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Impact of Cultural Factors on International Marketing - Essay Example

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Culture is defined as a set of those holistic beliefs, knowledge, customer, moral, art and other habits or traits acquired by an individual as a member of society. Culture consists of several important traits. Cultural Factors are those external influences which impact the behavior and choice of customers. …
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Impact of Cultural Factors on International Marketing
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Download file to see previous pages Cultural Theories
• Hofstede’s Dimensions
A Dutch researcher, Gert Hofstede, after conducting a wide research found that culture possess four important dimensions. They include:
• Collectivism vs. Individualism
• Masculinity vs. Femininity
• Power Distance
• Avoidance of Uncertainty
Individual vs. Collectivism determines the belief of people in a sense that whether they consider reward and responsibility individual or at larger group level. In country like Japan, it is considered as neutral while U.K, U.S and Netherlands are more inclined towards individualism. West Africa and Indonesia are more concerned in collectivism and receiving responsibility and rewards at larger group level. Products and services which are considered as environmental friendly are considered as more feministic because female gender is more cautious and sensitive about these matters. Power distance refers to segregating individuals on the basis of status and ranks. It is most commonly observed in Arab and Latin American countries. Countries which are more uncertainty avoidance are tend to inclined towards risk averse and those which have lower uncertainty avoidance are considered as more risk tolerant countries. (Onkvisit, 2008)...
influence while marketing a brand internationally include: Age Group or Gender Taste preference, and interest of consumers differ with age group and gender. The perspective and attitude of people matters a lot which varies from country to country. Preferences and interest of people living in Latin America will be entirely different from Asian Countries. In this regard, it is essential to localize a product to certain extent so that it can gain popularity in respective country. Population Higher population means bigger market. Therefore, it is essential to consider the tactics of catering mass number of people. The problem that arises with population is that large number of people can have diverse needs. So, it is vital to select a product that fits to the needs of every individual. Educational Background Underdeveloped countries generally possess low rate of literacy as compared to developed countries. Therefore, many products which require higher educational proficiency cannot be successful in countries having lower rate of literacy. Social Class Large population refers to having multi-social classes. Social classes are also called as economic class which means dividing the target market on the basis of their income, education, background etc. Many products are developed for particular social classes for instance products of Apple Inc. cannot be purchased by every social class and are specially designed for elite class of people. Geographical Concentration Geographical concentration is referred to as developing products for specific market condition. Geographical concentration means that every country selects products on the basis of the concentration of demands present in that country for that product. The number of that product will be determined by the society in ...Download file to see next pagesRead More
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