Cross-Cultural Retailing Research

Abstract

Relatively little is known about consumer perceptions of retailers in Central and Eastern Europe. What store attributes do consumers in these markets emphasize? Do these attributes reflect the culture of the region? These questions are addressed in the case of Estonia. However our main objective is to contrast the Estonian situation with that of a typical Western country, Canada. Two key shopping experience constructs are selected, namely merchandise selection and the interactivity between the store and the consumer. To make the comparison meaningful we have chosen a single retail category, namely discount or low-price department stores. In both countries there were two stores that dominated their respective market, so this facilitates the collection of consumer perceptions. Structural equation modeling using AMOS software has been used to test the equivalence of the constructs across cultures. Our main findings are that (1) both merchandise selection and store-customer interaction are valid constructs across both countries, (2) that the factor patterns have configural invariance or equivalence for each construct across the two cultures and (3) that the factor patterns do not have weak factor invariance across the cultures. In short, we conclude that there are major differences in consumer's discount store shopping experiences across the two cultures.     

An empirical assessment of cross‐cultural age self‐construal measurement: Evidence from three countries

This study investigated which age measures, independent or interdependent, were better for cross‐cultural consumer research. Specifically, it assessed the fit between the “actual” and “ideal” self‐concept model within the framework of self‐construal theory by examining the actual and ideal self‐attributed age identity across South Korea ( n = 480), China ( n = 207), and France ( n = 338) using both independent and interdependent age identity scales. Multivariate analyses revealed differences for individuated self‐schemata across the three countries for actual and ideal age self‐construal, as well as for actual other‐referent interdependent age self‐schemata. However, the reverse occurred too: The ideal interdependent ages showed a lack of difference across the three different cultures. Overall, the results indicate that interdependent decade scales are better than independent age scales for cross‐cultural consumer behavior studies. Though such scales are more complex, they are easy to translate and to administer, and simple to analyze and to interpret. Evidence also suggests that such scales are reliable and robust across disparate samples in the countries studied. © 2011 Wiley Periodicals, Inc.     

Mexico and the United States: Common border,common negotiating orientations

With a growing cadre of people conducting business across the U.S.–Mexico border, there is a need for information about the negotiation orientations they are likely to encounter. While information on negotiating orientations is available, it is often anecdotal, stereotyped, and contradictory. Empirical work that systematically compares Mexico and the United States across a range of negotiating dimensions is scarce. We have clarified, refined, and operationalized 12 negotiation dimensions in a comprehensive conceptual framework proposed over 20 years ago by Weiss and Stripp (1985). Our findings suggest that U.S. and Mexican negotiators may have more in common than they think and that negotiation orientations in both countries may run counter to conventional wisdom. © 2008 Wiley Periodicals, Inc.     

Leapfrogging to Sustainable Consumption? An Explorative Survey of Consumption Habits and Orientations in Southern Brazil

In current political and scientific debates on sustainable consumption, the low- and middle-income classes of emerging countries are gaining attention. One common feature of such debates is the idea that these emerging consumer classes could be motivated to “leapfrog” directly to environmentally and socially aware consumption patterns and, thereby, avoid adopting the resource-intensive consumption styles of populations in industrialized countries. To be able to adapt sustainable product development or sustainable communication strategies to the needs of low- and medium-income classes, it is necessary to know more about the basic consumption orientations, current consumption habits, and future consumption aspirations of these societal groups. In order to contribute towards filling that knowledge gap, an exploratory survey was conducted, taking the example of emerging low- and middle-income classes in a Southern Brazilian city. The survey identified five different consumer types: the Home-Centered Traditionals, the Indifferent, the Up-to-date Privileged, the Wanna-be Materialists, and the Quality of Life-Oriented Postmaterialists. The paper outlines some ideas concerning how these types can be addressed with target-group-specific products and services as well as differentiated sustainability communication strategies. We conclude, however, that “leapfrogging” of Brazilian low- and middle-income classes towards sustainable consumption is not a very likely option. There are certain consumption orientations that sustainability strategies can link to, but these trends are not likely to compensate the general tendencies towards a resource-intensive lifestyle following the model of the industrialized countries.     

Green intentions under the blue flag: Exploring differences in EU consumers’ willingness to pay more for environmentally‐friendly products

Recent research on consumer social responsibility highlights the need to examine psychological drivers of environmentally‐friendly consumption choices in a global context. This article investigates consumers’ willingness to pay (WTP) more for environmentally‐friendly products across 28 European Union (EU) countries, using a sample of 21,514 consumers. A multigroup structural equation modeling analysis reveals significantly different patterns and relationships, in how (a) subjective knowledge about the product's environmental impact, (b) environmental product attitudes, and (c) the perceived importance of the products’ environmental impact influence consumers’ WTP more for environmentally‐friendly products across countries. The hypothesized model predicts WTP for 20 out of 28 countries and the findings show that a “one‐size‐fits‐all” approach is inadequate in capturing the heterogeneity of EU consumers. Hosfstede's cultural dimensions of uncertainty tolerance and individualism explain differences in WTP for environmentally‐friendly products across EU countries. Business, marketing communications, and policy making implications are discussed.     

If Time Is Money Is It a Common Currency? Time in Anglo,Asian, and Latin Cultures

ABSTRACT

Social time affects the timing and frequency of purchases, the hours consumers patronize businesses, and how long consumers expect products to last. Understanding how culturally based social time attitudes differ will help marketers tailor their offerings and messages to consumers whose concepts of time differ. This exploratory study combined related streams of time literature to examine constructs of social time differences across cultures. Drawing upon a sample of 1377 respondents from six countries representing three cultural groups (Anglo, Latin, and Asian), the study explores the similarity and differences of cultural social time differences among these three groups.     

Cross-Cultural Meanings of Healthy and Beautiful in Words,Beauty Types,and Products

Abstract

The debate about standardized versus localized advertising strategy is a long-standing one, and fraught with human and organizational complexities that argue for the cultural uniqueness of a national market versus the desire for a unified global image. A key issue is whether the same meaning in a specific advertising message will be transferred across cultures. This study deals with cross-cultural comparisons across five European cities (Madrid, Milan, Paris, London, and Hamburg) and focuses on the perceived differences of the meaning of two words (healthy and beautiful), two beauty types (women' faces), and two products (water and perfume). The results show that it is difficult to achieve sameness of meaning for even international products and beauty types. Suggestions for a conceptual match-up model for advertising components are made and implications are drawn for future practice and research.     

Development and validation of an emic scale to measure ad-evoked nostalgia in France

The practice of imbuing marketing communications with nostalgic reverie is prevalent in numerous countries. However, scholarly research investigating consumer response to such communication across cultures is lacking. This inquiry follows an emic approach examining and measuring ad-evoked personal nostalgia in France. Findings from five studies (N = 699) reveal significant differences in consumer reactions in France, as compared to earlier research based on American samples. Among the French, nostalgic advertising evokes personal memories and cultural nostalgia, contrasted to reports of past imagery, physiological and positive and negative emotional reactions in the United States. Furthermore, while cultural nostalgia is an important component of the French personal nostalgic experience, it is the personal memories that are the key to the creation of positive impressions about the ad and brand (brand heritage, brand bonds, and attitudes), and driving behavioral intentions. The emic French scale was found to be superior to an etic ad-nostalgia measure, in terms of fit and variance explained of the endogenous variables. The findings contribute to cross-cultural advertising and marketing research, and can be instructive for advertisers targeting the French market.     

Response rates in international mail surveys: Results of a 22-country study

Researchers embarking on their first international mail survey find very little guidance in the present academic literature. In 1988, two articles were published in the fall issue of the Journal of International Business Studies that claimed that: “at the moment the crossnational researcher has very little evidence upon which to base his judgments about [mail] survey design” [Jobber and Saunders (1988) An experimental investigation into cross-national mail survey response rates, Journal of International Business Studies19, 488] and “Literature concerned with response rates from industrial samples drawn from multiple countries is nearly absent” [Dawson and Dickinson (1988) Conducting international mail surveys: the effect of incentives on response rates within an industrial population, Journal of International Business Studies19, 492]. Unfortunately, not much has changed since. Still, very little is known about how respondents from different countries react to mail surveys. This article intends to fill part of this gap by describing the results of a large scale international mail survey in 22 countries. Response rates are shown to vary considerably across countries in a way that contradicts much of the earlier (American) research on this subject. Several explanations for these differences in response rates are put forward.     

Opportunistic tendencies in IJVS with the Japanese: The effects of culture,shared decision making,and relationship age

This study investigated how partners' self-reported opportunism and shared decision making varied by culture in international joint ventures (IJVs) with the Japanese. Data were gathered by a mail survey of senior officials in IJVs located in 11 host countries. Significant differences were found between partners from Western cultures and the Japanese, but not between other Asians and the Japanese. Indirect effects suggest that shared decision making neutralizes cultural tendencies toward opportunism. Results indicated that opportunistic tendencies did not diminish as the IJV relationship aged, and that shared decision making did diminish as the relationship aged.     

Focus group interviewing in China: Language, culture, and sensemaking

This paper explores the use of foreign languages in qualitative focus group research in China. I focus on language, culture, and sensemaking from a point of view, which presents language as being context and time specific. While this has been examined recently in the field of International Business, it has not been discussed within International Entrepreneurship and with regard to focus groups. My findings show that shared meaning can be constructed in focus groups across different languages and locations but depends on the use of cultural insiders and resources. This leads us to new levels of understanding within International Entrepreneurship. The author uses the definition of International Entrepreneurship (IE) as provided by Oviatt and McDougall (2005) who qualified IE research as falling into categories: research that provides comparisons of entrepreneurial behavior in multiple countries and cultures or research that examines organization behavior that extends across national borders and is entrepreneurial (Oviatt and McDougall 2005: 540).     

Cross-Cultural Perceptions of Business Ethics: Evidence from the United States and China

A number of empirical studies have examined business ethics across cultures, focusing primarily on differences in ethical profiles between cultures and groups. When managers consider whether or not to develop a business relationship with those from a different culture, their decision may be affected by actual differences in ethical profiles, but potentially even more so by their perceptions of ethicality in the counterpart culture. The latter issue has been largely ignored in extant empirical research regarding cross-cultural ethical profiles. In this study, we employ a design that allows for a more complete analysis of cross-cultural perspectives, examining both the manner in which selected cultures view themselves and the manner in which those same cultures perceive the ethical profiles of others. To this end, we surveyed master’s students in business fields at several universities in the United States and China—two countries/cultures that engage in a significant amount of business transactions—and examined differences in personal ethical profiles across cultures, differences in one group’s ethical profile and the way it is perceived by the other group, and differences in perceived ethical profiles across cultures; that is, differences in how groups view each other. Findings suggest meaningful discrepancies in the ethical perceptions formed toward the counterpart culture. Results support a role for ethical perceptions in future research, and further examination and inquiry into the development and adaptation of ethical perceptions in cross-cultural business dealings.     

Pragmatism versus Idealism: Understanding the Negotiating Practices in China and India

China and India are now emerging as major players in the new international economic order. Their economies are growing at a rapid pace, and increasingly foreign investors are flocking to these countries to capitalize on the emerging opportunities. Although economic and social transformation is under way in these societies, this transformation is occurring within a backdrop of an institutional context that is rather different from what is present in Western societies. We draw upon an institutional theory framework to compare and contrast China and India along the dimensions of the regulatory, normative, and the cognitive dimensions. The regulatory dimension refers to the restrictions or lack thereof that might impact foreign investors and/or the manner in which they are implemented. Normative dimension refers to the dominant cultural norms and values present in a given society, while cognitive dimension pertains to the acceptance or the lack thereof of foreign investment. These dimensions are then posited to impact on the negotiating processes that are characteristic of that society. We compare and contrast the negotiating practices in China with that of India and outline strategies through which foreign investors may manage the negotiating process in these countries more effectively. © 2014 Wiley Periodicals, Inc.     

Are consumers' financial needs and values common across cultures? Evidence from six countries

Are consumers' financial needs, and financial values, the same or different across cultures? Two studies, with student (Study 1; n = 988) and non‐student (Study 2; n = 959) participants, explore the extent of equivalence, across six countries (Brazil, Russia, China, Taiwan, Tunisia and US), in financial need belief, and financial value, measurement models. The financial need beliefs, derived from self‐determination theory (SDT) principles, include financial self‐efficacy, financial autonomy, financial community trust and support; the financial values include materialism and financial altruism. Both the financial need and financial value constructs evidence configural invariance (similar factor structure), and factor invariance among student but not non‐student samples. The financial need constructs evidence full, and the financial value constructs evidence partial, metric (factor loading) invariance. Factor covariance invariance obtains for the financial need beliefs constructs but not the financial value constructs. Finally, neither financial need nor financial value constructs evidence scalar (intercept) invariance. These results provide partial support for extending SDT's hypothesis of universal human needs to the financial domain. In contrast, the financial value constructs of altruism and materialism are largely instable across cultures, suggesting that consumer views of giving, and the role of wealth in social status, differ between countries.     

Does context matter for sustainability disclosure? Institutional factors in Southeast Asia

Corporate sustainability is a dynamic, socially constructed concept. Relatedly, to understand the variations in the disclosure of corporate sustainability activities across countries, we need to inherently explore their underlying sociopolitical contexts. At present our understanding in this regard, is deficient. We respond to this extant research gap by adopting a multi‐country approach to investigate the relationship between countries' institutional environments and firms' sustainability disclosure (SD) practices, across six countries in the Southeast Asian region. Our findings reflect a common focus of Southeast Asian firms on community and human resources (HRs) related disclosures. Nevertheless, nuanced differences in their overall SD levels confirm the influence of differing legal, normative, and sociocultural systems in engendering greater disclosure and transparency at a national level. By quantifying the institutional environment and identifying external influencing factors, our study provides a useful framework grounded in neo‐institutional theory to widen the existing understanding of how institutional pressures can be measured and compared across different contexts.     

An Examination of the Relationship between Culture and Cyberloafing Using the Hofstede Model

This article explores the relationship between culture and cyberloafing. A survey measuring individuals’ propensity to engage in cyberloafing in the workplace was conducted with people from 17 countries representing a wide range of cultures. Tests were performed to explore relationships between participants’ propensity to cyberloaf and the cultural dimension ratings for their individual countries of origin. The results show that some types of cyberloafing activity relate significantly with culture. This has potential implications for multinational organizations. Employees from different cultures may have different workplace tendencies.     

Trouble Ahead: Derailment Is Alive and Well

Derailment is a common phenomenon in organizations; however, managers' derailment can be prevented if the phenomenon is well understood. Derailed managers often have impressive track records and are solidly established within their organizations, but something goes wrong along the way. In this article, we review the dynamics and causes of derailment. We then report survey results from over 2,500 respondents across five countries with differences noted by level, industry, and country. Finally, we describe actions to prevent derailment. © 2013 Wiley Periodicals, Inc.     

Convergence and divergence in consumer behavior: implications for international retailing

Converging technology and disappearing income differences across countries will not lead to homogenization of consumer behavior. Rather, consumer behavior will become more heterogeneous because of cultural differences. As consumer incomes converge across countries, the manifestation of value differences will become stronger. This phenomenon makes it increasingly important to understand values of national cultures and their impact on consumer behavior. Retailing strategies for one country cannot be extended to other countries without adaptation. Hofstede’s model of national culture is applied to understand differences in consumer behavior across countries. Examples are provided of consumption differences, their relationships with culture discussed, and selected implications for international retailing management detailed.     

Alternative Negotiating Conditions and the Choice of Negotiation Tactics: A Cross-cultural Comparison

The growth in international trade in recent years necessitates a better understanding of customs and expectations in cross-cultural negotiations. While several researchers have sought to examine and detail the similarities and differences between select countries, their data have generally been obtained under neutral or unspecified negotiating conditions. However, issue importance, opponent (prowess, ethical reputation), and context (location, confederate awareness, urgency) can play a significant role in the use of negotiating tactics. This paper describes a study comparing the perceptions of one hundred and forty-two current and future business professionals from two emerging trade partners, Brazil and the United States, regarding the appropriateness and likely use of five categories of negotiation tactics under seven challenging or unfavorable negotiating conditions commonly faced by negotiators. The results indicate an overall conditional effect for both attitudes (perceived appropriateness) and intentions (likelihood of use). In addition, while no significant difference in perceived appropriateness was found due to country, there were differences in likely use due to country for six conditions-behaviors.