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Article 24
Article 24
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\(W HEN Drucker (1954) first articulated the mar- when marketing scholars turned to the behavioral sci-
keting concept, he noted that marketing was not ences for guidance beginning in the late 1950s and
really a separate management function but rather the especially the 1960s, the study of culture focused ex-
whole business as seen from the customer's point ofclusively on understanding consumer behavior, par-
view. In other words, the marketing concept defines ticularly the definition of cultures and subcultures as
market segments, culture as communication, the dif-
a distinct organizational culture, a fundamental shared
set of beliefs and values that put the customer in thefusion of innovations, and cross-cultural comparisons
center of the firm's thinking about strategy and op- of international markets (Engel, Kollat, and Black-
erations. well 1968; Zaltman 1965). Subsequent treatments of
Despite this centrality of organizational culture to culture in marketing also have been limited mostly to
marketing management issues, there has been rela- the consumer behavior area.
tively little scholarly study of its impact in a market- Several scholars recently have begun to recognize
ing context. This lack of scrutiny perhaps reflects, as the importance of organizational culture in the man-
Ruekert and Walker (1987) suggest, the relatively agement of the marketing function. Weitz, Sujan, and
greater attention given to consumer than to organi- Sujan (1986) included organizational culture concepts
zational issues in marketing in general. For example, in their development of a model of selling effective-
ness. Parasuraman and Deshpande (1984) suggested
that greater attention be paid to organizational culture
Rohit Deshpande is Associate Professor of Marketing, Amos Tuck School along with structural explanations for managerial ef-
of Business Administration, Dartmouth College. Frederick E. Webster, fectiveness. Additionally, heightened concern for is-
Jr. is E. B. Osborn Professor of Marketing at the Amos Tuck School,
sues of implementation in marketing strategy (Walker
Executive Director of the Marketing Science Institute, and Visiting Pro-
fessor of Business Administration at the Harvard Business School. The and Ruekert 1987) and the development of a customer
authors are grateful for comments on previous versions of the article orientation within organizations is also raising ques-
by Susan Ashford, Ajay Kohli, Scott Neslin, James Walsh, Karl Weick, tions related specifically to organizational culture
and the JM editor and anonymous reviewers. The research was sup- (Bonoma 1984; Deshpande and Parasuraman 1986;
ported in part by the Matthews Fund grant to the Tuck Associates Pro-
Webster 1981, 1988). In fact, Mahajan, Varadarajan,
gram and by the Marketing Science Institute.
Kerin (1987) have gone so far as to suggest that the
Journal of Marketing
Vol. 53 (January 1989), 3-15. Organizational Culture and Marketing / 3
4. Organizational Grounded in symbolic anthropology (Geertz 1973) Culture as metaphor for shared
symbolism and symbolic organization theory (Dandridge, symbols and meanings
Mitroff, and Joyce 1980)
5. Structural/ Grounded in structuralism (Levi-Strauss 1963) and Culture as metaphor for
psychodynamic transformational organizational theory (Turner unconscious mind
perspective 1983)
aAdapted from Smircich (1983a)
Organizational
Paradigm Marketing Research Implications Methodological Implications
1. Cbmparative Cross-cultural study of standardization vs. Cross-sectional survey research
marketing customization of international marketing programs
management
Research on relative effectiveness of cost-based vs.
culture-based marketing control mechanisms in
different countries
dardization and Nestle believing in local market ad-perceived (i.e., where American executives feel un-
aptation-yet both are extremely successful consumer comfortable with the values and operating methods in
goods marketers. a host country).
Though several thoughtful conceptual articles have Clearly the success of any international marketing
been written on the relevance of national culture to strategy depends not only on the extent of its con-
formity to customer cultural norms but also on the
globalization (Levitt 1983), few empirical studies have
examined the issue. An important exception is the re- conformity with the values and beliefs of employees
cent work of Gatignon and Anderson (1987) who usein various host countries, as Hofstede's (1980) land-
mark survey of the work-related values of 116,000
transaction cost analysis to explain the extent of con-
trol exerted by multinational corporations over their respondents in 40 countries suggests in a broader
foreign subsidiaries. They find that American mul- management context. For example, are marketing
tinationals generally take lower control levels in managers in an East Asian subsidiary of a British par-
countries where a greater "sociocultural distance" isent company more or less likely than their East Af-