CH. 4- Global Marketing

The strategy of ________ deliberately sets out to alter those aspects of the culture offering resistance to predetermined marketing goals. A) planned change B) top-down change C) guerilla marketing D) differentiated marketing E) cultural congruence

A. A company may employ a strategy of planned change—that is, deliberately set out to change those aspects of the culture offering resistance to predetermined marketing goals.

Based on the metaphor for Richard Nisbett's views involving Confucius's worthy picture, what is his analysis regarding the thought process or perceptual process of Westerners?A) Westerners can provide great details about central figures but see relatively little in the background. B) Westerners observe things sequentially, thus fail to comprehend the larger picture. C) Westerners are good at observing details but fail to comprehend the central message. D) Westerners prefer larger than life figures to convey messages. E) Westerners can report details about the background and foreground.

A. A good metaphor for Richard Nisbett's views involves going back to Confucius's worthy picture. Asians tend to see the whole picture and can report details about the background and foreground. Westerners alternatively focus on the foreground and can provide great detail about central figures but see relatively little in the background.

Unlike investors in Japan, many investors in the United States are willing to take the risk of a stock market investment. Which cultural dimension does this reflect? A) Uncertainty Avoidance Index B) Masculinity/Femininity Index C) Power Distance Index D) Individualism/Collectivism Index E) Indulgence Index

A. Cultures scoring low in uncertainty avoidance are associated with a low level of anxiety and stress, a tolerance of deviance and dissent, and a willingness to take risks. Japan scores quite high on Hofstede's Uncertainty Avoidance Index (92) and America scores low (46).

According to Dutch management professor Geert Hofstede, culture can be referred to as the A) "software of the mind." B) "defining factor of life." C) "conflict of civilization versus the masses." D) "tool of the elite." E) "art's triumph over banality."

A. Dutch management professor Geert Hofstede refers to culture as the "software of the mind" and argues that it provides a guide for humans on how to think and behave.

Compared with other societal forces, how does the role of government influence social culture? A) Governments influence thinking and behavior through the enforcement of a variety of laws affecting consumption and marketing behaviors. B) Compared with the early and direct influences of family, religion, school, and the media, governments hold relatively more sway. C) Americans increasingly complain about the detrimental effects of the government on American culture. D) Governments influence all aspects of the culture except for consumer behavior. E) Governments are the first social institution a person is exposed to outside his or her home in all cultures.

A. Governments influence thinking and behavior through the passage, promulgation, promotion, and enforcement of a variety of laws affecting consumption and marketing behaviors. Compared with the early (during childhood) and direct influences of family, religion, school, and the media, governments hold relatively little sway.

A culture with a low ________ score is likely to have greater respect for equality. A) Power Distance Index B) Individualism/Collectivism Index C) Distance from English Index D) Uncertainty Avoidance Index E) Masculinity/Femininity Index

A. High Power Distance Index scores tend to indicate a perception of differences between superior and subordinate and a belief that those who hold power are entitled to privileges. A low score reflects more egalitarian views.

In the context of cultural values, which statements is true? A) Countries that are high in individualism and low in uncertainty avoidance tend to be more innovative. B) Diffusion of innovations will be fast in countries that are low on individualism and high on uncertainty avoidance. C) Based on the experiments done with American and Chinese students, individualistic cultures tend to respond more favorably to self-focused appeals. D) Based on the experiments done with American and Chinese students, emotional appeals tend to attract people from collectivistic cultures. E) Based on the experiments done with American and Chinese students, individuals dislike the novelty in relation to their own cultures.

A. Hofstede's data on cultural values suggest that the diffusion of innovations will be slower in Japan and France than in the United States. Such predictions are consistent with research findings that cultures scoring higher on individualism and lower on uncertainty avoidance tend to be more innovative.

Lisette is excited about her new home in Rome. She has been given the opportunity to learn about a new culture, form new friendships, and capitalize on opportunities that were not available in her previous workplace based in Atlanta. In this scenario, Lisette is going through ________ as she adjusts to living in Rome. A) acculturation B) classification C) naturalization D) emancipation E) standardization

A. Individuals learn culture from social institutions through socialization (growing up) and acculturation (adjusting to a new culture). Individuals also absorb culture through role modeling, or imitation of their peers.

Rituals are patterns of behavior and interaction that are A) learned and repeated. B) scientifically proven. C) enforced by governments. D) the same across all cultures. E) universally accepted as proper behavior.

A. Life is filled with rituals, that is, patterns of behavior and interaction that are learned and repeated. The most obvious ones are associated with major events in life.

The adjective that best defines the market behavior of any country is A) evolving. B) proactive. C) static. D) constant. E) fixed.

A. Markets constantly change; they are not static but evolve, expand, and contract in response to marketing effort, economic conditions, and other cultural influences. Markets and market behavior are part of a country's culture.

Which social institution introduces most innovations to society? A) corporations B) schools C) government D) family E) religion

A. Most innovations are introduced to societies by companies, many times multinational companies. Through the efficient distribution of new products and services based on these new ideas, cultures are changed, and new ways of thinking are stimulated.

In the context of cultural values, the ________ Index refers to the preference for behavior that promotes one's self-interest. A) Individualism/Collectivism B) Power Distance C) Uncertainty Avoidance D) Masculinity/Femininity E) Linguistic

A. The Individualism/Collective Index refers to the preference for behavior that promotes one's self-interest.

The aesthetics of a culture are found in A) the arts, music, dance, and dress. B) the acceptance of power by certain individuals C) the level of education in a country. D) the agreement between those in power and those who serve. E) the language specific to that culture.

A. The aesthetics of a culture refer to the symbols that represent that culture, such as the arts, folklore, music, drama, dance, dress, and cosmetics.

The first step in bringing about planned change in a society is to A) determine which cultural factors conflict with an innovation. B) create a resistance to the cultural factor hindering acceptance. C) wait for eventual cultural changes that prove the value of the innovation to the culture. D) market products similar to ones already on the market. E) introduce a product or service and simply hope for the best.

A. The first step in bringing about planned change in a society is to determine which cultural factors conflict with an innovation, thus creating resistance to its acceptance.

What action is important for marketers to take in order to be effective in a foreign market? A) learning to appreciate the intricacies of cultures different from their own B) ensuring that the promotions for the product are indifferent to social beliefs C) adhering to the prominent prejudices in one's own society D) creating product differentiation by being indifferent to the culture of the foreign market E) making the product relate to one's own religion

A. The point is that culture matters. It is imperative for foreign marketers to learn to appreciate the intricacies of cultures different from their own if they are to be effective in foreign markets.

A desert nation would not rely on agricultural crops to boost its economy. This shows how ________ can affect social culture. A) geography B) religion C) history D) politics E) technology

A. fauna, and microbiology) has influenced history, technology, economics, what is farmed and eaten, our social institutions, perhaps even the boy-to-girl birth ratio, and, yes, our ways of thinking.

Next Energy is advocating the use of solar power to replace all petroleum-based energy sources. The company holds demonstrations to show how solar power could be used in all major petroleum-based products—automobiles, power sources, and heating and cooling. Next Energy is most likely employing a strategy of ________ change, a deliberate attempt to change the way we do things with respect to energy sources. A) unplanned B) planned C) parallel D) syncopated E) synergistic

B. A company may employ a strategy of planned change- that is, deliberately set out to change those aspects of the culture offering resistance to predetermined marketing goals.

What are the five elements of culture? A) systems, history, government, religion, awareness B) values, rituals, symbols, beliefs, thought processes C) institutions, associations, entities, groups, teams D) facts, opinions, beliefs, values, norms E) corporations, individuals, government, processes, outcomes

B. Culture is defined in this text by listing its five elements: values, rituals, symbols, beliefs, and thought processes.

In order for culture to exist it must be A) agreed upon by an entire nation. B) transmitted from one generation to the next. C) individualized and different for everyone. D) seen as the answer to all issues. E) used to create new rituals and norms.

B. Culture is the sum of the values, rituals, symbols, beliefs, and thought processes that are learned and shared by a group of people, then transmitted from generation to generation.

How have culture-based superstitions affected the birthrate in Japan? A) The Japanese are not affected by cultural beliefs so there is no correlation with birthrates. B) Superstitions have coincided with a decline in the birthrate in certain years. C) Most Japanese women favor the idea of "one family/one child." D) While economic conditions affect birthrates in Japan, cultural beliefs do not. E) Japan is mostly an agricultural society and culture implies that many children are beneficial.

B. Culture-based superstitions have an even stronger influence on the birthrates in Japan. A one-year 20 percent drop in Japanese fertility rates in 1966 was caused by a belief that women born in the Year of the Fire Horse, which occurs every 60 years, will lead unhappy lives and perhaps murder their husbands

On the basis of Hofstede's four dimensions, cultures with high Power Distance Index (PDI) scores tend to A) be secular. B) be hierarchical. C) be flat in organization. D) value equality. E) cite knowledge as a source of power.

B. Cultures with high PDI scores tend to be hierarchical, with members citing social roles, manipulation, and inheritance as sources of power and social status. Those with low scores, in contrast, tend to value equality and cite knowledge and respect as sources of power.

________ is best defined as a responsible effort to learn from others' cultural ways in the quest for better solutions to a society's particular problems. A) Cultural apathy B) Cultural borrowing C) Cultural sensitivity D) Cultural aestheticism E) Cultural assimilation

B. Explanation: Cultural borrowing is a responsible effort to learn from others' cultural ways in the quest for better solutions to a society's particular problems.

Mae-Jun works at an overseas branch of her organization. She needs clarification about a project and approaches a senior manager hoping to get a good explanation. However, she is told that only the team leads are allowed to approach the senior managers and sent away. In this scenario, the organization is most likely to have a ________ score. A) high Individualism/Collective Index B) high Power Distance Index C) low Individualism/Collective Index D) low Power Distance Index E) high Uncertainty Avoidance Index

B. In this scenario, the organization is most likely to have a high Power Distance Index score. Cultures with high Power Distance Index scores tend to be hierarchical, with members citing social roles, manipulation, and inheritance as sources of power and social status.

Juanita grew up learning a great deal about culture from her school, the church, the media, and her family. This is an example of A) acculturation. B) socialization. C) naturalization. D) emancipation. E) classification.

B. Individuals learn culture from social institutions through socialization (growing up) and acculturation (adjusting to a new culture). Individuals also absorb culture through role modeling, or imitation of their peers.

Young children learn about social institutions from their families and when they go to school. This process of learning is called A) anarchy. B) socialization. C) cultural apathy. D) cognitive dissonance. E) social rebellion.

B. Individuals learn culture from social institutions through socialization (growing up) and acculturation (adjusting to a new culture). Individuals also absorb culture through role modeling, or imitation of their peers. People make decisions about consumption and production through application of their cultural-based knowledge.

Selena works for a U.S.-based manufacturing company that wants to build a plant in Indonesia. Selena is concerned about the language barriers because she knows more than 300 languages are spoken throughout Indonesia. What is Selena's main concern? A) ethnocentrism B) linguistic distance C) power distance. D) aesthetics E) individualism

B. Linguistic distance has been shown to be an important factor in determining differences in values across countries and the amount of trade between countries. The idea is that crossing wider language differences increases transaction costs.

The measure of the differences between language is known as linguistic A) origin. B) distance. C) recency. D) lining. E) rule.

B. Linguistic distance refers to the measure of difference between languages and it is an important factor in trade between nations.

________ refers to a strategy that involves marketing products similar to ones already on the market, thereby minimizing resistance. A) Planned change B) Cultural congruence C) Guerilla marketing D) Lateral marketing E) Culture equalization

B. Much successful and highly competitive marketing is accomplished by a strategy of cultural congruence. Essentially this strategy involves marketing products similar to ones already on the market in a manner as congruent as possible with existing cultural norms, thereby minimizing resistance.

What is true of education and the literacy rate of a country? A) According to the World Bank, even countries with less than 50 percent literacy have been economically successful. B) Numerous studies indicate a direct link between the literacy rate of a country and its capability for rapid economic growth. C) Communicating in a literate market is much more difficult than communicating with one in which a marketer must depend on pictures and symbols. D) Increasingly, schools are seen as leading to negative cultural changes. E) Compared to governments, education has relatively little influence on culture.

B. Numerous studies indicate a direct link between the literacy rate of a country and its capability for rapid economic growth.

People from which cultures are more likely to have a general distrust of others (not those in their groups) because power is seen to rest with individuals and is coercive rather than legitimate? A) cultures with a high Individualism/Collective Index score B) cultures with a high Power Distance Index score C) cultures with a low Individualism/Collective Index score D) cultures with a low Power Distance Index score E) cultures with a high Uncertainty Avoidance Index score

B. People from cultures with high Power Distance Index scores are more likely to have a general distrust of others (not those in their groups) because power is seen to rest with individuals and is coercive rather than legitimate.

The baby boom generation has affected consumption patterns around the world since it started and continues to do so today. This is one example of how ________ can be reflected in social institutions. A) the political economy B) history C) technology D) social institutions E) geography

B. The impact of specific events in history can be seen reflected in technology, social institutions, cultural values, and even consumer behavior. The post-War baby boom still affects consumption patterns around the world.

Of the following countries, which requires the least number of school days in a year for elementary age students? A) China B) India C) United States D) Japan E) Germany

C. American kids spend only 180 days per year in school. Contrast that with around 260 days per year in China, 243 in Japan, and 240 in Germany, the top three in number of school days globally.

According to anthropologist Edward T. Hall, culture is A) all-encompassing. B) relatively minor in the scheme of life. C) communication. D) strongly linked to physiology. E) standard throughout the world.

C. Anthropologist Edward T. Hall tells us that culture is communication. In his seminal article about cultural differences in business settings, he talks about the "languages" of time, space, things, friendships, and agreements.

Feng shui is a Chinese ________, considered to be the process that links humans and the universe to ch'i, the energy that sustains life and flows through our bodies and surroundings, in and around our homes and workplaces. A) folklore B) fairytale C) belief D) fable E) myth

C. Called art, science, philosophy, or superstition- depending on who is talking- the Chinese practice of feng shui is an important ancient belief held by Chinese, among others. Feng shui is the process that links humans and the universe to ch'i, the energy that sustains life and flows through our bodies and surroundings, in and around our homes and workplaces.

What is a characteristic of culture? A) It is radical in nature and readily accepts change. B) It is the same across all countries. C) It is the human-made part of human environment. D) It is static in nature. E) It is insignificant in assessing new markets.

C. Culture is the human-made part of human environment—the sum total of knowledge, beliefs, art, morals, laws, customs, and any other capabilities and habits acquired by humans as members of society.

In some parts of the world, language is itself thought of as a social institution, often with political importance. Which country best exemplifies this statement? A) Australia B) United States C) France D) Mexico E) Switzerland

C. For some around the world, language is itself thought of as a social institution, often with political importance. Certainly, the French go to extreme lengths and expense to preserve the purity of their français.

Jessica is new to international marketing and assumes that if a country speaks a similar language as another country then both of those countries will also be interested in the same types of products and services. Jessica appears to be suffering from A) ethnocentrism. B) cognitive dissonance. C) an illusion of similarity. D) cultural sensitivity. E) cultural borrowing.

C. For the inexperienced marketer, the similar-but-different aspect of culture creates illusions of similarity that usually do not exist. Several nationalities can speak the same language or have similar race and heritage, but it does not follow that similarities exist in other respects— that a product acceptable to one culture will be readily acceptable to the other, or that a promotional message that succeeds in one country will succeed in the other.

In most cultures, the first social institution infants are exposed to outside the home is in the form of a A) day-care center. B) school. C) religious institution. D) shopping mall. E) government agency.

C. In most cultures, the first social institution infants are exposed to outside the home takes the form of a church, mosque, shrine, or synagogue.

The process of adjusting to a new culture is known as A) diffusion. B) culture transfer. C) acculturation. D) assimilation. E) transference.

C. Individuals learn culture from social institutions through socialization (growing up) and acculturation (adjusting to a new culture).

Additional studies based on Geert Hofstede's original study of how cultures differ identified the fifth dimension known as A) Power Distance Index. B) Uncertainty Avoidance orientation. C) Long-term Orientation. D) Masculinity/Femininity Index. E) Individualism/Collectivism orientation.

C. Studying more than 90,000 people in 66 countries, he found that the cultures of the nations studied differed along four primary dimensions as follows: the Individualism/Collective Index (IDV), which focuses on self-orientation; the Power Distance Index (PDI), which focuses on authority orientation; the Uncertainty Avoidance Index (UAI), which focuses on risk orientation; and the Masculinity/Femininity Index (MAS), which focuses on assertiveness and achievement. Subsequent studies identified a fifth dimension, Long-term Orientation.

The Uncertainty Avoidance Index measures the tolerance of uncertainty and ________ among members of a society. A) inequality B) subjugation C) ambiguity D) oppression E) hierarchy

C. The Uncertainty Avoidance Index (UAI) measures the tolerance of uncertainty and ambiguity among members of a society. Cultures with high UAI scores are highly intolerant of ambiguity and as a result tend to be distrustful of new ideas or behaviors.

New cola alternatives (Mecca Cola, Muslim Up, Arab Cola, and ColaTurka) sprang up after the military conflicts in the Middle East in 2003. This is an example that shows how A) Coca-Cola played an important role in easing the cultural divide among the warring nations. B) Coca-Cola catered to new markets through standardization. C) specific events in history can influence consumer behavior. D) businesses exploit cheap human labor during war times. E) technology influences marketing practices.

C. The impact of specific events in history can be seen reflected in technology, social institutions, cultural values, and even consumer behavior. For example, the military conflicts in the Middle East in 2003 bred new cola brands as alternatives to Coca-Cola—Mecca Cola, Muslim Up, Arab Cola, and ColaTurka.

According to Edward Hall's comments on culture, which action could hurt companies and careers in foreign markets? A) adherence to the social norms of the foreign market B) being agents of change in the new market C) ignorance of cultural differences in the foreign market D) strict following of the political rules of the foreign society E) consideration of the economic system of the new market

C. The salient points in Hall's comments are that cultural differences are often invisible and that marketers who ignore them often hurt both their companies and careers.

List and describe the four dimensions of cultural values as identified by Hofstede

Cultural values refer to the importance of things and ideas in a particular culture. The most useful information on how cultural values influence various types of business and market behavior comes from seminal work of Geert Hofstede. Studying more than 90,000 people in 66 countries, he found that the cultures of the nations studied differed along four primary dimensions. The four dimensions are as follows: the Individualism/Collective Index (IDV), which focuses on self-orientation; the Power Distance Index (PDI), which focuses on authority orientation;the Uncertainty Avoidance Index (UAI), which focuses on risk orientation; and the Masculinity/Femininity Index (MAS), which focuses on assertiveness and achievement.

The introduction of a Westernized diet has caused many Japanese to become overweight. To counter this trend, the Japanese are buying low-calorie, low-fat foods to help shed excess weight and are flocking to health clubs. This scenario best exemplifies ________ change. A) top-down B) planned C) central D) unplanned E) bottom-up

D. A company may employ a strategy of planned change- that is, deliberately set out to change those aspects of the culture offering resistance to predetermined marketing goals. As an example of unplanned cultural change, consider how the Japanese diet has changed since the introduction of milk and bread soon after World War II.

___ pertains to societies in which people from birth onward are integrated into strong, cohesive groups. A) Power distance B) Individualism C) Uncertainty D) Collectivism E) Masculinity

D. Collectivism pertains to societies in which people from birth onward are integrated into strong, cohesive groups, which throughout people's lifetimes continue to protect them in exchange for unquestioning loyalty.

Kendall works at a refugee camp in Haiti. She witnesses high levels of anxiety and stress and knows that everyone is concerned with security and rule following. Which aspect of Hofstede's dimensions does this reflect? A) Power Distance Index B) Individualism/Collectivism Index C) Distance from English Index D) Uncertainty Avoidance Index E) Masculinity/Femininity Index

D. Cultures with high Uncertainty Avoidance Index scores are highly intolerant of ambiguity and as a result tend to be distrustful of new ideas or behaviors. They tend to have a high level of anxiety and stress and a concern with security and rule following.

Morrison Foods has decided to introduce a new line of turkey products to the American consumer. Turkey steaks resemble beefsteak in taste and are leaner and healthier for a variety of reasons. However, the company is concerned that the product will not be accepted in America. If Morrison Foods follows a strategy of ________, they are more likely to have a successful introduction of the new product. A) cultural shock B) cultural adiaphora C) cultural syncopation D) cultural congruence E) reverse culture shock

D. If Morrison Foods follows a strategy of cultural congruence, they are more likely to have a successful introduction of the new product. The strategy of cultural congruence involves marketing products similar to ones already on the market in a manner as congruent as possible with existing cultural norms, thereby minimizing resistance.

How has the advent of women joining the workforce in growing numbers for the past 30 years affected American culture? A) an increase in the desire for large families among the American population B) an increase in the underestimation of women in the American culture C) a decrease in economic development D) a decrease in the influence of family on American culture E) a decrease in the number of single-person households in the country

D. In the United States during the past 30 years, women have joined the workforce in growing numbers, substantially reducing the influence of family on American culture.

When marketers first introduced the personal digital assistant (PDA) to American consumers, they acted as ________ because the cultural impact of the product became widespread. A) gatekeepers B) conciliators C) agents of socialization D) agents of change E) arbitrators

D. In this case, marketers performed the role of agents of change. Marketers are constantly adjusting their efforts to cultural demands of the market, but they also are acting as agents of change whenever the product or idea being marketed is innovative.

James Day Hodgson, former U.S. ambassador to Japan, describes culture as a(n) ________, which according to him is tough to get through, but effort and patience could often lead to success. A) glass ceiling B) maze C) intelligence test D) thicket E) perseverance test

D. James Day Hodgson, former U.S. ambassador to Japan, describes culture as a "thicket." This metaphor holds hope for struggling international marketers. According to the ambassador, thickets are tough to get through, but effort and patience often lead to successes.

What is true about Professor Jared Diamond's ideas regarding the influence of geography on history and cultural values? A) People in the plains are more likely to invade than those settled in higher altitudes. B) Historically, societies in the north have been more developed than those in the south. C) Civilizations near major rivers are more developed than those settled near major oceans. D) Historically, innovations spread faster east to west than north to south. E) Historically, invasions by warrior tribes have always happened from west to east.

D. Jared Diamond tells us that historically, innovations spread faster east to west than north to south. Before the advent of transoceanic shipping, ideas flowed over the Silk Road but not across the Sahara or the Isthmus of Panama.

Innovations that are most readily accepted are those that A) cater to the values of the predominant religion of the society. B) propagate faith in a set of beliefs different from the existing beliefs. C) are apathetic to the existing cultural beliefs. D) hold the greatest interest within the society and those that are least disruptive. E) offer some insight into the aesthetics of the existing culture.

D. Observations indicate that those innovations most readily accepted are those holding the greatest interest within the society and those least disruptive.

________ refers to being attuned to the nuances of culture so that a new culture can be viewed objectively, evaluated, and appreciated. A) Cultural shock B) Cultural apathy C) Counter culture D) Cultural sensitivity E) Culture transfer

D. Successful foreign marketing begins with cultural sensitivity—being attuned to the nuances of culture so that a new culture can be viewed objectively, evaluated, and appreciated. Cultural sensitivity, or cultural empathy, must be carefully cultivated.

One indicator of the narrowing ________ gap between the sexes is the fact that the majority of university students in the United States are women. A) emotional B) biological C) identity D) education E) language

D. The education gap between men and women is narrowing in may places around the world—for example, the majority of university students in the United States are now women.

Jason is a marketing manager for a large breakfast cereal company. He knows that most people in China eat breakfast like everyone else in the world, but he also understands that they may not want the sugar-laden cereals his company is known for and he should consider promoting healthier cereal options instead. Jason is revealing cultural ________ as he makes his decision. A) insensitivity B) ethnocentrism C) apathy D) empathy E) indifference

D. Though many behaviors are borrowed from other cultures, they are combined in a unique manner that becomes typical for a particular society. To a foreign marketer, this similar- but-different feature of cultures has important meaning in gaining cultural empathy.

Which social institution that has replaced family time, do many people point to as having detrimental effects on society? A) school B) literacy C) religion D) family E) media

E. Americans more and more complain about the detrimental effects of too much

Which technological innovation has had a great impact on the gender-based determination of responsibilities and roles? A) mobile phones B) computers C) aircrafts D) optogenetics E) birth control techniques

E. Birth control pills, or more broadly birth control techniques, have had a huge effect on everyday life for most Americans and people around the world. Before the advent of the pill, men's and women's roles were proscribed by reproductive responsibilities and roles.

Modern medicine has thrived in the United States together with the use of herbal remedies from South America. This is an example of A) cultural ombudsmanship. B) cultural shock. C) cultural hegemony. D) cultural sensitivity. E) cultural borrowing.

E. Cultural borrowing is a responsible effort to learn from others' cultural ways in the quest for better solutions to a society's particular problems. When an American borrows from another culture, each of the borrowed cultural facets will be adapted to fit his or her needs, molded into uniquely American habits, foods, and customs.

In a culture with a high Uncertainty Avoidance Index (UAI), you are more likely to find that members A) are highly tolerant of ambiguity. B) tend to have a low level of anxiety. C) have a low level of concern with security and rule following. D) take a more empirical approach to understanding and knowledge. E) seek absolute truth.

E. Cultures with a high UAI seek absolute truth, whereas those cultures low in UAI take a more empirical approach to understanding and knowledge.

Which of the dimensions identified by Hofstede in his study of how cultures differ refers to the extent to which people try to control their desires and impulses? A) Long-term Orientation B) Uncertainty Avoidance Index C) Accommodation D) Self-actualization E) Indulgence

E. Hofstede studied more than 90,000 people in 66 countries, he found that the cultures of the nations studied differed along four primary dimensions. Later, Indulgence was also identified as a sixth dimension—the extent to which people try to control their desires and impulses.

Most traditional definitions of ________ center around the notion that it is the sum of the values, rituals, symbols, beliefs, and thought processes that are learned, shared by a group of people, and transmitted from generation to generation. A) economy B) sensitivity C) population D) demography E) culture

E. Most traditional definitions of culture center around the notion that culture is the sum of the values, rituals, symbols, beliefs, and thought processes that are learned and shared by a group of people then transmitted from generation to generation.

How has the use of birth control pills affected social institutions? A) Educational institutions are finding it tougher to fill in seats. B) Midwifery, as a profession, is becoming extinct. C) More men and women are opposing the idea of "one-child family." D) Women and men are increasingly adhering to traditional gender roles. E) Schools are forced to address issues like abstinence and condom distribution.

E. Not everyone is happy with the new "freedoms" offered by birth control techniques. But the technology of birth control undeniably has deeply affected social institutions and cultural values. Families are smaller, and government and schools are forced to address issues such as abstinence and condom distribution.

Nathan decided it would be best for his company to introduce a low-calorie drink product into the South American market that is similar to other products already in place in the country. He felt this would lead to less resistance on the part of the South American consumer and the products would sell well. What type of strategy is Nathan using? A) linguistic distance B) cultural intolerance C) planned change D) unplanned obsolescence E) cultural congruence

E. The cultural congruence strategy involves marketing products similar to ones already on the market in a manner as congruent as possible with existing cultural norms, thereby minimizing resistance.

________ in India is a social institution that influences the roles and status positions found within Indian society. A) A country club B) The Ku Klux Klan C) The Taj Mahal D) A single-person household E) The caste system

E. The roles and status positions found within a society are influenced by the dictates of social institutions. The caste system in India is one such institution.

Cultures which are low in Uncertainty Avoidance Index are more likely to A) seek absolute truth. B) accord a high level of importance to rules as a means of avoiding risk. C) be distrustful of new ideas or behaviors. D) dogmatically stick to historically tested patterns of behavior. E) take a more empirical approach to understanding and knowledge.

E. Those cultures low in Uncertainty Avoidance Index (UAI) take a more empirical approach to understanding and knowledge, whereas those high in UAI seek absolute truth.

As countries move from agricultural to industrial to services economies, birthrates increase.

FALSE As countries move from agricultural to industrial to services economies, birthrates decline. Immediate causes may be government policies and birth control technologies, but a global change in values is also occurring.

When a culture scores high in Individualism/Collectivism Index, individuals fail to identify with groups.

FALSE Cultures that score high in Individualism/Collectivism Index (IDV) reflect an "I" mentality and tend to reward and accept individual initiative, whereas those low in individualism reflect a "we" mentality and generally subjugate the individual to the group. This distinction does not mean that individuals fail to identify with groups when a culture scores high on IDV but rather that personal initiative and independence are accepted and endorsed.

A country that demonstrates low Uncertainty Avoidance Index scores tends to be distrustful of new ideas or behaviors.

FALSE Cultures with high Uncertainty Avoidance Index scores are highly intolerant of ambiguity and as a result tend to be distrustful of new ideas or behaviors.

Cultures with high Uncertainty Avoidance Index scores tend to have a low level of anxiety and stress.

FALSE Cultures with high Uncertainty Avoidance Index scores are highly intolerant of ambiguity and as a result tend to be distrustful of new ideas or behaviors. They tend to have a high level of anxiety and stress and a concern with security and rule following.

Of the four approaches to governance found in the 20th century, colonialism was the only approach that survived World War II.

FALSE For most of the 20th century, four approaches to governance competed for world dominance: colonialism, fascism, communism, and democracy/free enterprise. Fascism fell in 1945. Colonialism was also a casualty of World War II.

Acculturation refers to the process of becoming an agent of change through innovation.

FALSE Humans make adaptations to changing environments through innovation. Individuals learn culture from social institutions through socialization (growing up) and acculturation (adjusting to a new culture).

For most people, the first social institution outside of the home they are exposed to is a government source.

FALSE In most cultures, the first social institution infants are exposed to outside the home takes the form of a church, mosque, shrine, or synagogue.

According to James Day Hodgson, former U.S. ambassador to Japan, culture is like a "glass ceiling" that can be seen through and easily understood and acquired.

FALSE James Day Hodgson, former U.S. ambassador to Japan, describes culture as a "thicket." This last metaphor holds hope for struggling international marketers. According to the ambassador, thickets are tough to get through, but effort and patience often lead to successes.

According to Jared Diamond innovations spread faster north to south than east to west.

FALSE Jared Diamond tells us that historically, innovations spread faster east to west than north to south.

Linguistic difference refers to the geographical differences among trading nations.

FALSE Linguistic difference is the measure of difference between languages; an important factor in determining the amount of trade between nations.

Most markets are static and typically don't change.

FALSE Markets constantly change; they are not static but evolve, expand, and contract in response to marketing effort, economic conditions, and other cultural influences.

Much of American trade policy is based on cotton, which was the original source of the Virginia colony's economic survival in the 1600s.

FALSE Much of American trade policy has depended on the happenstance of tobacco (i.e., the technology of a new cash crop) being the original source of the Virginia colony's economic survival in the 1600s.

The Power Distance dimension of culture, identified by Geert Hofstede, refers to the preference for behavior that promotes one's self-interest.

FALSE The Power Distance Index measures the tolerance of social inequality; that is, power inequality between superiors and subordinates within a social system. The Individualism/Collective Index refers to the preference for behavior that promotes one's self- interest.

The Uncertainty Avoidance Index (UAI), one of the four dimensions of culture identified by Geert Hofstede, focuses on assertiveness and achievement.

FALSE The Uncertainty Avoidance Index (UAI) focuses on risk orientation and the Masculinity/Femininity Index (MAS) focuses on assertiveness and achievement.

A company that decides to deliberately try and change the aspects of a culture that are in opposition to its marketing goals is practicing cultural congruence.

FALSE The strategy of cultural congruence involves marketing products similar to ones already on the market in a manner as congruent as possible with existing cultural norms, thereby minimizing resistance. A company may employ a strategy of planned change—that is, deliberately set out to change those aspects of the culture offering resistance to predetermined marketing goals

Describe how culture affects how consumers make choices and spend money. Provide an example of a culture-based purchasing decision in one country that might not be typical in another country.

Individuals learn culture from social institutions through socialization (growing up) and acculturation (adjusting to a new culture). Individuals also absorb culture through role modeling, or imitation of their peers. Finally, people make decisions about consumption and production through application of their cultural-based knowledge. While consumers in the United States might purchase breakfast products that have a high sugar content, consumers in other parts of the world might prefer more savory breakfast items. These choices are the result of socialization processes that indicate what is "preferred" for breakfast in various parts of the world. Examples will vary.

Describe the various ways individuals learn about culture.

Individuals learn culture from social institutions through socialization (growing up) and acculturation (adjusting to a new culture, for example, how immigrants and indigenous people react to one another). Individuals also absorb culture through role modeling, or imitation of their peers. Finally, people make decisions about consumption and production through application of their cultural-based knowledge.

Explain how linguistic distance is a necessary consideration for international marketers.

Linguistic distance is proving useful to marketing researchers in market segmentation and strategic entry decisions. It has been shown to be an important factor in determining differences in values across countries and the amount of trade between countries. The idea is that crossing "wider" language differences increases transaction costs. Over the years, linguistics researchers have determined that languages around the world conform to family trees based on the similarity of their forms and development. For example, Spanish, Italian, French, and Portuguese are all classified as Romance languages because of their common roots in Latin. Distances can be measured on these linguistic trees. If we assume English to be the starting point, German is one branch away, Danish two, Spanish three, Japanese four, Hebrew five, Chinese six, and Thai seven. Other work in the area is demonstrating a direct influence of language on cultural values, expectations, and even conceptions of time. For example, as linguistic distance from English increases, individualism decreases. These studies are among the first in this genre, and much more work needs to be done. However, the notion of linguistic distance appears to hold promise for better understanding and predicting cultural differences in both consumer and management values, expectations, and behaviors.

A high Power Distance Index score implies that the people who hold power in a country are entitled to privileges.

TRUE

According to Philip Parker, a marketing professor, there are strong correlations between the climate of a region and the per capita GDP of countries in that region.

TRUE

According to the World Bank, no country with less than 50 percent literacy has succeeded economically.

TRUE

According to traditional definitions, culture is transmitted from generation to generation.

TRUE

Culture encompasses the sum total of knowledge, beliefs, art, morals, laws, and customs acquired by members of a society.

TRUE

Dutch management professor Geert Hofstede argues that culture provides a guide for humans on how to think and behave.

TRUE

Marketers with little or no understanding of a religion may readily offend deeply because the influence of religion is often quite strong.

TRUE

People from cultures with high Power Distance Index scores are more likely to have a general distrust of others.

TRUE

Religion has a significant impact on the value systems of a society and the effect of value systems on marketing.

TRUE

The Power Distance Index, identified by Geert Hofstede, measures the tolerance for social inequality among members of a culture.

TRUE

The family is an example of a social institution.

TRUE

The four social institutions that most strongly influence values and culture are schools, churches, families, and the media.

TRUE

The language we use is an example of a cultural symbol.

TRUE

The manner in and amount which people consume, the priority of needs and wants they attempt to satisfy, and the manner in which they satisfy them are functions of their culture.

TRUE

When discussing the elements of culture, marriage ceremonies and funerals are good examples of rituals.

TRUE

Explain the concept of Power Distance and discuss how it affects culture.

The Power Distance Index measures the tolerance of social inequality, that is, power inequality between superiors and subordinates within a social system. Cultures with high PDI scores tend to be hierarchical, with members citing social roles, manipulation, and inheritance as sources of power and social status. Those with low scores, in contrast, tend to value equality and cite knowledge and achievement as sources of power. Thus, people from cultures with high PDI scores are more likely to have a general distrust of others (not those in their groups) because power is seen to rest with individuals and is coercive rather than legitimate. High PDI scores tend to indicate a perception of differences between superior and subordinate and a belief that those who hold power are entitled to privileges. A low PDI score reflects more egalitarian views.