1b dokuz eylul university izmir int week 2013 hofstede

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Explaining influence of cultural values on branding and positioning

Explaining influence of cultural values on branding and positioning

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  • 1. Positioning and branding across cultures "
  • 2. Culture recieverCulture senderCultureSender & reciever
  • 3. Advertising Agency: Kitchen/Leo Burnett, Oslo, Norway Art Director: Torkel Bjrnstad SveenCopywriter: Espen Lie Andersen Photographer: Petrus Olsson / Adamsky Published: February2009Which product, in which country is advertised here ?
  • 4. Which product ,in which country is advertised here ?Exygra virility tablets: Cock, 3Advertising Agency: Publicis, Gurgaon, IndiaNational Creative Director: Emanuel UputturuArt Directors: Prasad Raghwan, Deepak Dogra, Rohit Bagga
  • 5. What is culture ?Definition by Hofstede“Culture is the collective programming of the minddistinguishing the members of one group orcategory of people from others”Hoebel“ Culture is an integrated system of learned behavior patternswhich are characteristic of the members of a society andwhich are not a result of biological inheritance.[4]”
  • 6. Not directly visibleImplicit cultureStronginfluence
  • 7. The 5 main value dimensions of any society5D model Hofstede1. Relation to authorityhierarchical relations2. Relation to selfself-concept and personality3. Relation man – womanHow should a man or a woman behave4. Relation to risktolerance for unknown and deviations5. Propensity to changereceptivity of changespower distance (PDI)Individualism (IND)Masculinity (MAS)Uncertainty avoidance (UAI)Long term orientation (LTO)
  • 8. Value dimensionsare relativeThe country scores on the dimensions are relative –societies are compared to other societies.Without making a comparison a country score is meaningless.These relative scores have been proven to be quite stable over decades.The forces that cause cultures to shift tend to be global or continent-wide. Thismeans that they affect many countries at the same time, so that if theircultures shift, they shift together, and their relative positions remain the same.1000
  • 9. The 5-D ModelIDVMASPDI0 50 100UAILow HighLow HighLow HighLow HighValue differences between countries can be explained by 5 dimensions of national culturePowerdistanceIndividualismMasculinityUncertainy avoidanceCollectivismFemininityLow HighLong Term OrientationLTO
  • 10. “All animals are equal, but someare more equal than others”George Orwell
  • 11. Power distanceThe extent to which the less powerful members ofinstitutions and organisations accept that power isdistributed unequally
  • 12. Power DistanceLarge• High dependence needs• Inequality accepted• Hierarchy needed• Superiors often inaccessible• Power-holders haveprivileges• Change by revolution• Facilitates new productdevelopment at theimplementation stage -centralized commandSmall• Low dependence needs• Inequality minimized• Hierarchy for convenience• Superiors accessible• All have equal rights• Change by evolution• Facilitates new productdevelopment during theconceptualization stage -diverse ideas
  • 13. Country Country Country Country CountryMalaysia 104 Singapore 74 Portugal 63 Jamaica 45 Ireland 28Guatemala 95 Brazil 69 Uruguay 61 USA 40 New Zealand 22Panama 95 France 68 Greece 60 Canada 39 Denmark 18Philippines 94 Hong Kong 68 South Korea 60 Netherlands 38 Israel 13Mexico 81 Columbia 67 Iran 58 Australia 36 Austria 11Venezuela 81 El Salvador 66 Taiwan 58 Costa Rica 35Arab.countries80 Turkey 66 Spain 57 Germany 35Ecuador 78 Belgium 65 Pakistan 55 Great Britain 35Indonesia 78 East Africa 64 Japan 54 Switzerland 34India 77 Peru 64 Italy 50 Finland 33West Africa 77 Thailand 64 Argentina 49 Norway 31Yugoslavia 76 Chile 63 South Africa 49 Sweden 31Power Distance
  • 14. http://www.youtube.com/watch?v=7sn40JvmglERespect national anthem
  • 15. In November 2009,President Obama, on hisfirst trip to China,inadvertently set off afirestorm of commentarywhen he stepped out of anairplane in Shanghaiholding a black umbrelladuring a rain shower.Chinese officials often haveaides hold umbrellas abovetheir heads.
  • 16. Zhao Hui Tang, a businessman from Bellevue, Wash.,snapped the photo Friday on his iPhone when he spottedGary Locke at the counter of an airport Starbucks. Lockeis the first Chinese-American ambassador to China and aformer governor of Washington state.Tang uploaded the photo to the Chinese social medianetwork Sina Weibo, it generated 40,000 reposts andthousands of comments."This is something unbelievable in China," said Tang, aChinese-American citizen. "Even for low-ranking officials,we dont do things for ourselves. Someone goes to buythe coffee for them. Someone carries their bags forthem."Locke tried to use a coupon or voucher for the coffee,but the barista rejected it, Tang said. The ambassadorthen paid with a credit card, he said.
  • 17. King Bhumibol Adulyadej Abhisit Vejjajiva Pictures & PhotosIn this photo released by the Royal Palace, Thailands Prime Minister Abhisit Vejjajiva, standing front row,and his cabinet members listen to King Bhumibol Adulyadej, left, during a swearing-in ceremony atChitralada Palace in Bangkok, Thailand Monday, Dec. 22, 2008. (AP Photo/Royal Palace, HO) *
  • 18. François Hollande a accordé une interview à Europe 1. | Photo REUTERS/BertrandLanglois/Pool
  • 19. King Obama on the phone with Israeli Prime Minister BenjaminNetanyahuSome Israelis Insulted By Obama Picture
  • 20. Speaking to Chief of Staff, Chief Economics Adviser & Senior Adviser
  • 21. The 5-D ModelIDVMASPDI0 50 100UAILow HighLow HighLow HighLow HighValue differences between countries can be explained by 5 dimensions of national culturePowerdistanceIndividualismMasculinityUncertainy avoidanceCollectivismFemininityLow HighLong Term OrientationLTO
  • 22. Concept of self
  • 23. • Collectivism– emphasis ingroup needs &goals– beliefs shared with in-group– homogeneous ingroupsheterogeneous outgroups– norms predict behaviourbetter than attitudes– promotes new productdevelopment during theimplementation phase -interdependence• Individualism– emphasis self needs & goals– beliefs distinguish from others– homogeneous outgroupsheterogeneous ingroups– attitudes predict behaviourbetter than norms– promotes new productdevelopment during the initialor conceptualization phase -nonconformityCollectivism vs. Individualism
  • 24. Country Country Country Country CountryUSA 91 Norway 69 Jamaica 39 Hong Kong 25 Columbia 13Australia 90 Switzerland 68 Brazil 38 Chile 23 Venezuela 12Great Britain 89 Germany 67 Arab.countries38 West Africa 20 Panama 11Canada 80 South Africa 65 Turkey 37 Singapore 20 Ecuador 8Netherlands 80 Finland 63 Uruguay 36 Thailand 20 Guatemala 6New Zealand 79 Austria 55 Greece 35 El Salvador 19Italy 76 Israel 54 Philippines 32 South Korea 18Belgium 75 Spain 51 Mexico 30 Taiwan 17Denmark 74 India 48 East Africa 27 Peru 16Sweden 71 Japan 46 Yugoslavia 27 Costa Rica 15France 71 Argentina 46 Portugal 27 Pakistan 14Ireland 70 Iran 41 Malaysia 26 Indonesia 14Collectivism - Individualism
  • 25. What cultural elements/values appear to be important in this Japanesecommercial ?Japanese beer / Sapporo legendary beerhttp://www.youtube.com/watch?v=K-Rs6YEZAt8&feature=player_embedded
  • 26. For the succesfull individual
  • 27. The 5-D ModelIDVMASPDI0 50 100UAILow HighLow HighLow HighLow HighValue differences between countries can be explained by 5 dimensions of national culturePowerdistanceIndividualismMasculinityUncertainy avoidanceCollectivismFemininityLow HighLong Term OrientationLTO
  • 28. MasculinityMasculinity:• Ambitious & need to excel• Tendency to polarize• Live in order to work• Big & fast are beautiful• Admiration for the achiever• Decisiveness• Promotes theimplementation stage - goaldirectedness andformalizationFemininity:• Quality of life - serving others• Striving for consensus• Work in order to live• Small and slow are beautiful• Sympathy for the unfortunate• Intuition• Positively affects theconceptualization stage of newproduct development -supportive climate
  • 29. Country Country Country Country CountryJapan 95 South Africa 63 Malaysia 50 Spain 42 Costa Rica 21Austria 79 Ecuador 63 Pakistan 50 Peru 42 Denmark 16Venezuela 73 USA 62 Brazil 49 East Africa 41 Netherlands 14Italy 70 Australia 61 Singapore 48 El Salvador 40 Norway 8Switzerland 70 New Zealand 58 Israel 47 South Korea 39 Sweden 5Mexico 69 Greece 57 Indonesia 46 Uruguay 38Ireland 68 Hong Kong 57 West Africa 46 Guatemala 37Jamaica 68 Argentina 56 Turkey 45 Thailand 34Great Britain 66 India 56 Taiwan 45 Portugal 31Germany 66 Belgium 54 Panama 44 Chile 28Philippines 64 Arab.countries53 Iran 43 Finland 26Columbia 64 Canada 52 France 43 Yugoslavia 21Masculinity - Femininity
  • 30. http://www.youtube.com/watch?v=qRVdwnChDSA
  • 31. http://www.youtube.com/watch?v=6ZUhZ1en6iwMcDonaldsGoing Dutch
  • 32. Swedish minister brings baby to EU council so he couldspend more time with his family
  • 33. The 5-D ModelIDVMASPDI0 50 100UAILow HighLow HighLow HighLow HighValue differences between countries can be explained by 5 dimensions of national culturePowerdistanceIndividualismMasculinityUncertainy avoidanceCollectivismFemininityLow HighLong Term OrientationLTO
  • 34. Uncertainty avoidanceThe extent to which people feel threatened byambiguous situations and have created beliefsand institutions that try to avoid these
  • 35. Uncertainty AvoidanceStrong• Anxiety, higher stress• Inner urge to work hard• Emotions accepted• Conflict is threatening• Need of consensus• Need to avoid failure• Need for laws & rules• Facilitates implementationstage - tight planning andcontrolsWeak• Relaxed, lower stress• Hard work not a virtue per se• Emotions not shown• Conflict & competition ok• Acceptance of dissent• Willingness to take risks• Few rules• Facilitates the initiation phase -risk taking and minimal controls
  • 36. Country Country Country Country CountryGreece 112 Costa Rica 86 Austria 70 Australia 51 Hong Kong 29Portugal 104 Panama 86 Taiwan 69 Norway 50 Sweden 29Guatemala 101 Argentina 86 Arab.countries68 South Africa 49 Denmark 23Uruguay 100 Turkey 85 Ecuador 67 New Zealand 49 Jamaica 13Belgium 94 South Korea 85 Germany 65 Indonesia 48 Singapore 8El Salvador 94 Mexico 82 Thailand 64 Canada 48Japan 92 Israel 81 Iran 59 USA 46Yugoslavia 88 Columbia 80 Finland 59 Philippines 44Peru 87 Venezuela 76 Switzerland 58 India 40France 86 Brazil 76 West Africa 54 Malaysia 36Chile 86 Italy 75 Netherlands 53 Great Britain 35Spain 86 Pakistan 70 East Africa 52 Ireland 35Uncertainty avoidance
  • 37. Danger of new machine breaking down ->+ expert advice + well known brandshttp://www.youtube.com/watch?v=UusCir8Pq80 France calgon
  • 38. ..and normal just begs to be messed with ….http://www.youtube.com/watch?v=bqKCnmy_JogWere the people with the smile on the box. Were the re-inventors ofnormal. We dream of making things that change your life, and thendisappear into your everyday. And when we build you something new,you can expect everything to change a little more. Look around.What once seemed wildly impractical is now completely normal.And "normal" just begs to be messed with.
  • 39. Why take unnecessary risks at work ?
  • 40. The 5-D ModelIDVMASPDI0 50 100UAILow HighLow HighLow HighLow HighValue differences between countries can be explained by 5 dimensions of national culturePowerdistanceIndividualismMasculinityUncertainy avoidanceCollectivismFemininityLow HighLong Term OrientationLTO
  • 41. Key elements of Confucian teaching• stability in society based on unequal relationshipsbetween people• family is prototype of all social organisations• perseverance and thrift, respect of tradition andfamily values, and honor of parents and ancestors• virtue towards others: don´t treat others as youdon´t want to be treated yourself• virtue towards one´s tasks in life:- acquire skills and education- work hard- moderation under all circumstances
  • 42. Long term pragmatismLTP - absolute truth normative short term orientation concern for stability quick results expected spending for today impedes new productdevelopmentLTP + many truths (time, context) pragmatic long term orientation acceptance of change perseverance saving for tomorrow promotes new productdevelopment
  • 43. • Long term orientation– Hong Kong– Taiwan– Japan– South Korea– Brazil• Short term orientation– West Africa– Canada– Pakistan
  • 44. What correlates with Hofstede’s dimensions?(see Hofstede 2001)Individualismpurchase insurance, have dogs, own amotor home for leisure, read morebooks, have an answering machineMasculinitystatus purchases (watches, jewellery),importance of car engine power,business class travel, confidence inadvertisingPartner involvement in car choice,women as main shoppersPower Distanceconfidence in the press, lack ofconfidence in police, childobedienceUncertainty Avoidancebuying new (vs used) cars, buyingprecious metals and gems, use ofmineral waterbuying stocks, use of internet andother media, eating ice-cream,frozen food, confectionary andsnacks
  • 45. 6637458546388014536701020304050607080powerdistance individualism masculinity Uncertainty avoidance Long term orientationTurkey Netherlands
  • 46. 1. In which country do you think consumers need / appreciateexpert advice on buying articles the most ?2. In which country would an advertising appeal based on a goodwork life balance work best ?3. In which country would the status of a shop or article be adeciding factor when buying a product ?4. In which country would celebrity endorsement of an article workbest ?5. In which country would appealing to the individual needs of aconsumer work best ?
  • 47. CulturePassionbrandPositioningAdvertisingappealCultural moodboardPersonaBrand descriptionPositioning diamondAdvertisementconcept
  • 48. Assignment cultural moodboard• Make a graph with the Hofstede value dimensionsof Turkey compared to your country (use xcell +powerpoint) (http://geert-hofstede.com)• What are the 3 biggest differences (culturally visbleand invisible) between Turkey and the country ?• Make a cultural mood board of your country(Pictures which are typical for your country)• Find a consumer commercial from the countrywhich you explain culturally (compare to turkeyand use Hofstede Value dimensions)(a global brand which has localised its commercials like Mc Donaldscould be an option)