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The China Syndrome: Cultural Factors Affecting Consumer Behavior in Business

Added on -2019-09-21

The culture of China affects the way business is done there. Learn about the motivational and perceptual factors that companies must consider while doing business in China. Also, understand how the culture of China differs from other cultures.
| 3 pages
| 660 words

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Case Study 11.1The China Syndrome : Cultural misunderstandings can lead to marketing failures1)Consider some of the other consumer behavior factors you have considered in this course(motivational factors, status concerns, perceptual issues).The factors related to consumer behavior are motivation and perception. The people ofChina are inveterate gift givers. For them, the gifts are a source of motivation becausethey express friendship and they symbolize hope for the good business in future. So,giving gifts is a motivational factor that affects business in China. But, they also believethat gifts should not be given if there is any good reason or there is no witness. This isone important aspect of the culture of China that affects the way business is done there.So, if any company is planning to do business there, then it must take care of the fact thaton special occasions, it must distribute gifts to its customers in China. Then, anotherfactor is the perceptions that the people of China make during meetings and greetings. Ifthe other party is not shaking hand lightly and they are not exchanging business cardswhich have text in English on one side and text in Chinese on another side, then theChinese may perceive that the other party is not interested in doing business with them orthey may deceive them in future. So, they will never form a contract with that party.Also, if the other party is in a hurry or rush, then it is perceived as a negative trait thepeople of China. Thus, the companies operating in China must take acre of promotions oftheir products, as when they display the advertisements, they should not depict anythingthat is happening in a rush. This may give a negative impression about the product. 1

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