1

Contents
Introduction................................................................................................................ 3
Objectives of the study........................................................................................... 4
Limitations of the study........................................................................................... 4
Cross cultural marketing under 4ps.........................................................................4
Objectives of cross cultural marketing....................................................................7
Value of Multicultural Marketing..............................................................................7
Advantages and Disadvantages of Multi Cultural Environment...............................7
Consumer Attitude..................................................................................................... 9
Components of Attitudes....................................................................................... 10
Attitude Formation.................................................................................................... 11
Attitude Formation Definition................................................................................11
Emotional Foundations of Attitudes....................................................................11
Behavioral Foundations of Attitudes......................................................................13
Cognitive Foundations of Attitudes........................................................................14
Attitude Change....................................................................................................... 15
Attitude change strategies.................................................................................... 15

2
 Introduction

Multicultural marketing (also known as ethnic marketing or cross-cultural marketing) is the

practice of marketing to one or more audiences of a specific ethnicitytypically an ethnicity
outside of a country's majority culture, which is sometimes called the "general market."
Typically, multicultural marketing takes advantage of the ethnic group's different cultural
referentssuch as language, traditions, celebrations, religion and any other conceptsto
communicate to and persuade that audience.
Multicultural marketing acknowledges differences in perception, motives and beliefs among
consumers with different cultural backgrounds, utilises cultural norms of several cultures to
maximise exposure of the businesses product or services by demonstrating interest and
appreciation of different cultures For a multicultural marketing strategy to succeed, cultural
differences must be identified, understood, and respected. Businesses must communicate on
different "wavelengths" and adapt to different markets around the world (Wilkinson & Cheng,
1999).
International marketing generally works with national level data . International marketer analyses
nations with respect to GNI/capita, education levels, available mass media, social media used,
retail infrastructure and product category data, all at the national level. Applying cultural values
at the same national level is useful for understanding differences in consumer product ownership,
brand preferences and motives. This cannot be established by differences in income or other
demographic characteristics, but may be explained by cultural differences
Cultural value data tends to be assessed using either primary or secondary data. Primary data is
derived directly from assessing values through surveys or experiments. Secondary data includes
scores of proportions of national culture. For individual-level studies data is collected and
analysed at the individual level and tied to the individual level outcome. For measuring culture at
the national level, individual data are combined by country and linked to the country-level
outcome or pre-existing country-level measures.
Multicultural marketing (aka, ethnic marketing or cross-cultural marketing) applies unique
marketing techniques to access the ethnic market. "Ethnic market" refers to cultures other than
the majority culture in a company's home area. Multicultural marketing strategies involve
recognising a culture's traditions, beliefs, values, norms, language, and religionand applying
those aspects to market to that cultures needs.

3
Objectives of the study

Our study had two main objectives:-

To know about the attitude formation and its components affecting consumer behavior.
To study about cross cultural differences and cross cultural marketing strategies to
overcome them.

Limitations of the study

Time constraints:- Because of less amount time for the study of the topic we could not
cover a big number of sample size.
Generalize:- As our research has been conducted only on one supermarket the result of
the study cannot be generalized.

Cross cultural marketing under 4ps

To what extent culture of a particular market place has influenced the marketing practices of
business corporate can be understood by analyzing each element of the marketing mix (4 Ps i.e.
product, price, promotion and place).

1992: Paneer on a pizza!

1997: Paneer on a pizza?

2002: Paneer on a pizza.

Same statement, same concept but the noticeable thing is the change in the attitude. It started
from absolute disbelief to why not to calm acceptance. It shows how foreign based
multinational companies have changed their product according to the taste of the indigenous of a
country

(1) Product

Maggi in India

Noodles were alright for dinner once in a while and it is accepted in other countries as well but it
was unsuccessful in India. Since Indians consider idly, dosa, chappathi, etc as their dinner menu.
Then Maggi wanted another marketing strategy to sell its product and it marketed Maggi as a
snack not as a dinner and succeeded in the market. This also reveals how culturally bounded

4
practices impact the marketing strategies. They also went along with curry flavour, tomato
flavour, etc in India.

Swarovski in India

Swarovski is a Czech Republic based crystal venture incorporated in 1895. Swarovski India (Pvt)
Ltd faced a difficulty in marketing crystals in India primarily. In the European and Western
countries crystal is considered as a valuable gift item and initially they marketed their crystal as
in the same manner in India but they struggled to capture the market due to the existing cultural
aspects. Indians had a sentiment about gold and silver as ideal gifts for a bride or a bridegroom
and they are culturally taught that gold and silver are the ideal gift for every occasion.

Swarovski there after realized the need for Indianization and came up with an alternative
product. They introduced crystal studded sarees firstly and now they are offering a collection of
sarees, blouses, odhnis, and salwar kameezes studded with crystals.

(2) Price

KFC and McDonalds in Sri Lanka

MNCs like KFC and McDonals are giving their primary concern to the price they charge from
Sri Lankans since people in Sri Lanka are more conscious about the prices of product than the
quality. Even the displays they use to show their products, specifically display the price of each
product. This proves that these MNCs are amending their marketing strategies regarding price to
suit Sri Lankan market.

(3) Promotion

Marketing cross culturally consist advertisements as it foremost part, which directly appeal the
target market. Promotions in the sense it mainly includes advertisements and the cultural issues
relating to those advertisements should be precisely dealt in order to capture the market through
a healthy relationship with the target market.

For this purpose most of the MNCs utilize the technique called Advertising Localization. It is
not a mere change of designation stemming from computer science vocabulary but a radical
change of perspective concerning the real nature and modes of linguistic and cultural transfer
from one language into an other.

Coke Advertisements in India

Coca cola uses different celebrities in each region of India to communicate more effectively with
the target market by considering their cultural variabilities. They use Aamir Khan in North India,
Vijay in Tamil Nadu, Jyothika in Andhra Pradesh and Aishwarya Rai in rest of India endorsing
the same Coca-Cola. This shows the perspective of marketers that the people will feel more
comfortable when they see a person from their own cultural background in advertisements and

5
feel positive toward their products. In Sri Lankan context Santhosh and Bathiya endorse Coke
and the concept of the advertisement is carefully designed to reflect the local culture in each
frame.

Toyota Advertisements

Toyota used a pregnant, naked woman in their advertisements and this was accepted by some
countries and where as some countries protested against it and Toyota later withdrew the
advertisement. This shows how the cultural believes of people influence the marketing practices
of business organizations.

(4) Place

Dilmah Distribution in The Global Market

Dilmah uses several methods of distribution in several countries. It operates in 93 global markets
and it has its own distribution mode through its regional channels in certain countries and where
as in other several countries it uses a native prominent goods distributor for their tea. In countries
like Australia, USA, and European countries it uses its own distribution channels where the
customers believe in manufacturer own brand and distribution. In certain countries like Jordan,
UAE, etc. it uses a native goods distributor to distribute their tea since these customers buy the
products which comes from their own distributors.

6
Objectives of cross cultural marketing

The marketer should determine his international marketing objectives while entering the cross
cultural marketing. Various options are available to an international marketer. The firm can act as
a domestic exporter, or a foreign importer. It may also solicit another firm to sell abroad.Better
opportunities available in the foreign market and the over capacity of the firm operating only in
the domestic market motivate the firm to go abroad. The firm will work out the following
objectives:

1. To determine how consumers in two or more societies are similar and devise suitable strategy.

2..To formulate marketing strategy if cultural beliefs, values and customs of a specific country
are different.

Value of Multicultural Marketing

There are three main values of Multicultural Marketing (Rayo & Artieda, 2011). First of all is
innovation thanks for this type of marketing, the marketers and the companies have to be
always creative to find new solution, develop new products and marketing strategies. The second
value of multicultural marketing is growth which is the increasing in sales and market place for
the companys brand. Finally, the collaboration can be consider as the second value of cross-
cultural marketing, which can bring people together and promote the brand and company.

Advantages and Disadvantages of Multi Cultural Environment

The advantages of working within a multicultural environment are:-

Language-People can work within a multicultural environment because most of them have
overseas studying experience. Under the conditions of a multicultural environment, employees
can be influenced by surrounding people. There are no barriers on working if those people who
work within a multicultural environment have good communication with other people.

Cultural Awareness-Since different countries have different measures of education, cultural

background, experience and other qualifications, people can develop a variety of viewpoints to
solve problems. People learn different cultures will know the habits of colleagues so that they
can avoid conflicts when they have cultural problems.

Service Coverage-Nowadays, there are no barriers of people travelling and immigrating to other
countries which stimulate the demand. No doubt it is because of that, that many companies
employ foreign people to work, especially for shopping malls. In order to satisfy the different
demand of variety people and maximise profits, they usually hire local people and those people
who come from different countries for the position of sales.

7
Productivity-There is a multicultural environment of many agencies which related to overseas
study and immigration in New Zealand. They come from different countries to satisfy those
people who need help to study or immigrate. Those people are working within a multicultural
environment is convenient to people work together and easily communicate to others. In fact,
people who come from different cultures and religions can increase productivity and it may bring
economic benefits to the business.

The disadvantages of working within a multicultural environment are:-

Racial Discrimination-There are many problems will be exposed when people who work within
a multicultural environment, it may be generated employees have negative emotion. People
prefer to work with a similar cultural background. Therefore, this is why there are fewer foreign
people in management level positions. Having different cultures may also cause racial
discrimination so that foreign people find it difficult to join with the native people.

Economic Disaster-It is difficult to bring benefit to companies if people cannot fit in and
unhappy to work within a multicultural environment. As everyone knows, the purpose of a
company is to maximise profit. A happy worker is a productive worker so that brings work
efficiency and makes more profit for the company. At the same time, companies cannot waste
money on those people who cannot benefit the company.

Unproductive employees-Foreign people are coming to other countries suffer from the major
barrier of language. Having a good communication is good for work and makes a good
relationship with native people so that can easily to join with them as soon as possible.

A poor unqualified-Diversity hiring could result in the employment of high qualified people as
staff and they could benefit the company with their knowledge and skills. People who work at
the same standard or level should have enough ability and do their best at work so that they
maximise profits for the company.

8
 Consumer Attitude
A consumer attitude is a composite of three elements: cognitive information, affective
information, and information concerning a consumer's past behavior and future intentions. In
other words, attitude consists of thoughts or beliefs, feelings, and behaviors or intentions towards
a particular thing, which in this case is usually a good or service. For example, you may have a
very positive view of a particular sports car (for example, you believe it performs better than
most), it makes you feel good, and you intend to buy it.

These components are viewed together since they are highly interdependent and together
represent forces that influence how the consumer will react to the object.

Beliefs: The first component is beliefs. A consumer may hold both positive beliefs toward an
object (e.g., coffee tastes good) as well as negative beliefs (e.g., coffee is easily spilled and stains
papers).

Feeling: Consumers also hold certain feelings toward brands or other objects.Sometimes these
feelings are based on the beliefs (e.g., a person feels nauseated when thinking about a hamburger
because of the tremendous amount of fat it contains), but there may also be feelings which are
relatively independent of beliefs. For example, an extreme environmentalist may believe that
cutting down trees is morally wrong, but may have positive affect toward Christmas trees
because he or she unconsciously associates these trees with the experience that he or she had at
Christmas as a child.

Behavioral Intention: The behavioral intention is what the consumer plans to do with respect to
the object (e.g., buy or not buy the brand). As with affect, this is sometimes a logical
consequence of beliefs but may sometimes reflect other circumstances e.g., although a consumer

9
does not really like a restaurant, he or she will go there because it is a hangout for his or her
friends.

Components of Attitudes

Cognitive

The cognitive component is that part of the attitude that controls how the person understands and
thinks consciously about things. This represents our thoughts, beliefs and ideas about something.
Typically these come to light in generalities or stereotypes, such as 'all teenagers are lazy,' or 'all
babies are cute.'

Affective

This component is emotional or feeling segment of an attitude. So, it deals with feelings or
emotions that are brought to the surface about something, such as fear or hate. Using above
example, someone might have the attitude that they hate teenagers because they are lazy or that
they love all babies because they are cute.

Conative

This component focuses on behavior and centers on individual acting a certain way towards
something. In other words, it shows the intention of an individual to behave in certain way
towards an object, people or events. This can also be called the behavioral component and
centers on individuals acting a certain way towards something, such as 'we better keep those lazy
teenagers out of the library,' or 'Icannot wait to kiss that baby.

Each one of these components is very different from the other, and they can build upon one
another to form our attitudes and, therefore, affect how we relate to the world. For example, we
can believe teenagers are lazy (cognitive), we do not have to hate the teenagers for being lazy
(affective), but we could still try to keep them out of the library because of that fact (conative).
Or, we could indeed believe they are all lazy (cognitive), hate them for it (affective) and that
would drive our behavior towards them (conative).

10
 Attitude Formation
Attitude Formation Definition

An attitude is a general and lasting positive or negative opinion or feeling about some person,
object, or issue. Attitude formation occurs through either direct experience or the persuasion of
others or the media. Attitudes have three foundations: affect or emotion, behavior, and
cognitions. In addition, evidence suggests that attitudes may develop out of psychological needs
(motivational foundations), social interactions (social foundations), and genetics (biological
foundations), although this last notion is new and controversial.

Emotional Foundations of Attitudes

A key part of an attitude is the affect or emotion associated with the attitude. At a very basic
level, we know whether we like or dislike something or find an idea pleasant or unpleasant. For
instance, we may say that we know something in our heart or have a gut feeling. In such
cases our attitudes have been formed though our emotions rather than through logic or thinking.
This can happen through (a) sensory reactions, (b) values, (c) operant/instrumental conditioning,
(d) classical conditioning, (e) semantic generalization, (f) evaluative conditioning, or (g) mere
exposure.

Sensory Reactions
Any direct experience with an object though seeing, hearing, smelling, tasting, or touching will
lead to an immediate evaluative reaction. We are experts at knowing whether we find a certain
sensory experience pleas-ant or unpleasant. For example, immediately upon tasting a new type of
candy bar, you know whether you like it or not. This also applies to aesthetic experiences, such
as admiring the color or composition of an artwork. We form attitudes about objects immediately
upon experiencing them.

Values

Some attitudes come from our larger belief system. We may come to hold certain attitudes
because they validate our basic values. Many attitudes come from religious or moral beliefs. For
example, for many people their attitudes about abortion, birth control, same-sex marriage, and
the death penalty follow from their moral or religious beliefs and are highly emotional issues for
them.

11
 Operant Conditioning

Operant or instrumental conditioning is when an attitude forms because it has been reinforced
through reward or a pleasant experience or discouraged through punishment or an unpleasant
experience. For example, a parent might praise a teenager for helping out at an after-school
program with little kids. As a result, the teen may develop a positive attitude toward volunteer
work. Similarly, many people find that broccoli has a terrible taste, and so they dislike broccoli
because of its punishing flavor.

Classical Conditioning

Classical or Pavlovian conditioning happens when a new stimulus comes to elicit an emotional
reaction because of its association with a stimulus that already elicits the emotional response.
The Russian physiologist Ivan Pavlov took dogs, which naturally salivate to meat powder, and
trained them to salivate at the sound of a bell by continually ringing the bell as the meat powder
was presented. In humans, some of our attitudes have become conditioned in much the same
way. For example, some people have a negative attitude towards dirty words. Just the thought
of a taboo word will cause some people to blush. The words themselves have come to elicit an
emotional reaction because their use is frowned upon in our culture in most contexts.

Semantic Generalization

Not only can we become conditioned to a specific stimulus, but this initial conditioning can
generalize or spread to similar stimuli. For example, a bell higher or lower in pitch to the original
conditioned sound may elicit the same reaction. In humans, the initial conditioning can spread
even to words or concepts similar to the original stimulus. As a result, we can form attitudes
about an object or idea without having direct contact with it. When this kind of generalization
occurs, the process is called semantic generalization. For example, human subjects who have
been conditioned to the sound of a bell may also show a response to the sight of a bell or by the
spoken word bell. Semantic generalization can account for the formation of attitudes, like
prejudice, where people have formed an attitude without having direct contact with the object of
that attitude.

Evaluative Conditioning

An object need not directly cause us to feel pleasant or unpleasant for us to form an attitude.
Evaluative conditioning occurs when we form attitudes toward an object or person because our
exposure to them coincided with a positive or negative emotion. For example, a couple may
come to feel positive toward a particular song that was playing on the radio during their first
date. Their positive attitude to the song is a result of its association with the happy experience of
a date.

12
 Mere Exposure

Finally, when we see the same object or person over and over, we will generally form a positive
attitude toward that object or person. This is true for an object or person we feel neutral or
positive about, so long as we are not overexposed to it. For example, many popular styles of
clothing seem bizarre at first, but then as we see more of them we may come to accept and even
like them.

Behavioral Foundations of Attitudes

Sometimes we form attitudes from our actions. This can happen if we do something before we
have an attitude (e.g., going to an art opening of an unknown artist), when we are unsure of our
attitudes (e.g., going with a friend to a political rally), or when we are not thinking about what
we are doing (mindlessly singing along with a random station on the radio). That is, there are
times when just going through the motions can cause us to form an attitude consistent with those
actions. In the previous examples, people may come to hate the new artist, support free trade, or
like classical music because their actions have led them to engage in these behaviors, which then
led to the formation of an attitude. There are at least four lines of evidence that account for how
attitudes may form out of actions.

First, self-perception theory suggests that we look to our behavior and figure out our attitude
based on what we have done or are doing. Second, cognitive dissonance theory suggests that we
strive for consistency between our attitudes and our actions and when the two do not match, we
may form a new attitude to coincide with our past actions.

Third, research evidence using the facial feedback hypothesis finds that holding our facial
muscles in the pose of an emotion will cause us to experience that emotion, which may then
color our opinions. For example, participants who viewed cartoons that were not particularly
funny while holding a pen across their teetha pose which activates the same muscles involved
in smilingrated the cartoons funnier than subjects who posed with a pen in their mouths, which
activated the same muscles involved in frowning. As a result, people may develop positive or
negative attitudes toward neutral objects after moving their facial muscles into smiles or frowns,
respectively.

Finally, role-playing, such as improvising persuasive arguments, giving personal testimony,

taking on another persons perspective, or even play-acting, are all additional ways that people
may come to form attitudes based on their behaviors. For example, in an early study, women
who were heavy smokers participated in an elaborately staged play where they played the role of
a woman dying of lung cancer. Two weeks later, these women smoked less and held less positive
attitudes toward smoking than women who had not been through this role-play procedure.

13
Cognitive Foundations of Attitudes

The cognitive foundation of attitudes, what might be called beliefs, comes from direct experience
with the world or through thinking about the world. Thinking about the world includes any kind
of active information processing, such as deliberating, wondering, imagining, and reflecting, as
well as through activities such as reading, writing, listening, and talking.

If you believe that insects are dirty and disgusting, then you will probably have the attitude that
insects are not food. However, if you read that locusts and other insects are happily eaten in some
cultures, then you may come to believe that locusts may not be so bad. Your attitude here comes
from thinking about the new facts you read.

Additionally, if the National Centers for Disease Control and Prevention (CDC) says that
exposure to ultraviolet light is the most important environmental factor involved in the formation
of skin cancers, and you believe that the CDC is a trustworthy expert, then you might logically
reason that excessive sun exposure is not a healthy thing. Here your attitude comes from
logically reasoning about the world.

Suppose you didnt know how you felt about a topic until you were forced to write an essay for a
writing class. This also would be an example of attitude formation through cognition, in this
case, organizing your thoughts in preparation to write a coherent essay.

14
 Attitude Change
Attitudes are associated beliefs and behaviors towards some object. They are not stable, and
because of the communication and behavior of other people, are subject to change by social
influences, as well as by the individual's motivation to maintain cognitive consistency when
cognitive dissonance occurswhen two attitudes or attitude and behavior conflict. Attitudes and
attitude objects are functions of affective and cognitive components. It has been suggested that
the inter-structural composition of an associative network can be altered by the activation of a
single node. Thus, by activating an affective or emotional node, attitude change may be possible,
though affective and cognitive components tend to be intertwined.

It is therefore, any alteration in the strength or content of an attitude. This may result from active
attempts by others to change the attitude or by processes initiated within the person holding the
attitude.

Attitude change strategies

Changing attitudes is generally very difficult, particularly when consumers suspect that the
marketer has a self-serving agenda in bringing about this change (e.g., to get the consumer to buy
more or to switch brands).

Changing affect : One approach is to try to change affect, which may or may not involve getting
consumers to change their beliefs. One strategy uses the approach of classical conditioning try to
pair the product with a liked stimulus. For example, we pair a car with a beautiful woman.
Alternatively, we can try to get people to like the advertisement and hope that this liking will
spill over into the purchase of a product. For example, the Pillsbury Doughboy does not really
emphasize the conveyance of much information to the consumer; instead, it attempts to create a
warm, fuzzy image. Although Energizer Bunny ads try to get people to believe that their
batteries last longer, the main emphasis is on the likeable bunny. Finally, products which are
better known, through the mere exposure effect, tend to be better liked--that is, the more a
product is advertised and seen in stores, the more it will generally be liked, even if consumers to
do not develop any specific beliefs about the product.

Changing behavior: People like to believe that their behavior is rational; thus, once they use
our products, chances are that they will continue unless someone is able to get them to switch.
One way to get people to switch to our brand is to use temporary price discounts and coupons;
however, when consumers buy a product on deal, they may justify the purchase based on that
deal (i.e., the low price) and may then switch to other brands on deal later. A better way to get
people to switch to our brand is to at least temporarily obtain better shelf space so that the
product is more convenient. Consumers are less likely to use this availability as a rationale for
their purchase and may continue to buy the product even when the product is less conveniently
located. (Notice, by the way, that this represents a case of shaping).

15
Changing beliefs: Although attempting to change beliefs is the obvious way to attempt attitude
change, particularly when consumers hold unfavorable or inaccurate ones, this is often difficult
to achieve because consumers tend to resist. Several approaches to belief change exist:

Change currently held beliefs: It is generally very difficult to attempt to change beliefs that
people hold, particularly those that are strongly held, even if they are inaccurate. For example,
the petroleum industry advertised for a long time that its profits were lower than were commonly
believed, and provided extensive factual evidence in its advertising to support this reality.
Consumers were suspicious and rejected this information, however.

Change the importance of beliefs: Although the sugar manufacturers would undoubtedly like
to decrease the importance of healthy teeth, it is usually not feasible to make beliefs less
important--consumers are likely to reason, why, then, would you bother bringing them up in the
first place? However, it may be possible to strengthen beliefs that favor us--e.g., a vitamin
supplement manufacturer may advertise that it is extremely important for women to replace iron
lost through menstruation. Most consumers already agree with this, but the belief can be made
stronger.

Add beliefs: Consumers are less likely to resist the addition of beliefs so long as they do not
conflict with existing beliefs. Thus, the beef industry has added beliefs that beef (1) is
convenient and (2) can be used to make a number of creative dishes. Vitamin manufacturers
attempt to add the belief that stress causes vitamin depletion, which sounds quite plausible to
most people.

Change ideal: It usually difficult, and very risky, to attempt to change ideals, and only few firms
succeed. For example, Hard Candy may have attempted to change the ideal away from
traditional beauty toward more unique self expression.

16