MKTG 3620 Exam 1

American Cultural Values

Observable shifts in behavior, including consumption behavior, often reflect shifts in cultural values, widely held beliefs that affirm what is desirable. Therefore, it is necessary to understand the underlying value shifts to understand current and future consumer behavior. Although we discuss American values as though every American has the same values, in fact there is substantial variance in values across individuals and groups. In addition, changes in values tend to occur slowly and unevenly across individuals and groups. While traumatic events such as the 9/11 attacks and the recent major recession can produce value shifts, a slow evolution is more common. Caution should be used in assuming that short-term behavioral or attitudinal changes in response to such events represent long-lasting value shifts. Figure 3-1 presents our estimate of how American values are changing. These are the same values used to describe different cultures in Chapter 2. It must be emphasized that Figure 3-1 is based on the authors' subjective interpretation of the American society. You should feel free, indeed compelled, to challenge these judgments.

Blended Family

Step families are also important and growing. The U.S. Census defines a step family as a married-couple family household with at least one child under the age of 18 who is a stepchild (i.e., a son or daughter through marriage). High divorce and remarriage rates mean that a substantial number of American children grow up with stepparents and stepsiblings and often have two such families, one formed by their mother and the other by their father. One study finds that half of all young adults have at least one step relative.4 Creating and revising relationship identities is critical and difficult and can revolve around consumption activities. Consider the following quote about the challenges of step relationships: Page 186 When mom and dad got divorced and mom remarried, everything changed. We, my father and I, had to find a way to create a sense of who we are without mom. We found that a passion for adventure is something we share, that mom and my sister don't, and we took up scuba diving. Although my stepdad is certainly a part of our family, my mom, sister, and I are a different "we" with many different stories to tell and a distinct history of sharing experiences.5 Recognizing the difficult dynamics of step family relationships, Café Press offers cards, t-shirts, mugs, and other products that celebrate step families. One card reads, "It's Love Not Blood that M

Social Class System

The words social class and social standing are used interchangeably to mean societal rank—one's position relative to others on one or more dimensions valued by society. How do we obtain a social standing? Your social standing is a result of characteristics you possess that others in society desire and hold in high esteem. Your education, occupation, ownership of property, income level, and heritage (racial or ethnic background, parents' status) influence your social standing, as shown in Figure 4-2. Social standing ranges from the lower class, those with few or none of the socioeconomic factors desired by society, to the upper class, who possess many of the socioeconomic characteristics considered by society as desirable. Individuals with different social standings tend to have different needs and consumption patterns. Thus, a social class system can be defined as a hierarchical division of a society into relatively distinct and homogeneous groups with respect to attitudes, values, and lifestyles. FIGURE 4-2 Social Standing Is Derived and Influences Behavior "Pure" social classes do not exist in the United States or most other industrialized societies. However, it is apparent that these same societies do have hierarchical groups of individuals and that individuals in those groups do exhibit unique behavior patterns that are different from behaviors in other groups. What exists is not a set of social classes but a series of status continua.82 These status continua reflect various dimensions or factors that the overall society values. In an achievement-oriented society such as the United States, achievement-related factors constitute the primary status dimensions. Thus, education, occupation, income, and, to a lesser extent, quality of residence and place of residence are important status dimensions in the United States. Race and gender are ascribed dimensions of social status that are not related to achievement but still influence status in the United States. Likewise, the status of a person's parents is an ascribed status dimension that also exists in the United States. However, heritage is a more important factor in a more traditional society such as England.83 Page 129 The various status dimensions are clearly related to each other. In a functional sense, the status of one's parents influences one's education, which in turn influences occupation that generates income, which sets limits on one's lifestyle, including one's residence. Does this mean that an individual with high status based on one dimension will have high status based on the other dimensions? This is a question of status crystallization. The more consistent an individual is on all status dimensions, the greater the degree of status crystallization for the individual. Status crystallization is moderate in the United States. For example, many blue-collar workers (such as plumbers and electricians) earn higher incomes than many professionals (such as public school teachers).

Sanctions

Violation of cultural norms results in sanctions, or penalties ranging from mild social disapproval to banishment from the group. Thus, as Figure 2-2 indicates, cultural values give rise to norms and associated sanctions, which in turn influence consumption patterns. FIGURE 2-2 Values, Norms, Sanctions, and Consumption Patterns The preceding discussion may leave the impression that people are aware of cultural values and norms and that violating any given norm carries a precise and known sanction. This is seldom the case. We tend to "obey" cultural norms without thinking because to do otherwise would seem unnatural. For example, we are seldom aware of how close we stand to other individuals while conducting business. Yet this distance is well defined and adhered to, even though it varies from culture to culture.

Family Household

here are a variety of types of households. The Census Bureau defines a household as all the people who occupy a housing unit (a house, apartment, group of rooms, or single room designed to be occupied as separate living quarters). It defines a family household as one having at least two members related by birth, marriage, or adoption, one of whom is the householder (a householder owns or rents the residence).

Non-Family Household

A nonfamily household is a householder living alone or exclusively with others to whom he or she is not related. Table 6-1 indicates the current distribution of household types in the United States.2

Sub-Cultures in the US, What they are, Largest Group

A subculture is a segment of a larger culture whose members share distinguishing values and patterns of behavior. The unique values and patterns of behavior shared by subculture group members are based on the social history of the group as well as its current situation. Subculture members are also part of the larger culture in which they exist, and they generally share most behaviors and beliefs with the core culture. As Figure 5-1 indicates, the degree to which an individual behaves in a manner unique to a subculture depends on the extent to which the individual identifies with that subculture. FIGURE 5-1 Identification with a Subculture Produces Unique Market Behaviors Page 149 America has traditionally been viewed as a melting pot or a soup bowl. Immigrants from various countries came to America and quickly (at least by the second generation) surrendered their old languages, values, behaviors, and even religions. In their place, they acquired American characteristics that were largely a slight adaptation of Western European, particularly British, features. The base American culture was vast enough that new immigrants did not change the flavor of the mixture to any noticeable extent. Although this is a reasonable approximation of the experience of most Western European immigrants, it isn't very accurate for African, Hispanic, Asian, or Arabic immigrants. Nor does it accurately describe the experience of Native Americans. Today, America is perhaps better described as a salad rather than a melting pot or a soup bowl. When a small amount of a new ingredient is added to a soup, it generally loses its identity completely and blends into the overall flavor of the soup. In a salad, each ingredient retains its own unique identity while adding to the color and flavor of the overall salad. However, even in the salad bowl analogy, we should add a large serving of salad dressing, which represents the core American culture and blends the diverse groups into a cohesive society. Ethnic groups are the most commonly described subcultures, but religions and geographic regions are also the bases for strong subcultures in the United States. Generations, as described in the previous chapter, also function like subcultures. Thus, we are all members of several subcultures. Each subculture may influence different aspects of our lifestyle. Our attitudes toward new products or imported products may be strongly influenced by our regional subculture, our taste in music by our generation subculture, our food preferences by our ethnic subculture, and our alcohol consumption by our religious subculture. These subculture influences often result in the need for marketers to adapt one or more aspects of their marketing mix, as seen in Illustration 5-1. ILLUSTRATION 5-1It is sometimes important to customize ads to meet the requirements of different ethnic markets. Identifying which subculture, if any, is an important determinant of behavior for a specific product is a key task for marketing managers. In the sections that follow, we describe the major ethnic, religious, and regional subcultures in America. While we will describe the general nature of these subcultures, it must be emphasized that large variations exist within each subculture. Our focus in this chapter is on America, but all countries have a variety of subcultures that marketers must consider. We define ethnic subcultures broadly as those whose members' unique shared behaviors are based on a common racial, language, or national background. In this chapter, we describe the major ethnic subcultures separately. However, there are many Americans who identify with more than one ethnic group. Romona Douglas, of white, black, and American Indian descent, described her feelings as follows: The assumption is that black people are a certain way, and white people are a particular way, and Asians are a certain way. Well, what about multi-racial families? I don't appreciate a McDonald's commercial with a street-wise black person. That is not me, that is not my upbringing. A lot of marketing campaigns are based on stereotypes of mono-racial communities.2 We describe the general characteristics of the major ethnic subcultures as a starting point, recognizing that further understanding can be gained by examining multiethnic groups as well. Figure 5-2 provides the current and projected sizes of the major ethnic groups in America.3 As this figure makes clear, non-European ethnic groups constitute a significant and growing part of our population, from 38 percent in 2010 to 47 percent by 2030. The percentages shown in the figure understate the importance of these ethnic groups to specific geographic regions.4 Thus, Hispanics are the largest population group in parts of Arizona, California, Florida, New Mexico, and Texas; Asian Americans are the largest group in Honolulu; and African Americans are a majority in parts of the South and urban areas in the Northeast and Midwest. In contrast, states such as Maine, Vermont, and West Virginia are more than 90 percent white. FIGURE 5-2 Major Ethnic Subcultures in the United States: 2010-2030 Source: "Table 1a. Projected Population of the United States, by Race and Hispanic Origin: 2000 to 2050," U.S. Interim Projections by Age, Sex, Race, and Hispanic Origin (Washington, DC: U.S. Bureau of the Census, 2004). The relatively faster growth rate of non-European groups is due to a higher birthrate among some of these groups and to greater immigration. Immigration has accounted for over a third of the U.S. population growth over the past several decades. Roughly one million legal immigrants enter the U.S. population each year. In 2009, the sources of these immigrants were as follows:5 Latin America 40.8% Asia 36.5 Europe 9.3 Africa 11.2 Page 151 The influx of ethnic immigrants not only increases the size of ethnic subcultures, but also reinforces the unique behaviors and attitudes derived from the group's home culture. In the following sections, we describe the major ethnic subcultures. It is critical to remember that all subcultures are very diverse, and general descriptions do not apply to all of the members. Although one's ethnic heritage is a permanent characteristic, its influence is situational. That is, the degree to which a person's consumption is influenced by his or her ethnicity depends on such factors as who he or she is with, where he or she is, and other physical and social cues.6 Thus, one's ethnicity might play no role in a decision to grab a quick bite for lunch during a business meeting and a large role in deciding what to prepare for a family dinner. In addition, ethnicity is only one factor that influences an individual's behavior. As we saw in the previous chapter, demographic factors also play a role. For example, a 45-year-old black doctor earning $90,000 per year and a 45-year-old white doctor with the same income would probably have more consumption behaviors in common than they would with members of their own race who were low-income service workers. As shown below, the various ethnic groups have distinct demographic profiles.7 Thus, one must use caution in assuming that observed consumption differences between ethnic groups are caused by their ethnicity. These differences often disappear when demographic variables such as income are held constant. Whites Blacks Hispanics Asians Median age (in 2015) 39 33 28 38 High school or more (25 or older) 87% 84% 62% 88% Bachelor's or more (25 or older) 30% 19% 13% 52% Families with children under 18 47% 61% 71% 51% Growth rate (2010-2030) 16% 22% 73% 64% Median household income $52,312 $34,218 $37,913 $65,637 Examine Table 5-1. Which of these differences are caused mainly by ethnicity or race, and which are caused by other factors?

Cultural Values

Cultural values are widely held beliefs that affirm what is desirable. These values affect behavior through norms, which specify an acceptable range of responses to specific situations. A useful approach to understanding cultural variations in behavior is to understand the values embraced by different cultures. Numerous values vary across cultures and affect consumption. We will present a classification scheme consisting of three broad forms of cultural values: other-oriented, environment-oriented, and self-oriented. The cultural values that have the most impact on consumer behavior can be classified in one of these three general categories.

Culture

Culture is the complex whole that includes knowledge, belief, art, law, morals, customs, and any other capabilities and habits acquired by humans as members of society. Several aspects of culture require elaboration. First, culture is a comprehensive concept. It includes almost everything that influences an individual's thought processes and behaviors. Although culture does not determine the nature or frequency of biological drives such as hunger or sex, it does influence if, when, and how these drives will be gratified. It influences not only our preferences but how we make decisions10 and even how we perceive the world around us. Second, culture is acquired. It does not include inherited responses and predispositions. However, because much of human behavior is learned rather than innate, culture does affect a wide array of behaviors. Page 41 Third, the complexity of modern societies is such that culture seldom provides detailed prescriptions for appropriate behavior. Instead, in most industrial societies, culture supplies boundaries within which most individuals think and act. Finally, the nature of cultural influences is such that we are seldom aware of them. One behaves, thinks, and feels in a manner consistent with that of other members of the same culture because it seems "natural" or "right" to do so. Imagine sweet corn. Most Americans think of it as a hot side dish. However, uses vary by country. Consider the following: Instead of being eaten as a hot side dish, the French add it to salad and eat it cold. In Britain, corn is used as a sandwich and pizza topping. In Japan, school children gobble down canned corn as an after-school treat. And in Korea, the sweet corn is sprinkled over ice cream.11 Some of these uses probably seem strange or disgusting to you but are perfectly natural to members of other cultures. This is the nature of culture. We don't think about the fact that many of our preferences are strongly influenced by our culture. Culture operates primarily by setting rather loose boundaries for individual behavior and by influencing the functioning of such institutions as the family and mass media. Thus, culture provides the framework within which individual and household lifestyles evolve. Cultures are not static. They typically evolve and change slowly over time. Marketing managers must understand both the existing cultural values and the emerging cultural values of the societies they serve. A failure to understand cultural differences can produce negative consequences, such as the following:

Household Life Cycle

The traditional view of the American household life cycle was quite simple. People married by their early 20s; they had several children; these children grew up and started their own families; the original couple retired; and the male would eventually die, followed after a few years by the female. This was known as the family life cycle, and it was a useful tool for segmenting markets and developing marketing strategy. The basic assumption underlying the family life cycle approach is that most families pass through an orderly progression of stages, each with its own characteristics, financial situations, and purchasing patterns. However, as described earlier, American households follow much more complex and varied cycles today. Therefore, researchers have developed several models of the household life cycle (HLC).7 All are based on the age and marital status of the adult members of the household and the presence and age of children. A useful version is shown in Figure 6-2. FIGURE 6-2 Stages of the Household Life Cycle Page 187 CONSUMER INSIGHT 6-1The Rise of Multigenerational Families A multigenerational family is a family household containing (a) at least two adult generations or (b) a grandparent and at least one other generation. Nearly 50 million Americans live in multigenerational households, which is a 33 percent increase since 1980. A number of factors account for this trend, including:6 The increasing immigrant population—this population is more likely to live in multigenerational families. Indeed, nearly a quarter of all Hispanics and Asian Americans live in such households. The delay in marriage of younger individuals and the economic recession—because young people have pushed marriage into their late 20s, those in their early 20s are often the most likely to move back in with their parents, and tough economic times have accelerated this trend. Medicare cuts and cultural beliefs about caring for an elder parent—there has been an increase in the percentage of those 65 and older moving in with their children. Economic issues may be one factor. However, over half of American adults also believe it is their responsibility to take an elder parent into their home if the parent wants to live with them. There are different forms of multigenerational family. The first (47 percent) involves two adult generations where the youngest adult is 25 or older. The second (47 percent) involves three or more generations. The third involves a grandparent and grandchild with no parent present. This last category, called the skipped generation, represents 6 percent of all multigenerational families and shows the power of America's aging population in directly parenting and influencing multiple generations of children. It diverges considerably from our traditional notion of aging baby boomers as empty nesters focused on travel and other leisure activities. Marketers are finding opportunities and challenges in this family type. For example: Ameriprise advisors are trained to help women deal with the fact that if they are a caregiver to a family member or friend (and 60 percent are), that it has work and financial consequences that must be planned for. Caldwell Banker's real estate agents are trained to position houses for multigenerational families. So, for example, a fifth bedroom could be touted as "in-law quarters." Presto created a printer device to which e-mails and pictures can be sent and then directly printed with the push of a button to allow electronic communication with older family members even if they are less technologically proficient. For the grandparents raising their grandchildren, opportunities abound that go beyond the typical gift scenario such as diapers, baby food, and other basic need products. Critical Thinking Questions 1. Do you think the increase in multigenerational families will continue to grow after the economic recession is over? 2. What additional marketing opportunities may exist for multigenerational families? 3. What challenges might marketers face in targeting multigenerational families? The HLC assumes that households move into a variety of relatively distinct and well-defined categories over time. There are a variety of routes into most of the categories shown in Figure 6-2, and movement from one category into another frequently occurs. For example, it is common for singles to marry and then divorce within a few years without having children (moving from single to young married back to young single). Or one can become a single parent through divorce or through birth or adoption without a cohabiting partner. Page 188 Each category in the household life cycle poses a set of problems that household decision makers must solve. The solution to these problems is bound intimately to the selection and maintenance of a lifestyle and, thus, to consumption. For example, all young couples with no children face a need for relaxation or recreation. Solutions to this common problem differ, with some opting for an outdoors-oriented lifestyle and others choosing a sophisticated urban lifestyle. As these families move into another stage in the HLC, such as the "full nest I" stage, the problems they face change. The amount of time and resources available for recreation usually diminishes. New problems related to raising a child become more urgent. Each stage presents unique needs and wants as well as financial conditions and experiences. Thus, the HLC provides marketers with relatively homogeneous household segments that share similar needs with respect to household-related problems and purchases, as discussed in Consumer Insight 6-2. While Figure 6-2 categorizes households into married and unmarried, it is "coupleness" rather than the legal status of the relationship that drives most of the behavior of the household. Committed couples, of the same sex or of opposite sexes, tend to exhibit most of the category-specific behaviors described below whether or not they are married. Single I This group consists of young (ages 18 to 34), unmarried individuals. There are roughly 69 million people in this age group, with 68 percent of men and 60 percent of women being single. Single I is basically the unmarried members of the Generation Yers, as described in Chapter 4. The aging of the larger Generation Y cohort along with continued delay of marriage has fueled growth in this market.9 During this time, individuals generally leave home and establish their own distinct identities. It is a time of growth and change, both exciting and positive, and frightening and painful. Page 189 CONSUMER INSIGHT 6-2Consumer Life Cycles and Homeowner Remodeling Decisions Consumers and households move through somewhat predictable phases.8 As they do so, changes occur in consumption based on these shifts in household characteristics and needs and wants. Housing, of course, is needed at all the household life stages, and a relationship between the type of housing and the consumers' household life stage exists. Consumers who are single and entering the workforce are more likely to rent than own. And while home ownership is an aspiration and reality for many Americans, the challenges associated with changes in the household life cycle can generate the need to either move or remodel. Renovations are costly and can lead to unexpected and hidden costs. Two factors play into renovation decisions: Family (and friends) are the single most influential factors in renovation decisions. Household life-cycle stage changes can trigger the need for home renovations. A recent article shows that movements across stages (e.g., from no children to children, from children to no children) can generate the need to renovate and remodel. Some of the mechanisms are as follows: Prioritizing—Do households balance competing and at times conflicting commitments in how they manage and use space at home? Embodying—Do household members have particular physical needs, either currently or in the anticipated future, that might affect how the home is arranged? Adapting—Are households aware of a need to adapt the physical arrangement or material surroundings of their homes? Clearly these mechanisms can be triggered by a number of factors, but household life-cycle stage and stage changes will have a major (if not the major) influence. An interesting corollary effect involved in remodeling is called the Diderot effect which, in effect, means that one change leads to a cascade of other needed or desired changes. The following quote illustrates this effect: I think of my parents, who a year ago remodeled a powder room and redecorated the living room. That work served to highlight the age of the rest of the home, and they have since replaced the garage door and redecorated the guest room, and are now in the process of planning to remodel the kitchen and master bath, finish the basement and redecorate another bedroom. They are neither materialistic nor extravagant, but they want the house to look nice—to be updated and well maintained. The Diderot effect is a warning to consumers of the hidden costs subsequent to the remodeling, upgrading, and replacement of goods. To the remodeler, the Diderot effect is a promise of possible repeat business from current customers who find, to their surprise, the need for additional remodeling and serves as a reminder to provide quality work. Critical Thinking Questions 1. Why might the Diderot effect be of interest to marketers? 2. Choose two phases of the household life cycle and describe how one of the mechanisms might be involved in triggering a need for home remodeling. 3. What decision barriers must marketers overcome if consumers are aware of the Diderot effect? Page 190 This group can be subdivided into those who live with one or both parents and those who live alone or with other individuals. The roughly 44 million single individuals in this age range live as follows: Males (%) Females (%) Total (%) Live alone 14 12 13 Live with parent(s) 46 40 43 Live with others 39 48 43 Those who live with parents tend to be younger, with 75 percent being under 25. A significant number are in school or have recently graduated from high school or college and are beginning their working careers. Though people in this group have lower relative incomes, they also have few fixed expenses. They lead active, social lives. They go to bars, movies, and concerts, and purchase sports equipment, clothes, and personal care items. Although some of those who live with others are involved with a partner, many share quarters with one or more housemates. These individuals have more fixed living expenses than do those who live with their parents, but they generally have ample disposable income as they share rent and other fixed housing costs. These singles are a good market for the same types of products as those who live at home as well as for convenience-oriented household products. They are also a prime market for nice apartments, sports cars, clothing Club Med vacations, and similar activities. They are beginning to develop financial portfolios such as life insurance, savings, and stocks or mutual funds. The Calvin Klein Jeans ad shown in Illustration 6-2 would appeal to both groups. ILLUSTRATION 6-2Young singles are active and often have significant discretionary income. They are an excellent market for a wide array of recreational and leisure items. This Calvin Klein Jeans ad would appeal to their desire for action and romance. Page 191 Singles who live alone are older, with 70 percent being over 25. In general, they have higher incomes than the others but also higher expenses because they have no one with whom to share the fixed cost of a house or apartment. They are a good market for most of the same products and services as the other singles. Young Couples: No Children The decision to marry, or to live together, brings about a new stage in the household life cycle. Marriage is much more likely for the 25- to 34-year-olds (50 percent) than it is for the under-25 crowd (14 percent). The lifestyles of two young singles are greatly altered as they develop a shared lifestyle. Joint decisions and shared roles in household responsibilities are in many instances new experiences.10 Savings, household furnishings, major appliances, and more comprehensive insurance coverage are among the new areas of problem recognition and decision making to which a young married couple must give serious consideration. Like the young single stage, the time spent by a young couple in this stage of the HLC has grown as couples either delay their start in having children or choose to remain childless. Most households in this group have dual incomes and thus are relatively affluent. Compared with full nest I families, this group spends heavily on theater tickets, expensive clothes, luxury vacations, restaurant meals, and alcoholic beverages. They can afford nice cars, stylish apartments, and high-quality home appliances. Illustration 6-3 contains an ad that would appeal to this group as well as to some members of the single I and full nest I segments. Note that romance plays a major role in the ad. It also plays on the desire to escape worries and everyday responsibilities. ILLUSTRATION 6-3This resort is positioned as ideal for couples to escape the pressure of a hectic work schedule for relaxation and romance. Full Nest I: Young Married with Children Roughly 6 percent of households are young married couples with children. The addition of the first child to a family creates many changes in lifestyle and consumption. Naturally, new purchases in the areas of baby clothes, furniture, food, and health care products occur in this stage. Lifestyles are also greatly altered. The wife may withdraw fully or partly from the labor force (in roughly 62 percent of married couples with a child under six, the wife works outside the home)11 for several months to several years, with a resulting decline in household income. The couple may have to move to another place of residence because their current apartment may not be appropriate for children. Likewise, choices of vacations, restaurants, and automobiles must be changed to accommodate young children. Page 192 Some of the changes in income and annual expenditures that occur as a household moves from childless to the young child stage in their late 20s and early 30s include the following:12 Expenditure Percentage Change Income −9.4% Food at home 24.3 Meals out −9.6 Alcoholic beverages −25.0 Adult apparel −8.3 Children's apparel 215.7 Health care 16.1 Education −28.8 Personal care products −2.6 As shown above, discretionary and adult expenditures are reduced by the need to spend on child-related products such as food, health care, and children's apparel as well as to offset the decline in income. Obtaining competent child care becomes an issue at this stage and remains a major concern of parents at all HLC stages. Households with a stay-at-home spouse confront this issue mainly for evenings out or weekends away. Single-parent and dual-earner households generally require daily child care, which is expensive and often requires parents to make trade-offs from their ideal situation. Moms across the HLC possess $1.7 trillion in spending power. Examples of companies going after moms in full nest I are given below. Kraft, which launched an iPad app called Big Fork Little Fork that provides parents with information on healthy food options for kids and families.13 Club Mom, an online loyalty program that provides advice, resources, and discounts to moms who shop with sponsors such as Chrysler.14 McDonald's, which attempts to attract this segment by providing recreational equipment for the young children in these households. Illustration 6-4 contains an ad aimed at this market segment. It shows how the choice of recreational activities may change with the addition of young children. ILLUSTRATION 6-4Parenthood brings both great pleasures and great responsibilities. This ad emphasizes the pleasures of family activities. Single Parent I: Young Single Parents Birth or adoption by singles is increasingly common. Roughly 40 percent of children are born to unmarried mothers, a number that has risen by 13 percentage points since 1990. However, as many as 40 percent of these children may actually be born to cohabiting unmarried parents.15 Divorce, while on the decline since 1980, continues to be a significant part of American society, with 40 percent of first marriages ending in divorce.16 Although most divorced individuals remarry and most women who bear children out of wedlock eventually get married, 9 percent of American households are single-parent families, and 80 percent of these are headed by women. The younger members of this group, particularly those who have never been married, tend to have a limited education and a very low income. These individuals are often members of one of the lower social classes, as described in Chapter 4. The older members of this segment and the divorced members receiving support from their ex-spouses are somewhat better off financially, but most are still under significant stress as they raise their young children without the support of a partner who is physically present. This type of family situation creates many unique needs in the areas of child care, easy-to-prepare foods, and recreation. The need to work and raise younger children creates enormous time pressures and places tremendous demands on the energy of these parents. Most are renters and so are not a major market for home appliances and improvements. Their purchases focus on getting by and on time- and energy-saving products and services that are not overly expensive. Page 193 Middle-Aged Single The middle-aged single category is made up of people who have never married and those who are divorced and have no child-rearing responsibilities. These individuals are in the 35-to-64 age category, which is primarily the Generation X and baby boomers (Chapter 4), although older Generation Y consumers are moving into this category as well. Middle-aged singles often live alone. In fact, living alone is increasingly viewed as a lifestyle choice that many are willing and able to make, given higher incomes. Middle-aged singles who live alone represented roughly 15 million households, which is about 47 percent of all single-person households. Middle-aged singles have higher incomes than young singles. However, all live-alone singles suffer from a lack of scale economies. That is, a couple or family needs only one dishwasher, clothes dryer, and so forth for everyone in the household; but the single-person household needs the same basic household infrastructure even though only one person uses it. Likewise, many foods and other items come in sizes inappropriate for singles, or the small sizes are disproportionately expensive. Thus, opportunities appear to exist to fill unmet needs among this important and growing market.17 The needs of middle-aged singles in many ways reflect those of young singles. But middle-aged singles are likely to have more money to spend on their lifestyles and they are willing to indulge themselves. Thus, they may live in nice condominiums, frequent expensive restaurants, own a luxury automobile, and travel often. They are a major market for gifts, and the males buy significant amounts of jewelry as gifts. Empty Nest I: Middle-Aged Married with No Children Lifestyle changes in the 1980s and 1990s influenced many young couples to not have children.18 In other cases, these households represent second marriages in which children from a first marriage are not living with the parent. This group also includes married couples whose children have left home. These three forces have produced a huge market consisting of middle-aged couples without children at home. Roughly 55 percent of married couples in this age group (35 to 64) don't have children under the age of 18. This segment has grown as baby boomers have moved through the latter stages of middle age and into retirement. Page 194 Both adults typically will have jobs, so they are very busy. However, the absence of responsibilities for children creates more free time than they have enjoyed since their youth. They also have money to spend on dining out, expensive vacations, second homes, luxury cars, and time-saving services such as housecleaning, laundry, and shopping. They are a prime market for financial services. Less obvious, they are also heavy purchasers of upscale children's products, as gifts for nieces, nephews, grandchildren, and friends' children. The ad and product in Illustration 6-5 would appeal to this group. ILLUSTRATION 6-5This service and ad would appeal to empty nest I consumers. They have the resources to afford such travel and would welcome the relaxation and escape it promises. Delayed Full Nest I: Older Married with Young Children Many members of the baby boom generation and Generation X delayed having their first child until they were in their mid-30s. This produced the new phenomenon of a large number of middle-aged, established families entering into parenthood for the first time. Recall from Table 6-1 that married couples with children under 18 make up 21.4 percent of all households. And young married couples make up only 6 percent of all households. However, middle-aged (35 to 64) married couples with children (both delayed full nest I and full nest II) make up roughly 15 percent of all households and represent 71 percent of all married couples with children under 18.19 A major difference between delayed full nest I and younger new parents is income. Older new parents' incomes are significantly larger than those of younger new parents. They have had this income flow longer and so have acquired more capital and possessions. They spend heavily on child care, mortgage payments, home maintenance, lawn care, and household furnishings. In addition, they want only the best for their children and are willing and able to spend on them. For example, the specialty diaper and toiletries market is expected to have double-digit growth. And traditional mass marketers such as Kimberly-Clark are pushing high-end products like "pull-up" diapers with glow-in-the-dark animated characters.20 In addition, delayed full nest I can also spend more on nonchild expenditures such as food, alcohol, and entertainment, and can make more savings and retirement contributions than can younger new parents. Full Nest II: Middle-Aged Married with Children at Home A major difference between this group and delayed full nest I is age of the children. The children of full nest II are generally over age six and are becoming more independent. The presence of older children creates unique consumption needs, however. Families with children six and older are the primary consumers of lessons of all types (piano, dance, gymnastics, and so on), dental care, soft drinks, presweetened cereals, and a wide variety of snack foods. Page 195 Greater demands for space create a need for larger homes and cars. Transporting children to multiple events places time demands on the parents and increases transportation-related expenditures. These factors, coupled with heavy demand for clothing and an increased need to save for college, create a considerable financial burden on households in this stage of the HLC. This is offset somewhat by the tendency of the wife to return to work as the children enter school. This return to work usually entails greater time pressures. ConAgra Foods has found great success tapping parents' desire to simplify mealtime with their easy-to-prepare Banquet Crock-Pot Classics, which have all needed ingredients and can cook all day and be ready to eat in the evening with minimal hassle.21 As we saw in Chapter 4, the teenage members (the older part of Generation Z) in these households, as well as teens in the single parent II segment, are important consumers in their own right as well as important influencers on household consumption decisions. Single Parent II: Middle-Aged Single with Children at Home Single individuals in the 35-to-64 age group who have children are often faced with serious financial pressures. The same demands that are placed on the middle-aged married couple with children are present in the life of a middle-aged single with children. However, the single parent often lacks some or all of the financial, emotional, and time support that the presence of a spouse generally provides. Many individuals in this position are thus inclined to use time-saving alternatives such as ready-to-eat food, and they are likely to eat at fast-food restaurants. The children of this segment are given extensive household responsibilities. It is important to note that becoming a single parent (through adoption or conception) is increasingly viewed as a lifestyle choice for older, more financially secure women who may or may not plan to marry in the future. Single Mothers by Choice is an organization that recognizes this and offers support and assistance. According to the organization, single women by choice are well-educated, career-oriented women in their 30s and 40s. As a consequence, they often have higher income and financial security than many single parents.22 Empty Nest II: Older Married Couples There are about 11 million households in this segment, and it is expected to grow rapidly over the next 10 years as baby boomers age. Many couples in the over-64 age group are either fully or partially retired. However, as we discussed in Chapter 4, improvements in health care and longevity, desire to stay active, and changes in Social Security will likely push retirement age upward over the decades to come. The younger members of this group are healthy, active, and often financially well-off. They have ample time. They are a big market for RVs, cruises, and second homes. They also spend considerable time and money on grandchildren. Increasingly, they take their grandchildren and occasionally their children on vacations. As described in Chapter 4, as they advance in age, health care and assisted living become more important. At this stage and the next, distribution of valued family assets such as family heirlooms, property, and money also becomes important.23 Illustration 6-6 shows an ad for a product designed to meet one of this segment's needs. ILLUSTRATION 6-6As consumers mature, their financial situation, free time, and physical and social needs change. This ad would appeal to active members of the empty nest II segment. Older Single There are around 17 million older singles in the United States, and this group will continue to grow as baby boomers age. Approximately 70 percent of all older singles are female, and roughly two-thirds of all older singles live alone. The conditions of being older, single, and generally retired create many unique needs for housing, socialization, travel, and recreation. Many financial firms have set up special programs to work with these individuals. They often have experienced a spouse's death and now are taking on many of the financial responsibilities once handled by the other person. A recent study labeled consumers who were single as the result of the death of a spouse as "single by circumstance" rather than single by choice. Many older singles would fall into the single by circumstance category. Results of the research suggest that older singles who are single by circumstance will be less innovative, more risk averse, more price sensitive, and more likely to engage in coping behaviors, such as spending more time watching television, than their single by choice counterparts.24 What are the social and ethical issues involved in marketing to older consumers who are single by circumstance?

Asian Americans

Asian Americans represent an important subculture. Although relatively small in size, this group will continue to grow. Of particular importance to marketers is that Asian Americans are the highest-educated and highest-income group, with substantial purchasing power. Asian-American purchasing power is estimated at $713 billion and is expected to grow by 37 percent through 2018, which is higher than the growth for whites.60 However, Asian Americans are also the most diverse group, with numerous nationalities, languages, and religions. The U.S. Census includes Asian Indians in its summary figures for this group. However, we will discuss them separately in a later section. Page 163 Asian Americans are not a single subculture. Consider the Zaoboa.sg website in Illustration 5-5. Ads on this site are probably quite effective with many of the Chinese members of this subculture. However, as Figure 5-3 shows, Chinese represent only a little over a fourth of all Asian Americans, and they share neither a common language nor culture with most of the other groups. ILLUSTRATION 5-5Ads on the Zaoboa.sg site would appeal to many Chinese consumers but would not reach most other Asian Americans. FIGURE 5-3 National Background of Asian Americans As with Hispanics, language is a major factor. One estimate is that 80 percent of Asian Americans can be reached with "in-language" promotions. Two-thirds of Asian Americans are immigrants, and the percentage of each nationality group that uses primarily its native language is generally high.61 While language use and proficiency are clearly a function of acculturation and age, the following shows a wide variation in English use and proficiency across national background as well: Country English Only at Home Non-English at Home but English Spoken "Very Well" Non-English at Home but English Spoken Less Than "Very Well" Vietnam 12 33 55 China 17 36 48 Korea 20 31 49 Philippines 34 44 22 Japan 53 20 27 Source: The American Community—Asians (Washington, DC: The Census Bureau, February 2007). Page 164 Clearly, this information suggests the need for "in-language" communications, particularly for those from national backgrounds where English proficiency is lower. In addition to proficiency, there is research suggesting that overall, a majority of Asian Americans prefer either in-language or bilingual communication, with only 17 percent preferring English only.62 More than languages differ among the groups. In fact, the concept and term Asian American was developed and used by marketers and others who study these groups rather than the members themselves. Members of the various nationalities involved generally refer to themselves by their nationality without the term American, that is, Vietnamese, not Vietnamese American. An exception is Japanese Americans.63 While each nationality group is a distinct culture with its own language and traditions, there are some commonalities across most of these groups. All have experienced the need to adjust to the American culture while being physically distinct from the larger population. Most come from home cultures influenced by Confucianism. Confucianism emphasizes subordination of the son to the father, the younger to the elder, and the wife to the husband. It values conservatism and prescribes strict manners. Their base cultures have also typically placed a very strong value on traditional, extended families. Education, collective effort, and advancement are also highly valued.64 Consumer Segments and Characteristics Market Segment Research found three groups of Asian Americans on the basis of their demographics and attitudes that cut across nationality groups. Such commonalities can be useful starting points when designing marketing campaigns even if language and cultural symbols must be adapted. Traditionalists are older, are often retired, and have strong identification with their original culture; the native language tends to be the primary language; and they are not concerned about status. Established are older, conservative professionals; are well educated, with strong incomes; have relatively weak identification with their native culture; have less need or desire for native-language programming; and will pay premium prices for high quality. Living for the Moment are younger, have moderate identification with their native culture, tend to be bilingual, and are spontaneous, materialistic, and impulsive shoppers who are concerned with status and quality.65 Page 165 Several aspects of the Asian American population may make it easier to target. The first is geographic concentration: 65 percent of both the Asian-American population and their spending power reside in just six states (California, New York, New Jersey, Hawaii, Texas, and Illinois).66 The second aspect is a trend toward an increase in skilled workers from Mandarin-speaking regions of mainland China. This trend appears to be causing a "gradual shift to Mandarin from Cantonese in Chinese communications."67 A final aspect of the Asian-American community that may make it easier to target is one that is common to all subcultures, and that is the youth trend. Roughly a third of Asian Americans are under the age of 25, which is comparable to whites.68 In addition, this second generation (sometimes referred to as Generation 2.0), which was born in the United States, is, like the African-American and Hispanic youth, still tied to its roots but blending languages and cultures, influencing general U.S. culture, and fueling trends in fashion and music. As in the Hispanic market, English-language media options with Asian-American content targeted at this second generation are increasing. Pepsi aired ads in English on one such venue called Stir TV.69 Also consider the Honda initiative: Honda Motor Co. chose to piggyback on Boba, a beverage developed in Taiwan that is all the rage in Asian youth circles. The beverage, also known as bubble tea, consists of "pearls" of black, gummy, tapioca balls that float in the mixture of sweetened iced tea. It has quickly caught on as the soft drink of Asian youth. Honda's idea was to develop drink sleeves that surround hot beverages in the U.S. to promote its youth-oriented cars, like the Civic and Acura RSX. Ponce (manager of emerging markets) got the idea from one of her young Asian co-workers who frequents Boba stores and noticed the number of young Asians who pulled up in Hondas.70 Marketing to Asian Americans As we've seen, there are several Asian-American markets, based primarily on nationality and language. Each of these in turn can be further segmented on degree of acculturation,71 social class, generation, lifestyle, and other variables. And while this creates challenges for marketers, the purchase power of this group and its various segments is increasingly attractive to marketers and causing them to address these niche markets with creative product, merchandising, and media approaches. Geographic concentration increases marketing efficiency because targeted nationalities can be reached through specialized media channels. For example, in San Francisco, KTSF offers in-language news and entertainment programming for Chinese and Japanese viewers. Many KTSF advertisers, such as McDonald's, dub their existing ads in Cantonese. Others, such as Colgate-Palmolive, run the ads they are using for the same products in Asia. Major U.S. brands such as State Farm, Wells Fargo, and McDonald's sponsored KTSF's coverage of the 2008 Olympic Games held in Beijing, China. Direct broadcast satellite (DBS) is also an important TV option. DBS provides a means of reaching virtually all the native-language speakers of any nationality nationwide. For example, EchoStar's Dish network offers a "Chinese Package" called the "Great Wall TV Package," with over 20 channels. DirecTV offers the gamut of language options to the Asian-American audience, including offerings in Vietnamese, Cantonese, and Mandarin, which allow customers to enjoy their favorite programs "from back home."72 Page 166 Asian Americans are highly tech savvy and heavy users of the Internet. Internet penetration of Asian Americans is estimated at 90 percent.73 They are also heavy users of social media.74 Internet-based marketing to the Asian community is growing rapidly. Firms can reach Chinese consumers in their native language on sites such as that shown in Illustration 5-5. Similar sites are gaining popularity among other Asian nationality groups, and firms such as Charles Schwab are using them as communications channels. Marketing to the various Asian nationality groups should follow the same basic guidelines discussed earlier for Hispanics. Thus, effective communication is more than simply translating ad copy. It also requires adopting and infusing ads with cultural symbols and meanings relevant to each nationality segment. Examine the Walmart ad in Illustration 5-6. This ad is targeted toward a particular Asian nationality group. Notice the various elements that have been incorporated in order to focus attention on and communicate with this segment. ILLUSTRATION 5-6The Walmart ad shown here demonstrates how marketing to Asian Americans involves more than translating ads into the appropriate languages. Acknowledgment of special celebrations and symbols are also important. Other examples of successful marketing to Asian Americans include: A Los Angeles chain selected four outlets with large numbers of Chinese and Vietnamese customers. At the time of the Moon Festival (an important holiday in many Asian cultures), the store ran ads and distributed coupons for free moon cakes and lanterns. Sales increased by 30 percent in these stores during the promotion. Likewise, Sears advertises the Moon Festival in Mandarin, Cantonese, Vietnamese, or Korean, depending on the population near each outlet. It provides nationality-relevant gifts and entertainment such as traditional dances. Western Union sponsors numerous Asian cultural events, such as the Asian-American Expo for the Chinese New Year in Los Angeles. A majority of Asian Americans attend cultural events relevant to their national heritage, so this is an effective strategy.75 It also partnered with World Journal to publish the Chinese Immigrant Handbook to offer practical guidance to new immigrants. These represent grassroot, community-based efforts to target the very specific needs of various nationality groups. These efforts supplement their more traditional mass-media approaches using TV, radio, and magazines.76

Green Marketing

Marketers have responded to Americans' increasing concern for the environment with an approach called green marketing.47 Green marketing generally involves (1) developing products whose production, use, or disposal is less harmful to the environment than the traditional versions of the product; (2) developing products that have a positive impact on the environment; or (3) tying the purchase of a product to an environmental organization or event. For example:48 Page 89 Levi's launched its Levi's Eco line of 100 percent organic cotton jeans. CBS created the "EcoAd" program whereby 10 percent of a company's ad buy goes to local environmental causes. Participation is signaled with a "green-leaf" eco-ad logo. Office Depot offers Recycled EnviroCopy printer and copier paper, which contains 35 percent postconsumer, recycled fibers, with green-colored packaging and the name "Office Depot Green" to emphasize the environment. Environmental concerns don't guarantee purchase of green products. Even among those who are environmentally concerned, negative perceptions are on the rise including beliefs that green products are too expensive, of lower quality, and not better for the environment, and that green claims can't be trusted.49 Overcoming these obstacles is critical to the success of green marketing (see the Audi TDI Clean Diesel ad in Illustration 3-5). For example, Honda discontinued its Accord hybrid in 2007. Poor sales were likely due to the fact that highway mileage for the hybrid was only 1 mpg higher than the gas-only Accord, but it cost nearly $15,000 more!50 ILLUSTRATION 3-5Environmentally friendly products such as the Audi TDI diesel must also provide consumer benefits to be successful. The FTC shares consumer skepticism about green claims. Amid substantial increases in green marketing and green claims by companies, the FTC has made the first modifications in over a decade to its voluntary guidelines called the "Green Guides." The Green Guides provide guidance on acceptable and unacceptable practices relating to environmental claims. Several issues motivated the FTC to make the modifications:51 First, terms such as eco-friendly appear to be misleading to consumers who believe that such products have "far-reaching benefits in almost all environmental areas without having any substantial drawbacks." According to the FTC, few products can live up to the perceptions that consumers have of them. Second is a practice termed greenwashing whereby a firm promotes environmental benefits that are unsubstantiated and on which they don't deliver. Prominent among the modifications to the Green Guides are (a) a focus on qualifying claims so that it is clear in what way the product is environmentally friendly and (b) a crackdown on third-party certifications and seals. This crackdown reflects the fact that some companies have created their own seals or utilize third-party vendors that don't do anything to substantiate the claims being made (to learn more about

Other-Oriented Values

Other-oriented values reflect a society's view of the appropriate relationships between individuals and groups within that society. These relationships have a major influence on marketing practice. For example, if the society values collective activity, consumers will look toward others for guidance in purchase decisions and will not respond favorably to promotional appeals to "be an individual." Other-Oriented Values Individual/Collective Does the culture emphasize and reward individual initiative, or are cooperation with and conformity to a group more highly valued? Are individual differences appreciated or condemned? Are rewards and status given to individuals or to groups? Answers to these questions reveal the individual or collective orientation of a culture. Individualism is a defining characteristic of American culture. Australia, the United Kingdom, Canada, New Zealand, and Sweden are also relatively individualistic. Taiwan, Korea, Hong Kong, Mexico, Japan, India, and Russia are more collective in their orientation.15 This value is a key factor differentiating cultures, and it heavily influences the self-concept of individuals. Not surprisingly, consumers from cultures that differ on this value differ in their reactions to foreign products,16 advertising,17 and the Internet.18 Examples include: Consumers in more collectivist countries care more about how they are treated in terms of respect and concern after a service failure than do consumers in more individualistic countries.19 Consumers from more collectivist countries tend to be more imitative and less innovative in their purchases than those from individualistic cultures.20 Thus, ad themes such as "be yourself" and "stand out" are often effective in the United States but generally not in Japan, Korea, or China. Advertising in collectivist countries such as Korea contains more celebrity appeals than does advertising in individualistic countries such as the United States.21 Interestingly, you might expect luxury items to be less important in collectivist cultures. However, they are quite important, but for different reasons. In individualistic cultures, luxury items are purchased as a means of self-expression or to stand out.22 This is often not the case in more collectivist Asian societies. As one expert describes: Brands take on roles as symbols that extend well beyond the intrinsic features of the category. One is not buying a watch, or even a status brand, one is buying club membership, or an "I am just like you" (symbol).23 Similarly, the notion of conspicuous consumption is often associated with individualistic societies. However, a recent study finds that brand reputation influences decisions more for conspicuously consumed products in collectivist countries.24 Another study finds that concern for appearance is 40 percent higher for those in collectivist countries. One explanation is that a given behavior is used for different reasons in different cultures. As one expert notes: Dressing well ... might convey a sense of individuality in individualist cultures. However, it might be interpreted by collectivist-culture consumers as a way to demonstrate their in-group identity, show their concerns with in-group norms, follow in-group trends and avoid loss of face in front of in-group members.25 As useful as such generalizations are, it is important to realize that cultural values can and do evolve. This is particularly true among young, urban consumers in the developed and developing countries of Asia, where individualism is on the rise.26 For example, 26 percent of Chinese teens consider individuality an important trait, more than double the rate of older Chinese.27 Although this number is substantially lower than that of Western cultures, it represents an important shift. Consider the following description of the new young single woman in Japan: Page 45 [T]he young single woman in Japan is now on an odyssey. The stereotyped office lady of the 80s was a junior office clerk. Today, though, Japanese women are climbing higher up the corporate career ladder, which is in turn bringing out a more independent streak. Women now are going out and finding their own path in life ... and more are saying, "I don't want to follow the trend all the time, I can find my own way."28 In the face of such changes, traditional appeals may not work as they once did. For example, in the late 1980s, Shiseido Co. launched its very successful Perky Jean makeup line with the theme, "Everyone is buying it." "That would never work now," says a company executive. The different values held by younger and older Asian consumers illustrate that few cultures are completely homogeneous. Marketers must be aware of differences both between cultures and within cultures.29 Youth/Age To what extent do the primary family activities focus on the needs of the children instead of those of the adults? What role, if any, do children play in family decisions? What role do they play in decisions that primarily affect the child? Are prestige, rank, and important social roles assigned to younger or older members of society? Are the behavior, dress, and mannerisms of the younger or older members of a society imitated by the rest of the society? While American society is clearly youth oriented, many Asian cultures have traditionally valued the wisdom that comes with age. Thus, mature spokespersons would tend to be more successful in these cultures than would younger ones. However, some Asian cultures are becoming increasingly youth oriented with increases in youth-oriented ads designed to target them.30 Consider the following description of Taiwan: Taiwan is very, very youth-oriented, and it is a very hip culture. ... You have a consumer-based economy that is quite potent, and pitching to the youth is a good way of ensuring that your products are going to be bought.31 Illustration 2-3 demonstrates 7-Up's use of a youth theme in China. These unique outdoor "light pole" signs are common in China's major cities. ILLUSTRATION 2-3This outdoor signage for 7-Up in China demonstrates the youth trend that is emerging in Asian cultures, which have historically been quite traditional with a high value placed on age and wisdom. This youth trend can also be seen in Arab countries. One study of Arab consumers from Saudi Arabia, Bahrain, Kuwait, and the United Arab Emirates shows the rapid emergence of several youth segments. The largest (35 percent) consists of younger, more liberal, individualistic married couples living in nuclear (versus communal) families in which women are more likely to work outside the home and thus demand a greater voice in family decisions.32 This youth trend may explain why recent research finds numerous similarities in values such as independence and respect for the elderly reflected in Arab and American television ads.33 Children's influence on purchases and the tactics they use vary according to the youth-versus-age value and this has implications for marketers.34 For example, one study compared the tactics used by children in the Fiji Islands with those used in the United States. The Fiji Islands (and other Pacific Island nations) can be characterized as less individualistic and higher in respect for authority and seniority. As a consequence, Fiji children were more likely to "request" than "demand" and Fiji parents responded more favorably (i.e., bought the item) to "requests." In contrast, American children were more likely to demand than to request, and American parents responded more positively to demands.35 Page 46 China's policy of limiting families to one child has produced a strong focus on the child, a shift toward youth, and increasing Westernization of children's commercials. In fact, many Chinese children receive so much attention that they are known in Asia as "little emperors."36 Consider the following description of the Zhou family and their 10-year-old daughter Bella, who live in Shanghai: Under traditional Confucian teachings, respecting and obeying one's elders were paramount. In today's urban China, it is increasingly children who guide their parents through a fast-changing world. When the Zhous bought a new television set last year, Bella chose the brand. When they go out to eat, Bella insists on Pizza Hut.37 Obviously, while changes to traditional cultures such as those in Asia and the Gulf are occurring, it is important to remember that traditional segments and values still remain and that marketers must adapt not only across but within cultures. Extended/Limited Family The family unit is the basis for virtually all societies. Nonetheless, the definition of the family and the rights and obligations of family members vary widely across cultures. As we will see in Chapter 6, our families have a lifelong impact on us, both genetically and through our early socialization, no matter what culture we come from. However, cultures differ widely in the obligations one owes to other family members at various stages of life as well as who is considered to be a member of the family. In the United States, the family is defined fairly narrowly and is less important than in many other cultures. In general, strong obligations are felt only to immediate family members, and these diminish as family members establish new families. In many other countries and regions, including South America, Fiji, Israel, and Asia, the role of the family is much stronger. Families, and obligations, often extend to cousins, nieces, nephews, and beyond. The following description indicates the complexity and extent of the extended Chinese family: Page 47 The family is critically important in all aspects of Chinese life and there is a distrust of nonfamily members. In response to this, the Chinese have developed family-like links to a greater extent than almost any other culture. It stretches to the furthest horizons, from close family, to slightly distant, to more distant, embracing people who are not really family but are connected to someone in one's family and to all their families. As such, the family is really a system of contacts, rather than purely an emotional unit as in the west.38 Clearly, marketers need to understand the role of families in the cultures they serve and adapt accordingly. For example: Adolescents and young adults in Mexico and Thailand (compared to the United States) are more influenced by parents and family in terms of consumption values and purchases.39 Because Indian consumers tend to shop in groups and with their families, Biyani (a large discounter similar to Walmart) has U- and C-shaped aisles to provide private corners where families can discuss their purchase decisions.40 Masculine/Feminine Are rank, prestige, and important social roles assigned primarily to men? Can a female's life pattern be predicted at birth with a high degree of accuracy? Does the husband, wife, or both make important family decisions? Basically, we live in a masculine-oriented world, yet the degree of masculine orientation varies widely, even across the relatively homogeneous countries of Western Europe. This value dimension influences both obvious and subtle aspects of marketing. For example, the roles and manner in which one would portray women in ads in Muslim countries would differ from those in the United States.41 Indeed, when the U.S. military worked recently with an Afghan agency to create ads featuring pictures of babies that were designed to promote Afghan pride and discourage suicide bombings, they found that "... the babies all had to be boys, and the ad copy focused on males."42 However, roles of women are changing and expanding throughout much of the world.43 This is creating new opportunities as well as challenges for marketers.44 For example, the increasing percentage of Japanese women who continue to work after marriage has led to increased demand for time-saving products as well as other products targeted at the working woman. And during a recent U.K. election cycle, the major parties heavily targeted educated women through Mumsnet, the largest online parenting site in the United Kingdom, with 1.2 million users who are predominantly higher-income, college-educated women.45 Participation in sports and exercise is another aspect strongly influenced by the masculinity dimension. There tends to be a wide disparity between men and women participation rates (men higher) in countries and cultures high in masculine orientation such as South Korea, Mexico, Brazil, and France. However, as always, modern trends must be considered. In Mexico, for example, a strong masculine orientation toward sports is slowly giving way among younger Mexican women. One recent example is runner Ana Guevara, whose TV viewer numbers have sometimes been higher than those of men's soccer—something unheard of in the history of Mexican sports. One expert points to the "changing status of women in Mexico."46 And women from South Korea and China are now a dominant force in women's professional golf, winning six of the LPGA's last 12 major titles. Illustration 2-4 shows the changing role of women as represented by their ever-increasing participation in professional sports. ILLUSTRATION 2-4The changing role of women around the world creates new marketing opportunities. The popularity and participation of women in sports is increasing in many cultures. Page 48 Again, it is important to remember that traditional segments and values certainly do still remain and that marketers must adapt not only across but within cultures. For example, a recent study of women in mainland China found both traditionalist and modern segments.47 In Hong Kong, however, the traditional values are not necessarily giving way when economic and social independence are gained. Instead, the conflict is internalized, as indicated by the following quote: Women in Hong Kong, who are faced with both traditional Chinese culture and western culture, are at a crossroads of modernism and traditionalism. On one hand, they are having increasing amount of financial and decision power within the family and in the society. On the other hand, they are still under the pressure of traditional expectations on females as being a good wife and mother.48 For marketers, this conflict creates challenges in some cases to segment consumers into modern and traditional markets. In other cases the challenge is to help consumers (through products, positioning, advertising, and so on) deal with tensions between traditional and modern values. Competitive/Cooperative Is the path to success found by outdoing other individuals or groups, or is success achieved by forming alliances with other individuals or groups? Does everyone admire a winner? Cultures with more masculine and individualistic orientations, such as the United Kingdom, the United States, and Australia, tend to value competitiveness and demonstrate it openly. Collectivist cultures, even if high in masculinity (e.g., Japan), tend to find openly competitive gestures offensive as they cause others to "lose face."49 Variations on this value can be seen in the ways different cultures react to comparative advertisements. For example, the United States encourages them, while their use in other cultures can lead to consumer (and even legal) backlash. As one would expect, the more collectivist Japanese have historically found comparative ads to be distasteful, as do the Chinese, although Pepsi found Japanese youth somewhat more receptive if comparisons are done in a frank and funny way.50 As a rule, comparative ads should be used with care and only after considerable testing. Page 49 Diversity/Uniformity Do members of the culture embrace variety in terms of religions, ethnic backgrounds, political beliefs, and other important behaviors and attitudes? A culture that values diversity not only will accept a wide array of personal behaviors and attitudes but is also likely to welcome variety in terms of food, dress, and other products and services. In contrast, a society valuing uniformity is unlikely to accept a wide array of tastes and product preferences, though such a society may be subject to fads, fashions, and other changes over time. Collectivist cultures tend to place a strong value on uniformity and conformity,51 whereas more individualistic cultures tend to value diversity. For example, "in-group" influence (e.g., wanting to see the same movies as everyone else) tends to be higher in China and Japan than in the United Kingdom and the United States.52 Obviously, however, economic and social changes associated with the youth movement in many collectivist societies mean relatively more acceptance of diversity than has been traditionally found, even if absolute levels trend lower than in their individualistic counterparts.

Norms

The boundaries that culture sets on behavior are called norms, which are simply rules that specify or prohibit certain behaviors in specific situations. Norms are derived from cultural values, or widely held beliefs that affirm what is desirable.

Consumer Behavior

Consumer Behavior Consumer Behavior The field of consumer behavior is the study of individuals, groups, or organizations and the processes they use to select, secure, use, and dispose of products, services, experiences, or ideas to satisfy needs and the impacts that these processes have on the consumer and society. This view of consumer behavior is broader than the traditional one, which focused more narrowly on the buyer and the immediate antecedents and consequences of the purchasing process. Our broader view will lead us to examine more indirect influences on consumption decisions as well as far-reaching consequences that involve more than just the purchaser and the seller. The opening examples above summarize some attempts to apply an understanding of consumer behavior in a rapidly evolving environment that includes changes in technology and how consumers interact and communicate with firms. Throughout this text, we will explore the factors and trends shaping consumer behavior and the ways marketers and regulators can use this information. Four key aspects regarding consumer behavior are highlighted in this text. * • Consumer behavior is a complex, multidimensional process. Consumer decisions often involve numerous steps and are influenced by a host of factors including demographics, lifestyle, and cultural values. Consumer decisions are further complicated when the needs and wants of multiple individuals or groups are considered, as when families must make decisions about where to eat for dinner or where to go on vacation. Page 7 * • Successful marketing decisions by firms, nonprofit organizations, and regulatory agencies require an understanding of the processes underlying consumer behavior. This relates to understanding theories about when and why consumers act in certain ways. Whether they realize it or not, organizations are making decisions every day based on explicit or implicit assumptions about what processes drive consumer behavior. Examine Illustration 1-1. What assumptions about consumer behavior underlie each ad? Which approach is best? Why? ILLUSTRATION 1-1These advertisements are targeting the same consumers with very similar products, yet they use two very different approaches. Why? They are based on different assumptions about consumer behavior and how to influence it. * • Successful marketing decisions require organizations to collect information about the specific consumers involved in the marketing decision at hand. Consumer decisions are heavily influenced by situation and product category. Thus, consumer research is necessary to understand how specific consumers will behave in a specific situation for a given product category. Appendix A examines various consumer research approaches. * • Marketing practices designed to influence consumer behavior involve ethical issues that affect the firm, the individual, and society. The issues are not always obvious and many times involve trade-offs at different levels. The fast-food industry is currently dealing with such issues. While their products are highly desirable to many consumers in terms of taste and affordability, they also tend to be high in calories, fat, and sodium. These health-related issues have gotten the attention of government and consumer groups. Sufficient knowledge of consumer behavior exists to provide usable guidelines. However, applying these guidelines effectively requires monitoring the environment for changes and factoring those changes into marketing decisions. It also requires practice. We provide a variety of such opportunities in the form of (a) questions and exercises at the end of each chapter, (b) short cases at the end of each main part of the text, and (c) a consumer behavior audit for developing marketing strategy (Appendix B) at the end of the text.

Understanding the American Generations (Age Cohorts)

Pre-Depression Generation Born before 1930, this generation represents roughly 6 million Americans as of 2015. High mortality accounts for the rapid reduction in the size of this group (from 12 million in 2010). These individuals grew up in traumatic times. Most were children during the Depression and entered young adulthood during World War II. They have witnessed radical social, economic, and technological change. As a group, they are conservative and concerned with financial and personal security. As with all generations, the pre-Depression generation is composed of distinct segments, and marketing to it requires a strategy that incorporates such factors as gender, ethnicity, and social class.27 This generation is part of the broader mature market, generally defined as consumers 55 years of age and over. Gerontographics is one segmentation approach to the mature market that incorporates aging processes and life events related to the physical health and mental outlook of older consumers. Four segments have been identified. Healthy Indulgers are physically and mentally healthy and are thus active, independent, and out to enjoy life. Ailing Outgoers have health problems that limit their physical abilities, but their positive outlook means they remain active within financial constraints. Healthy Hermits are physically healthy, but life events, often the death of a spouse, have reduced their self-concept and they have become withdrawn. Frail Recluses have accepted their old-age status and have adjusted their lifestyles to reflect reduced physical capabilities and social roles. Can you see the marketing implications of these market segments for targeting the mature market? The pre-Depression generation faces numerous consumption-related decisions. One is the disposition of valued belongings that they no longer use or that are not appropriate in nursing or retirement homes. These can be emotional decisions for both the elderly person and his or her family members. The pin means a great deal to me. I would love for my granddaughter to have it. It will be strange not seeing it in my jewelry box anymore.28 Communications strategies need to consider media selection, message content, and message structure. For example, some aspects of information processing, memory, and cognitive performance decline with age. The rapid, brief presentation of information that younger consumers respond to is generally not appropriate for older consumers.29 Products related to the unique needs of this segment range from health services to single-serving sizes of prepared foods. As this generation continues to age, assisted-living services are growing rapidly. As more members of this generation experience reduced mobility, shopping will become an increasing problem. Although Internet shopping would seem a good solution, relatively few members of this generation use the Internet. Depression Generation Born between 1930 and 1945, this generation represents roughly 25 million Americans as of 2015. These people were small children during the Depression or World War II. They matured during the prosperous years of the 1950s and early 60s. They discovered both Sinatra and Presley. They "invented" rock and roll and grew up with music and television as important parts of their lives. Page 119 Most in this generation have retired or will soon do so. Many have accumulated substantial wealth in the form of home equity and savings, although the most recent economic downturn has eroded the wealth of many in terms of decreased home equity and retirement portfolio values. Those who still work often dominate the top positions in both business and government. Members of this generation are also grandparents with sufficient incomes to indulge their grandchildren, making them a major market for upscale children's furniture, toys, strollers, car seats, and clothing. Many, particularly those in the younger part of this generation, are still in good health and are quite active. Active lifestyles translate into demand for recreational vehicles, second homes, new cars, travel services, and recreational adult education.30 Perhaps a bit surprising to younger generations, over half of this generation are online and over half of those online have used the Internet to make travel reservations, and a full three-quarters have used the Internet to look up health information.31 So-called active adult communities such as Sun City in Phoenix, Arizona, are a major growth arena and will continue to be so as the baby boomers enter their retirement years. These age-restricted communities offer an amazing array of activities and attract relatively wealthy households, many of whom can pay cash for their homes.32 Marketers targeting this segment are increasingly using themes that stress an active lifestyle and breaking with stereotypical portrayals of older consumers. A good example of this is Campbell's Healthy Request ads (as shown in Illustration 4-2). Campbell's is appealing to the "healthy indulger" segment described earlier. ILLUSTRATION 4-2The mature market is composed of many distinct segments. The Campbell's Healthy Request ad would appeal to the "healthy indulger" segment, which is healthy, content, and out to enjoy life. Nonetheless, this generation is dealing with the physical effects of aging. In terms of clothing, comfort is important, as attested to by the success of Levi's Action Slacks and Easy Spirit shoes in targeting this segment. However, style simply cannot be overlooked as it plays an important role in maintaining a positive self-concept. Consider the thoughts of Susan, a 71-year-old who shops in department stores: Lately, I have found a hard time finding the right clothes. Clothes that I used to wear, that younger people wear, don't look like they used to on me. My body is naturally changing so things don't look good. Please listen to this one. The stuff they have for people over sixty is really horrible ... and I refuse to wear it. It's old lady looking, very old, and dated. I like stylish slacks and pretty sweaters and nice blouses.33 Clearly, nursing home stays and in-home care are more likely for those with serious health issues and those in the older part of this generation34 and health care is a major concern and a major expenditure. In addition, as this group ages, declines in information processing, memory, and cognitive performance must be considered in creating communications strategies, much like for the pre-Depression generation.35 Asset management is important to this group, and firms such as MetLife have developed products and services to meet these needs.36 Lawyers, accountants, and financial planners also have been attracted to the "wealth transfer" that is expected to occur as the baby boomers inherit the wealth accumulated by their parents. Numbers vary dramatically due to stock market fluctuations and rising health care costs. However, current estimates put the number between $6 and $8 trillion in the coming decades.37 Page 120 In addition, this group of consumers is downsizing homes and possessions just like the pre-Depression generation. And increasing numbers are becoming more tech savvy, even to the point of using eBay to help them downsize! As one such eBay user jokes: The end of the bidding cycle is quite exciting, especially for older people whose lives like mine are not that exciting anymore. SeniorNet is a nonprofit group that helps older consumers learn about computers by offering classes in nursing homes and recreation centers, and eBay has been a strong supporter of their efforts.38 Baby Boom Generation Born during the dramatic increase of births between the end of World War II and 1964, this generation represents nearly 80 million Americans as of 2015. The large size of this generation makes them very important to marketers. Most of this group grew up during the prosperous 1950s and 1960s. They were heavily influenced by the Kennedy assassination, the Vietnam War, recreational drugs, the sexual revolution, the energy crisis, the rapid growth of divorce, and the cold war, as well as rock and roll and the Beatles. Although there are significant differences between the boomers born early in this generation and those born later, boomers are considered to be more self-centered, individualistic, economically optimistic, skeptical, suspicious of authority, and focused on the present than are other generations.39 Baby boomers are characterized by high education levels, high incomes, and dual-career households. They are also often characterized by time poverty (particularly young boomers) as they try to manage two careers and family responsibilities. TV is still a major route through which to target this generation. However, baby boomers are more tech savvy than previous generations. The Internet offers the convenience and customization that this generation demands, with roughly two-thirds of boomers using the Internet to make product purchases. Internet usage among boomers is roughly 80 percent, and their use of social networking sites is substantially higher than that of previous generations.40 The "empty nest" is increasingly common for this generation, a circumstance that is providing them with both increased discretionary income and time. In fact, baby boomers are 48 percent more likely than the average adult to earn $100,000 or more.41 As a result, sales of adventure vacations, expensive restaurant meals, second homes, recreational vehicles, maintenance-free homes, personal chefs, and personal trainers should continue to grow.42 However, boomers are also facing the major challenge of being the caretaker of their parents. One result of this is the rapid growth of assisted-living centers as boomers often don't want their parents living with them and their parents don't want to be a burden.43 Retirement is no longer something in the distant future, and many have already made that step. However, surveys indicate that boomers plan to continue and expand the concept of "active retirement" begun by the Depression generation. In one study, two-thirds of 50- to 75-year-olds selected as a definition of retirement: To begin a new, active, and involved chapter in life, starting new activities and setting new goals.44 Sony has targeted the active boomer as follows: Page 121 Sony spent $25 million to target what it calls the "zoomers," a name that reflects the active lifestyle of this generation. One of their ads featured a "grey-haired astronaut filming Earth with his own camcorder." The tagline: "When your kids ask where the money went, show them the tape." Sony credits a surge in camcorder sales to its renewed focus on this increasingly important segment.45 Being a grandparent has or will become a major part of this active retirement period for many boomers. The substantial wealth and spending power of this generation make them prime targets for a whole host of categories including toys, vacations, gift cards, and school supplies.46 Clearly, however, as boomers age, their physical needs are changing. Particularly among older boomers, major health problems are increasingly likely and will hamper their active lifestyles. Even for healthy boomers, however, issues of appearance are critical and demand for plastic surgery, baldness treatments, health clubs, cosmetics for both men and women, hair coloring, health foods, and related products continue to expand as this group ages. How well do you feel the baby boom generation is targeted in the Oil of Olay Regenerist ad in Illustration 4-3? ILLUSTRATION 4-3The baby boom generation is entering its 50s and 60s. As it matures, it is creating demand for weight-control products, hair dyes, lotions, and other "anti-aging" devices such as the Oil of Olay Regenerist microsculpting serum. As with the Depression generation, it is important for advertisers to avoid overreliance on themes and models that are too young and not representative of boomers and their life stage. As one boomer indicates: I've quit buying clothes from stores who only use young gals in their catalogs. To me it says that they aren't interested in my money.47 While it is convenient to provide a general summary of boomer characteristics, it is also important to avoid stereotypes and move toward an understanding of how to segment this large market. Consumer Insight 4-1 discusses some of the stereotypes and also approaches to segmenting the boomer market. Generation X Born between 1965 and 1976, this generation represents roughly 45 million Americans as of 2015. It is a smaller generation than the generations before and after it. Generation X reached adulthood during difficult economic times. It is the first generation to be raised mainly in dual-career households, and 40 percent spent at least some time in a single-parent household before the age of 16. The divorce of their parents is often a cause of stress and other problems for the children involved. However, these changes have also caused many members of Generation X to have a very broad view of family, which may include parents, siblings, stepparents, half-siblings, close friends, live-in lovers, and others. Page 122 CONSUMER INSIGHT 4-1Beyond Stereotypes: Segmenting the Boomer Market The baby boom market is the largest generational segment in America but also one of the most diverse. Such diversity requires that marketers move beyond stereotypes and understand segmentation opportunities that exist. Below we deal with common stereotypes of the boomer market and provide insight as to segmentation opportunities.48 Boomers all have the same values and outlook—This is far from true. Boomers are quite different in values and outlook in part due to differences in life experiences relating to health and finances. One study by Focalyst finds three boomer segments based on outlook: Yesterday (25 percent)—This group believes that life was better in the '50s and is not optimistic about the future. Health and financial issues are major factors for this group. Marketing messages that reassure, comfort, and acknowledge the efforts of this group may be particularly effective. Today (30 percent)—This group believes that they live in exciting times and is happy with their lives today. Strong physical and financial health contribute to this positive outlook. Marketing messages that focus on the now, indulgence, and the good life may be particularly effective. Tomorrow (45 percent)—This group believes that the future will be better than today and remains positive about the future despite negative financial or health events. This group is highly connected with friends and community, which may explain their positive outlook. Marketing messages that emphasize stability, optimism, and spirituality may be particularly effective. Boomers are self-centered—The phrase "Me Generation" was created for baby boomers. However, many boomers are much more socially and environmentally conscious than that label suggests. One study estimates that roughly half of all boomers are "Green Boomers," meaning they buy environmentally friendly products. Boomers are not tech savvy—The Internet and mobile technology are an important part of many boomers' lives. Roughly 80 percent of boomers are online, and roughly half of all boomers engage in wireless Internet use, which includes wireless Internet connection via laptop, checking e-mail via cell phone, using the Internet on a cell phone, and using IM on a cell phone. Boomers are married empty nesters who are downsizing—Only 25 percent of boomers are married empty nesters. Nearly 40 percent of boomers have children under the age of 18 living at home and many also have boomerang children, and live-in parents. Others are singles who are actively dating. In terms of housing, less than 10 percent of boomers plan to downsize in the next five years. Boomers are all retiring early and wealthy—Over half of all boomers plan to work and/or volunteer beyond their retirement age. One in six is on their "second career" and about the same percentage are engaged in furthering their education. Although many will continue to work out of enjoyment, many also work due to financial need, increases in retirement age, and so on. Only 10 percent of boomers make $150,000 or more a year, and the net worth of the bottom 20 percent of boomers is a mere $2,480. Clearly the baby boom generation is large and diverse and marketers must understand the boomer market and its segments in designing appropriate marketing strategies. Critical Thinking Questions 1. Explain the key factors driving the outlook differences among boomers? 2. What factors explain why only 10 percent of boomers plan to downsize in the next five years? 3. What ethical and social responsibilities do marketers have when marketing to older consumers? Page 123 This is the first American generation to seriously confront the issue of reduced expectations. These reduced expectations are based on reality for many in this generation as wages and job opportunities for young workers were limited until the economic boom that started in the mid-1990s. This relative lack of opportunity was in part responsible for this generation's tendency to leave home later and also to return home to live with their parents as younger adults. Not only has the path to success been less certain for this generation, but many Generation Xers do not believe in sacrificing time, energy, and relations to the extent the boomers did for the sake of career or economic advancement.49 ILLUSTRATION 4-4Many Generation X consumers are now parents and companies are targeting their needs in this area. This generation faces a world racked by regional conflicts and terrorism, an environment that continues to deteriorate, and an AIDS epidemic that threatens their lives. Members of this group tend to blame the Me Generation and the materialism associated with the baby boom generation for the difficult future they see for themselves. Given their early economic challenges, it is perhaps not surprising that this generation appears to be more entrepreneurial in its approach to jobs and less prone to devote their lives to large public corporations. For example, half of all Xers aspire to own their own business, which is 13 percent higher than the average adult.50 Generation X is highly educated, with more college attendance and graduates than previous generations. And Xer women are more highly educated than men, giving them increased leverage in the workforce. This is having interesting repercussions in terms of family dynamics. More than 20 percent of Xer women now earn more than their husbands. Given the underlying masculine value predominant for much of America's history, this can be uncomfortable for some couples, although most are finding ways to navigate this change. As one analyst observes: At one point, the stereotype was a man might feel inferior to a woman who is at a higher point in her career than he is. I think that's dissipated a bit, where there aren't these built-in expectations of who should be above.51 The empowerment of Xer women extends beyond their careers. One study shows that across all generations, Xer women are the highest viewers of home improvement media and the most likely to engage in home improvement projects, including adding a room onto the house.52 This generation is moving into its 40s, and although they tended to delay marriage and children, nearly half of Xer households are now married with children under 18.53 This helped keep the housing market strong during the economic downturn in the early 2000s. It is also the reason that this generation increasingly feels the time crunch typical of child-rearing years. This generation is a major force in the market for cars, appliances, children's products, and travel. The ad in Illustration 4-4 targets Xer parents. Page 124 While an important market, Generation X is not always easy to reach. It is both cynical and sophisticated about products, ads, and shopping. It is materialistic and impatient. In many aspects, its tastes are "not baby boom." Thus, it created the grunge look and snowboarding. Magazines such as Spin, Details, and Maxim were created for this generation, as were the X Games. It responds to irreverence in advertising but not always as well to traditional approaches. Generation Xers want products and messages designed uniquely for their tastes and lifestyles. Xers are more diverse and open to diversity than previous generations. For example, Xers are 45 percent more likely to be Hispanic. Xers are also more likely to accept alternative lifestyle choices such as gay couples raising children, mothers working outside the home, living together without getting married, and people of different races getting married than are those of previous generations.54 This generation is also more tech savvy than prior generations, with 86 percent using the Internet and between a half and two-thirds watching videos online, using social networking sites, and sending IMs. Examples of companies that have targeted the Generation X segment include: Volvo redesigned its marketing mix for the S40 sedan to go after the Generation X market and some older Generation Yers. The automaker did tie-ins with Microsoft's Xbox and Virgin Group and created commercials with a hip-hop feel.55 Learn & Master Guitar has a target demographic that is predominantly Generation X men who are increasingly users of Facebook. Learn & Master utilized an ad on Facebook with a visual of a 40-something male and it has done well.56 These ads show that successful marketers are adapting to this audience in ways that play not only to their heritage but also to their current life stage and technology use. Generation Y Born between 1977 and 1994, this generation represents roughly 79 million Americans as of 2015, thus rivaling the baby boom generation. This segment has grown over the past decade in part due to immigration, as evidenced by the fact that at 22 percent, the Hispanic segment of this market is larger than in any previous generation.57 These children of the original baby boomers are sometimes referred to as the "echo boom." Overall, it is the first generation to grow up with virtually full-employment opportunities for women, with dual-income households as the standard, with a wide array of family types seen as normal, with significant respect for ethnic and cultural diversity, with computers in the home and schools, and with the Internet. It has also grown up with divorce as the norm,58 AIDS, visible homelessness (including many teenagers), drug abuse, gang violence, and economic uncertainty. The Columbine shootings, the Oklahoma City bombing, the Clinton-Lewinsky scandal, the collapse of the Soviet Union, and Kosovo were key events for this generation.59 Generation Y is characterized by a strong sense of independence and autonomy. They are assertive, self-reliant, emotionally and intellectually expressive, innovative, and curious. They understand that advertisements exist to sell products and are unlikely to respond to marketing hype. They prefer ads that use humor or irony and have an element of truth about them. They like the ability to customize products to their unique needs. Brand names are important to them.60 Factors they believe make their generation unique include (a) technology use, (b) music and pop culture, (c) tolerance, (d) intelligence, and (e) clothes. Gen Yers are diverse and embrace that diversity with the highest tolerance of any previous generation for alternative lifestyles.61 Page 125 Younger Gen Yers are finishing college and starting careers. Older Gen Yers are starting to get married and have children, with a third falling into that category. Still this generation has the lowest marriage rates of any prior generation as it passed through this age range, while alternative arrangements such as living together increase.62 Younger Gen Yers have been hit harder by the most recent economic downturn, requiring some to get assistance from family or move back in with parents. This could create longer-term differences between older and younger Gen Yers because coming of age in a down economy can lead to suppressed earnings for a decade or more and also to reduced expectations.63 Despite the economic downturn, the size and market potential of Generation Y continue to attract the attention of marketers. Apparel is a major focus since young adults (younger Gen Yers) spend more on apparel than does any other age group.64 The key is adapting to the tastes of young adults as they move out of their teen years. As one expert puts it, "Where are all these folks going to go when they get tired of shopping in teenage land?"65 Retailers such as Metropark are blending music and fashion in interesting ways to attract this segment. All their stores have "a DJ booth in front and a lounge area in back with sofas, a magazine rack and an array of energy drinks. The boutique sells more than 100 brands, including $219 Paige Premium Denim jeans and $149 hooded sweatshirts from Obey Clothing label."66 Other fashion merchandisers are attempting to ease this generation into the workplace with affordable, work-appropriate, yet stylish clothes. While complete statistics are not yet available, this generation is expected to be at least as highly educated as Generation X, if not more so. In addition, data for older Gen Yers show that the trend of women being more educated than men continues, reflecting ongoing changes in values and gender roles.67 Gen Y is more technologically immersed than any previous generation, with 95 percent being online, 66 percent sending IMs, and 83 percent using social network sites.68 This group is also accustomed to media and TV programs designed for them, such as MTV, Facebook, Maxim, American Idol, and CSI. Ads targeting this generation must be placed in appropriate magazines and on appropriate Internet sites, television and radio programs, and video games—a strategy called "advergaming."69 The portrayal of multiple racial and ethnic groups in ads aimed at this generation is common and important given their multiethnic nature. Similarly, the portrayal of modern female gender roles and alternative lifestyles is more common and important to this group given their diversity and acceptance of that diversity. Traditional mass-marketing approaches that were so successful with older generations often don't work well with Generation Y. Companies must continually push the creative envelope with respect to media and promotional themes to capture this audience. Tapping into consumer-generated buzz is particularly appropriate for this group given their high levels of participation in social media. As seen earlier, music and fashion are often key touch points as well. Illustration 4-5 shows a Van Heusen ad that is designed to tap into the unique aspects of Generation Y, with its creative "institute of style" campaign and use of social media elements. ILLUSTRATION 4-5This Van Heusen ad is designed to attract Generation Y through its unique and creative marketing approach. Generation Z Born between 1995 and 2009, this generation represents roughly 69 million Americans as of 2015. This generation has also been labeled the Digital Natives, Generation @, and the Net Generation due to the fact that none of the members of this cohort can recall a time before computers, the Internet, and cell phones. This generation is dealing with global unrest, economic uncertainty, terrorism, the Virginia Tech massacre, cyber-bullying, and global warming.70 Ethnic diversity is high among this group and comparable to that of Generations X and Y, except that this group currently trends higher in African Americans than do the previous two generations.71 In addition, due to declining divorce rates, this generation, although certainly accustomed to divorce, often lives in two-parent households. Page 126 Many in this group are moving into their tweens (8 to 14) and teens. According to one study, Generation Z values personal responsibility, civic engagement, and diversity. The older members of this generation tend to be driven by their own conscience and by civic responsibility. Compared to Generations X and Y when they were teens and tweens, this group as a whole tends to avoid risky behaviors, acts in a responsible manner, and accepts diversity, including having a gay friend.72 Expectations placed on this generation are high and that has produced anxiety to excel at a younger and younger age. One expert indicates of this generation: We are seeing an erosion of childhood. Kids aren't allowed to be kids for very long and they're made into little consumers at a very young age. They've grown up in a world which is focused on achievement and outcomes, and some are suffering anxiety about what they do when they finish school already.73 Personal ramifications aside, these pressures are expected to result in even higher levels of education for this group compared to previous generations and the gender divide shows no sign of weakening, although it is much too early to make firm predictions. What is known is that teens and tweens, which make up much of this generation, account for an estimated $200 billion in purchasing power.74 Some of their purchasing power is direct and based on their own earnings, gift money, and allowances. Some of their purchasing power is indirect and based on spending by their parents on items for them. And while the economic downturn has hurt, a recent survey finds that for the teen market:75 While 40 percent have not been affected, the remainder have been negatively affected. Teens are shopping smarter (sales and comparison shopping) to weather the economic storm. Teens who work do so to buy clothes, save for college, and buy a car. Beyond spending power, the teenage market is attractive to marketers because preferences and tastes formed during the teenage years can influence purchases throughout life. As the Ford Focus brand manager states, "Although very few of [teenagers] are car buyers now, it is vital to create a relationship with them so they'll think of Ford when it is time to buy a car."76 Page 127 Marketers targeting teens need to use appropriate language, music, and images. Retailers are realizing that they need to constantly adjust and update their offerings to drive traffic among this active shopper segment that is also easily bored. Consider the following statement by a retail consultant: This is the challenge for any store catering to mall rats—the kids come back so often that you're forced to constantly change the displays. Otherwise they get bored and stop coming at all. It's one reason stores need to know how often the regulars return—to see whether the windows and front tables should be changed every week or every seventeen days.77 Honesty, humor, diversity, and information appear to be important to teens. And alternative media approaches involving social media are critical. Teens have been found to be high or even the highest in terms of the use of social network sites, sending IMs, reading or posting to blogs, and visiting a virtual world. Illustration 4-6 shows the Be Tween Talk site, which is an example of a social networking site targeting to the teen part of Generation Z. This site provides a forum where teens can focus on their concerns and issues. ILLUSTRATION 4-6The Be Tween Talk social networking site targets the highly attractive Generation Z market. Examples of companies that are taking advantage of the tech-savvy nature of Generation Z include: Tumblr is a micro-blogging site that allows easy access to blogging from any device, anywhere. It allows posting of photos, video, self-recording audio statements, and IMs and allows posts from Tumblr to be fed to Facebook and Twitter.78 Gatorade knew the teen market was key to its current and future success. So they redesigned their marketing approach toward teens and teen athletes to include a Mobile Locker Room tour, Facebook, and Twitter.79 Tweens are late adolescents and early teens. Opportunities exist in music, fashion, cosmetics, video games, and so on. Parents still play an important role in terms of choices for tweens. Aeropostle is one store that is focused on "target the mom." They and others are trying to appeal to both the child and the parent. Some are widening aisles to make them stroller accessible and designing their lines to be, as one mother described, "less snooty, less provocative."80 We discuss marketing to children in more detail in Chapter 6 in our discussion of families.

Age Cohorts

A generation, or age cohort, is a group of persons who have experienced a common social, political, historical, and economic environment. Age cohorts, because their shared histories produce unique shared values and behaviors, often function as unique market segments.24 Cohort analysis is the process of describing and explaining the attitudes, values, and behaviors of an age group as well as predicting its future attitudes, values, and behaviors.25 A critical fact uncovered by cohort analysis is that each generation behaves differently from other generations as it passes through various age categories. For example, in 2011 the leading edge of the baby boom generation was eligible to retire at the traditional age of 65. Some opted for earlier retirement, some retired when eligible, and some continue to work, though eligible to retire. However, it would be a mistake to assume that retiring baby boomers will behave like the pre-Depression generation does today. The forces that shaped the lives of these generations were different, and their behaviors will differ throughout their life cycles. As just one example, the computer and Internet skills that baby boomers have acquired will make them much heavier Internet users in their retirement years than is currently true of their parents, who in many cases were bypassed by the most recent technology revolution. In the following sections, we will examine the six generations that compose the primary American market.26 The generations, along with their birth years, age range, and approximate size as of 2015, are shown in the table below and described in detail in the sections that follow. Generation Birth Years Age Range Approximate Size Pre-Depression Prior to 1930 86+ 6 M Depression 1930 to 1945 70-85 25 M Baby Boom 1946 to 1964 51-69 80 M Generation X 1965 to 1976 39-50 45 M Generation Y 1977 to 1994 21-38 79 M Generation Z 1995 to 2009 5-20 69 M Page 118 It is important to emphasize that generation is only one factor influencing behavior and the differences within generations are often larger than the differences across generations. In addition, generations do not have sharp boundaries. Those near the age breaks between generations often do not belong clearly to either generation.

Voluntary Simplicity

Consumers' efforts to reduce their reliance on consumption and material possessions have been termed voluntary simplicity. Voluntary simplicity can span a continuum from minor life adjustments and reduced spending to drastic lifestyle adjustments, including downsized jobs, incomes, houses, and spending. The key is that it is a conscious and voluntary decision, not one brought on by economic necessity. While the voluntary simplicity movement appears to represent a relatively small proportion of the U.

Traditional Family

Historically, the family household—and, in particular, the traditional family household—has been an important focus for marketers. The term traditional family is typically used to refer to a married opposite-sex couple and their own or adopted children living at home. However, this type of family has clearly declined over time, particularly if one considers a traditional family to be one headed by a never-divorced couple. Today, about 20 percent of all households are married couples with children living at home, down from 40 percent in 1970.3 Some of this decline is due to the increase in single-parent households. Much of the decline is due to an increase in the number of single-person households, which is a function of (a) young people pushing back marriage until their late 20s (rather than getting married in their early 20s as they did in 1970) and (b) the increase in sole survivors as our population ages.

Consumption Societies

Informed Individuals Most economically developed societies are legitimately referred to as consumption societies. Most individuals in these societies spend more time engaged in consumption than in any other activity, including work or sleep (both of which also involve consumption). In addition, marketers spend billions to influence consumer decisions. These attempts occur in ads, in websites, on packages, as product features, in sales pitches, and in store environments. They also occur in the content of many TV shows, in the brands that are used in movies, and in the materials presented to children in schools. It is important that consumers accurately understand the strategies and tactics being used so they can be more effective consumers. It is equally important that, as citizens, we understand the consumer behavior basis of these strategies so we can set appropriate limits when required. That is, an understanding of consumer behavior can establish a foundation for reasoned business ethics.

Cultural Factors Affecting Consumer Behavior and Marketing Strategy

Language, Demographics, Values, and Nonverbal Communication affect Consumer Behavior and Marketing Strategy. In this chapter, we focus on cultural variations in values and nonverbal communications. In addition, we briefly describe how demographic variations across countries and cultures influence consumption patterns. Before dealing with specifics, we must consider the broader issues of cross-cultural marketing, including globalization, attitudes toward multinational brands, and ethical considerations. Globalization means more than product exports and imports. Globalization can involve exporting and importing values, lifestyles, and attitudes. Historically, such influence has been thought of as primarily going one way—that is, large American and other Western multinational companies and brands influencing the values and lifestyles of the countries they enter. And, no doubt, such effects occur. For example, television advertising in countries such as China and India is extensive and reflects many Western values, such as individualism and an emphasis on youth. Over time, such advertising would be expected to influence not only how many Chinese and Indians choose to live (lifestyle) but also what they value and how they think and feel.4 Increasingly, however, globalization means mutual influence as products, brands, cultures, and values move back and forth across the world. So, while Western brands such as Mercedes still have cachet as luxury symbols in Eastern countries such as Japan, Eastern brands such as Japan's Lexus now have developed similar luxury status in Western countries such as the United States. Additional examples include:5 Soccer is being imported into the United States particularly as symbolized by U.K. star David Beckham, while American-style football (termed olive ball) is being exported to China. Harajuku, a broad term for the "street" fashion developed by style-conscious Japanese youth, which often incorporates elements of Western style but in unique and creative ways, has become popular around the world, as shown in Illustration 2-1. ILLUSTRATION 2-1Harajuku style is popular all over the world with its creative combination of traditional Japanese influences with more modern Western style. Brazilian products and fashion became all the rage in London as "Brazilian chic" was marketed through department stores, cultural events, and positive media coverage. Similar trends are occurring not only in the United States but also all over the world. Although globalization can influence cultural values, it would be a mistake to think that all cultures are becoming homogenized. While younger generations of consumers appear to be more similar, modern, and, in some cases Western, older consumers in those same markets cling to traditional values that must be respected. For example, China appeared to eagerly (and profitably) copy TV contest shows like American Idol (Supergirl is a Chinese version). However, lawmakers there have clamped down with regulations to make the contestants act more conservatively and to keep the judges from embarrassing the contestants. According to one expert: Page 40 The authorities are reacting against the sensationalistic, slightly rebellious nature of the contest programs, which promote individualism and personal achievement. The winners become idols with extreme influence on Chinese citizens. "Supergirl" also introduced Chinese to the concept of voting.6 Beyond elders and authorities attempting to maintain traditional cultural values, consumers across the globe often hold strong pride in their local heritage and sometimes mistrust or resent international brands, seeing them as irresponsible and hurtful to local culture and business. Indeed, a recent study indicates that regardless of country, there are four basic types of world citizens:7 Global citizens (55 percent)—Positive toward international brands and view them as a signal of higher quality; most concerned about corporate responsibility to the local country. Prominent in Brazil, China, and Indonesia. Rare in the United States and the United Kingdom. Global dreamers (23 percent)—Positive toward international brands and buy into their positive symbolic aspects; less concerned about corporate responsibility to the local country. Equally distributed across countries. Antiglobals (13 percent)—Negative toward international brands; don't like brands that preach American values; don't trust multinationals. Higher in the United Kingdom and China. Lower in Egypt and South Africa. Global agnostics (9 percent)—Don't base decisions on global brand name; evaluate as they would local brands; don't see global brands as special. Higher in the United States and South Africa. Lower in Japan, Indonesia, China, and Turkey. Corporate responsibility and ethical issues can span from labor policies to influences on consumption of products linked to negative consequences. One example is American tobacco companies, which are aggressively marketing their products in the developing countries of Asia, Latin America, Africa, and Eastern Europe. Smoking-related deaths are now a leading killer in Asia, where increases in female smoking are a major concern.8 As one World Health Organization (WHO) official notes: Here in Japan we see Western cigarette brands marketed as a kind of liberation tool. We see cigarette companies calling on young Japanese women to assert themselves, shed their inhibitions and smoke.9 Clearly, there are both subtle and direct ethical issues involved in international marketing.

Green Washing

Second is a practice termed greenwashing whereby a firm promotes environmental benefits that are unsubstantiated and on which they don't deliver.

Social Marketing

Social Marketing Social marketing is the application of marketing strategies and tactics to alter or create behaviors that have a positive effect on the targeted individuals or society as a whole.6 Social marketing has been used in attempts to reduce smoking, to increase the percentage of children receiving their vaccinations in a timely manner, to encourage environmentally sound behaviors such as recycling, to reduce behaviors potentially leading to AIDS, to enhance support of charities, to reduce drug use, and to support many other important causes. Just as for commercial marketing strategy, successful social marketing strategy requires a sound understanding of consumer behavior. For example, Oakley's "For Strength: Not Surrender" campaign (see Illustration 1-2) uses an emotional-based appeal. In Chapter 11, we will analyze the conditions under which such campaigns are likely to succeed. ILLUSTRATION 1-2 Nonprofits as well as commercial firms such as Oakley as shown here attempt to influence consumption patterns. Both types of organizations must base their efforts on knowledge of consumer behavior to maximize their chances of success.

Self-Oriented Values

Traditionally, Americans have been active, materialistic, hardworking, religious people inclined toward abstinence and postponed gratification. Beginning after the end of World War II and accelerating rapidly during the 1970s and early 1980s, Americans placed increased emphasis on leisure, immediate gratification, and sensual gratification. While these changes have remained relatively intact, we discuss what role, if any, the most recent recession (dubbed by some as the Great Recession) has had on specific values such as materialism and immediate gratification. Page 79 Religious/Secular America is basically a secular society. A religious group does not control the educational system, government, or political process, and most people's daily behaviors are not guided by strict religious guidelines. Nonetheless, roughly 82 percent of American adults claim a religious affiliation, 30 percent claim to attend a religious service at least once a week, and 54 percent state that religion is very important in their lives.3 While Americans often profess to be more religious than their behaviors would suggest, religious-based beliefs do influence decisions.4 Many Americans for whom religion is especially important are conservative in their beliefs. They are quite active politically and as consumers. Their political activism involves attempts to regulate various marketing activities, including products (particularly "sin" products such as liquor, gambling, and pornography) and advertising.5 Their consumption patterns include both positive consumption (purchasing religious objects and books) and negative consumption (avoiding or boycotting products and companies). Although conservative religious groups generate substantial publicity and have considerable political power, the culture remains relatively secular. Indeed, increasing secularism is cited as one reason for the increase in interfaith marriages.6 However, it is estimated that the devoutly religious make up 25 percent of the U.S. population.7 And advertising to this group requires a nuanced approach—advertisers can't simply put a religious symbol on all products and think that it will have a positive effect. Only when there is a product-religion match (e.g., a counseling center) does the inclusion of a religious symbol such as a cross have a positive influence on purchasing. When there is a perceived lack of fit (e.g., alcohol), the inclusion of a religious symbol has a negative effect. In addition, the more religious a person is, the more pronounced these effects are.8 We treat religion and its impact on our society in considerable depth in Chapter 5 when we discuss subcultures. Page 80 Sensual Gratification/Abstinence Closely tied to America's traditional religious orientation was a belief in the virtue of abstinence. As American society became more secular, sensual gratification became more acceptable. This trend appears to remain strong, even as consumer and government agencies have tried to push back and curb violence, indecency, and nudity in such venues as ads, movies, and video games.9 For example, Axe body spray is the number one brand in its category and relies heavily on sex appeals targeting young men. And while the United States is not the highest in its use of nudity in ads, it outranked Brazil, China, South Korea, and Thailand in a recent study. However, the effectiveness of sexual appeals in ads depends on viewer gender. Men tend to react more positively than women to sex appeals involving female nudity. However, women with more liberal attitudes toward sex view sexually explicit ads just as positively as men.10 Other evidence of the greater value placed on sensual gratification comes from a recent study showing that one of the biggest value shifts in the United States is in the greater importance placed on fun and excitement. That is, people today, more than ever, want to lead a "pleasurable, happy life; to experience stimulation and thrills."11 The food industry certainly relies on consumer desires for sensual gratification by selling the pleasure, happiness, and thrills that various foods can deliver. According to one Pepperidge Farm executive, their premium cookies offer a "small indulgence anytime, anywhere."12 Illustration 3-1 shows an ad for TBP4Men, that appeals to sensual gratification. How do you feel this ad would be received by men? By women? ILLUSTRATION 3-1American culture values sensual gratification. Products and ads based on this appeal such as TBD4Men are generally well received but can cause problems when they go too far. Postponed/Immediate Gratification In line with the value they generally place on sensual gratification, Americans seem unwilling to delay pleasures, even in the face of discomfort over spending levels and debt. For a time, there was hope that the Great Recession would usher in a new frugality among consumers and a willingness to postpone gratification by delaying or eliminating purchases. And, to some degree, it has. Americans are now saving more and paying down debt. However, recently these trends have begun to recede as once again U.S. consumers get back to "spending as usual." Consider the following quote: The truth is that spending may be hard to contain. Entire generations of consumers have grown up with the idea of instant gratification and the credit culture that comes with it.13 Page 81 It is really quite difficult, therefore, to say whether U.S. consumer values relating to instant gratification have truly been affected (it does appear that they have somewhat, as represented in Figure 3-1), or whether the behavioral changes related to spending and saving had more to do with the economic constraints imposed by the recession. As a consequence, we show an emerging trend back toward instant gratification more in line with pre-recession levels moving forward. Material/Nonmaterial Americans have maintained a strong material orientation. An outcome of America's focus on materialism is a consumption-driven society. As we will see, Americans are working longer hours, in part, to afford material possessions. That is, Americans are trading time and energy for things and services such as cars and travel. One factor found to influence materialism is television. As one group of researchers note: Television is a powerful medium ... consumers often use information from television to construct perceptions of social reality including the prevalence of affluence. Heavier viewers tend to believe luxury products and services to be more commonplace than they actually are.14 As we have seen, the recent recession has curtailed spending to some degree. However, at least some of that frugality appears to have been more economically than value-related. Indeed, one expert notes that consumers are going through "frugality fatigue," which suggests that consumers are acting due to an external constraint more than an internal value change. And, consider the following quote from a young woman who simply got fed up with trying to save and began spending again, which led to her eviction and caused her to have to move back in with her parents: After awhile, I just decided, "Screw it. I need some new clothes. I'm going to get them." My mamma's not happy, but I don't care. You stop spending and you stop living.15 While materialism appears to be the norm, a movement away from materialism in the United States is occurring among a select group of consumers. Role overload, burnout, and emotional exhaustion are causing some to rethink priorities and simplify their lives. Consider the following: I had all the stuff that was supposed to make me successful—my car and my clothes, the house in the right neighborhood and belonging to the right health club. All the external framework was excellent and inside I kind of had this pit eating away at me.16 Consumers' efforts to reduce their reliance on consumption and material possessions have been termed voluntary simplicity. Voluntary simplicity can span a continuum from minor life adjustments and reduced spending to drastic lifestyle adjustments, including downsized jobs, incomes, houses, and spending. The key is that it is a conscious and voluntary decision, not one brought on by economic necessity. Major factors in the decision to simplify appear to be reduced stress and increased life satisfaction, although other motivations, including environmentalism, can be involved. While the voluntary simplicity movement appears to represent a relatively small proportion of the U.S. population, its growth certainly holds economic and marketing consequences, including the market for secondhand products and green products.17 Page 82 Hard Work/Leisure Americans continue their strong tradition of hard work, leading much of the industrialized world in hours worked. Average weekly hours worked is around 40 for full-time workers, with 24 percent of workers clocking more than 40 hours per week. The percentage of married women who work outside the home for wages has increased almost 50 percent since 1970, from 41 to 61 percent of all married women.18 Americans work long hours for many reasons. One is clearly their material orientation. Americans work to have such things as a large home, two cars, and a nice vacation. Others work long hours because they lack the skills or job opportunities to provide even a moderate lifestyle without doing so. However, Americans also work long and hard because work is meaningful and valuable to them, in part because of the self-esteem and respect they gain from the work they do.19 Partly in response to the increase in work hours, the value placed on work relative to leisure has dropped over the past several decades. Clearly work is still important, and higher unemployment during the recent recession has put this into even greater perspective. However, a recent study finds that for working women with children, the percentage who indicated that full-time work was ideal for them has decreased by 11 percent since 1997, while the percentage who indicated part-time work was ideal for them has increased by 12 percent.20 And yet, over two-thirds of married women with children work outside the home for wages. Together, these statistics suggest such factors as time pressures and role conflict associated with the fact that work competes with other important aspects of one's life. This opens up opportunities for marketers who can deliver convenience. Still, we can't seem to get away from work. One study finds that between 51 and 65 percent of U.S. workers with work e-mail check it during off hours including nights, weekends, and while on vacation.21 Thus, we have a situation in which hard work and leisure are both valued (often by the same people) and commingled in people's lives. Active/Passive Americans continue to value an active approach to life. Although less than half of all American adults exercise regularly, most Americans take an active approach to both leisure and problem-solving activities. Television viewing as a primary form of entertainment has dropped sharply from its peak in the mid-1980s (young men [18 to 24 years of age] seem to be moving away from TV faster than any other group).22 Alternative activities, including surfing the net, sports, cooking, and gardening, are popular. And the amount of time children spend in scheduled activities continues to increase.23 The following quote illustrates that Americans differ on this value, but most would agree more with the second speaker than the first. My idea of a vacation is a nice oceanfront resort, a beach chair, and a piña colada. Mine too. For a day or two. Then I'd go bug spit. I'd feel like I was in prison. I'd do something.24 Illustration 3-2 describes how Club Med has 71 worldwide resorts designed for active leisure. ILLUSTRATION 3-2This Club Med ad is consistent with American values for leisure, activeness, sensual gratification, and risk taking.