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CULTURE
AND
CONSUMER
BEHAVIOUR
Ray Bawania and Abhishek Chand
Definition of Culture
• “Culture is the collective programming of the human mind.”
Hofstede (1991)
• Culture in this sense is a system of collectively held values.
Culture is everything that people have, think, and do as
members of their society, which demonstrating that culture
is made up of
– Material objects
– Ideas, values, attitudes and beliefs
First of all
• There is nothing good or bad about Culture.There are only differences.
• Understanding Cultural differences are often the determining factor in
success or failure in business
Cultural
Adaptation
• Cultural Adaptation is the process of “adjusting the native ways
of thinking and behaviors to be consistent with the local culture”
(Kotler, 1982).
• AdaptationVs Standardization
• You can either stick to your firms original characteristics
when expanding (standardization approach) or you can
adapt to the new culture (adaptation approach).
Lining Up in Different
Countries - Canada
Lining Up in Different
Countries - India
Lining Up in Different
Countries - Philippines
How
Culture
Dictates
Consumer
Behaviour
How
McDonald’s
Has
Understood
Local
Culture
Sample of
McDonald’s
Utilizing the
‘Glocalization’
Strategy
The
Cardboard
Box of
Dreams
Canadian
Culture
Culture can work For or Against
Companies
• For:
– If a Chinese company wants to expand into North
America it could take advantage of cultural
celebrations like Halloween
• Against:
– If an American company goes into China but ignores
the value of selling items targeted towards Singles Day
Conclusion
• Most evidence shows that firms that expand need to use a strategy
of cultural adaptation rather standardization
• A good example of this is McDonald’s –They have made significant
changes on their products and service based on the local taste,
values, custom, dining habits and language in the countries they
operate in.
So Are We All Still Buying from the
Same Clown?
QUESTIONS?
Works Cited
• Foscht,Thomas, et al. "The Impact of Culture on Brand Perceptions: A Six-Nation Study." Journal of
Product & Brand Management 17.3 (2008): 131-42.Web. 10 May 2016
• Hofstede, G. (1991). Cultures and organizations:Software of the mind. London: McGraw-Hill.
• Kelly, N. (2012,October 8). McDonald’s’ Local Strategy, from El McPollo to Le McWrapChèvre.
Retrieved May 10, 2016, from https://hbr.org/2012/10/mcdonalds-local-strategy-from
• Kotler P. (1982)Global Standardization-Courting Danger,The Journal of Consumer Marketing, 3 (2)
spring.
• Mohamed, K. (2014). Role of CulturalAdaptation in International Retailing. Journal of Marketing &
Management Research, 4(10), 1–9.
• Mooij, Marieke, and Geert Hofstede. "Cross-CulturalConsumer Behavior: A Review of Research
Findings." Journal of International Consumer Marketing (2011): 181-92. Print.
• Prahalad, C. K., & Lieberthal, K. (2003).The End of Corporate Imperialism. Harvard Business Review,
81(8), 109-117.

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Culture in Consumer Behaviour By Ray Bawania and Abhishek Chand

  • 2. Definition of Culture • “Culture is the collective programming of the human mind.” Hofstede (1991) • Culture in this sense is a system of collectively held values. Culture is everything that people have, think, and do as members of their society, which demonstrating that culture is made up of – Material objects – Ideas, values, attitudes and beliefs
  • 3. First of all • There is nothing good or bad about Culture.There are only differences. • Understanding Cultural differences are often the determining factor in success or failure in business
  • 4. Cultural Adaptation • Cultural Adaptation is the process of “adjusting the native ways of thinking and behaviors to be consistent with the local culture” (Kotler, 1982). • AdaptationVs Standardization • You can either stick to your firms original characteristics when expanding (standardization approach) or you can adapt to the new culture (adaptation approach).
  • 5. Lining Up in Different Countries - Canada
  • 6. Lining Up in Different Countries - India
  • 7. Lining Up in Different Countries - Philippines
  • 13. Culture can work For or Against Companies • For: – If a Chinese company wants to expand into North America it could take advantage of cultural celebrations like Halloween • Against: – If an American company goes into China but ignores the value of selling items targeted towards Singles Day
  • 14. Conclusion • Most evidence shows that firms that expand need to use a strategy of cultural adaptation rather standardization • A good example of this is McDonald’s –They have made significant changes on their products and service based on the local taste, values, custom, dining habits and language in the countries they operate in.
  • 15. So Are We All Still Buying from the Same Clown?
  • 17. Works Cited • Foscht,Thomas, et al. "The Impact of Culture on Brand Perceptions: A Six-Nation Study." Journal of Product & Brand Management 17.3 (2008): 131-42.Web. 10 May 2016 • Hofstede, G. (1991). Cultures and organizations:Software of the mind. London: McGraw-Hill. • Kelly, N. (2012,October 8). McDonald’s’ Local Strategy, from El McPollo to Le McWrapChèvre. Retrieved May 10, 2016, from https://hbr.org/2012/10/mcdonalds-local-strategy-from • Kotler P. (1982)Global Standardization-Courting Danger,The Journal of Consumer Marketing, 3 (2) spring. • Mohamed, K. (2014). Role of CulturalAdaptation in International Retailing. Journal of Marketing & Management Research, 4(10), 1–9. • Mooij, Marieke, and Geert Hofstede. "Cross-CulturalConsumer Behavior: A Review of Research Findings." Journal of International Consumer Marketing (2011): 181-92. Print. • Prahalad, C. K., & Lieberthal, K. (2003).The End of Corporate Imperialism. Harvard Business Review, 81(8), 109-117.

Editor's Notes

  1. Culture is basically the personality of a society
  2. There are universal values that extend across cultures. For example, happiness and family are shared values. However, what makes us happy is different, different across cultures and even across subcultures. The potato might be common (happiness value) but how it is transformed is different - McAlloo Tikki, Hashbrowns, Nori Fries, Honey Butter Fries, only simply, Fries!
  3. Works Cited: