Cultural values and personal selling: a comparison of Australian and Hong Kong retailers’ promotion preferences

The full text of this item is available only via the related link.This paper compares the promotional practices and perceptions between two countries of disparate cultural backgrounds, namely Australia and Hong Kong. The paper argues that the preference for a particular promotional tool is influenced by the degree of cultural orientation as measured by Hofstede’s collectivism index. The central hypothesis is that countries with a higher score on the collectivism index are likely to favour personal selling promotion tools than will countries with a lower score. This hypothesis is tested with two separate samples of clothing and shoe retailers from Australia and Hong Kong. The hypothesis is supported from the statistical results.PublishedPeer ReviewedAsiaweek(1997), “Economic growth”, Asiaweek, 14 March, p. 45. Belch, G.E. and Belch, M.A. (1995), Introduction to Advertising and Promotion: An Integrated Marketing Communications Perspective, 3rd ed., Richard D. Irwin, Chicago, IL. Belk, R.W. and Bryce, W. (1985), “Advertising themes and cultural values: a comparison of US and Japanese advertising”, Proceedings of the Inaugural Meeting of Southeast Asia Region Academy of International Business, pp. 11-20. Boone, L.E. and Kurtz, D.L. (1992), Contemporary Marketing, 7th ed., The Dryden Press, Fort Worth, TX. Brady, D.L., Mills, I. and Mendenhall, K.D. (1989), “A binational analysis of marketing programmes used by small retailers in Great Britain and the US”, International Journal of Retailing, Vol. 4 No. 5, pp. 27-39. Brislin, R., Lonner, W.J. and Thorndike, R.M. (1973), Cross Cultural Research Methods, Wiley, New York, NY. Buzzell, R.D., Quelch, J.A. and Salmon, W.J. (1990), “The costly bargain trade promotion”, Harvard Business Review, March/April, pp. 141-49. Cherian, J. and Deshpande, R. (1985), “The impact of organizational culture on the adoption of industrial innovations”, in Lusch, R.F. et al. (Eds), AMA Educators’ Proceedings, Series 51, Chicago American Marketing Association, Chicago, IL, pp. 30-4. Corfman, K.P. and Lehmann, D.R. (1994), “The prisoner’s dilemma and the role of information in setting advertising budgets”, Journal of Advertising, Vol. 23 No. 2, June, pp. 35-48. Deshpande, R. and Parasuraman, A. (1984), “Organizational culture and marketing effectiveness”, in Anderson, P.F. and Ryan, M.J. (Eds), Scientific Method in Marketing, Chicago American Marketing Association, Chicago, IL, pp. 137-40. Douglas, S.P. and Wind, Y. (1987), “The myth of globalisation”, Columbia Journal of World Business, Vol. 22, Winter, pp. 19-29. Fam, K.S. (1997), “A strategic approach as a new paradigm in promotion management”, unpublished PhD thesis, University of Newcastle, Newcastle, New South Wales. Fam, K.S. and Merrilees, B. (1996), “A promotion mix budgeting model for retailing”, The International Review of Retail, Distribution and Consumer Research, Vol. 6 No. 4, pp. 373-94. Fam, K.S. and Merrilees, B. (1997), “Strategic promotion planning in Australia and Hong Kong”, Journal of International Marketing and Exporting, Vol. 2 No. 1, pp. 4-15. Farris, P.W. and Buzzell, R.D. (1979), “Why advertising and promotional costs vary: some cross sectional analyses”, Journal of Marketing,Vol. 43 No. 3, pp. 112-22. Franke, R.H., Hofstede, G. and Bond, M.H. (1991), “Cultural roots of economic performance: a research note”, Strategic Management Journal, Vol. 12, pp. 165-73. Greenley, G.E. and Shipley, D. (1992), “A comparative study of operational marketing practices among British department stores and supermarkets”, European Journal of Marketing, Vol. 26 No. 5, pp.22-35. Hawes, J.M., Rao, C.P. and Baker, T.L. (1993), “Retail salesperson attributes and the role of dependability in the selection of durable goods”, Journal of Personal Selling and Sales Management, Vol. 13 No. 4, Fall, pp. 61-71. Hofstede, G. (1980), Culture’s Consequences: International Difference in Work Related Values, Sage, London. Hofstede, G. (1984), “Cultural dimensions in management and planning”, Asia Pacific Journal of Management, Vol. 1 No. 2, January, pp. 81-99. Jackson, J.H., Hawes, D.K. and Hertel, F.M. (1979), “Pricing and advertising practices in small retail businesses”, American Journal of Small Business, Vol. 4 No. 2, October, pp. 22-34. Jaworski, B.J. (1988), “Toward a theory of marketing control: environmental context, control, types and consequences”, Journal of Marketing, Vol. 52, July, pp. 23-39. Kelley, L., Whatley, A., Worthley, R. and Lie, H. (1986), “The role of the ideal organisation in comparative management: a cross cultural perspective of Japan and Korea”, Asia Pacific Journal of Management, Vol. 3 No. 2, January, pp. 59-75. Kinsey, J. (1987), “Marketing and the small manufacturing firm in Scotland: findings of a pilot survey”, Journal of Small Business Management, April, pp. 18-25. Kirbride, P.S. and Chaw, S.W. (1987), “The cross-cultural transfer of organisational cultures: two case studies of corporate mission statements”, Asia Pacific Journal of Management, Vol. 5 No. 1, Sept., pp. 55-66. Kotler, P. (1994), Marketing Management: Analysis, Planning, Implementation, and Control, 8th ed., Prentice Hall, Englewood Cliffs, NJ. Lantos, G.P. (1987), “Advertising: looking glass molder of the masses”, Journal of Public Policy and Marketing, Vol. 6, pp. 104-27. Lilien, G.L. and Little, J.C. (1976), “The ADVISOR project: a study of industrial marketing budgets”, Sloan Management Review, Spring, Vol. 17 No. 3, pp. 17-31. Lilien, G.L. and Weinstein, D. (1984), “An international comparison of the determinants of industrial marketing expenditures”, Journal of Marketing, Winter, pp. 46-53. Low, G.S. and Mohr, J.J. (1992), “The advertising-sales promotion trade-off: theory and practice”, Marketing Science Institute, Report No. 92-127, October, pp. 1-54. Miracle, G.E., Chang, K.Y. and Taylor, C.R. (1992), “Culture and advertising executions: a comparison of selected characteristics of Korean and US television commercials”, International Marketing Review, Vol. 9 No. 4, pp. 5-17. Nowak, G.J., Cameron, G.T. and Krugman, D.M. (1993), “How local advertisers choose and use advertising media”, Journal of Advertising Research, November/December, Vol. 33 No. 6, pp. 39-49. Otnes, C. and Faber, R.J. (1989), “An examination of variables influencing local advertiser media selection”, Proceedings of the 1989 Conference of the American Academy of Advertising. Piercy, N.F. (1987), “Advertising budgeting: process and structure as explanatory variables”, Journal of Advertising, Vol. 16 No. 2, pp. 34-40. Rossiter, J.R. and Percy, L. (1987), Advertising and Promotion Management, McGraw-Hill, New York, NY. Stewart, S. and Campbell, N. (1988), “Advertising in China and Hong Kong: preliminary attempts at some comparisons of style”, International Journal of Advertising, Vol. 7 No. 2, pp. 149-54. Strang, R.A. (1980), The Promotional Planning Process, Praeger, New York, NY. Van Auken, H.E., Rittenburg, T.L., Doran, B.M. and Hsieh, S.F. (1994), “An empirical analysis of advertising by women entrepreneurs”, Journal of Small Business Management, Vol. 32 No. 2, July, pp. 10-28. Whitelock, J. and Chung, D. (1989), “Cross-cultural advertising – an empirical study”, International Journal of Advertising, Vol. 8, pp. 291-310