3.5 The Impact of Relational Mobility on Culturally-Mixed Products

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From the course by The Chinese University of Hong Kong

Selling to Chinese Consumers

26 оценки

The Chinese University of Hong Kong

Selling to Chinese Consumers

26 оценки

Course 1 of 4 in the Specialization Doing Business in China

This course is designed to help learners sell their products, goods and services to Chinese consumers. To achieve this goal, the course will use evidence-based research in psychology, economics, legal studies and marketing to help learners understand the historical, economic and legal contexts of doing business in China and the behavioral characteristics of Chinese consumers. The course will cover topics in Chinese and global marketing, Chinese consumers, institutional and cultural influence on consumer motivation and behaviors in Chinese markets, and brand management in China.

From the lesson

Materialism and Conspicuous Consumption

Chinese consumers are found to be more materialistic in a cross-national survey conducted by the I.C.E lab at CUHK. Unlike Western consumers, the rising levels of materialism for Chinese consumers are not driven by low self-esteem. This lecture explains how lay elitism and social mobility affect Chinese consumption characteristics such as materialism, conspicuous consumption and acceptance of culturally mixed products.

3.1 What Is Changing for Chinese Consumers?4:57

3.2 Materialism in China4:32

3.3 Reasons behind Materialism and Conspicuous Consumption in China - Part 14:09

3.4 Reasons behind Materialism and Conspicuous Consumption in China - Part 24:27

3.5 The Impact of Relational Mobility on Culturally-Mixed Products3:10

3.6 The Psychological Profiles of Chinese Consumers1:43

3.7 Dialogue with Scholar: Professor Carlos Torelli20:12

3.8 Dialogue with Practitioner: Anthony Lau9:40

Meet the Instructors

Prof. Letty Kwan
Assistant Professor
Department of Psychology

In the previous segment, you learned that

the lack of residential mobility is related

to more materialistic consumption in China.

In this segment, you will learn that the

lower relational mobility in China also

affects Chinese consumers’ reactions

to foreign goods.

In China, US, European and Japanese

brands are typically perceived

to have higher quality.

A foreign company can leverage on the

country-of-origin effect when they try to

enter the consumer markets in China.

Nonetheless, because the psychological

characteristics of the Chinese consumers

are different, foreign companies often

feel the needs to adapt their products to

the local consumers, mixing elements of

foreign and local cultures in the design

of the products.

I will refer to this type of products

as culturally mixed products.

Do Chinese consumers’ higher levels of

materialism and experience of restricted

relational mobility have any effects

on their acceptance of

culturally mixed products?

Recall that we also asked the Chinese

consumers in our cross-national survey

to indicate their acceptance

of these products.

We asked them what they would like to

order for themselves in an American

fast food store in China.

On the menu are seven typical American

fast food items, like the fried chicken

and the burger.

The remaining six items are fusion foods.

An example being the Beijing duck wrap.

We also asked participants how much

they liked each of these items,

as well as how culturally mixed

they felt each food item was.

Chinese consumers do perceive the six

fusion items to be more culturally mixed

than the seven American items.

They also rated all six fusion food items

to be culturally mixed.

In general, Chinese consumers welcome

culturally mixed products.

Compared to American consumers,

Chinese consumers are more likely to choose

the culturally mixed items for themselves.

Moreover, relational mobility predicts

Chinese consumers’ acceptance of

culturally mixed items.

Chinese consumers who reported having

experienced high relational mobility like

culturally mixed products more.

When the Chinese feel that they can develop

new relations and leave current

relations more easily, they are more

culturally open in consumption;

they are more willing to try out novel

food that have ingredients from

dissimilar cultures.

Conspicuous consumption predicts

Chinese consumers’ acceptance of

culturally mixed items as well.

Those who favor conspicuous consumption

are also more willing to

try out fusion food.

This is the case because the fusion food

combines Chinese ingredients with

American ingredients, and many Chinese

perceive things from American culture

to have higher status.

Thus, trying out fusion food may help

to signal higher social status.

Let’s take a minute to summarize

what you should know by now.

Materialism and conspicuous consumption

in China.

Self-esteem do not explain the above.

Why elitism and relational mobility

matters so much.

And how the above changes consumption

patterns and acceptance of

foreign products.

In the next segment, you will learn how

these findings can be used to inform

marketing strategies when foreign

companies do business with

Chinese consumers.

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