Since the introduction of the widely accepted cultural model by Hofstede (1980:475), which introduced the dimensions paradigm, there has been a vast amount of cultural research, some of which has been based on this paradigm.
However, what do we know about culture in the context of international business? The aim of this essay is to answer this question, with particular attention to Hofstede's cultural model.
The reason to focus on Hofstede's model comes from the recent GLOBE – Hofstede debate in the Journal of International Business, (Volume 37, Issue 6). The GLOBE researchers' claim of ‘Hofstedian hegemony'(Javidan et al.,2006:910) in the cross-cultural research field fits in perfectly with the aims of this essay, which can analyse whether in fact, this ‘hegemony' is justified due to the validity of the model, or if the model lacks relevance to international business.
The structure of the essay shall be as follows: Section 1.2 shall explore culture's effect on international marketing; section 1.3 will discuss choice between global and local marketing strategies. Section 1.4 shall conclude this, judging whether Hofstede's model should have such‘hegemony' in the cultural field.
[...] measured and ordered along a discrete set of dimensions ' (Hofstede,2006:883) Therefore, once we understand the significance of these dimensions, it is possible to engage the consumer in a fashion that is most likely to appeal to their culture according to the culture's dimensions values. Hofstede (1980) defines four cultural dimensions: Power Distance, Uncertainty Avoidance, Individualism-Collectivism, and Masculinity- Feminity. In 1991, Hofstede ‘added a fifth dimension: Long- versus Short- Term Orientation' (Hofstede,2006:883) Power Distance is ‘related to the problem of inequality' (Hofstede,2006:883), notably to the inequality in power between people. [...]
[...] An example of how this is interpreted in international marketing is a video game series developed by Konami named Evolution Soccer' in Europe. In the US and Japan, which are masculine countries, the game is marketed with the name ‘Winning Eleven'. The use of the word ‘winning' appeals to the competitive, success-seeking culture in Japan and the US. Furthermore to link this with collectivism, the word ‘Eleven' will have collectivist connotations and appeal to the Japanese even more because it refers to being part of a group in this case, a soccer team. [...]
[...] Overall, this section has shown that Hofstede's model can be adapted to show the connection between culture and international marketing The ‘Glocal' international marketing strategy problem This section concerns the way that companies face a choice in the balance of their market strategy: one choice is the global strategy, where the product brand and all marketing aspects are kept standardised. This lets the firm reduce costs, and helps it achieve economies of scale. On the other hand, there is the localised strategy, which is the customisation of the branding and marketing mix in order to satisfy local culture. [...]
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