangular shapes in Hong Kong, Korea and Taiwan. It is considered a negative shape.
The number 7 is considered bad luck in Kenya, good luck in the Czech Republic and has a magical connotation in Benin.
The number 10 is bad luck in Korea.
The number 4 means death in Japan.
Red represents witchcraft and death in many African countries.
Red is a positive color in Denmark.
SOURCE: Business America, July 12, 1993Irwin/McGraw-Hill
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Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Irwin/McGraw-Hill
Whose English?
United States United Kingdom
Trunk Boot
Hood Bonnet
Convertible Top Hood
Elevator Lift
Toilet W.C.
Bathroom Tub or Shower
Vacuum Hoover
??? Shag
Bloody ???
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Cultural Change
Pas de Franglais
Old New
Prime Time Heures de grande ecoute
(hours of largest audience)
Air Bag Coussin gonflable de protection (Inflatable cushion of protection)
Cookie Sable americain
Trans. (American cookie)
SOURCE: Adapted from “La Guerre Franglaise,” Fortune, June 13, 1994, p. 14.Irwin/McGraw-Hill
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The Matrix of Culture
How the cultural values are
Deep
HELD
Shallow
Narrow Wide
Shared
The Nature of Assumptions
Humanity’s Relationship to the Environment
The Nature of Human Nature The Nature of Human Relationships The Nature of Human Activity The Nature of Reality and Truth
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Copyright © 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Irwin/McGraw-Hill
Cultural Values Four Dimensions
Individualism/Collective Index (IDV)
Power Distance Index (PDI)
Uncertainty Avoidance Index (UAI)
Masculinity/Femininity Index (MAS)
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Impact of Culture on Managerial Behaviour
Communication
High Context Low context
Explicit Implicit Negotiation – 5 stages
1. Planning
2. Non-Task time
3. Exchanging Information
4. Attempts to Influence the Other Party.
5. Mutually acceptable Exchange is agreed upon
Decision Making
Decision Makingon Making
1. Who Makes the Decision
2. How Decisions are Made
3. Decisions in Uncertain Environment
Cross Cultural Analysis to Isolatethe SRC Influences
Step 1: Define the business problem or goal in home-country cultural traits, habits, or norms.
Step 2: Define the business problem or goal in foreign-country cultural traits, habits, or norms. Make no value judgements.
Step 3: Isolate the SRC Influence in the problem and examine it carefully to see how it complicates
the problem. Step 4: Redefine the problem without the SRC
influence and solve for the optimum business goal situation.*