1. Dimensions of Cultural Values Peter Anderson – Student ID: 7584563 Marketing Behavior:

2. The concept of ‘Dimensions of Cultural Values’; The importance of Cultural Values in Consumer Behavior; The five key dimensions developed by Geert Hofstede; Examples of the dimensions being used by a brand (in this case Apple Inc.). This Presentation will cover:

3. What Are Cultural Values? Consumer Culture: - Commonly held societal beliefs that define what is socially gratifying in society (Babin & Harris 2014, p. 170). Cultural Values (Core Societal Values): - Commonly agreed upon consensus of preferable ways to live within the society (Babin & Harris 2014, p. 174). Geert Hofstede’s Dimensions of Cultural Values: - Individualism and Collectivism; - Masculinity and Femininity; - Power Distance; - Uncertainty Avoidance; - Long-term orientation; and - Indulgence vs Restraint (Hofstede & Hofstede & Minkov 2010).

4. Individualism vs Collectivism Individualism: the extent that people expect each other to take responsibility for themselves and their families (generally Western societies). Collectivism: the extent which individual’s lives are connected with larger group (general in Eastern societies).

5. Example of Individualism vs Collectivism - Apple’s iPhone “lets you do so many things” in the ad below. - Emphasis placed on the personal achievement Apple’s iPhone allows, rather than focusing on group benefits. (Lee 2013)

6. Masculinity vs Femininity Masculinity represents to what extent the society values mannerisms typical among males in Western societies, such as assertiveness and control (Babin & Harris 2014, p. 174). Femininity represents values held by typical Western females, such as caring, conciliation, and community (Babin & Harris 2014, p. 174).

7. Example of Masculinity vs Femininity (Apple Inc. 2015) Apple’s “Powerful” campaign for the iPhone 5s appealed to the masculine cultural values of power and dominance by telling consumers that they were “more powerful” using the iPhone 5s.

8. Power Distance Power Distance refers to the degree with which unequal power distribution is expected and accepted within a society (The Hofstede Centre n.d.). In high-power-distance nations, those with low status must show deference to those with high status (Babin & Harris 2014, p. 175) In low-power-distance nations, people are expected to treat each other equally regardless of status.

9. Example of Power Distance As most Western societies have low-power-distance (Clearly Cultural 2015), most marketing in Western cultures is less geared towards high status individuals. This is evident in Apple’s ‘Get a Mac’ marketing campaign shows an example of low-power-distance marketing. (Nudd 2011)

10. Uncertainty Avoidance Uncertainty Avoidance is the cultural level of discomfort with things unfamiliar or ambiguous (Babin & Harris 2014, p. 175). Consumers with high Uncertainty avoidance will prefer familiar products. Those with low Uncertainty Avoidance will be open to new and innovative products.

11. Example of Uncertainty Avoidance Apple regularly releases new software for its devices and while the changes in the software can be dramatic, they always keep to the familiar look and feel of the software similar to its previous generations. This allows consumers to feel familiar with new product and limits uncertainty, despite having not used this particular product in the past.

12. Long-Term Orientation Long-term orientation emphasizes future rewards over short term benefits (Babin & Harris 2014, p. 176). In societies with high Long- term orientation, consumers will be more prone to make purchases which they see as long term investments, rather than items which offer instant gratification but with no long term benefits.

13. Example of Long-Term Orientation Apple can be seen making appeals to long-term orientation by: - Offering warranties on their range of products (Wells 2013); - Offering additional repair and maintenance programs such as ‘Apple Care’ (Apple Inc. 2015); - Allowing consumers to transfer any data and information between old and new devices.

14. Conclusion: The Importance of Cultural Dimensions in Consumer Behaviour The implications of Cultural Dimensions on Consumer Behaviour: - National Culture has influence on consumers; - Organizations need to appeal to these culture’s in order to attract consumers;

15. Apple Inc. 2015, You’re More Powerful Than You Think, Apple Inc., viewed 13 January 2015,. Apple Inc. 2015, AppleCare Products, Apple Inc., viewed 13 January 2015,. Babin, BJ, & Harris, EG 2014, CB5, 5 th edn, South-Western, Mason, OH. Clearly Cultural 2015, Power Distance Index, Clearly Cultrual, viewed 13 January 2015,. Hofstede, GH, & Hofstede, GJ, & Minkov, M 2010, Cultures and Organizations: Software of the Mind, 3 rd edn, McGraw-Hill, New York, NY. The Hofstede Centre n.d., Dimensions, The Hofstede Centre, viewed 13 January 2015,. Lee, C 2013, Apple Launches New ‘Why iPhone’ Web Campaign, iDownloadBlog, viewed 12 January 2015,. Nudd, T 2011, Apple’s ‘Get a Mac,’ the complete campaign, Adfreak, viewed 13 January 2015. Wells, P 2013, Apple Australia Quietly Extends Warranty to 24 Months, MacTalk, viewed 13 January 2015,. Reference List