Business English Upper Intermediate U1S09 John Silberstein

Agenda Cultural Aspects of International Marketing – Cont. Describing Graphs

International Marketing Cultural Aspects of the Global Market Place Hofstede’s Dimensions. Gert Hofstede, a Dutch researcher, was able to interview a large number of IBM executives in various countries, and found that cultural differences tended to center around four key dimensions: Individualism vs. collectivism Power distance Masculinity vs. femininity Uncertainty avoidance Long Term vs. Short Term Orientation

International Marketing Cultural Aspects of the Global Market Place Hofstede’s Dimensions. Individualism vs. collectivism To what extent do people believe in individual responsibility and reward rather than having these measures aimed at the larger group? Contrary to the stereotype, Japan actually ranks in the middle of this dimension, while Indonesia and West Africa rank toward the collectivistic side. The U.S., Britain, and the Netherlands rate toward individualism.

International Marketing Cultural Aspects of the Global Market Place Hofstede’s Dimensions. Power distance To what extent is there a strong separation of individuals based on rank? Power distance tends to be particularly high in Arab countries and some Latin American ones, while it is more modest in Northern Europe and the U.S.

International Marketing Cultural Aspects of the Global Market Place Hofstede’s Dimensions. Masculinity vs. femininity This involves a somewhat more nebulous concept. “Masculine” values involve competition and “conquering” nature by means such as large construction projects, while “feminine” values involve harmony and environmental protection. Japan is one of the more masculine countries, while the Netherlands rank relatively low. The U.S. is close to the middle, slightly toward the masculine side. ( The fact that these values are thought of as “masculine” or “feminine” does not mean that they are consistently held by members of each respective gender— there are very large “within-group” differences. There is, however, often a large correlation of these cultural values with the status of women.)

International Marketing Cultural Aspects of the Global Market Place Hofstede’s Dimensions. Uncertainty avoidance This involves the extent to which a “structured” situation with clear rules is preferred to a more ambiguous one; in general, countries with lower uncertainty avoidance tend to be more tolerant of risk. Japan ranks very high. Few countries are very low in any absolute sense, but relatively speaking, Britain and Hong Kong are lower, and the U.S. is in the lower range of the distribution.

International Marketing Cultural Aspects of the Global Market Place Hofstede’s Dimensions. Long-Term/Short-Term Orientation Values associated with Long Term Orientation are thrift and perseverance; values associated with Short Term Orientation are respect for tradition, fulfilling social obligations, and protecting one's 'face'. Both the positively and the negatively rated values of this dimension are found in the teachings of Confucius, the most influential Chinese philosopher who lived around 500 B.C.; however, the dimension also applies to countries without a Confucian heritage.

International Marketing Cultural Aspects of the Global Market Place Hofstede’s Dimensions. How will Hofstede’s Dimensions impact how a company performs in a foreign country? Within the CompanyWith consumers Individualism vs. collectivism Power distance Masculinity Uncertainty avoidance Long-Term/Short-Term Orientation

International Marketing Within the CompanyWith consumers Individualism vs. collectivism Who will be take responsibility for actions and results. Will consumers be willing to try a new product? Who will try the new product? What is the process of product acceptance Power distance How will subordinates interact with Managers and vice versa. In a B2B sales situation, will a subordinate be willing to approach their manager with a new suggestion? Masculinity How do the employees expect to be spoken too? What happens if you are too brash! How are purchase decisions made? Are they made quickly and assertively or only after a period of thought? Uncertainty avoidance How will employees deal with change? Will they willingly accept change? How willing are consumers to accept a new product? Are they happy with the old product and not likely to change? Long-Term/Short-Term Orientation Will employees embrace change? Or will the employees not accept change, “because that is not the way things are done” Are consumer willing to pay more for a product they perceive to be superior and will last longer? Or do they want to “save a buck” today?

Describing Graphs

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Describing Graphs Decrease To decrease Decreased Decreasing To drop Dropping Dropped To drop off Dropping off Dropped off To fall Falling Fell To plummet Plummeted Plummeting To reduce Reduced Reducing To decline Declining Declined To shrink Shrinking Shrunk To plunge Plunged Plunging To tumble Tumbled Tumbling Diminish

Describing Graphs Descriptive/degree words Steady Sharp Dramatic Significant insignificant Slight Trend Bottomed out Peaked Topped off Sudden Large Small Big Drift Severe Rapid Gradual stable Fluctuate Unchanged Erratic Marked Markedly Solid Impressive irregular

Numbers Describing Graphs