Globalization, culture, and consumer behavior

Carlos Javier Torelli, Shirley Y.Y. Cheng

Research output: Chapter in Book/Report/Conference proceedingChapter

Abstract

As globalization increases, the world is becoming smaller and the consciousness of the world as a whole is intensifying rapidly. With the rapid growth of global linkages and global consciousness, the marketplace is also growing in cultural diversity both in terms of the demand side (i.e., consumer markets) and the supply side (i.e., brand offerings). Increased cultural diversity in the demand side of the market is fueled by the emergence of a robust middle class in emerging economies (such as those of China, Russia, Brazil, and India), the immigration patterns changing the cultural landscape of developed markets (e.g., growth of Hispanics in the United States or that of Muslim populations in Europe), and the increased cultural curiosity of worldwide consumers thanks to Internet connectivity, social media platforms, and global travel. The supply side of the market is witnessing the emergence of global brands from every corner of the developed and developing world. Specifically, the last decade has witnessed a tremendous growth in the number of new American and European brands successfully establishing a global presence in emerging markets. For instance, one may consider the American brand Jack Daniel's success in China and Europe, which has helped the company to sell more whiskey abroad than in the United States (Kiley, 2007). Or consider the high-stakes expansion of Spanish phone company Telefónica into Latin America, which has been instrumental for helping the company become the largest telecommunications company in Europe (O'Brien, 2012). More importantly, brands from emerging markets have also recently emerged as global challengers. Consider, for example, the leadership position achieved in recent years by Chinese Lenovo Group in the personal computer industry, overtaking competitors Hewlett-Packard and Dell in worldwide sales (Hachman, 2014), the recent entry of India's Tata Group into the luxury cars segment via the acquisition of the Jaguar and Land Rover brands, or the growth of Brazilian's Embraer in the Western-dominated aerospace industry. As a result of these global market trends, a wide range of brands bring a variety of cultures to a consumer population that is also growing culturally diverse.

Original languageEnglish (US)
Title of host publicationThe Cambridge Handbook of Consumer Psychology
PublisherCambridge University Press
Pages721-748
Number of pages28
ISBN (Electronic)9781107706552
ISBN (Print)9781107069206
DOIs
StatePublished - Jan 1 2015
Externally publishedYes

Fingerprint

Internationality
Cultural Diversity
Growth
Consciousness
India
China
Industry
Social Media
Telecommunications
Islam
Exploratory Behavior
Latin America
Russia
Emigration and Immigration
Microcomputers
Hispanic Americans
Internet
Population
Brazil
Consumer Behavior

ASJC Scopus subject areas

  • Psychology(all)

Cite this

Torelli, C. J., & Cheng, S. Y. Y. (2015). Globalization, culture, and consumer behavior. In The Cambridge Handbook of Consumer Psychology (pp. 721-748). Cambridge University Press. https://doi.org/10.1017/CBO9781107706552.027

Globalization, culture, and consumer behavior. / Torelli, Carlos Javier; Cheng, Shirley Y.Y.

The Cambridge Handbook of Consumer Psychology. Cambridge University Press, 2015. p. 721-748.

Research output: Chapter in Book/Report/Conference proceedingChapter

Torelli, CJ & Cheng, SYY 2015, Globalization, culture, and consumer behavior. in The Cambridge Handbook of Consumer Psychology. Cambridge University Press, pp. 721-748. https://doi.org/10.1017/CBO9781107706552.027
Torelli CJ, Cheng SYY. Globalization, culture, and consumer behavior. In The Cambridge Handbook of Consumer Psychology. Cambridge University Press. 2015. p. 721-748 https://doi.org/10.1017/CBO9781107706552.027
Torelli, Carlos Javier ; Cheng, Shirley Y.Y. / Globalization, culture, and consumer behavior. The Cambridge Handbook of Consumer Psychology. Cambridge University Press, 2015. pp. 721-748
@inbook{be473d1ae5f14ec3a082608229ab1574,
title = "Globalization, culture, and consumer behavior",
abstract = "As globalization increases, the world is becoming smaller and the consciousness of the world as a whole is intensifying rapidly. With the rapid growth of global linkages and global consciousness, the marketplace is also growing in cultural diversity both in terms of the demand side (i.e., consumer markets) and the supply side (i.e., brand offerings). Increased cultural diversity in the demand side of the market is fueled by the emergence of a robust middle class in emerging economies (such as those of China, Russia, Brazil, and India), the immigration patterns changing the cultural landscape of developed markets (e.g., growth of Hispanics in the United States or that of Muslim populations in Europe), and the increased cultural curiosity of worldwide consumers thanks to Internet connectivity, social media platforms, and global travel. The supply side of the market is witnessing the emergence of global brands from every corner of the developed and developing world. Specifically, the last decade has witnessed a tremendous growth in the number of new American and European brands successfully establishing a global presence in emerging markets. For instance, one may consider the American brand Jack Daniel's success in China and Europe, which has helped the company to sell more whiskey abroad than in the United States (Kiley, 2007). Or consider the high-stakes expansion of Spanish phone company Telef{\'o}nica into Latin America, which has been instrumental for helping the company become the largest telecommunications company in Europe (O'Brien, 2012). More importantly, brands from emerging markets have also recently emerged as global challengers. Consider, for example, the leadership position achieved in recent years by Chinese Lenovo Group in the personal computer industry, overtaking competitors Hewlett-Packard and Dell in worldwide sales (Hachman, 2014), the recent entry of India's Tata Group into the luxury cars segment via the acquisition of the Jaguar and Land Rover brands, or the growth of Brazilian's Embraer in the Western-dominated aerospace industry. As a result of these global market trends, a wide range of brands bring a variety of cultures to a consumer population that is also growing culturally diverse.",
author = "Torelli, {Carlos Javier} and Cheng, {Shirley Y.Y.}",
year = "2015",
month = "1",
day = "1",
doi = "10.1017/CBO9781107706552.027",
language = "English (US)",
isbn = "9781107069206",
pages = "721--748",
booktitle = "The Cambridge Handbook of Consumer Psychology",
publisher = "Cambridge University Press",
address = "United States",

}

TY - CHAP

T1 - Globalization, culture, and consumer behavior

AU - Torelli, Carlos Javier

AU - Cheng, Shirley Y.Y.

PY - 2015/1/1

Y1 - 2015/1/1

N2 - As globalization increases, the world is becoming smaller and the consciousness of the world as a whole is intensifying rapidly. With the rapid growth of global linkages and global consciousness, the marketplace is also growing in cultural diversity both in terms of the demand side (i.e., consumer markets) and the supply side (i.e., brand offerings). Increased cultural diversity in the demand side of the market is fueled by the emergence of a robust middle class in emerging economies (such as those of China, Russia, Brazil, and India), the immigration patterns changing the cultural landscape of developed markets (e.g., growth of Hispanics in the United States or that of Muslim populations in Europe), and the increased cultural curiosity of worldwide consumers thanks to Internet connectivity, social media platforms, and global travel. The supply side of the market is witnessing the emergence of global brands from every corner of the developed and developing world. Specifically, the last decade has witnessed a tremendous growth in the number of new American and European brands successfully establishing a global presence in emerging markets. For instance, one may consider the American brand Jack Daniel's success in China and Europe, which has helped the company to sell more whiskey abroad than in the United States (Kiley, 2007). Or consider the high-stakes expansion of Spanish phone company Telefónica into Latin America, which has been instrumental for helping the company become the largest telecommunications company in Europe (O'Brien, 2012). More importantly, brands from emerging markets have also recently emerged as global challengers. Consider, for example, the leadership position achieved in recent years by Chinese Lenovo Group in the personal computer industry, overtaking competitors Hewlett-Packard and Dell in worldwide sales (Hachman, 2014), the recent entry of India's Tata Group into the luxury cars segment via the acquisition of the Jaguar and Land Rover brands, or the growth of Brazilian's Embraer in the Western-dominated aerospace industry. As a result of these global market trends, a wide range of brands bring a variety of cultures to a consumer population that is also growing culturally diverse.

AB - As globalization increases, the world is becoming smaller and the consciousness of the world as a whole is intensifying rapidly. With the rapid growth of global linkages and global consciousness, the marketplace is also growing in cultural diversity both in terms of the demand side (i.e., consumer markets) and the supply side (i.e., brand offerings). Increased cultural diversity in the demand side of the market is fueled by the emergence of a robust middle class in emerging economies (such as those of China, Russia, Brazil, and India), the immigration patterns changing the cultural landscape of developed markets (e.g., growth of Hispanics in the United States or that of Muslim populations in Europe), and the increased cultural curiosity of worldwide consumers thanks to Internet connectivity, social media platforms, and global travel. The supply side of the market is witnessing the emergence of global brands from every corner of the developed and developing world. Specifically, the last decade has witnessed a tremendous growth in the number of new American and European brands successfully establishing a global presence in emerging markets. For instance, one may consider the American brand Jack Daniel's success in China and Europe, which has helped the company to sell more whiskey abroad than in the United States (Kiley, 2007). Or consider the high-stakes expansion of Spanish phone company Telefónica into Latin America, which has been instrumental for helping the company become the largest telecommunications company in Europe (O'Brien, 2012). More importantly, brands from emerging markets have also recently emerged as global challengers. Consider, for example, the leadership position achieved in recent years by Chinese Lenovo Group in the personal computer industry, overtaking competitors Hewlett-Packard and Dell in worldwide sales (Hachman, 2014), the recent entry of India's Tata Group into the luxury cars segment via the acquisition of the Jaguar and Land Rover brands, or the growth of Brazilian's Embraer in the Western-dominated aerospace industry. As a result of these global market trends, a wide range of brands bring a variety of cultures to a consumer population that is also growing culturally diverse.

UR - http://www.scopus.com/inward/record.url?scp=84954211826&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=84954211826&partnerID=8YFLogxK

U2 - 10.1017/CBO9781107706552.027

DO - 10.1017/CBO9781107706552.027

M3 - Chapter

AN - SCOPUS:84954211826

SN - 9781107069206

SP - 721

EP - 748

BT - The Cambridge Handbook of Consumer Psychology

PB - Cambridge University Press

ER -