Customer service management refers to the process of supply chain management that represents the company who face to customer. It is an important point of contact to provide goods & service agreements created by consumer groups as part of client relationship management process (Clemes, Gan and Ren, 2011). It is the term which refers strategies, technologies and policies that firm utilize to manage and evaluate customer data & interaction throughout the life cycle. The present assignment is based on Eden Project which deals in transformation of desolate pit into educational treasure. The report includes Hofsted's model related to cultural dimensions as well as determination and exploration of important differences between British and Chinese consumer behaviour. Apart from this, on this basis of behaviour of consumers, considerations that Eden project management must make to marketing mix in order to adjust to local culture in china and improve service encounters is
A) Using Hofstede's Model of cultural dimension, identify and explore the key differences between Chinese and British consumer behaviour
Hofstede's Model of cultural dimensions theory is a framework for cross-cultural communication, proposed by Geert Hofstede's. The model defines the effects of society's culture on the values of its members and along with this it also determines how these values are related with their behaviour, using a structure derived from factor analysis. The model is mainly used by business enterprise as it describe the relationship that exist between behaviour and value, with the assistance of a structure rely on factor analysis. In simpler words, this framework studies important elements of culture and provides them a ranking or rating on a comparison scale. These value have not only influence how people with diverse cultural background behave but also signifies the manner in which they behave when placed in a work-associated context.
As per the give case study, Eden Projects has signed a historic agreement with Jinmoa Holding, a real estate developer in China. The main aim of this project is to further Eden's mission and transform an environmentally damaged sites into the new high tech and latest zone of Qingdao into a new Eden Project. The theme they have chosen is water in all forms which makes it look more attractive and ravishing (Edward and Sahadev, 2011). For successful implementation of their project, there are various aspects that that they need to be undertaken by them such the customer behaviour, power distance, availability of resources etc. The model covers six main cultural dimension which are discussed below:
- Power Distance: This define the extent or limit to which less powerful people of organization accept and expect that power is unequally distributed among them. It refers to the degree of inequality that is available and accepted among the one who has power and the one without power. High PDI score signifies that society is accepting unfair or unequal hierarchical distribution of power so that people can exactly understand their place in the system (Ganguli and Roy, 2011). The power of each and every person vary from one another. On the other hand, Low PDI means where all employees and supervisors are considered as almost equals. As per the given case study, Eden Project wants to open their next project in China. However they need to explore key differences between British and Consumer behaviour which might directly or indirectly affect the execution of the project. Here the significant difference is Chinese create more complex hierarchies which may cause hindrance in project implementation. There is high PDI exist in China which means that their Government delegate power as per the abilities of the individuals. On the contrary, Government grant power equally among supervisor and employees so equal and fair opportunities are given to employees which makes their work easy and reduce complexities. According to this model, in a high PDI country as China, team member will not initiate or take any step on their own until and unless they get any guidance or direction from Government. In addition to that, if Chinese managers does not take the step this signifies that they are not considering that task important or necessary to complete.
- Uncertainty Avoidance: This step describes about the methods through which people can deal with stress and anxiety. Chinese people try think they can make their life predictable and they can control their own lives. Through this they can deal with stress and tension as compared to Britain. In China people mainly focuses on the risky behaviour so that they can reduce the risks as compared to Britain. It is suitable condition to establish Eden project in China. In this Chinese people can take conservative decisions so that they can solve all their problems as compared to Britain. They are rigid means they cannot take decision in every situation (Grissemann, and Stokburger-Sauer, 2012).They have follow all rules and regulations and conventions given by society so hence they can work in effective manner as compared to Britain. In this people can express their views freely and they can also show their anger as compared to Britain. Through this manager can find views of people and hence they can take necessary steps. Hence it is easy to establish Eden project in China as comp[red to Britain. In this people can accept any change innovative ideas so hence as a result all people can easily accept the establishment of Eden project (Han and Hyun, 2011). Through this Eden project can be more successful in China as compared to Britain.
- Individualism vs Collectivism: This define the strength of the ties that members have towards others within their community. Basically it define the degree to which people are interconnected with each other in their groups. Individualistic societies mainly emphasize on “I” element rather than focus on “We”part. On the contrary, Collectivism can be defined as a society where people is laid stress on “We” factor and shares strong relationship with each other. High IDV signifies that member under this dimension enjoys challenge and expect reward for their hard work. On the other hand, low IDV denotes that they emphasize more on building and improving their skill so as to become master of something. Such type of people work for intrinsic rewards. Country like China have high IDV which means that their Government and companies mainly laid stress on achieving goals at any cost. They assume that their employees are highly skilled, talented and competent which means that they are working incredibly hard towards achieving organisational objectives. On the other hand, British people focus on improving their skill and makes them effective and efficient towards their respective goals.
- Masculinity vs Femininity: Masculinity is a term in which male are very assertive,tough and success through living of material life. While women focuses on modest and quality of the life. They also focuses on the tender. In masculine there are different features and characteristics such as both are ego oriented. For both leisure is very important so hence they focus on the money and different. Both male and female work so that they can earn some money. Chinese people and British people both focus on money so that they can get success (Jahanshahi and Gashti, 2014).But Chinese people put more emphasis on money as compared to Britain people. So hence it is easy to launch Eden project in China. In view of politics and economics growth of economy is their priority and problems and issues can be solved through different forces. In view of religion for both male and females religion is very important is important in society. In work there is lot of differences between male and female. Both China and Britain focus on higher pay so hence they can work their so that they get higher wages in China. Chinese people also work in that companies where they get more money and hence they have lot of money. Hence it is easy to establish Eden project in China. In this both male and female have features that they focus on improving quality of life and they are modest. Both China and Britain focuses on creating relationship with each other (Nawaser and Khaksar, 2011). China gives more emphasis on creating relationship with each other so hence it is useful to establish Eden project. For China quality of life and people are most important. They do not give priority to work but more focus on people. They put more emphasis on work and hence they can earn more money. So it is suitable to establish Eden project in this area. In politics and economics China put more emphasis on environment and problems can be solved through negotiations. Through this it is easy to establish and develop Eden project here as all problems can be solved. China gives less importance in religion as compared to Britain. So hence they do not believe in superstitious so hence they all activities can run in proper and efficient manner. Thus it is suitable and appropriate to develop Eden project in China.
- Long Term vs Short Term Orientation: This dimension defines the extent to which people are strongly related towards their nationalism and religiosity. On the other hand, short term orientation dimension defines that they are dedicate towards their country but not in much extent. High long term orientation means people wonder and ask question relates with how to know what is true or not. Whether it is going to affect its performance or not. People under this are modest whereas on the other side in short time orientation dimension members are often wanted to know the reason “Why”. They laid stress on rights and values. In countries like China, people are having strong long term orientation which indicates that Chinese consider education and thrift as positive values.
- Indulgence vs Restraint: This dimension covers the measure the happiness of people. They measure whether their joys are simply fulfilled or not. Indulgence means a society that believes that they have a effective control of their own emotions and life (Jhandir, 2012).On the other hands restraint means Customer service management refers to the process of supply chain management that represents the company who face to customer. It is an important point of contact to provide goods & service agreements created by consumer groups as part of client relationship management process. It is the term which refers strategies, technologies and policies that firm utilize to manage and evaluate customer data & interaction throughout the life cycle (Komunda and Osarenkhoe, 2012). The present assignment is based on Eden Project which deals in transformation of desolate pit into educational treasure. The report includes Hofstede's model related to cultural dimensions as well as determination and exploration of important differences between British and Chinese consumer behaviour. Apart from this, on this basis of behaviour of consumers, considerations that Eden project management must make to marketing mix in order to adjust to local culture in china and improve service encounters is included in this project. that their life and emotion are dictated by others factors. They do not have a control over their emotions and life which means they can be affected by any factor exist in market or working environment easily. High IVR means people are optimistic and laid stress on their personal happiness. On the other hand Low IVR means people are pessimistic and own rigid behaviour towards solving problems or issues. For example Low IVR found in China because their power lies in the hand Government that indirectly signifies that they entire joy or happiness of any member is totally depend upon how their Government assign work to them.
Ethnocentric approach: It is one of the international recruitment method in which human resource manager recruits right individual for correct position for business. Based on required skills and willingness of individual to mix with culture of organisation. In this approach, important positions in firm are filled manpower of parent country. All the decisions related to management such as formulation of vision, mission and objectives by multi national companies at their head office & the same is followed by host firm. This approach provides some advantages in Eden Project such as it creates better coordination among parent and host company, effective control over subsidiary, better exchange of technical know how etc.
Polycentric approach: Under this method, the nationals of host nation are recruited for the position of management in order to perform operations of subsidiary firm (Mohammad and Alhamadani, 2011). Rationale behind this method is that locals of host nation know their culture in more better way and are able to run business with more efficiency and effectiveness in comparison to their foreign counter parts. Advantages of using this approach in Eden project is that it enhance the morale of local staff as well as administer better productivity because of good knowledge regarding host market. Apart from this, chances of getting success is high.
B) Marketing Mix
Marketing mix is the best technique which is used by company to perform activities ion better and effective manner. Organisation has to perform marketing mix to know what changes are happening in company. This is beneficial for achieving targets and this can be done with joint efforts of employees ad employer (Torres and Kline, 2013)There are different concepts which has to be undertaken in marketing mix. As there are different people working in organisation, so there is difference in there perception. Business environment is changing very frequently, so it is essential to modify policies which helps in growth and development of project.
Marketing mix means to put right product, at right time with right price at right time in front of right customers. This is effective through achieving targets on time and then there is requirement of policies which are associated with development of product and services. Concept of marketing mix was developed in 1990. under this there are 7P's which are effective by proper management and helps in launching product and services at appropriate time. In initial days there are 4 P's which was launched by marketing expert E. Jerome McCarthy in 1960.
- Product- There are different factors which has to be considered before launching new product and services in market. There are many product which take place to satisfy need of society. It is essential to perform activities which are beneficial for achieving business targets. There is requirement of factors which can be positive known to achieving targets. There are various policies which can be effected in positive and appropriate manner. Eden product is one which helps in improving condition of natural places through which conditions of country improves and then corrective measures can be take to perform modify policies. There are various factors which has to considered at the time of performing activities which are effective to perform activities for betterment of project. There is difference in product as exchange in targeted consumer (Okumus and Genc, 2013).This can be done in effected manner after considering need and demand of society.
- People- There are many people residing in society and with their help it is possible to achieve targets. People are the source through which and for which Eden product are working. In this project there is involvement of many people and it is essential to perform activities in better and effective manner. Organisation has to achieve targets through proper completion of task (Orel and Kara, 2014). This can be done through organisation has to achieve targets through performing actions in way which is effective and helpful in performing actions in better way. Company has to do actions which can be done with numerous workers. In China there is requirement of workers, they are hard working and this helps in achieving targets ion time and effective. There use of different technologies so it is essential to perform activities in better and effective manner. Training program must be provided when there is need and then it is essential to change in activities then they can be effective with performing activities.
- Price- This is one of important component which has to considered before start any project. It is essential that company has to perform activities which help in achieving targets on time. There are possibilities that company has to perform actions which help in achieving targets proper way and effective manner. There is requirement of funds through which organisation can perform task. There is requirement of sources which help in achieving targets on time and within specified cost. If cost of project is high then it does not get approved by stakeholders. So management has to perform activities which help in achieving targets ion time and within specified time. There is regular involvement of management which help in perform task in better way and organisation has to measure pros and cons. It is essential to reduce negative impact on price and tries to come over good and positive points.
- Physical Evidence: In the service industry, the physical evidence can be in the form of services that they are going to delivered. It pertain how a business and its services are perceived in the marketplace. For example: Here the physical evidence can be in the form if services given by provided by Eden Project.
- Process: Process defined how services are executed by the company among target customers (Raub and Liao, 2012).It depicts which processes has been undertaken by the company so that implementation of the process can be be done in an effective and efficient manner.
- Promotion: They can promote project through using different promotional strategies. They are required to select the most appropriate promotional channel. For example: They can use electronic, print, digital media so as to promote it services among Chinese people (Raub and Liao, 2012).
- Place: Eden Project has decided to open their next project in China market. The reason is simple because it is an emerging market and more over it is a labour intensive market.
It has been concluded from the whole assignment that service given to customers is very important in order to increase the demand for their goods and services. Further, it is very essential for organisation to make continuous improvement in their products according to the external market choice and preferences of customers. In today scenario customer is king of market so company must establish such strategies and tactics in their working style that help them to make modification in digital and innovative way in their services. Satisfaction of consumer decide that whether product and service sustain in market or not .
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