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MKT 710 - Darrat - Module 2
Terms in this set (77)
Any nation's business and political culture is shaped by _____.
HISTORY; History influences a country's culture. Historical events between nations influence business.
History is subjective.
1. Historical events are viewed from one's on biases and SRC
2. Must understand a nation's subjective perception of its own history
3. Latin American Vs North American perception of history
A notion held by a nineteenth-century Americans that the United States was destined to rule the continent, from the Atlantic the Pacific.
A statement of foreign policy which proclaimed that Europe should not interfere in affairs within the United States or in the development of other countries in the Western Hemisphere.
Roosevelt Corollary (US would "police" Latin America)
Roosevelt's 1904 extension of the Monroe Doctrine, stating that the United States has the right to protect its economic interests in South And Central America by using military force
What is the US/Latin perceptions of the Monroe Doctrine?
U.S. Perception: Justifiable part of our foreign policy
Latin American Perception: Unwelcome intrusions that are in the self-interest of U.S.
What is geography?
- The study of Earth's surface, climate, continents, countries,
peoples, industries, and resources
- An element of the uncontrollable environment
- Affects a society's culture and economy
- Physical makeup limits a nation's ability to supply its people's needs
How does climate and topography affect production?
Altitude, humidity, and temperature extremes can affect product
- Glasses shipped from Taiwan to Middle East
- Washing machines in Europe
Geographic features can limit trade, though they had served as protection.
- South America
- British resistance of the English Channel
- Trade through the Alps
the railroad tunnel between France and England under the English Channel
railway base tunnel on the BLS AG's Lötschberg line cutting through the Bernese Alps of Switzerland
Who suffers more from natural and man-made disasters?
Who can overcome natural barriers and disasters?
- Tunnels, canals, bridges, dams
- Yet these technologies pose a number of other problems
World's biggest polluter
but leading in green technology
Highest pollution rates per capita
Basel Convention (1992)
restricts shipment of hazardous waste across borders
Striking a balance between environment, economy, and society
____ and ____ are the foundations of modern technology.
Minerals and the ability to generate energy
Countries are not equally endowed
animals, wood, fossil fuel, nuclear power, ocean tides, geothermal power, and sun
Countries that were self sufficient now ____.
China is the world's second largest oil importer
Largest oil producing countries are in politically ___ areas
Global population trends determine today's demand for goods
Rural/urban population shifts, rates of growth, age levels, population control
2020—7.8 billion• 2050—9.5 billion, with growth mostly in less developed regions
- Major deterrent—Attitudes toward family size
- China vs. India
Migration into cities from rural areas.
- Increasing trend: Urban Population—3.5% in 1800, 61% in 2030
- Benefits: Access to jobs, education, health care
- Problems: Slums, sanitation, water supply; Example: Mexico City
Population Decline and Aging in Industrialized Countries
Declining birthrate and population
- 2.1 children/woman to maintain population
- U.N. projects drastic increase in older population by 2050
---65-84 years: 3x increase
---85 and older: 6x increase
---100 and older: 16x increase
Fewer workers to support retirees
Mass immigration is not popular, but......
Will help to alleviate
1. Explosive population expansion in less-developed countries
2. Worker shortage in industrialized regions
Europe—1.4 billion immigrants
Japan and U.S.—600 million immigrants
Chinese Culture and Numbers -- 2008 Summer Olympics in Beijing
- Began on 8/8/08 at 8 seconds and 8 minutes past 8 pm local time
- The number 8 is considered lucky
- Sounds like the word "prosper" or "wealth"
What number is unlucky in China?
Culture is pertinent to the study of international marketing
Pervasive in all marketing activities - 4Ps
Marketers and culture
- Constantly adjust their efforts to the market's cultural demands
- Act as "agents of change" via innovative products
software of the mind
Culture is invisible
"Culture hides much more than it reveals, and, strangely, it hides itself most effectively from its own participants. The real job is not to understand foreign cultures, but to understand one's own."
What is culture?
The sum of the values, rituals, symbols, beliefs, and thought
processes that are learned, shared by a group of people, and
transmitted from generation to generation.
- Resides in an individual's mind, but a large group can be like-minded
Culture resides in ____
an individuals mind, but a large group can be like-minded
Origins, Elements, and Consequences of Culture graph
Jared Diamond's Theory regarding geography
Innovations spread faster east to west than north to south
Philip Parker's theory regarding geography
Strong correlations between latitude and per capita GDP
Adam Smith's book, the Wealth of Nations
American values and institutions influenced
Wealth of Nations
This is the 18th century book written by Scottish economist Adam Smith in which he spells out the first modern account of free market economies.
Middle East conflicts -- origins of culture
- Mecca Cola, Muslim Up, and Arab Cola
- Germans strict marketing laws stem from mistrust of propaganda
Political economy origins of culture
- Fall of Fascism and Colonialism
- Communism vs. Free Enterprise
Technology origins of culture
- Most important??
- Jet aircraft, air conditioning, televisions, computers, Internet, etc.???
- The Pill
- Although America has the best healthcare technology, people in
many countries have greater longevity
Origins of Culture: Social Institutions
Social institutions: Family
- Lower birth and marriage rates
- Role of extended family
- Favoritism of boys in some cultures
- Gender equality is changing
Social institutions: religion
- Major Religions
- First institution infants are exposed to outside the home
- Impact of values systems
- Misunderstanding of beliefs
What's the most important social institution?
Difficult to communicate using only symbols & pictures
Literacy rate leads to
Media has reduced the influence of ___
Government social institution
- Less influential
- Media (propaganda), laws, support of other social institutions
- France: $800 birth bonus
Corporation social institutions
- Spread through media
- Change agents via innovations
Elements of culture
- Thought processes
importance of things and ideas
What are Geert Hofstede's Cultural Dimensions?
- Individualism/ Collectivism: Individual's self interest vs. group interest
- Power Distance: Tolerance of social inequality
- Uncertainty Avoidance:
Tolerance of uncertainty and ambiguity
- Masculinity/ Femininity:
Competition vs. cooperation; acceptance of social roles
What are rituals?
- Patterns of behavior and interaction that are learned and repeated
- Coordinate interactions and set expectations
- Examples: Marriages , funerals, baptisms, graduations
What are symbols?
- Edward Hall—Culture is communication
- Aesthetics (Art, music, dance, architecture, folklore, metaphors, dress)
the measure of difference between languages; an important factor in determining the amount of trade between nations
From English: German = 1, Thai =7
Individualism decreases as distance from English increases
Individualism ____ as distance from English increases
practices required or expected of members of a faith
Every Muslim is enjoined to perform Hajj, or pilgrimage, to Mecca, once in his or her lifetime if physically able. Here, some 2 million faithful come from all over the world annually to participate in what is one of the largest ritual meetings on Earth.
___ play a large role in a society's belief system
In Western cultures, __ is unlucky
In China __ connotes prosperity
rules in Chinese philosophy that govern spatial arrangement and orientation in relation to patterns of yin and yang and the flow of energy (qi)
Thought processes are different.
- Difference in perception between the East and the West
- Focus vs. big-picture
Being attuned to the nuances of culture so that it can be viewed
objectively, evaluated, and appreciated
Cultural sensitive notes
- Cultures are not right or wrong, simply different
- The more exotic, the more one must be flexible and empathic
- Must understand how cultures change and accept new ideas
Culture is dynamic in nature because
it is a living process.
Yet also paradoxical because culture is conservative and resists change
What are causes of change to culture?
Society attempts to solve problems created by changes in
How do cultures solve problems?
What is cultural borrowing?
- Imitating diversities of other cultures make cultures unique
- Adapted to fit each society's needs
Illusion of Cultural Similarities
- Common language ≠ similar interpretation of word or phrases
- Must consider a region's subcultures
Resistance to change ___ between cultures
2 factors determining innovation acceptance:
1. degree of interest
2. degree of disruption
Planned and Unplanned Cultural Change
- Wait vs. cause change
- Cultural congruence
Marketing products similar to ones already on the market in a manner as congruent as possible with existing cultural norms
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