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ENVIRONMENTAL INFLUENCES ON

CONSUMER BEHAVIOR
UNIT II

BLACK BOX MODEL

FACTORS INFLUENCING
CONSUMER BEHAVIOUR

INFLUENCE OF CULTURE

Cross Cultural Influences


Culture is everything that is socially learned and
shared by members of a society.
Its consists of material and non-material
components like values, beliefs, customs etc.
Culture is the sum total of learned beliefs,
values and customs that serve to direct the
consumer behavior of members of a particular
society.

Characteristics of Culture

Culture is invented
Culture is learned
Culture is socially shared
Culture are similar but different
Culture is gratifying and persistent
Culture is adaptive
Culture is organized and integrated
Culture is prescriptive

Cultural Values
Beliefs that a general state of existence is
personally and socially worth striving for.
Measurement of Culture:
1.
2.
3.
4.
5.
6.

Observation
Content Analysis
Value Measurement Survey Instruments
Attitude Measurement Tests
Projective Tests
Depth Interview and Group Discussions

Traditional and Changing Indian


Values

Diversity in religions, culture & customs


Traditionalism and materialism
Orientation towards youthfulness
Significance of self-fulfillment
Mindset of scarcity has resulted in consumerism

Dimensions of Culture of Indian


Consumers

Family orientation
Savings
Festivities
Shopping as a ritual
Mythology
Foods

A Theoretical Model of Cultural


Influence on Behaviour

Importance For Marketers To


Understand The Cultural Impact On
Consumer Behaviour
Because culture satisfies needs
Because culture is learned
Because of acculturation (for those who
deals with foreign & MNC)
When using language & symbols
When facilitating rituals
Because culture is shared
Because culture is dynamic

SUB CULTURE

A distinct cultural group that exists as an


identifiable segment within a larger, more
complex society.

Types of Sub Culture

Age Sub Culture


Regional Sub Culture
Gender Sub Culture
Social Class

Important Sub Culture


Categories
National or Hispanic(people who originated from
other contries) Sub Cultures
Religious Sub Cultures
Geographic and Regional Sub Cultures
Racial Sub Cultures
Age Sub Cultures
Baby-boomers (early 20s to early 40s)
Elderly Sub Culture (65 & above)

Gender Sub Cultures (Roles and discrimination)

SOCIAL CLASS

Social Class
It is defined as the division of members of
society into a hierarchy of distinct status
classes, so that members of each class
have relatively the same status and all the
other classes have either more or less
status.

Social Class And Social Status


Social class is often measured in terms status i.e.
they define each social class by the amount of
status the members of that class have in
comparison with members of other social classes.
In social research (sometimes called social
stratification), status is frequently thought of as
the relative rankings of members of each social
class in terms of specific social factors.
Eg: wealth, power, prestige frequently used when
estimating social class

Characteristics Of Social Class

Social Classes are multidimensional


Social Classes are hierarchical
Social Classes restricts behavior
Social Classes are homogeneous (similar
activities, attitude, interests)
Social Classes are dynamic

Social Class Categories


Upper Class: Wealthy, aristocratic landed class
Lower Upper Class: Professionals like lawyers,
doctors, first generation entrepreneurs belong here.
Upper Middle Class: Moderately successful people
who have attained reasonable heights of their career.
Lower Middle Class: So called common man
comprises this class. Not very highly educated, nonmanagerial workers, etc.

SOCIAL GROUP

The reference group to which the consumer has


close relationship and proximity and which the
consumer uses reference and which effect the
buying behaviour of the consumer.
Types of reference groups:
Normative Reference Groups: Eg: Family, friends, etc.
Comparative reference Groups: Eg: Sportsman, Cine
stars, etc.

Reference Group Appeals

Celebrities
Expert
Common Man
Friends
Shopping Groups
Work Groups
Virtual Communities
Brand Communities
Consumer-Action groups
Executive and Employee Spokesperson

FAMILY

Family
It is defined as two or more persons
related by blood, marriage, or adoption
who reside together.

Types of Family
Married Couple
Nuclear family
Extended family

Family Specific Characteristics

Culture
Sub Culture
Social Class
Reference groups and Social interactions
Stages in life cycle
Mobility
Geographical location
Children
Marriages

Functions of the Family

Economic well being


Emotional Support
Suitable Family lifestyles
Socialization of family members

Family Roles
Key Family consumption roles:

Influencers: Provides information to other members


about a product or service.
Gatekeepers: Controls the flow of information about a
product or services into the family.
Deciders: Power to determine unilaterally or jointly
whether to shop or not.
Buyers: Family members who actually make
purchases of a product or services.

Prepares: Family members who transforms the product


into a form suitable for consumption by other family
members.
Users: Family members who use or consume a
particular product or services
Maintainers: Family members who service or repair the
product so that it will provide continued satisfaction.
Disposers: Family members who initiate or carry out
the disposal or discontinuation of a particular product
or services.

Family Life-Cycle Stages


Stage I: Brotherhood Young single adult living
apart from parents.
Stage II: Honeymooners Newly married couples.
Stage III: Parenthood - Married couples with at
least one child living home.
Stage IV: Post parenthood - An older married
couple with no children living at home.
Stage V: Dissolution One surviving spouse.

PERSONAL FACTOR

It deals with understanding why buyers do


what they do or dont do.
Factors influence the buying process of s
customer:
Age and Life cycle stage
Occupation and Income
Lifestyle
Personality

CROSS CULTURAL
CONSUMER BEHAVIOUR

It refers to marketing of products for the


consumers of two or more countries.
The efforts to determine to what extent the
consumers of two of more nations are similar or
different.

Types Of Cultural Values


Self-oriented Values
Other Oriented Values
Environment Oriented Values

Cross Cultural Influence on


Consumer Behaviour

Country-of-origin effects
Consumer Ethnocentrism
Targeting Consumer across Cultures
Global versus Local Brands

Problems in Cross Cultural


Marketing
Product problems
Promotional problems
Pricing and Distribution problems

THANK YOU

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