Cross-Cultural Consumer Behavior and
Marketing Communications
Introduction
In the world of intense globalization enhanced
by technology and the internet, multiculturalism
in business and organizations is a common
occurrence. Consumer behavior is most affected
as people have to adjust to different cultures
present within and outside the organization.
Researchers always state that consumer
behavior is never permanent as it changes over
time because the consumers’ taste of products
also changes.
Consumer behaviour is the study of the factors
that influence people to purchase the product. It
signifies the study of the complex buying
activities that include purchasing, using, and
discarding of the product. These activities are
influenced by the emotional, psychological, and
behavioral state of the person.
The consumer’s behavioral state is also affected
by culture, which refers to nationality, language,
customs, and beliefs of a nation. It influences
consumers’ decision-making process. Ethnic
groups have their own distinct behavior in
purchasing goods. Business targeting ethnic
markets must be familiar with cultural diversity.
The effects of culture can be seen not just in the
study of consumer behaviour and strategy
formulation but also in the results of
implementing strategies. Advertising promotes
products and reminds consumers of the
product’s features through various media.
Advertising aims at informing the public or
bringing the features and characteristics of the
product or service to public.
The conventional way of advertising is for
publicity and this is still the trend. Consumers
are reminded of the brand’s features because
many products look similar. Generic and
branded products have almost the same effect or
impact on consumer’s taste.
Ehrenberg and Scriven (1997) argue that
consumers have fixed the tendency to purchase.
Advertising across cultures is different from
simple advertising for a single market segment.
There are different meanings that should be
discussed when speaking of advertising across
cultures. It includes the internal structure of the
organization and the external environment.
This essay will focus on the concepts of
consumer behaviour, consumer research and the
effects of advertising on consumer decision-
making process in Vietnam. It should be stated
that Vietnam is a developing economy and the
customers experience the same factors other
consumers in the developed countries do, such
as globalization, technology, and the internet.
However, Vietnam is an interesting topic of
research in that after the war and the instituted
reforms, consumer behaviour has responded
positively to the marketing mix elements. The
latter were said to be coming as a result of new
technologies, albeit there were traditional
underpinnings that combined with new
outcomes.
Thesis Statement
Promotion and advertising through the different
media influence brand perception and
consumers’ decision-making process. Culture
affects brand perception of the Vietnamese
consumers.
Brief-fact about Vietnam
The people of Vietnam spell their country’s
name in two words, Viet Nam. In this regard,
‘Viet’ originated from the Indonesian and
Mongoloid races who speak Vietnamese,
while Nam is translated as ‘South’ which points
to China (McLeod & Dieu, 2001, p. 3).
Geography and quest for independence are
original factors that formed Vietnam’s past into
an evolving culture. However, there are other
factors like economy and politics, including
globalization forces that influenced this
evolving culture. Most of the original
Vietnamese live in the fertile lands of Mekong
Delta, and exist through several conquests and
colonization, including the French and Chinese
conquests.
The US-Vietnam War started in the early sixties
up to the middle of the seventies. An estimated
five million people died as a result of the war
and millions were injured. The chemical warfare
with Agent Orange was used, which is the type
of chemical containing dioxin and causing
cancer and other forms of sickness.
Great damage was done on the ecology as
millions of litres of chemical substances carried
in bombs were poured on Vietnam’s land. After
the war, Vietnam started to recover
economically and psychologically but immense
efforts had to be done to sustain agriculture.
Trade liberalization gave farmers freedom in
developing the lands. Despite the odds, Vietnam
has been able to attain a comparatively high
growth of 5.5% annually (Nguyen, 2010).
Trade liberalization helped the economy with
the entry of foreign companies which influenced
the buying habits of a new consumer segment,
the Vietnamese consumers, who experienced
several conflicts, colonization, and the effects of
globalization, the internet, and new technology
(cell phones, mobile technology, etc.).
Vietnam is still recovering from the years of
conflict but the scars of war cannot be seen in
the present day country. We see the young ready
for a new fight, the globalization has started in
this country despite measures instituted by the
communist government. Its leaders realize that
the country cannot grow economically without
allowing the entry of foreign investments.
Moreover, technology is another force to reckon
with. The youth are most susceptible to the
temptations posed by technology because they
are the ones who are fond of new technological
gadgets. All in all, Vietnam is heading for an
uncertain future, but it should not be too worried
about technology or globalization because the
whole world is following this trend.
Advertising in Vietnam
Advertising in Vietnam is greatly affected by
trade liberalization and the open-door policy
imposed by the Vietnamese government,
although there are some restrictions. Advertising
has specifically focused on the effects of
branding; the role of which has become an
important marketing topic. In the past, branding
was ignored and the unbranded practice was
popular.
It was a practice of using the firm’s name as the
brand name. Liberalization and allowing foreign
firms into the market and the promotion of
international brands have shifted the Vietnamese
consumer behaviour and decision-making
processes. There is a difference between the
traditional to the new consumer behavior
affected by the foreign culture (Nguyen &
Nguyen, 2011).
Positive attitudes of consumers toward
advertising programs convince consumers to
recognize the features of the brand and to
compare it with other brands. Marketers
continuously build a relationship between their
brands and consumers.
Fournier (as cited in Nguyen & Nguyen, 2011)
provides a broad aspect of brand-consumer
relationships, which cover many aspects of the
subject. However, the research on this has
focused on the advanced economies, rather than
on the developing economies like Vietnam.
Business advertising is confined to a few busy
cities in Vietnam, Hanoi and Ho Chi Minh, that
dominate business in the country. However,
there is one ad agency that is foreign owned. The
80-20 rule for advertising agencies applies to
activities that should be focused on the two cities
(International Business Publications, 2008, p.
139).
Vietnam’s Advertising Strategy
The youth and adults read the lifestyle section of
magazines but they also browse the internet,
looking for the latest trends or having a chat with
friends and family members abroad over the
social media, like Facebook or Twitter.
They may have forgotten the not so distant past,
but the youth are just as excited as Westerners
when it comes to browsing the internet and
looking for a new iPhone, or waiting for the
latest news about their favourite cell phone
brands.
The Vietnamese people patronize every kind of
mass media, such as print media (e.g.
newspapers and magazines), the internet, radio
and television. The internet is accessed by most
youths. Social media has become popular,
especially among the youth and students, with
many coming from the middle class. Internet
cafés are sprouting in public places
(Vietnam.net, 2013, para. 1).
There is a growing middle class in Vietnam
interested in magazine lifestyle sections. They
browse for new brands and read news about
leisure and entertainment. The middle class
Vietnamese have vast interests in lifestyle
media, but there is some government control.
Ashley Petus (2003; as cited in Earl, 2013, p. 85)
indicates that print media has evolved from a
government propaganda tool into a different
kind of product but with the governmental
supervision.
However, there is now more press freedom than
before, although there is the unwritten code that
media should not criticize the authorities.
Women’s print media is different from popular
media wherein Party’s values and women’s
values converge (Earl, 2013).
The print media is growing with the increase in
the literate Vietnamese who read newspapers
and magazines. Advertisers place much
importance on the print media, considering that
the costs in newspaper advertising are believed
the lowest among countries in Asia.
Most publications are concentrated in cities
where the newspapers provide the latest news,
including major interests such as sports and
fitness, fashion, lifestyles, and others
(International Business Publications, 2008).
The youth also use social media in their quest for
reforms. Concerned groups and NGOs discuss
gender equality using social media. The Asia
Foundation has focused on gender equality and
collaborated with several NGOs in discussing
social issues utilizing Facebook and other social
networks.
Social media provides rapid communication and
in a very short time, the Vietnamese youth
respond positively to calls posted by the
concerned individuals, and discussion groups
are formed (In Asia, 2013, para. 2). Moreover,
bloggers use social media in pro-democracy
activities. Activists who have been arrested post
their complaints and pass on news reports about
abuses (Brummit, 2013, para. 2).
The internet is a favourite tool to air people’s
gripes against the governmental policies.
Bloggers and aspiring web writers use the Web
to expound on their complaints against
authorities, albeit with some confidentiality.
However, the big change is the influence of the
media on consumer behaviour. The young are
the most affected, or are easily influenced by
technology.
The way consumers perceive advertising has
provided a growing attention among
practitioners and researchers for the Vietnam
market. Once consumers exhibit positive
responses for advertising programs, they notice
the good qualities of the brand and compare it to
other brands.
Good advertising programs also stimulate
“consumers’ attitudes, perceptions, and
knowledge about the brand” (MacKenzie &
Lutz, 1989; Mehta, 2000; as cited in Nguyen &
Nguyen, 2011, p. 47).
Vietnam Advertising versus the United States
Advertising
Macro-economic reforms have provided
Vietnam with a new face in the struggle brought
about by globalization and technology. Reforms,
however, have been focused on power structures
with emphasis on continuity (Pettus, 2003; as
cited in Earl, 20130).
Media attention on women is contained in
women’s magazines. The young Vietnamese
consumers are more concentrated on the internet
browsing, blogging and other modern
technologies like cell phones and mobiles.
The Vietnamese men and women, descendants
of people during the war, have transformed into
smartly-dressed office workers of the new
millennium. The war may not have won its
strategic purpose but the impact might be seen
in business.
Vietnam has evolved into a market-oriented
economy, from a centrally-directed one. Culture
and tradition still play a significant role in the
lives of the Vietnamese but the impact of
globalization and Westernization are much
pronounced in the Vietnamese youth who are
more driven by technology.
The Vietnamese advertising industry is a
growing sector, with television and internet
media as predominant media types in ads and
promotion. Advertising is an effective
instrument for promoting a brand, particularly,
in building “consumer’s trust in the brand” (Li
& Miniard, 2006; as cited in Nguyen & Nguyen,
2011, p. 47).
The Vietnamese consumers do not buy products
but purchase brands, although this can change
with a limited budget. Americans, on the other
hand, also put value on the brand.
International advertising companies conduct
business by providing joint ventures with local
companies according to the governmental
regulations. Advertising and promotion conform
to cultural factors. In the United States, one can
compare companies and products as topics for
advertising.
This is not so in the EU and some parts of Asia,
especially in Vietnam, where comparisons are
unacceptable. Advertisements cannot compare
two types of products, or the firm can encounter
legal actions. In visual advertising, advertisers
should take into account local differences in
actions for eye contact or relationships of people
(Zhan, 1999, p. 80).
The Vietnam brand managers put more
emphasis and invest a large amount of
advertising budget in TV advertising, even if it
is more expensive than website and email
advertising. An obvious reason is that a great
percentage of the Vietnamese consumers living
in cities own televisions.
Consumers spend about three hours watching
television programs when their minds and
attention are focused on the programs and
advertisements. Surveys find that there are more
consumers who view television programs in Ho
Chi Minh City than in Hanoi, but prime
programs are more watched at night in Hanoi
than in Ho Chi Minh. The Vietnamese
consumers also watch cable TV programs from
international TV networks.
International programs are monitored, and thus
regulated, by the government (International
Business Publications, 2008).
On the other hand, outdoor advertising also
plays a significant role in the Vietnamese
advertising. It consists of advertising on
billboards and other outdoor ad tools as it is
much cheaper. However, one could often see
illegal placements in outdoor advertising, which
the authorities sometimes fail to apprehend. It
means that this sector is not properly regulated
(International Business Publications, 2008).
Advertising in the United States is centuries old
and uses all kinds of media: print, TV, web pages
including websites and emails, outdoor, and
much more. In this age of globalization and high
technology, the US advertising has grown into a
great industry.
Historically, retailing in the eighteenth century
used tiny shops and business establishments, set
by the early colonizers. The stores have grown
into giant corporations and multinationals.
Advertising companies help not just consumers
but big businesses in exchange for big contract
fees.
So, advertising in the United States is not just
advertising as it is itself a big industry with self-
regulation applied on advertising companies and
the operations involved. This is to promote
autonomy and provide control over the vast
businesses registered as advertising agencies.
Other countries have their own self-regulation
methods, for example, the United Kingdom and
the European Union, the methods of which are
more complex but effective. When one says
regulation, the ropes are being handled by the
industry itself and the industry members
implement their own regulations. The main
objective is to keep the government’s hands out
of managing the industry (Medina & An, 2012).
The Vietnamese Consumer Behavior
The basic element for this paper is consumer
behavior with a focus on the Vietnamese
consumers. In addition, the topic covers the
culture, its effects on consumer behavior and
many other factors that impact the Vietnamese
buyers.
The research and information gathering, its
interpretation, the dynamics of the group making
the decision and the contextual constraints under
which decision-makers work are all influenced
to a greater or lesser degree by the culture of
those involved.
Notably, culture is defined as a way of life, a
learned behavior that people receive from their
forebears. Cultural norms change over time as
the needs of society also amend. An individual’s
culture influences his/her consumption patterns
and affects the feelings or attachment to certain
products.
The employees assigned abroad have to
understand and feel how culture works in the
country of their destination.
It means that if they are assigned in the sales
department “the selling approach can be tailored
accordingly… (and) in order to be able to offer
value to the market, a salesperson must
understand the value system of the foreign
market and this means knowledge of the
influence of cultural factors” (Jobber &
Lancaster, 2003, p. 228).
The Vietnamese culture is distinct as the other
cultures in the Asia Pacific region. The history
of war and conflict influences the collective
behaviour of the people, in particular, the
Vietnamese collective experience impacts on
their culture.
Culture influences consumers’ desire to
purchase products. The cultural factors include
religious beliefs, superstitions, family
orientation, choice of food, language, fashion,
community beliefs, and much more.
A question may arise from this background: has
the collective experience of the Vietnamese with
respect to war influenced the buying behaviour
of consumers? The answer is “probably yes” but
this has to be supported with empirical data.
However, this is another interesting topic but
beyond the scope of this paper.
The concept of consumer behavior involves the
study of various theories and concepts of
psychology, sociology and other related
sciences. Kardes, Cronley, and Cline (2011)
consider the study of consumer behavior and the
related concepts of consumer needs and desires
as relatively new.
During the early years after the World War II,
firms intended to produce and sell goods that
fulfilled the people’s needs and wants. There
was a shift in focus from selling surplus
inventory to satisfying customers. This started
the idea of the marketing concept, that the firm
should know and please customers (Kardes,
Cronley, & Cline, 2011, p. 13).
Researchers doing studies on consumer
behavior concentrate on “motivation,
behavioural, and interpretivism” (Kardes et al.,
2011, p. 14), approaches, which are associated
with the social sciences. The researcher Ernest
Dichter uses Freud’s psychoanalytic approach in
the study of motivation research.
It goes back to the early years after the World
War II when the Freudian follower Dichter (as
cited in Kardes et al.) used psychoanalytic
techniques in finding out the individual’s hidden
inspirations. Applying this concept to consumer
research, Dichter used what is called “in-depth
interview” (IDI), which occurs several hours and
investigates inside motivations (about
purchases) of the individual.
At the height of his research, Dichter did many
interviews involving approximately 200 types of
products. After the interviews, he correlated the
participants’ behavior with the Freudian concept
of psychoanalysis and concluded that the
consumers/participants were childish, lacked
reasons or understanding, and had erotic
yearning.
In one of his studies involving canned soup,
Dichter found that women favoured canned soup
because it looked like breast milk, and it had a
warm and nutritious value. Dichter also learned
that lighting a woman’s cigarette triggered the
imagination about a sexual act (Kardes et al.,
2011).
Large companies use knowledge of consumer
behavior in determining the latest trend and
making it as a basis to manufacture new
products, services, and sales strategies.
Consumer behavior is not just about a
consumers’ way of buying products but it also
includes intangible products like services or
experiences of firms.
Knowledge of consumer behavior can also be
used to educate people on matters pertaining to
product regulations or other important aspects of
the product (Hoyer & MacInnis, 2010).
Marketing research provides firms with valuable
data and information about their target market
and the business environment. Researchers also
carry out a careful analysis of the firm’s plans,
activities, and methods. Relationships that are of
interest to consumer researchers are classified as
“correlations and causal”, which is similar to the
cause and effect situation.
A correlation occurs when statistics among the
factors have significant relationship. Examples
of variables are advertising and research which
can be the subject of correlation research. There
is positive correlation when two variables act at
the same time.
There is negative correlation in a situation where
two variables are in opposite direction.
Advertising and sales are correlated positively
since both increase simultaneously. On the other
hand, product defects and customers regarded
for the product have a negative correlation;
meaning, as product defects are seen or felt,
customer is dissatisfied (Kardes et al., 2011).
Firms are now more culturally diverse than
before the popularity of the internet. Through
the power and “magic” of the internet, employer
and employees can communicate and talk about
business even if both are at the opposite ends of
the globe.
Through teleconferencing, the employee can
provide product presentation. However, this is
not to say that cultural factors are taken aside
because the individuals conducting business are
not physically present; in fact, employer-
employee relationship has to consider cultural
norms despite the distance.
A quantitative and qualitative study was
conducted in Ho Chi Minh City in Vietnam. The
study consisted of in-depth interviews with
graduate students of the University of
Economics. The quantitative study comprised
interviews with 102 consumers. There was
another main survey using face-to-face
interviews with 477 Vietnamese buyers.
The study determined brand relationship quality
using six variables: “interdependence, passion,
self-connection, commitment, intimacy, and
trust” (Nguyen & Nguyen, 2011, p. 48). The
interviews used a sample of consumers who
patronized different brands of consumer
products from different firms.
The objective of the research was to determine
the effects of the chosen marketing mix
elements, such as “perceived quality, attitudes
toward advertising and public relations,” in
brand perception and brand relationship quality
in a developing economy like Vietnam (Nguyen
& Nguyen, 2011, p. 48).
Vietnam is considered a transition economy
because of its recent experience as a war-torn
country and its transition to a developing nation
amidst an autocratic government in the guise of
a free economy.
It is found in the study that brand relationship
quality in Vietnam is determined by six
elements, such as “interdependence, passion,
self-connection, commitment, intimacy, and
trust” (Nguyen & Nguyen, 2011, p. 52). Brand
relationship quality is also multi-dimensional.
The findings further indicate that traditional
marketing mix elements, such as advertising and
branding, are significant in “building high-
quality brand-consumer relationships” (Nguyen
& Nguyen, p. 52). The study concludes that
building high-quality brand-consumer
relationships is important in developing
economies like Vietnam.
In the branding research, it is found that the
perceived quality leads to brand equity for the
organization as it enhances brand relationship
quality. From the findings of the study it is clear
that the perceptions of consumers toward ads
and promotions have a significant influence on
improving brand-consumer relationships.
On the other hand, advertisers have identified a
segment among the Vietnamese consumers who
are used to promotion; advertisers call them
promotion seekers. Because of this, marketers
have increased their marketing expenditures in
sales promotions since these have accumulated
between 60 and 70 percent of their public
relations budget, particularly promotions.
Moreover, promotions need big budgeting and
before this is done, managers have to closely
study and monitor consumer behavior
(Iranmanesh et al., 2013, p. 874). Among the
Vietnamese and Asian consumers, volume
discount as a promotional tool is quite popular.
The volume discount means buying in bulk
wherein the total price for a number of items is
discounted or reduced. The aim is to encourage
customers to buy in bulk.
In a Nielsen study conducted in 2010, it was
found that promotion seekers were increasing in
developing countries like Vietnam and
Malaysia, which means that this strategy is
popular in developing countries. However, since
many marketers use it as a marketing tool, its
effectiveness has become less successful
(Iranmanesh et al., 2013).
In analysing the effectiveness of promotion, for
example, the volume discount as a marketing
tool, one should pay attention to its effect on
consumer behavior and its advantages for the
marketers, who spend much for promotion in
order to increase profit. Consumers like it
because they can save by having a large quantity
of the product.
However, consumers have to consider the
quality of the product as it may be sacrificed for
quantity. Moreover, in the study of Iranmanesh
et al. (2013), it is clarified that the volume
discount is not as effective in some Asian
countries as before.
Additionally, it is patronized only by the low-
income group, the ordinary employees and those
who buy cheap products. In Vietnam, many
consumers purchase cheap products. The
increasing number of middle-class segment of
the consumers has not surpassed the increasing
number of low-income groups (Nguyen &
Nguyen, 2011).
The Vietnamese consumers also pay close
attention to prices of brands, particularly,
foreign ones. Those who can pay expensive
brands are the rich and members of the higher-
middle class. Due to this fact, there are a few
expensive brands in the country, available for
sale only for the moneyed class, as there are
smuggled goods and fake or pirated products
from China available for the low-income group.
The experienced Vietnamese consumers
purchase expensive but genuine products as
investment because they can sell them at higher
prices in the future. When this segment buys
their brand, they look for quality and products
that last a lifetime.
Moreover, pricing is affected by the lunar
calendar, which refers to the time the
Vietnamese consumers’ flock to markets and
retail stores to buy their favourite brands during
the months of January and February, an
important holiday season in Vietnam.
This has a special meaning to the Vietnam
people; culture influences the buying behaviour
of the Vietnamese since after these months,
consumers relax their buying spree
(International Business Publications, 2008).
Consumer behaviour in Vietnam is unique. For
example, the Vietnamese managers and business
people value brands but it takes time for
consumers to attain loyalty to the brand.
Consumers require a long period of time in order
to know the brand and to hold on to that brand
and consider it their own. Brand relationship is
influenced by advertising and other public
relation tools of the firm.
Perceptions of advertising and public relations
affect the brand’s quality positively. Firms have
to spend more and invest their public relations
budget to court and convince consumers and
attain loyalty for their brands.
Thus, the investments for this kind of activity
that focused on consumer interaction are critical
to the development of the relationship between
customer and the firm (De Wulf et al., 2001 as
cited Nguyen & Nguyen, 2011).
The Vietnamese marketers have to find ways to
link brands and consumers in the context of
customer satisfaction and brand equity, which
adds value on the part of the firm but customer
satisfaction is still in question. What motivates
consumers to buy? Is it because of the
advantages the product can offer? Satisfying
customers is associated with meeting their needs
and wants.
The Vietnamese firms realize this missing
relationship. To attain healthy customer
relationships is significant in attaining business
profitability.
If this cannot be attained, firms have to be
concerned with customer switching. Employees
will go away, find new products and look for
other brands. Firms will have to recruit or
convince new customers to buy their products
and this is very costly and difficult to attain.
Such will necessitate new techniques in
advertising, selling, and training of employees
and even customers (Mittal & Lassar as cited in
Nguyen & Nguyen, 2011).
Therefore, it is important to retain customers at
the expense of company savings, i.e. spend more
for advertising and promotion and meeting the
needs of loyal customers. Loyal customers will
continuously provide profit in the long run and
make it increase significantly as time goes by
(Reichheld & Sasser as cited in Nguyen &
Nguyen, p. 45).
Moreover, this brand relationship must have
“strength and depth” and not just a relationship
for a short period of time. Brand relationship
quality can be attained if it is built and
established with an amount of efforts and
resources and time.
Brand relationship quality has six elements,
which are: “love and passion, self-connection,
commitment, interdependence, intimacy, and
brand partner quality” (Fournier, 1998 as cited
in Nguyen & Nguyen, p. 45).
According to this theory, to have a quality brand
relationship, the six components have to be
implied. Love and passion connote feelings or
affection for the brand. Consumers who have
this quality feel that life is not complete without
it (Fournier, 1988; Smit et al., 2007 as cited in
Nguyen & Nguyen, 2011). When we say life is
not complete, it simply means that the brand is a
necessity and a part of life.
“Self-connection” means consumers have
connected the product with their daily needs.
“Commitment” refers to the fact that consumers
have already pledged their loyalty to the brand
and feel that there are no other brands than the
one they are accustomed to.
“Interdependence” means to rely on each other’s
strength. “Intimacy” covers having lived with
each other’s company. “Brand partner quality” is
the customers’ personal measure on product
quality, whether it lasts for a long time or it
cannot be depended on.
Price is a factor in the Vietnamese consumers’
preference to buy, i.e. they mostly purchase
cheap products. Quality products are preferred
by those who can buy expensive goods. There
are times that quality is sacrificed in exchange
for cheap products.
The perceived quality determines the strength of
a particular brand, and according to Aaker (1991
as cited in Nguyen & Nguyen, 2011), can mean
the customer’s feeling of the overall strength and
durability of the product or service in the context
of why it was made and how it met the customer
needs. Consumers’ perception is one factor in
determining the perceived quality.
Consumers acquire positive attitude of the
product when they judge that the product has
high quality compared to other brands.
Customers’ opinion of the product and the
perceived quality are related. When people feel
that the product’s quality has deteriorated, other
qualities or elements of the product also
decrease according to the customer’s personal
judgment.
Conclusion
This paper centered on some elements of the
marketing mix, promotion and advertising, that
impact on consumers’ decision-making process,
and also focused on the Vietnamese consumer
behavior.
The Vietnamese consumers experience
marketing mix influences as their Western
counterparts, but the emerging-market
consumers have to deal with other factors like
culture and the difficulties of a limited budget.
Time is a factor in the Vietnamese buying habit,
meaning, they flock to the market to buy their
favourite brands during January and February,
considered holidays for the Vietnamese. Prices
for brands at this season are different from those
in ordinary days.
Consumer behaviour is not permanent as it
changes over time. The attitudes of consumers
toward advertising affect their decision to
purchase a product. Advertising and promotion
influence consumers and their perception of the
product.
However, the main objective of advertising is
not to change consumers’ perception of the
brand but to inform and remind. The Vietnamese
consumers perceive brands as important in their
decision to buy.
It should also be stated that brand users
comment that the brand “tastes nice” than non-
users would say. But the popular brand has more
users than the not-so popular brands. Therefore,
more people say that it “tastes nice” for popular
brands than not-so popular ones.
The belief of “brands are brands” is supported
by many ads, for example, they create
“attention, impact, memory traces for the brand”
but not because they are persuasive.
Advertisements are used to remind people of the
brand, or that such brands are still in existence
or leading in the market, but ads are not used to
persuade consumers to buy.
Successful advertising and promotion require
sensitivity to customs and business practices of
the target audience or target segment. For
example, the Westerners advertising their
product in Vietnam have to bear in mind that the
Vietnamese consumers do not respond in the
same way as the Westerners.
The Vietnamese buyers consider advertising and
promotion seriously. When they plan to buy
products of their brand, they have the ads and
promotion in their minds. This phenomenon is
known as promotion-seeking, i.e. they seek
promotion first before they decide to buy. Still,
they have their favourite brands, and that is the
question.
The Vietnamese consumers also grab
promotional activities of some brands, for
example, they prefer volume discounts and other
promotional gimmicks.
This is understandable because of the limited
budget. Moreover, the Vietnamese marketers
know very well their consumers and their
behaviour. If consumers grab their gimmicks,
they immediately take hold of the opportunity.
Advertising and promotion are alive and kicking
in the Vietnamese market.
Since consumer behaviour involves psychology
and sociology, it is important to apply this on the
Vietnamese market. Sociology includes study of
different cultures that influence the Vietnamese
decision-making process and their decision to
buy. The Vietnamese culture is affected by years
of war, poverty, government, and other factors.
Thus, advertising and promotion can be
considered such factors, or, it could be that
advertising and promotion are the outcome of
these factors since these elements take into
consideration consumer behaviour first before
they become part of the advertising strategy.
Consumer behavior and consumer research are
subjects of interest for the marketers. Firms
spend a lot of time and resources to find out how
consumers behave and what factors influence
their buying decision. The results of studies are
important to firms because they became part and
subject of their next advertising and promotion.
Cross-cultural communication is a complicated
but interesting subject involving consumer
behavior, cultural factors and influences. The
thesis for this paper stated the cultural factors
that evoked consumers’ buying decision.
Consumer behavior is influenced by cultural
norms and beliefs. Inside the organization,
relationships of employees and managers are
also influenced by these cultural factors.
Ethnic differences affect consumers’ taste and
regard for the product and the customers’
decision to buy the product. This was proven in
several studies involving different ethnic
groups, for instance, the studies conducted by
Schuman et al. (2004). One significant finding
made by their studies is that there are important
differences existing for a single group, like
Asians or Hispanics.
Different cultures practice marketing principles
differently, particularly in the art of advertising.
Thus, advertising in Vietnam has evolved from
unbranded practice to buying brands. Times
change and so do people’s concepts for brands
and the products they want to buy.
Advertising has to conform to the prevailing
situation, for example, while the Vietnamese
love brands, due to the budget constraints they
patronize or purchase the unbranded ones.
Generic and pirated products from China force
Vietnamese consumers to buy the unbranded
ones. But advertising does not change because
of the unbranded ones.
A part of the literature discussed in this paper is
the universality in advertising. This means that
concepts of advertising are the same all
throughout the universe. Advertising is an
exciting profession because it taps an
individual’s talents and creativity.
Without creativity, advertising is dull and
useless. Consumers will not spare a portion of
their precious time reading or watching a
program. But the most creative advertising will
affect consumers’ decision to purchase the
product and their propensity to buy.
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Consumer Behavior: Investigating Cultural
Sensitivity
Consumer behavior is determined by various
factors that influence the response of goods and
services in the market place. One of those factors
is the cultural factors or influence, where beliefs,
values and perceptions of different communities
determine consumer behavior. With
globalization, the world has become a global
village and as such, international marketing has
come into play.
Different cultures have different beliefs, values
and perceptions on different products or brands.
In general cultural sensitivity can be defined as
the acknowledging of other cultural beliefs,
values and their context (Dubrin 2009, p.43). To
achieve cultural sensitivity in the market place it
is imperative to have cultural awareness, values
and beliefs of that culture and accepting them.
It involves the process of being aware of the
degree of several cultures and developing an
understanding of that culture (Dubrin 2009,
p.43). Although this may seem to be a hard
process, the understanding of a nation’s history,
religious underpinnings, geography, present
political and cultural circumstances forms the
basis of appreciating consumer sensitivity.
Sensitivity is one of the factors related to culture
that impact marketing of a new brand in a new
marketplace. The aim of the paper is to
understand the importance of investigating
cultural sensitivity and what happens when a
brand does not identify with the values of a
given culture. It also explores unethical practices
and the challenges and the impact they may pose
to a particular brand or a product.
Importance of Investigating Cultural
sensitivity
Before introducing a particular brand in a new
market it is always advisable to investigate
cultural sensitivity. This ensures that the
company is well placed in the market and has
large chance of capitalizing and gaining a
market share. For instance, the introduction of a
new brand requires that the values and beliefs of
a particular society are put into consideration.
The falling and the success of a particular brand
depend on the cultural sensitivity. For instance,
the packaging of the product may have a
different meaning in that particular geographical
representation. According to Herbold (200, p.
116) some practices may be unacceptable in a
community where a brand is being launched. So
in order to remain relevant in the market place it
is always advisable to investigate the market
culture.
For example, Procter and Gamble lost millions
of dollars because they had not investigated the
cultural sensitivity of their products. Initially,
they packaged the baseball balls in sets of four
like they did in other internationals markets.
However, the Japanese market resented this
package. This is because according to the
Japanese culture the number 4 is associated with
13 and to them, both are signs of bad luck.
So as to overcome this marketing hurdle the
American company had to hire Japanese’s
advertisers who had experience and cultural
awareness of what was acceptable and what was
not (Herbold 2007, p. 119). Products may be
counterproductive if the marketing agency or
department does not investigate the culture
sensitivity (Hennig-Thurau 2000, p.429).
Some beliefs are upheld strongly by some
societies and cannot be changed (Delner 1995,
90). For instance, when Procter and Gamble
introduced Ariel a detergent in India in the late
1980s, the advert that followed was that rubbing
a detergent in bar form “is not required to clean
fabrics” Kumar (2007, p.6). The company had
no idea that Indians households believed that
rubbing using the detergent bars was a
requirement for effective cleaning.
The company went overboard without putting
the belief into consideration, leading to low
sales. Kumar (2007, p.6) notes that the tendency
to go against a particular belief can sometime
become counterproductive to the brands.
Leighton (1966, p.100) helps in understanding
the changing trends in perception, beliefs,
values, norms and other aspects that maybe
crucial in marketing.
This helps the marketer in preparing for any
change that may occur. Conducting of consumer
cultural sensitivity before launching a product in
a new market ensures that incidences of culture
shock are minimized if not eliminated (Dubrin
2009, p.45), which lead to adaptation and
effectiveness (Pieper 1990, p.248).
This is because culture sensitivity allows
cultural awareness where the marketers are
prepared to meet the hurdles in the new market
(Moran Harris & Moran 2007, p.25). Cultural
awareness involves the understanding of ones
cultural beliefs values, and perceptions as well
as those of other in the context. This enables the
marketer to have a clear understanding of the
expectations and how the people would respond.
According to Mabey, Salaman and Storey (1998,
p.202) this is important when dealing with
customers and suppliers of different cultural
background as it promotes understanding and
communication. Some of methods of cultural
awareness can be achieved through the learning
of that societys language, their beliefs, customs,
values among other aspects attached to culture
(Dubrin 2009, p.43).
This ensures that the markets with the new brand
get into the culture of the community and get
assimilated and understand what is acceptable
and that is not acceptable in that setting. This
improves the chances of getting a large market
share and acceptance, because the peoples
(consumers) expectations (in terms of beliefs
and values) are considered and respected.
According to Vance and Paik (2011, p.46)
globalization has led to diffusion and
homogeneity. This can enable a company launch
a product in different regions if it fully
understands cultural sensitivity. When a brand
does not obey the values important to a
particular culture there is a likelihood of
receiving negative response. For instance, some
cultures prohibit sexually explicit materials
from being displayed in the public.
So when a company introduces a brand in a
market that uses sexual materials in advertising
the new product consumers are likely to have a
negative perception and response. This reduces
the market share as well as reducing competition
from other competitors because nobody is
willing to buy the brand (Pieper 1990, p. 247).
Also in the long run, the brand may be phased
out completely out of the market.
Ethical practices in marketing
Ethics are assumptions based on the culture that
determines what is culturally wrong or culturally
right (Kurtz, Mackenzie & Snow 2009, and
p.107). Some ethical aspects in some countries
may be perceived unethical in others depending
on the cultural background (Drummond & Ensor
2005, p.159). As such, marketing of a new brand
must put into the consideration the ethical
aspects before getting in the market.
Ethics have a great role play in ensuring the
sustenance and the development of a good
business customer relationship. Through the
development of integrated marketing
communications (Drummond & Ensor 2005,
p.159), marketers are able understand the impact
ethics may pose on the marketing
communication strategies. It is imperative to
have ethical questions before they are likely to
influence the company success.
For example if it is culturally acceptable to use
sexual materials should the company go ahead
and apply them or if some part of the society
accepts harmful substances like alcohol, should
it be ethical to develop marketing strategy that
targets this group directly?
Ethical challenges that marketers face,
impacts made and the effects on the brand
Ethics concept in marketing is important but
very hard to practice, understand, and manage
because it is very subjective. This is because
different societies have different ethical
orientations that are culturally determined by
either on societal basis or on individual basis. In
order to manage the different ethical conducts in
various societies it is important to put into
considerations some of the marketing mix
aspects that may cause ethical challenges
(Drummond & Ensor 2005, p.159)
Deciding on vulnerable groups
The decision on whether the targeted group
targeted is vulnerable puts most companies on a
dilemma. The vulnerable groups are the
minorities, children, developing countries and
the elderly. A company should decide whether
the adverts target this group for profit making or
it’s a genuine advert. These groups are
susceptible to persuasions and their inherent
behaviors may be seen as an easy target.
Marketing adverts using a minority group may
be profitable but at the same time may be
unethical for example, marketing alcohol using
the Hispanic community which is a minority and
known to use alcohol in large quantities would
be perceived as unethical and lead to the loss of
the loyalty of the customer leading to poor
performance of the brand in the market in the
long run. Drummond and Ensor (2005, p.159)
note that use of children may cause ethical issues
because children are susceptible and are target
that has a large market share.
Use of offensive brand messages
Some messages used in the advertisement of a
brand may be used by a company with the right
intentions but perceived as unethical by the
society. Marketers are usually faced with this
dilemma where they have to on deciding on the
marketing communication content (Drummond
& Ensor 2005, p.159.
With globalization and the increase in
competition, different companies apply different
methods to gain market share. Sexual appeal and
material are commonly used in advertising and
promotion of new products or brands and may
lead to ethical issues (Drummond & Ensor 2005,
p.159). The use of this method of advertisement
can lead to protest from the targeted people
leading to implications like loss of consumer
loyalty (Maddock & Fulton 1996, p.160).
In other instances a company may use materials
that may be seen in appropriate to the people, but
render counterproductive (Kurtz, Mackenzie
and Snow 2009, p.510). These materials may be
labeled as taboo to the society thus affecting the
sales output as well as affecting the make ting
strategy that also affects the market
segmentation.
To counter these companies should decide on
what is ethical and what is not so as to make
profits and increase the consumers’ market
share. For example the Calvin Klein ads of 1975
were seen as “kiddie porn” that led to
withdrawal of the adverts and criminal
investigations launched (Maddock & Fulton
1996, p.160). This was an ethical issue that
offended many people in the society.
The problem of stereotyping
This is huge problem in marketing especially
when targeted community is diversified. This is
because there will be that perceptions that a
particular group is target while the other is
neglected while another is targeted. The
challenge lies in deciding on an advert that
drives the massage home without being seen
implying negative stereotypes.
For the companies, they must put into
consideration the effect it may have if it is seen
as negative stereotype. Any misinterpretation of
the advertisements may lead to a definite loss of
a market share or even the brand may become
absolute because of the perceived negative
image (Kline 2010, p.165).
For example in India some years back a cream
advertising company used a black Indian to
advertise its products. The advert depicted that
after the woman used the white cream she was
able to get a dream job that was entirely out of
have choice. This was not well received in the
market and instead of positive response there
was a backlash. The advert was scrapped off and
termed as exploitation using the social paradigm
and stereotype.
This was a negative response because of the
targeted group. Kline (2010, p.165) observes
that racial prejudice can also be viewed as a
stereotype. For example in India whiteners are
on high demand but should a company use this
on their advantage knowing that it is a racial
prejudice that shouts negative stereotyping
(Kline 2010, p.168).
How marketers overcome such an issue
Andreasen (2001, p. 126) notes that making
decisions concerning ethical issues may be
difficult but they help prevent issues like, loss of
consumer loyalty, legal complications and even
the loss of market share. Marketers can
overcome unethical issues by ensuring that
ethical practices in that particular geographical
representation are maintained.
According to Kurtz, Mackenzie and Snow
(2009, p.107) ensuring ethical practices means
being able to promise the consumers and do
there business partners that that the quality and
fairness is not sacrificed in order to achieve
profits. This increases customer’s loyalty as well
as increasing the market shares in the region.
The issues can also be overcome through the
establishment of ethics programs in the
workplace (Kurtz, Mackenzie & Snow 2009, p.
107). Pride and Ferrell (2006, p.103) notes that
management can get rid of unethical employees
and employ ethical ones. The recognition of
ethical sensitivity is the beginning of
overcoming ethical issues (Andreasen 2001, p.
127)
How understanding cultural values help a
marketer
By understanding the cultural values of a
particular target group, a marketer is able to
influence the perception, attitude as well as the
opinion of the consumers. By understanding the
values, marketers are able to adapt to their
marketing strategies. This enables them spot any
cultural shifts that may enable the discovery of
new products that may be on demand.
For example if a community had obese people
and had negative disregard to fitness and allover
a sudden they shift towards fitness and health
then the marketer can introduce these products
and equipments in the market scenes. Raju (n.d,
p.52) understanding of the cultural values can
help marketer know the current consumer base
and project of the expansions.
It can also help understand the consumer
behaviors as well potential customers in the
market. It also gives the marketer the chance to
know and approach the consumer more.
According to Ting-Toomey (1999, p.267) it
helps in understanding the behavior of the
consumers of a particular product.
In conclusion, consumer behavior is determined
by cultural aspect that has many aspects
including cultural sensitivity. Cultural
sensitivity ensures that a marketer is well
informed of the traditions, norms, values and
beliefs of a particular society. These are
important in establishing communication,
gaining market share as well as understanding
and behavior of that society.
Marketing ethical issues can some times be seen
as right or wrong depending on the cultural
beliefs perceptions or norms. Understanding
ethical issues is important in helping a marketer
understand the behavior, values that can be
helpful in the marketing strategies.
Reference List
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marketing. Washington, D.C., Georgetown
Univ. Press.
Delener, N., 1995, Ethical issues in international
marketing. Routledge,
Drummond, G., & Ensor, J., 2005, Introduction
to marketing concepts. Oxford,
Elsevier/Butterworth Heinemann.
Dubrin, A. J.,2009, Essentials of management.
Mason, OH, Thomson Business & Economics.
Herbold, R. J., 2007, Seduced by success how
the best companies survive the 9 traps of
winning. New York, McGraw-Hill.
Hennig-Thurau, T., 2000, Relationship
marketing: gaining competitive advantage
through customer satisfaction and customer
retention : with 24 tables. Berlin: Springer.
Kumar, S., 2007, Marketing and branding: the
Indian scenario. New Delhi: Dorling Kindersley
(India).
Kurtz, D. L., Mackenzie, H. F., & Snow, K.,
2009, Contemporary marketing. Toronto:
Nelson Education.
Kline, J., 2010, Ethics for International
Business: Decision Making in a Global Political
Economy. New York: Taylor & Francis
Publishers.
Leighton, D. S. R., 1966,. International
marketing: Text and cases. New York: Sage.
Mabey, C., Salaman, G., & Storey, J.,
1998, Human resource management: a strategic
introduction. Malden, Mass, Blackwell
Business.
Maddock, R. C., & Fulton, R.
L.,1996, Marketing to the mind: right brain
strategies for advertising and marketing.
Westport, Conn: Quorum Books.
Moran, R. T., Harris, P. R., & Moran, S. V.,
2007, Managing cultural differences: global
leadership strategies for the 21st century.
Amsterdam: Elsevier/Butterworth-Heinemann.
Parsons, E., & Maclaran, P.,
2009, Contemporary issues in marketing and
consumer behaviour. Oxford: Butterworth-
Heinemann
Pieper, R. 1990., Human resource management:
an international comparison. Berlin: W. de
Gruyter.
Pride, W. M., & Ferrell, O. C., 2006, Marketing:
concepts and strategies. Boston: Houghton
Mifflin Co.
Raju.n.d., Marketing management. New Delhi:
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Soriano, F. I.,1995, Conducting needs
assessments: a multidisciplinary approach.
Thousand Oaks: Sage Publications
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cultures. New York: Guilford Press.
Vance, C., & Paik, Y., 2011, Managing a global
workforce: challenges and opportunities in
international human resource management.
Armonk, N.Y.: M.E. Sharpe.
Culture and Consumer Behavior
Introduction
Understanding of the consumer behavior forms
the backbone of any successful marketing
strategy. This is the case primarily because;
through critical evaluation and study of desired
market segments; which involves understanding
of the consumer behavior, an organization not
only acquires the ability to decide where to sale
their products, but also the nature of marketing
strategies to adopt for success in its business
ventures.
Such studies on consumer behavior involves the
understanding of the factors that influence the
buying or demand patterns of individuals,
through analyzing their social, situational,
psychological , decision making, and marketing
persuasions. Primarily, consumer behavior
depends on a number of factors, which in most
cases are either socially, psychologically,
individually, or culturally determined.
Although all this factors have major influences
on consumer conduct, culture has the greatest
influence; primarily because, everything about
the daily lifestyles of individual depend on
culture. In addition, culture being the primary
determinant of the nature of attitudes, values,
and personality of individuals; it has many
impacts on the nature of buying patterns adopted
by individuals.
It is important for all marketers to always note
that, cultures undergo a metamorphosis on a
continuous basis, hence the need to adopt the
concept of adaptability, which goes hand with
continuous alteration of whichever marketing
strategy adopted (Samli, 1995, pp. 9-27).
Societal Implications of Reference Group
Influences
In any societal setting, identification with
specific “special” groups is an endeavor every
individual struggles to achieve. Considering
this, majority of individuals will tend to adopt
the nature of lifestyles embraced by members of
that particular group, including adoption of
particular spending habits.
This in most cases is the case, because majority
of personal standards and self-appraisal
methodologies embraced by individual from
originate friends. Regardless of the reference
groups; be they membership, associative or
dissociative, primary or secondary, majority of
spending patterns in those groups are similar.
Such influences on an individual are great to an
extent that, most individuals will tend to forget
their identities, primarily because they want to
conform to standards embraced by such groups.
A concerns individual’s spending habits, most of
such groups are major determinants of brand
formulations hence, acting as a mechanism that
determines the mental representation of one’s
spending or purchasing habits.
It is important to note that, there is a
differentiation of such groups as ones moves
from one culture to another hence, affecting the
nature of marketing strategies effected in a
specific locality. On the other hand, any
consumption patterns adopted by individuals
depend on lifestyles of such groups (Macinis &
Hoyer, 2008, pp. 393-395).
Regardless of the influences form such groups;
be it normative or comparative, the conformity
concept always reigns hence, acting as the main
determinant of the utilitarian and value-
expressive habits embraced by individuals.
Primarily influences from aspiration groups
involves in most cases character alteration
primarily because, to conform to standards of
such groups, majority of individuals will always
endeavor to be like members of such groups by
liking the same groups. Such is the case in
individual who have great admiration on
celebrities and their lifestyles.
The scenario is a little bit different when it
comes to associative reference groups in that;
the primary reason behind such groups is
conformity of standards. In addition, majority of
associative groups thrive from the same societal
settings as their admirers hence, although most
individual tend to avoid exactly coping such
groups’ habits.
To some extent, majority of associative groups
will have a particular liking habit on a specific
brand whereby, because majority of those brands
are appeasing to that specific group of
individuals, in most cases they will always
endeavor to be identified with such brands. Such
identifications bring about the sharing of
knowledge about that brand hence, to some
extent acting as marketers of that specific type
of good (Macinis & Hoyer, 2008, p. 393).
Contrary to associative and aspiration groups,
the case is very different in disssociative groups,
due to the avoidance concept. This the case
primarily because, majority of individual have a
disliking habit on brands they consider not
appropriate for their consumption or use.
This is a culturally determined concept in that,
depending on the cultural orientation of a
specific society, there are likelihoods of some
form of hatred on brands from specific societies.
Such is the case, when it comes to group
socialization; it being the primary determinant
of the living habits embraced in a specific
society.
It is important to note that, consumer
socialization plays an important role when it
comes to learning of concepts that relate to the
value of money. Whereby, acquisition of such
knowledge plays an important role, as concerns
the consumption concept; which primarily
depends on the nature of values adopted by a
specific reference groups (Macinis & Hoyer,
2008, p. 397).
Role of Household in Decision Making and
Marketing Strategies
The family as an important component of has
many influences, as concerns the spending
habits of its members. This is because;
depending on a family’s economic status that is,
the net income from whoever are the
breadwinners of that family, there is a great
variation in the overall decision making process
on the spending habits (Kanuk & Schiffman,
2004, p. 329).
Other family characteristics that have great
influences on the nature of spending habits
embraced my members of a specific family
includes, the nature of relationships within a
household, the size of the family, family
socialization strategies into the money world,
and above all patterns of decision-making
adopted by a specific family; primarily on
spending.
On the other hand, regardless of who makes
spending decisions in a family, sometimes the
exerted influence on the buyers, from family
members plays a central role in determining the
spending habits adopted by individuals.
That is to say, in a purchasing scenario, instances
of impulse buying primarily occur due to
external forces from accompanying members of
the family in that shopping spree; a case that is
common when the entire exercise is done in
presence of young children (Spiro, 1983, pp.
393-394).
Six primary classes of decision makers exists in
any family decision making process namely:
disposers, buyer, gatekeepers, influencers,
deciders, and users. Each of these members has
a role to play, as concerns the purchasing of
goods in a family. For example, deciders have
the primary role of determining what is
appropriate to purchase, whereas influencers are
main contributors to most impulse purchases.
On the other hand, users and disposers play the
role of ensuring such purchased stuff gets
finished, depending on the family daily needs.
Regardless of this duty segmentation, it is the
buyer who bears the brunt of spending their
incomes hence, in most cases they will act as the
main decision makers in a household spending
exercise; a function that most societies delegate
to men due to the gender differentiation concept
(Olson & Peter, 2007, pp. 352-364).
Therefore, for an organization to meet its target
demands, it is necessary for marketers of
specific organizations to have a proper
understanding on the purchasing orientations of
households. Such understanding should be from
a specific cultural understanding, due to the fact
that, the understanding of any marketing
strategy depends on the community
characteristics; where households are the main
building blocks.
In the endeavor to formulate correct marketing
strategies it is important for all marketers to
ensure they understand family patterns; more so
when it comes to decision-making on purchases.
This includes gathering of appropriate data on
variation in product class, the nature of
purchasing powers vested on either the mother
or father of the family, the role played by
children in the decision-making process, and the
nature of conflicts, which may be prevalent in
societies within that specific market segment.
After critically analyzing the collected data, it is
important for marketers to understand the nature
of socialization processes within families in that
locality, for this will help in formulating
marketing strategies that will lead to
achievement of set sales standards. On the other
hand, understanding of the family life cycle is
important, for it is the main determinant of
primary spending habits adopted by individuals.
Such knowledge is important in that, it acts as
the main market segmentation determinant and
determinant of the nature of marketing strategy
adopted by organization to meet its sales targets
(Spiro, 1983, pp.394-400).
Conclusion
In conclusion, before an organization adopts any
marketing strategy, it is important for marketers
to critically analyze the prevailing societal
conditions of the market segment it may want to
sell its products to. This is because; forces within
the societies are primary determinants of any
spending habits embraced in a specific society.
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