Cross Cultural Differences in Tv Advertising, Comparative Study: Usa, Austria and Serbia

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CROSS CULTURAL DIFFERENCES IN TV ADVERTISING, COMPARATIVE STUDY: USA, AUSTRIA AND SERBIA

Branka Novčić Faculty of Organizational Sciences, University of Belgrade Jove Ilica 154, Serbia novcicb@fon.bg.ac.rs

Vesna Damnjanović Faculty of Organizational Sciences, University of Belgrade Jove Ilica 154, Serbia damvesna@fon.bg.ac.rs

Abstract The main purpose of this study was to examine and compare the presence of cultural differences in advertising within television commercials based on Hofstede’s five cultural dimensions: power distance, individualism, masculinity, uncertainty avoidance, and long term orientation. Observation of television commercials included surveying among younger population in following countries: the United States of America, Austria, and Serbia. Classification of TV commercials was based on market research results on shopping habits prior to the recession in these countries. Our findings indicate that extent of cultural differences founded in television commercials for each country is strongly related to the index values of Hofstede's five cultural dimensions respectively.

Keywords: cultural differences, Hofstede, TV advertising, USA, Austria, Serbia JEL Classification: M31

1. INTRODUCTION Last decade of the 20st century brought one of the major developments in the business world – market globalization. Domestic and regional markets became too small for large companies which wanted more. New reality was created for companies which wanted to do business around the globe and the world without boarders emerged. Today, the world is a large playground for multinational companies. Global competitors compete between themselves on the global market in order to win over consumers globally. World trade is driven by these facts. There are many factors due to which companies are focusing on global market. Development of faster communication, transportation, and financial transactions, enabled multinational companies to do business globally without time and distance barriers. All these factors are fundamental and have strong impact on global marketing development. The rapid development of world markets and globalization made it possible for large multinational companies to reach growing number of consumers. In order of better understand of their consumers, the companies must adjust their communication styles to the cultural differences and characteristics of new markets. The aim of this paper is to examine whether there are cultural differences in advertising within television commercials based on Hofstede’s five cultural dimensions model. Observation of television commercials includes following countries: the United States of America, Austria, and Serbia. Classification of commercials will be based on market research results on shopping habits previous to the recession in these countries.

2. LITERATURE REVIEW When the world largest multinational companies are planning international marketing communication, they must consider the fact that their target group is country with different culture and its cultural groups (Weinberger & Spotts, 1989). Products of one company need to be related to customers’ attitude and beliefs, motivation and perception of specific product category, and this is why analyze of cultural differences is essential. These cultural differences should affect brand-message strategies differently in each country (Henseler, Horváth, Sarstedt & Zimmermann, 2010) Due to close relationships between culture and communication, cultural factors are very important when it comes to planning cross-cultural marketing communication strategies and their effectiveness (Luthar & Luthar, 2007). Specific cultural organizations of individual countries, together with different market condition and constant battle of multinational companies for greater market share on global market were the main motives for this work. Although, companies are implementing standardized, global marketing strategies, there...
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