Cultural distance has received a great deal of attention in the international business literature. It has been identified as a key factor in explaining foreign market attractiveness, expansion patterns, the degree of adaptation of marketing and retailing strategies, modes of entry and organisational performance.
Therefore it has become more and more important for international companies to take into consideration all factors which could have an influence on the marketing plans and finally on a company’s performance. Thus the impact of the nature of culture and its impact on the marketing mix will be examined by establishing a relationship between cultural components and the components of the marketing mix.
Table of Contents
1 - Abstract:
2 - Culture:
2.1 Definition of Culture
2.2 Three models describing Culture
2.2.1 International Management Cultures [Geert Hofstede]
2.2.2. Contextual continuum of differing Cultures [Usnier]
2.2.3. Components of Culture [Carter/Terpstra]
2.2.3.1 Language
2.2.3.2 Religion
2.2.3.3 Values & attitudes
2.2.3.4 Education
2.2.3.5 Social Organization
2.2.3.6 Technology & materials culture
2.2.3.7 Law & Politics
2.2.3.8 Aesthetics:
3 – Marketing-Mix:
3.1 Components of the Marketing-Mix
3.1.1. Product
3.1.2 Price
3.1.3. Promotion
3.1.4. Place
3.1.5 People
3.1.6. Physical evidence
3.1.7 Process
4 - Interaction of Culture on the International Marketing-Mix:
4.1 Interaction between Culture and the international Marketing Mix
4.1.1 Product
4.1.1.1 Product/Service & Language
4.1.1.2 Product & Religion
4.1.1.3 Product & Values/Attitudes
4.1.1.4 Product & Education
4.1.1.5. Product & Social Organization
4.1.1.6. Product & Technology
4.1.1.7 Product (Packaging/Labelling) & law/politics
4.1.1.8. Product & Aesthetics
4.1.2. Promotion
4.1.2.1 Promotion & Language
4.1.2.2. Promotion & Religion
4.1.2.3 Promotion & value/attitude
4.1.2.4. Promotion & education
4.1.2.5. Promotion & Social Organization
4.1.2.6. Promotion & Technology
4.1.2.7. Promotion & Law/Politics
4.1.2.8. Promotion & aesthetics
4.1.3. Price
4.1.3.1. Price & Technology
4.1.3.2. Price & Value/attitudes
4.1.3.3. Price & Politic/Law
4.1.3.4. Price & social organization
4.1.3.5. Price & aesthetics
4.1.4. Place
4.1.4.1 Place & Technology
4.1.4.2. Place & Law/Politics
4.1.4.3. Place & Social Organization
4.1.4.4. Place & Value attitudes
4.1.5. Physical Evidence
4.1.6. People
4.1.7. Process
5 - Conclusion:
Objectives and Research Themes
This report aims to investigate the profound impact of cultural variations on international marketing plans. It explores how cultural components, such as language, religion, and social organization, necessitate adaptations in the standard marketing mix (the 7 P's) to ensure successful market entry and consumer acceptance in foreign territories.
- The influence of cultural dimensions (Hofstede, Usnier, Carter/Terpstra) on consumer behavior.
- Strategic adaptation of product and promotion elements in response to cultural sensitivity.
- The relationship between pricing strategies and cultural attitudes toward value and status.
- Legal and political constraints on distribution and communication strategies across different markets.
Excerpt from the Book
4.1.1.1 Product/Service & Language
Language is an important determinant of culture as it has a great impact on the product and brand name and also on the packaging labelling.
On the one hand language can cause various misunderstandings if cultural differences in the language are not considered. The car manufacturer Toyota, for example, has have difficulties with its sales in France with the Toyota MR2 because MR2 sounds in French similar to ”merde” what means “shit”.
On the other hand it can lead a company to great success if a company response to these differences. Marketers have not only to analyse a culture at the macro level of an entire country but also differences among the population living in one country, consider Switzerland (with German, French, and Italian-speaking regions).
BT is a good example of a company marketing successfully to ethnic community by “setting up an Asian helpline for non-English speakers to call for information on BT products and services” (Dr. Brassington, F. & Dr. Pettitt, S., 2003).
Summary of Chapters
1 - Abstract: Provides an overview of the significance of cultural distance in international business and establishes the purpose of examining its influence on marketing mix components.
2 - Culture: Defines culture and introduces key theoretical frameworks, specifically Hofstede’s dimensions, Usnier’s contextual continuum, and the Carter/Terpstra components model.
3 – Marketing-Mix: Outlines the seven elements of the marketing mix—product, price, promotion, place, people, physical evidence, and process—and their role in satisfying customer needs.
4 - Interaction of Culture on the International Marketing-Mix: Details the specific intersections between cultural factors and the marketing mix components, providing practical examples and case studies.
5 - Conclusion: Summarizes the necessity of adapting marketing strategies to cultural differences while balancing the need for standardized, cost-effective global operations.
Keywords
International Marketing, Cultural Distance, Marketing Mix, Hofstede, Consumer Behavior, Market Adaptation, Global Strategy, Cross-Cultural Communication, Branding, Product Management, Pricing Strategy, Cultural Sensitivity, Retail Landscape, Business Ethics, Localization.
Frequently Asked Questions
What is the primary subject of this research report?
The report examines how cultural differences between nations affect the development and implementation of international marketing plans and strategies.
What are the core thematic fields covered in this study?
The study centers on the intersection of cultural anthropology/sociology and international business, specifically focusing on the 7 P's of the marketing mix.
What is the central research question of the author?
The paper seeks to identify the relationship between various cultural components (e.g., language, religion, social organization) and the elements of the marketing mix, determining how crucial adaptation is for success.
Which scientific theories form the foundation of this work?
The author utilizes Geert Hofstede’s cultural dimensions, Usnier’s contextual continuum model, and the Carter/Terpstra components of culture model.
What does the main body of the work focus on?
The main body systematically analyzes how each specific component of culture impacts the various elements of the marketing mix (product, price, promotion, place, etc.) using real-world case studies.
Which key terms describe the essence of this report?
Key terms include International Marketing, Cultural Sensitivity, Market Adaptation, Marketing Mix, and Global Strategy.
How does the author explain the failure of Campbell Soup in the Brazilian market?
The failure is attributed to a cultural mismatch; Brazilian women preferred to prepare their own soups from scratch rather than using ready-to-eat products, leading to a rejection of the product.
What is the author's final conclusion regarding standardization versus adaptation?
The author concludes that while full adaptation to every market is ideal for meeting local needs, it is often too expensive, and marketers should seek to identify cultural similarities to implement a "modified standardized" approach.
- Citation du texte
- Diplom Betriebswirtin (FH) Diana Ruthenberg (Auteur), 2005, The impact of the nature of culture and its impact on the marketing mix, Munich, GRIN Verlag, https://www.grin.com/document/134639
