Professional Documents
Culture Documents
INTRODUCTION
Past research conducted on cultural issues has shown that culture can
have a strong influence on consumers’ values, perceptions, and actions
(Trompenaars, 1994; Chow, Deng and Ho, 2000). For marketers, es-
pecially those who operate in international markets, such influences
can have significant business implications. Cultural values typically can
affect marketing decisions on product development, pricing, distribu-
tion, and communications.
The topic of loyalty was first published through the works of Copeland
in 1923 (c.f. Jacoby and Chestnut, 1978). Subsequently, there were nu-
merous definitions of the construct along with many different measure-
ment methods employed. Many of these definitions were operational in
nature and hence, very few researchers explored the theoretical mean-
ing of the loyalty construct. Jacoby and Chestnut (1978) cited 53 defini-
tions in their review. In the last two decades, other researchers have
attempted to improve and conceptualize the meaning of loyalty.
The lack of a clear definition did not hamper the progress of loy-
alty measurement techniques. Researchers began by focusing on behav-
ioral measures (e.g., Ehrenberg, 1959; Bass, 1974; Uncles, Ehrenberg
and Hammond, 1995; Bhattacharya, 1997; East, 1997; Morrison and
Schmittlein, 2001). These measures of consumer loyalty included con-
sumer purchase sequence, frequency of purchase, proportion of purchase,
and probability of purchase (Jacoby and Chestnut, 1978). In many of
the behavioral studies, the researchers examined consumers’ repeat pur-
chases under various product consumption contexts. Ehrenberg (1959)
was among the first to examine regular patterns of consumer purchases,
assuming a stochastic process, based on behavioral measures. Ehrenberg
and Goodhardt (1970) extended the stochastic preference models into
multi-brand buying. Bass (1974) agreed that brand choice could be sub-
stantially stochastic and presented a general theory of stochastic prefer-
ence. He concluded that deterministic prediction (i.e., through cognition)
of individual behavior would achieve limited success.
Desmond Lam 9
viewed it as the tendency to stick with the same response over time. In
fact, few researchers have specifically investigated the impact of cul-
tural values on individuals’ general proneness to brand loyalty. Those
who did so typically examined brand loyalty as part of their overall
studies and/or did not investigate specific cultural values or dimensions
that would affect their subjects’ general brand loyalty proneness (e.g.,
Kanwar and Pagiavlas, 1992; Hui et al., 1993). As such, this study was
undertaken to explore this gap in our understanding. The next section dis-
cusses the construct of culture and formulates the research hypotheses.
REVIEW ON CULTURE
AND THE RESEARCH HYPOTHESES
H4: Individuals who scored high in power distance will be less prone
to brand loyalty than those who scored low.
loading less than 0.4 were discarded. For further analysis of the factor
structure, the data were subjected to confirmatory factor analysis (CFA)
with AMOS 5.0. The standardized regression weights and coefficient
alphas for each construct are reported in Table 1. The final Cronbach’s
alphas were between 0.555 and 0.778. According to Nunnally (1967),
reliabilities in the range of 0.5 to 0.6 are satisfactory in the early stages
of research. Hence, the obtained coefficients were deemed sufficient
given the exploratory nature of this study.
As a preliminary analysis to understand the relationship of the cultural
dimensions to each other, these were correlated. Table 2 shows the correla-
tions between each dimension found in this study. Uncertainty avoidance
was found to be negatively correlated to individualism, masculinity, and
power distance. In addition, power distance was positively correlated to
masculinity.
RESULTS
*p ⬍ 0.05.
female (t = ⫺1.422, df = 223, p > 0.10) was found. The results showed
that the predictive ability of the cultural dimensions on proneness to
brand loyalty could not be explained by these independent variables.
This study also found that people who scored high in uncertainty
avoidance had greater proneness to brand loyalty. This finding provided
firm support for H2. High uncertainty avoidance means less risk-taking
appetite and, consequently, less willingness to switch brands that are
previously adopted. People who scored high in this dimension avoid un-
certainty by staying with brands they are comfortable with.
People with high masculinity tend to assert more control over their
own decision-making processes. They may be less influenced by mar-
keting mixes, social and group norms. As such, they buy what they like
and stick to brands they like. Hence, one would expect these people to
show more proneness to brand loyalty. While a positive relationship be-
tween masculinity and one’s proneness to brand loyalty was found in
this study, it was not statistically significant. Hence, H3 cannot be sup-
ported in this study.
Individuals with low power distance focus on purchasing brands they
like and are less influenced by high power group. As such, they are more
likely to stick to brands they have earlier adopted. On the other hand,
those with high power distance are more likely to switch their brands
constantly to suit their power groups. Although this study found the re-
lationship between power distance and proneness to brand loyalty in the
same direction as hypothesized, it too was not statistically significant.
Hence, H4 cannot be supported in this study.
Few studies have evaluated the significance of cultural influence on
proneness to brand loyalty. The results from this research would en-
hance existing marketing knowledge and the current literature on brand
loyalty studies. It has important implications for companies selling not
just across national cultures but also within any geographical bound-
aries. Soliciting brand loyalty has never been more challenging for
these companies. Coupled with increasing global economic uncertainty
and intense competition in the global marketplace, companies have to
improve their business models to not only attract and satisfy consumers
but also to form sustainable relationships with them. A successful inter-
national marketer would always seek to understand the cultural modes
of the country, which is the focus of its marketing strategies. In tra-
ditional marketing, such knowledge about the impact or non-impact of
specific cultural characteristics can help international managers to an-
ticipate potential benefits and problems in cross-cultural interactions
(Brodbeck et al., 2002). Thus, an ability to breakdown and identify
those cultural factors that can affect (or not affect) consumers’ prone-
ness to be brand loyal will certainly aid in improving marketing and
business strategies.
Desmond Lam 17
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20 JOURNAL OF INTERNATIONAL CONSUMER MARKETING
doi:10.1300/J046v19n03_02
APPENDIX
INDIVIDUALISM/COLLECTIVISM
UNCERTAINTY AVOIDANCE
6. Rules and regulations are important because they inform those who are
working what the organization expects of them.
7. Standard operating procedures are helpful to those on the job.
8. Instructions for operations are important for those on the job.
9. Team managers expect their members to closely follow instructions and
procedures.
Desmond Lam 21
MASCULINITY
11. Meetings are usually run more effectively when they are chaired by a
man.
12. Solving difficult problems usually requires an active forcible approach
which is typical of men.
13. It is more important for men to have a professional career than it is for
women.
14. It is preferable to have a man in a high-level position rather than a
woman.
15. Men solve problems with logical analysis; women solve problems with
intuition. (Discarded)
POWER DISTANCE
16. Those in charge should make most decisions without consulting those
who are not.
17. Those in charge should not delegate important tasks to those who are
not.
18. Those not in charge should not disagree with the decisions of those in
charge.
19. Those in charge should seldom ask for the opinions of those who are not
in charge.
20. It is frequently necessary for those in charge to use authority and power
when dealing with those who are not. (Discarded)