How Culture Shapes Motivations that Feed into Cultural Ideals: Driving Emotional Connections to Build Brand Equity Carlos J.Torelli IRM - Feb. 23, copyright © Carlos J. Torelli

What is Culture? Culture Shared elements that provide the standards for perceiving, believing, evaluating, communicating, and acting among those who share a language, a historical period, and a geographic location. IRM - Feb. 23, copyright © Carlos J. Torelli

Culture Can Be Defined at Multiple Levels IRM - Feb. 23, copyright © Carlos J. Torelli Lowest Level of Inclusiveness Highest Level of Inclusiveness Global Culture Pan-Regional Cultures (e.g., Latin American, North American) National or Pan-National Cultures (e.g., American or Chinese) Sub-Cultures (e.g., Hispanic Americans, Upper Midwesterner)

How to Study Culture? Patterns of shared values, beliefs, and attitudes that are organized around a theme. –Collectivism  Self defined as an aspect of a collective –Individualism  Self defined as an independent entity  Cultural Syndromes: IRM - Feb. 23, copyright © Carlos J. Torelli

1.Collectivism vs. Individualism 1.Meaning of the self: Interdependence vs. independence. 2.Structure of goals: Priority to ingroup goals vs. priority to personal goals 3.Drivers of Behavior: Norms vs. Attitudes 4.Types of relationships: communal vs. exchange A Comprehensive Framework of Cultural Variations Triandis 1989, 1995 IRM - Feb. 23, copyright © Carlos J. Torelli

Collectivism in the U.S. IRM - Feb. 23, copyright © Carlos J. Torelli

Distribution of Hispanics as a % of population IRM - Feb. 23, copyright © Carlos J. Torelli

1.Vertical vs. Horizontal 1.Self vs. Others: selves are differently arranged in a hierarchy vs. all selves are equal 2.Status differentials: some selves are higher in status than others vs. all selves have equal status A Comprehensive Framework of Cultural Variations (cont.) IRM - Feb. 23, copyright © Carlos J. Torelli

Cultural Orientation Individualism: Independent Self Vertical: Hierarchy – Status Vertical Individualism (VI) Collectivism: Interdependent Self Horizontal: Equality Vertical Collectivism (VC) Horizontal Individualism (HI) Horizontal Collectivism (HC) Triandis & Gelfand (1998) IRM - Feb. 23, copyright © Carlos J. Torelli

10 What Ideals do these cultures nurture? 1.VI  Competition and winning out over others. Status and Power. 2.HI  Being unique and distinct. Appearing as self-reliant. 3.HC  Interdependence and sociability. Concerns for the welfare of others and of nature. 4.VC  Integrity of the in-group. Respect for tradition and socially established roles. A Comprehensive Framework of Cultural Variations (cont.) IRM - Feb. 23, copyright © Carlos J. Torelli 2016

The United States, Canada, Great Britain, and France Australia, New Zealand, Sweden, Finland, Denmark, Iceland, and Norway Rural communities in Central America, and the Israeli kibbutz Mexico, Nicaragua, Honduras, El Salvador, Guatemala, Panama, Costa Rica, Peru, Ecuador, Colombia, Venezuela, Brazil, Bolivia, Uruguay, Paraguay, Chile, Argentina, China, Korea, Japan, the Philippines, Pakistan, Italy, and Spain HORIZONTAL- INDIVIDUALISTIC VERTICAL- INDIVIDUALISTIC HORIZONTAL - COLLECTIVISTIC VERTICAL - COLLECTIVISTIC COUNTRIESCULTURE 1-11 Cultures throughout the World

SELF-ENHANCEMENT: enhance personal interests even at the expense of others Power, Social status and prestige, control or dominance over people and resources, success OPENNESS: follow emotional and intellectual interests in unpredictable and uncertain directions Self-reliance, Excitement, novelty, independence, exploring SELF-TRANSCENDENCE: transcend selfish concerns and promote the welfare of others, close and distant, and of nature Social concerns, Protection of the environment CONSERVATION: preserve the status quo and the certainty it provides Tradition, Safety, stability HORIZONTAL INDIVIDUALISTIC VERTICAL INDIVIDUALISTIC HORIZONTAL COLLECTIVISTIC VERTICAL COLLECTIVISTIC IRM - Feb. 23, copyright © Carlos J. Torelli 2016 Messages that fit Cultural Ideals 1-12 Culture Symbolic Imagery Emotions Interest, Curiosity, Excitement, Enthusiasm Pride,Contempt Affection, Empathy, Compassion Calmness, Contentment, Relaxation

Openness Ideal in Horizontal Individualism IRM - Feb. 23, copyright © Carlos J. Torelli

Self-Enhancement Ideal in Vertical Individualism IRM - Feb. 23, copyright © Carlos J. Torelli

Self-Transcendence Ideal in Horizontal Collectivism IRM - Feb. 23, copyright © Carlos J. Torelli

Conservation Ideal in Vertical Collectivism IRM - Feb. 23, copyright © Carlos J. Torelli

Cultural Ideals in Iconic Brands IRM - Feb. 23, copyright © Carlos J. Torelli

IRM - Feb. 23, copyright © Carlos J. Torelli Cultural Ideals in Iconic Brands

Designing Ads that Fit Cultural Ideals IRM - Feb. 23, copyright © Carlos J. Torelli VI HI VC HC

Self-Direction Stimulation Concerns with Nature Benevolence Conformity Tradition Security Power Achievement Hedonism Openness to Change Conservation Self-Transcendence Self-Enhancement Individual Concerns Collective Concerns Social concerns Compatible Compatibility Between Brand Images IRM - Feb. 23, copyright © Carlos J. Torelli

Self-Direction Stimulation Concerns with Nature Benevolence Conformity Tradition Security Power Achievement Hedonism Openness to Change Conservation Self-Transcendence Self-Enhancement Individual Concerns Collective Concerns Social concerns Compatible Compatibility Between Brand Images IRM - Feb. 23, copyright © Carlos J. Torelli

Self-Direction Stimulation Concerns with Nature Benevolence Conformity Tradition Security Power Achievement Hedonism Openness to Change Conservation Self-Transcendence Self-Enhancement Individual Concerns Collective Concerns Social concerns Compatible Compatibility Between Brand Images IRM - Feb. 23, copyright © Carlos J. Torelli

Self-Direction Stimulation Concerns with Nature Benevolence Conformity Tradition Security Power Achievement Hedonism Openness to Change Conservation Self-Transcendence Self-Enhancement Individual Concerns Collective Concerns Social concerns Compatible Compatibility Between Brand Images IRM - Feb. 23, copyright © Carlos J. Torelli

Self-Direction Stimulation Concerns with Nature Benevolence Conformity Tradition Security Power Achievement Hedonism Openness to Change Conservation Self-Transcendence Self-Enhancement Individual Concerns Collective Concerns Social concerns Incompatible due to a Motivational Conflict  Feelings of Disfluency Compatibility Between Brand Images IRM - Feb. 23, copyright © Carlos J. Torelli

Self-Direction Stimulation Concerns with Nature Benevolence Conformity Tradition Security Power Achievement Hedonism Openness to Change Conservation Self-Transcendence Self-Enhancement Individual Concerns Collective Concerns Social concerns Incompatible due to a Motivational Conflict  Feelings of Disfluency Compatibility Between Brand Images IRM - Feb. 23, copyright © Carlos J. Torelli

Compatible IRM - Feb. 23, copyright © Carlos J. Torelli

IRM - Feb. 23, copyright © Carlos J. Torelli 2016 Less compatible 1-27

Yoder’s Amish Furniture supports humanitarian programs throughout Nebraska because we care about building a better community IRM - Feb. 23, copyright © Carlos J. Torelli 2016 Compatible 1-28

Yoder’s Amish Furniture, freedom to pursue your own goals in exciting ways IRM - Feb. 23, copyright © Carlos J. Torelli 2016 Less compatible 1-29

In Planning global expansions, which cultural contexts are more or less compatible? IRM - Feb. 23, copyright © Carlos J. Torelli 2016 Compatible Horizontal Individualism Australia, New Zealand, Sweden, Finland, Denmark, Iceland, and Norway VerticalIndividualism The United States, Canada, Great Britain, and France Horizontal Collectivism Rural communities in Central America, and The Israeli Kibbutz Vertical Collectivism Latin America, China, Korea, Japan, The Philippines, Pakistan, Italy, and Spain HorizontalCulturesVerticalCultures IndividualisticCultures CollectivisticCultures 1-30

In Planning global expansions, which cultural contexts are more or less compatible? IRM - Feb. 23, copyright © Carlos J. Torelli 2016 Compatible Horizontal Individualism Australia, New Zealand, Sweden, Finland, Denmark, Iceland, and Norway VerticalIndividualism The United States, Canada, Great Britain, and France Horizontal Collectivism Rural communities in Central America, and The Israeli Kibbutz Vertical Collectivism Latin America, China, Korea, Japan, The Philippines, Pakistan, Italy, and Spain HorizontalCulturesVerticalCultures IndividualisticCultures CollectivisticCultures 1-31

In Planning global expansions, which cultural contexts are more or less compatible? IRM - Feb. 23, copyright © Carlos J. Torelli 2016 Compatible Horizontal Individualism Australia, New Zealand, Sweden, Finland, Denmark, Iceland, and Norway VerticalIndividualism The United States, Canada, Great Britain, and France Horizontal Collectivism Rural communities in Central America, and The Israeli Kibbutz Vertical Collectivism Latin America, China, Korea, Japan, The Philippines, Pakistan, Italy, and Spain HorizontalCulturesVerticalCultures IndividualisticCultures CollectivisticCultures 1-32

In Planning global expansions, which cultural contexts are more or less compatible? IRM - Feb. 23, copyright © Carlos J. Torelli 2016 Compatible Horizontal Individualism Australia, New Zealand, Sweden, Finland, Denmark, Iceland, and Norway VerticalIndividualism The United States, Canada, Great Britain, and France Horizontal Collectivism Rural communities in Central America, and The Israeli Kibbutz Vertical Collectivism Latin America, China, Korea, Japan, The Philippines, Pakistan, Italy, and Spain HorizontalCulturesVerticalCultures IndividualisticCultures CollectivisticCultures 1-33

In Planning global expansions, which cultural contexts are more or less compatible? IRM - Feb. 23, copyright © Carlos J. Torelli 2016 Incompatible Horizontal Individualism Australia, New Zealand, Sweden, Finland, Denmark, Iceland, and Norway VerticalIndividualism The United States, Canada, Great Britain, and France Horizontal Collectivism Rural communities in Central America, and The Israeli Kibbutz Vertical Collectivism Latin America, China, Korea, Japan, The Philippines, Pakistan, Italy, and Spain HorizontalCulturesVerticalCultures IndividualisticCultures CollectivisticCultures 1-34

In Planning global expansions, which cultural contexts are more or less compatible? IRM - Feb. 23, copyright © Carlos J. Torelli 2016 Incompatible Horizontal Individualism Australia, New Zealand, Sweden, Finland, Denmark, Iceland, and Norway VerticalIndividualism The United States, Canada, Great Britain, and France Horizontal Collectivism Rural communities in Central America, and The Israeli Kibbutz Vertical Collectivism Latin America, China, Korea, Japan, The Philippines, Pakistan, Italy, and Spain HorizontalCulturesVerticalCultures IndividualisticCultures CollectivisticCultures 1-35

36 1.Cultures nurture ideals and desirable emotions –HI  independence/self-reliance  excitement –VI  power and status  Pride/contempt –HC  sociability/welfare of others  Affection/compassion –VC  Respect for tradition and roles  Calmness 2.Ads that fit these ideals are likely to resonate with wide audiences 3.Be careful when designing culturally relevant ads for new markets (compatibility?) Conclusions IRM - Feb. 23, copyright © Carlos J. Torelli 2016