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Non-targeted customers in individualistic versus collectivistic cultures

Bang Nguyen, Junsong Chen, Cheng-Hao Steve Chen and Xiaoyu (Allen) Yu

The Service Industries Journal, 2014, vol. 34, issue 15, 1199-1218

Abstract: This research explores non-targeted customers in two countries displaying dominant collectivistic and individualistic characteristics. Using China and the UK as research contexts, the study investigates non-targeted customers' perceptions and responses to multiple marketing tactics (MT)' effectiveness. Non-targeted customers are interesting, as they exhibit feelings of inequity and unfairness, influencing their perceptions, responses, and behaviors. Given continuing globalization of retail services and diverse markets, more research that provides insights into cross-cultural shopping behavior is needed. The study fills an important gap in examining non-targeted customers in a cross-cultural framework. Findings reveal that non-targeted collectivists perceive marketing tactics differently than individualists. While the first group responds to price and reputation, the latter group responds to service, communication, and customization. The study posits that collectivists' concerns with loss of face, equality, and status evoke self-expression such as extensive price and reputation comparisons. Theoretical and managerial implications are discussed and future research directions offered.

Date: 2014
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DOI: 10.1080/02642069.2014.942656

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The Service Industries Journal is currently edited by Eileen Bridges, Professor Domingo Ribeiro, Ronald Goldsmith, Barry Howcroft and Youjae Yi

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