Ch 10 Notes

Question 1

10-1 Microculture and Consumer Behavior

-Can be distinct from the larger group or overall culture

-Term subculture is often used to capture much of the same idea

-Group is smaller, but in no way less significant in terms of the potential influence on consumer behavior

-Similar to the group influence topic, microcultures are based on specific variables

Answer 1

Microculture

Question 2

10-1 Microculture and Consumer Behavior

-Explains the habits and idiosyncracies of all groups and consumers

-Each consumer belongs to many cultural groups – they move in an out of microcultures

-Culture is hierarchal: A consumer belongs to one large, overall culture and then to many microcultures existing and interlinking within the overall culture

Answer 2

Culture is Hierarchal

Question 3

Exhibit 10.1 The Hierarchical Nature of Culture and Microculture

**National Culture: Regional, Ethnic, Social

*Regional Culture: State, Neighborhood

State Culture: Urban

*Social Culture: University, Sex-Role, Age and Generational, Consumer

University Culture: Grade (Class), Greek

Consumer Culture: Brand, Virtual

Answer 3

Hierarchial Nature of Culture and Microculture

Question 4

10-2 Major United States Multiculture

-Lifestyles and culture vary as you travel around the U.S

-Nine Nations of North America

-Borderland region, not part of original nine, recieves significant attention

Answer 4

Regional Multiculture

Question 5

10-2 Major United States Multiculture

Nine Nations of North America

Answer 5

The Empty Quarter: West Canada

Ecotopia: Oregon

Breadbasket: Texas

MexAmerica: Mexico

Quebec: East Canada

New England: Maine

The Foundry: New York

The Islands: Cuba

-Priorities among consumers vary regionally

-Brand and food preferences, choice of favorite beverages, favorite sports, and even the names of things that vary by region

Question 6

10-2 Major United States Multiculture

-Microculture membership changes the value of things

Ex: Soccer fans
-Many American consumers find watching it dull, low-value activity

-Number one spectator sport in other parts of the world

-Cultural groups even arise within sports fans; extreme fans may become hooligans

Answer 6

Microcultural roles and values

Question 7

10-2 Major United States Multiculture

-In Western Culture, responsibilties such as child care and household cleaning are unevenly spread among cultures

-Marketers need to do research to identify sex roles or they run the risk of targeting the wrong family member with marketing communications

Answer 7

Sex Roles and Microculture

Question 8

10-2 Major United States Multiculture

-Marketing is directed towards either a male or female market segment

-Media are often distinguished easily based on the proportion of male and female customers

**Cognitive Structuring

-Men tend to be more heuristic and intuitive in their processing

-Women tend to process information in a more piecemal fashion

Answer 8

Male and Female Segments

Question 9

10-2 Major United States Multiculture

Teens around the world might find value in many of the same types of music and clothing, but the cultural values of their home nation remain relatively distinct from nation to nation, concerning personal products

Answer 9

World Teen Culture

Question 10

10-2 Major United States Multiculture

Refers to American consumers who were young adults during World War II, born prior to 1928

Lives and values shaped by World War II and post war experiences

Thriftier and price concious

Answer 10

Greatest Generation

Question 11

10-2 Major United States Multiculture

Born between 1928 and 1945

Major Events: Great Depression and World War II

Frugal and follow largely utilitarian motivations

Answer 11

Silent Generation

Question 12

10-2 Major United States Multiculture

Born between 1946 and 1964

Many came of age during the very turbulent 1960s

Have a huge amount of spending power relative to other generations

Answer 12

Baby Boomers

Question 13

10-2 Major United States Multiculture

Born between 1965 and 1980

Long thought to be a group that was marked by alienation and cynicism

Focus strongly on the family and traditional family values

Answer 13

Gen X

Question 14

10-2 Major United States Multiculture

Born between 1981and 1995; represent the largest corhort in the U.S

Tend to embrace technology, use as a means to build community and relationships

Tend to be realtively impulsive and optimistic

Answer 14

Millenials

Question 15

10-2 Major United States Multiculture

Born between 1995 and 2010

Will be the most educated, diverse, and mobile group to date

Will be first truly global generation due to racial and cultural diversity, increased population mobility and migration, and comfort with mobile technologies

Answer 15

Gen Z

Question 16

10-2 Major United States Multiculture

Represents one of the key institutions that shapes consumer culture, and it provides a basis for microcultures within national or regional cultures

Affects all manner of everyday life, including material acquisitions, consumption of food and alchoholic beverages, and types of clothing worn

Various religions have rules and customs about public displays of the body

Answer 16

Religious Microculture

Question 17

10-2 Major United States Multiculture

Melting pot analogy tries to make the point that America is a land filled with people from a wide range of ethnic backgrounds who all blend together in a single American culture

Consumption in the U.S remains tied to ethnicity to varying extents

Answer 17

Ethnic Microculture

Question 18

Exhibit 10.6 Major Ethnic Groups in the United States

Major Ethnic Groups in the U.S

Answer 18

1. White
2. Hispanic
3. Black
4. Asian
5. Mixed
6. Other

Question 19

10-2 Major United States Microcultures

Largest ethnic group (aside from whites); about 1 in 5 people in the United States

The group is not homogeneous; Hispanic consumers vary from one another based on personal preferences, degree of acculturation, ancestral country, and other demographic characteristics

Bicultural consumers begin to express lower ethnocentrism than their counterparts in the native country and thus are more open to products from their new country.

Hispanic market is the fastest growing market segment in the United States.

Answer 19

Hispanic Culture

Question 20

10-2 Major United States Microcultures

Represents about 13% of the total U.S. market

Factors such as social class may have more influence in a situation than ethnicity.

One of the most important trends among African-American consumers is their growing affluence.

Answer 20

African-American Culture

Question 21

10-2 Major United States Microcultures

Represents just over 5% of the U.S. population

The Asian‑American culture is highly educated and highly affluent.

Asian Americans are concentrated in large numbers in a few areas.

Answer 21

Asian Culture

Question 22

10-2 Major United States Microcultures

Social class tends to be a better predictor of purchases that involve value and lifestyles, as well as symbolic and highly visible products.

Income tends to be a better predictor of what consumers buy than of their social class.

Answer 22

Income and Social Class Microculture

Question 23

10-2 Major United States Microcultures

Six Major Social Classes in U.S

Answer 23

1. Upper-Class
2. Lower Upper Class
3. Upper Middle Class
4. Lower Middle Class
5. Upper Lower Class
6. Lower Lower Class

Question 24

10-2 Major United States Microcultures

Some consumers strive to move up the social ladder; some do not.

Some consumers are born into a social class (ascribed status), whereas others work their way into a class (achieved status).

Class strongly influences lifestyles, opinions, attitudes, and behaviors.

Answer 24

Social Class in U.S

Question 25

# 10-2 Major United States Microcultures Disparity exists between the upper and lower classes found in the United States, but social stratification is not so large in the United States as in other parts of the world.

Answer 25

Social Stratification

Question 26

# 10-2 Major United States Microcultures China exhibits a wide range of social stratification. Japan has witnessed a gradual widening of the gap between have and have nots and a generally shrinking middle class. India has a growing middle class, estimated at over 500 million.

Answer 26

Social Class Worldwide

Question 27

# 10-2 Major United States Microcultures Microcultures can grow around any number of phenomena (sports, music, gaming). The hip-hop microculture is one such group. The “Gothic” (or “goth”) microculture represents another prevalent microculture in the United States. The “emo” subculture has been considered an emotional evolution of hardcore punk rock, alternative, or underground music. The more easily microcultures can be reached, the better marketers can connect with them through value-added communications and products.

Answer 27

Street Microculture

Question 28

# 10-3 Microculture Is Not Uniquely American Diversity has always been a reality, but with continued immigration of people across borders, many countries in Europe and elsewhere are developing more microcultures.

Answer 28

Microcultures Around the World

Question 29

# 10-3 Microculture Is Not Uniquely American Many street microcultures, including music, sports, and fashion, exist around the world. Social media facilitates the spread of street culture from one region to another leading to opportunity for all manner of marketers.

Answer 29

Street Microcultures Worldwide

Question 30

# 10-4 Demographic Analysis Demographics is an important concept for marketers and consumer researchers alike. Demographic variables are closely related to microculture. Demographic information becomes even more valuable when it is combined with geodemographic information because members of microcultures often live in close proximity to one another. Demographic analyses provide the basis of a demographic segmentation strategy.

Answer 30

Demographic Analysis

Question 31

# 10-4 Demographic Analysis The United States Census Bureau’s website (www.census.gov) is an important source for performing a demographic analysis. **Data include: -A real-time estimate of the country’s population -Details about people and households -Actual counts from the most recent census -Statistics on a region of interest **Internationally, the CIA World Factbook provides a good source of data for analyzing market segments.

Answer 31

United States Census Data

Question 32

# 10-5 Major Cultural and Demographic Trends Four notable trends that are relevant to consumer researchers and managers

Answer 32

1.Declining birthrates 2.Increasing consumer affluence 3.Increasing life expectancy 4.Increasing cultural diversity worldwide

Question 33

# 10-5 Major Cultural and Demographic Trends Two of the biggest trends in Western countries include increasing life expectancies and declining birthrates. In many European countries, the birthrate has dropped to less than two per woman; a birthrate of 2.1 per female is considered the amount necessary to sustain a population.

Answer 33

Declining Birthrates

Question 34

# 10-5 Major Cultural and Demographic Trends Over one billion consumers worldwide live in severe poverty. Success can be found in the marketplace for products that provide these consumers economical ways to address basic needs for sustenance, safety, and esteem. Agricultural products offer entrepreneurial opportunities.

Answer 34

Success at the Bottom

Question 35

# 10-5 Major Cultural and Demographic Trends Life expectancy is increasing in many, but not all, countries. If we consider life expectancy as a proxy for standard of living, we can see that as the birthrate declines, the standard of living increases. The countries with the highest birthrates in the world are among the poorest. In developed countries, more wealth is spread over fewer consumers. The baby boomer segment is expected to affect business practices for many years to come as boomers tend to have relatively high incomes and spending power.

Answer 35

Increasing Life Expectancy and The Aging Consumer

Question 36

# 10-5 Major Cultural and Demographic Trends The combination of working couples and lower birthrates has led to greater levels of consumer affluence. Many consumer segments have become targets for products once considered to be luxuries. Consumers have generally become less price-sensitive in many categories. The rise of the middle class in both China and India is evidence of growing consumer affluence worldwide.

Answer 36

Increasing Consumer Influence

Question 37

# 10-5 Major Cultural and Demographic Trends Cultures become more diverse through immigration and the growth of microcultures. There are numerous trends: In European countries, Islam is rapidly growing in popularity. In the United States, ethnic microcultures continue to become increasingly diverse due to both legal and illegal immigration. The United Kingdom is experiencing a general increase in immigration, with many immigrants arriving from the European Union. The continued expansion of the world teen culture market is expected as many Western brands continue to succeed with foreign expansion.

Answer 37

Increasing Cultural Diversity