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MARKETING RESEARCH PROPOSAL

A CROSS-CULTURAL COMPARISON OF ETHICAL ATTITUDES OF MARKETING MANAGERS AT TESCO

Adnan ul Haq

Abstract:

This research is to examine the ethical attitudes of marketing mangers belonging from different cultures and their approach towards marketing techniques and how ethical attitude have influenced these dimensions of Tesco. In this research study the design of research is descriptive research design. 25 sample set was chosen and all the managers of Tesco super store and Sainsbury operating in the East Hounslow was interviewed in order to find out the influence of ethical perception on the attitudes of managers. The t-test analysis is used in this research study for findings and interpretation of data and on the basis of interpretation the conclusion is given, followed by recommendations for the chosen organisation.

Introduction:

To shorten the gap between the products or services and its consumers, a most widely used tool is Marketing as it forms the image of a brand in the minds and eyes; of a consumer. Marketing has its own ethics that cannot be ignored at any cost. The world is progressing and changing at a speedy rate and in the context of multicultural marketing, the vital query that has attained much of the attraction of people related to marketing world is ethical norms across-cultures compatibility. With the economic development in countries, it is essential to understand culture as it is not only the nationality that is enough but culture comprises of numerous multi dimensions (Srnka, 2004). In modern world, role of a culture is of high importance especially in the marketing managers ethical attitudes because individuals ethical reasoning may get influenced from the distinct cultural backgrounds. Moreover, the world is perceived by various point of views by every single culture which make it more essential than before to understand the ethical attitude because of the cultural differences. By understanding these differences of culture, the new era of globalisation is formed. The marketing managers are facing the challenges of ethical conflicts more due to the terminology of market and business globalisation. To understand the impact of culture on ethics of marketing world has gain more obvious reasons due to era of globalisation. The managerial styles of Tesco and Sainsburys have been compared in very less studies before and moreover, the marketing managers are undertaken in those previous investigations as a simple manager. It would be exciting and significant for the marketing managers to know that they are categorized on the basis of cultural contrast. In Tesco, prior the information is only about the similarities and differences between the Tesco and Sainsburys management style and influences of these different styles on the performance of an organisation. But the differences and similarities of marketing manager does not exist in those studies. In recent times, researchers has shown keen interest in marketing ethics, in last three decades, there has been a significant increase in the empirical level and the conceptual models which is visible by the rapid increase in the journals focusing primarily on marketing ethics (Christie, Kwon, Stoeberl & Baumhart, 2003). The problem of ethics is noticed more clearly when in global settings marketing managers have to work. Marketing managers have to work with employees from different parts of the world. The marketing managers may experience the similarities and differences in various dimensions with the people as different people have

different norms, cultures, experiences and backgrounds. Therefore the roll of culture is of high significance to be understood properly. One needs to operationalize culture by recognising the various common aspects of all cultures especially in the business, so that cross cultural comparisions are done. (Christie, Kwon, Stoeberl & Baumhart, 2003). For this purpose cultural dimensions were developed by Hofstede which have proved to be valid for a long time and widely accepted in the business field on a global level. The dimensions revealed the ways to manage the inequality among members on a social ground, along with the individualism was a centre focus to show the impact of a culture. The role of a social gender was sharply differentiated to show the ethical attitude of managers (Christie, Kwon, Stoeberl & Baumhart, 2003). Though, the investigation is discrptive in nature but lack to discuss the ethical attitude and behaviour from the perspective of marketing managers about the cross cultural ethics. This investigation determines to explore the correlation between the culture and the ethical attitudes. This study demonstrates the relationship between culture and the ethical attitudes. Since it is evident that number of marketing ethics researches are normative in nature so prime focus is on rules that are useful for marketers and it demonstrate the theory of marketing ethics in a constructive manner to elaborate the process of decision making in order to rectify the ethical problems or situation containing ethical dilemma. This theory also helps in structuring the base that appear to be dispersed in various dimension and divided research in marketing ethics (Donoho, Polonsky, Herche & Sweson, 1999). It is evident that marketing managers are bound to work with people from different places across the globe. Moreover, the dimensions of marketing manager in comparison with the people from other countries may have a similar or different dimension as each country has different dimensions of its own culture. In last fifteen years, the concerns about ethical issues has increased in a very dramatic manner therefore, keen interest is shown by the practitioners and scholars in ethical. For instance, in the beginning of 80s Journals of Ethics and the Business & Professional emerged. Not only the journals, but various conferences about ethics were held, such as the Arthur Anderson sponsored conferences on teaching business ethics and Penn State's G. Albert Shoemaker Program in Marketing Ethics (Vitell & Ho, 1997). Today, in number of firms various ethical questions are associated with the marketing decision. (Ferrell & Gresham, 1985, p.88). Vitell, James, & Mohammed, (1991) say, in view of the fact that marketing is the practical part within business that lines with the customer; it has a tendency to be in portion which undergo high scrutiny. According to (Zikmund & D'amico, 1996, p.733) the marketing ethics is defined as the principles that

direct a firms behaviour and the standards it anticipates to convey in firm circumstances. Also Vitell (1986) describes marketing ethics as An inquiry into the temperament and basis of judgments of morality, principles, and set of laws for the commencing marketing decisions and marketing situations (p. 4). In last decade the two main topics identified to have high significance are the ethical dilemma and the ethical decision making in marketing. Culture is another interest arousing topic for researchers but it is very difficult to understand the culture of others country as it include norms, rituals, symbols, values, attitudes and behaviours. By nature the majority of characteristics of culture are highly abstract and tends to effects the work setting. Christie, Kwon, Stoeberl & Baumhart (2003) explain that The entity of a culture cannot be measured as it is abstract and for a person to understand the culture comprehensively is impossible (p. 265). The ethics and culture both have impact on the marketing managers in a direct mode therefore we can say that significant relevance of ethics and cultural attitude have with each other. In modern world, the marketing ethics examine the moral guidelines which are concerned with the marketing decisions, behaviours and institutions. In real, marketing ethics analyzes issues of morality faced by organisations and marketing managers (Murphy, 2002). Purpose: The main purpose behind this research investigation is to explore and test the Hofstede four dimensions in the Tesco and Sainsburys so that whethere these variations have influences on the ethical attitudes of marketing manager and in actual scenario, is there any difference in the ethical attitudes of marketing managers of Tesco and Sainsburys. The outcomes and findings of this research will be beneficial for the further researches in finding the influences of differences in culture on the behaviour of marketing managers and moreover, how the cultural dimensions are being affected by the work environment according to Hofstede.

Research Questions: Research questions are the reasons that drive us into carrying out an investigation so that the answers are discovered. There is a close link between the research questions and the assumptions we have made for this research. On the basis of hypotheses, the research questions are formulated. Following are the questions for this research study: Q1. What is the relationship between the culture and the ethical attitude of marketing managers?

Q2. How the working environment does have an impact on the cultural dimensions? Q3. Is the link between ethical attitudes and the marketing managers is strong or not? Q4. Is there a difference in the ethical attitude among marketing managers in countries where low individualism is more? Q5. Is there is difference in the ethical attitude among marketing managers in countries having high individualism?

Aim of research investigation: The aim of this present research study is to examine the ethical attitude and certain cultural dimensions prevailing in the marketing managers of Tesco (United Kingdom).

Objective of research study: The objectives of this present investigation are following that are to attain through this commencing this research. To examine the ethical attitudes of marketing managers. To critically evaluate the impacts of ethical attitude on the business environment in the global competition. To explore the differences in the ethical attitude among marketing managers on the basis of individualism. To conclude the effect of cultural dimensions on the behaviour and attitude of marketing managers.

Hypothesis: Culture variations in ethics are reflected by the individual dissimilarities and that is, in the minds of people there is collective programming which differentiate the individuals from one another, this is in actual the differences (Swaidan & Hayes, 2005, p.10). The interaction of individual with the others are the result of having different backgrounds, life styles open to customs, language, rituals, religions, heritage and with the interaction between various

culture there arises the variation in the beliefs, behaviours and moral standards of individuals. There are two types of variable in the hypothesis such as the independent variable and the dependent variable. Hypotheses for this research investigation are as following: H1- There is no difference in the ethical attitudes among marketing managers in the Tesco and Sainsburys.

H2- The correlation between ethical attitudes (independent variable) and marketing managers (dependent variable) is not strong. H3- There is no difference in the ethical attitude among marketing managers in countries where there is high individualism. H4- There is no difference in the ethical attitude among marketing managers in countries where there is low individualism.

Literature review: Scope of Literature Review: With the era of globalisation, the business has expanded from traditional ways and the world has become a diversified workforce, with each passing day the multinational corporations are advancing to other countries. The internationalizations process is beneficial but at same time it poses big challenges for multinationals of various types, ethics and culture is also included in such challenges. According to Thorne and Sanders (2002), The main challenge that is faced by business in the global business environment today is to maintain balance for standardized global strategies, with adequate thought of the particular customs of numerous cultural contexts (p. 1). the way in which world is perceived is a result of differences in cultural backgrounds and these differences in culture affect peoples ethical reasoning (Thorne & Sanders, 2002 cited in MacDonald, 2000). Investigation study reveals that people vary in their sensitivity to ethical conditions and circumstances, manner of perceiving things, values and ethical behaviour, which are from diverse culture. In the philosophical literature adhering and indicating the abstract standards of behaviour is a prime objective. It means that deliberate reflection to evaluate the goodness of behaviour, though moral philosophy help in by justification of what could be the moral behaviour "ought-to-be" (Waterman, 1998). The attitudes toward marketing and business ethics is subject to differ drastically, even the consensus vary so much that within same culture working together at times become virtually impossible. Results of various empirical researches: Few of the contemporary anthropologists describe culture as the group of peoples different way of life, and their comprehensive plan for a living (Heidrich, 2002, p. 1). This shows that culture is a one complete design in which people live and they have their own mindset to believe in those set norms, values and perceptions. The study of Johansson, (2000) shows that people from different region have different temperament, to support his statement he used example of people of Saudi Arabia who prefer to work after sun sets whereas people in the European world prefer to start work by early morning and finish before sun sets. This shows

that how the attitude and perception differs among the people living on the same globe but with different norms and attitude.

Ethics It refers to values moral principles that commonly direct the conduct and manners of a person or a group. Conduct is judged through the standards of behaviour, regarded as ethics. Though, it is not always that standards are ethical as it consist of moral principles of ones own rather than one valid by entire society (Lamb, Hair & McDaniel, 2005).

According to Lamb, Hair &, McDaniel (2005), Cultural norms and values derive the rules and moral which individual develops. It would not be unjust to say that socializing force is culture that guides what is ethical and unethical. The social and economic behaviour is affected by the laws and regulations reflected by the moral standards.

Cultural Elements Affect Ethical Decisions in Various Marketing Situations

In marketing, the first total model to explain the decisions of person regarding ethical issues is developed by Hunt and Vitell in 1986. This model explains the decision making process is affected by the perception of situations causing ethical problems and to resolve these ethical problems, the alternatives, consequences of those opted alternatives are identified by the decision makers. In the following stage, evaluation is done as individuals take high moral towards their duties and and consider at same time the chances of consequences and significance of stakeholders are being affected. In short the evaluation is deontological as well teleological evaluation. The next stage of model is regards as the centre point or heart of model by Hunt and Vitell (Srnka, 2004). The deontological and teleological evaluations formulate the postulates based on the ethical judgement (Hunt and Vitell, 1986, p. 9). According to Srnka, (2004) the intentions may vary from the ethical judgements as per theory of Hunt and Vitell, the teleological evaluations affect the intentions. This show that the perception of person about specific alternative could be ethical though opts to another alternative because of some precise consequences preferred (Hunt and Vitell 1986, p. 10).

In order to adjust according to the marketing program the need to understand the ethical attitude and the cultural differences of people are vital as business progress in right channel when the impact of various elements constituting the culture is understood by the marketers (Czinkota, Ronkainen & Moffett, 1999). In last few decades, ethics is a one particular element that has been the area of researchers interest when it comes to marketing (Malhortra & Miller 1998, p. 263). Nowadays, marketing managers are more conscious in the ethics aspect;

customers have got more consideration and focus from the marketers. Majority of markets strongly believe that their acts should be more ethical and moral so that accepted by customers and the public more and markets have expressed that trust can be built by making an effort to have moral commitment and ethical conduct (Srnka 1997, p.96). This is reliable and in accordance with the general marketing theory that all the transactions and relations are built on trust (Kotler 2003, p. 8), and that disputes are more possible to emerge if consumer and seller are not in pact to their ethical mindsets respectively (Lee, 1981, p. 58). Undoubtedly, various contextual factors are vital in the success or failure of particular correlation between efforts of marketing. Culture and Marketers Ethical Decision-Making In modern era, the significant determinant of business is culture and it is also determining the ethical decision making too therefore it is essential to understand the linkage of culture with other variables. How an individual perceived the problems related to ethics, alternatives and the outcomes are affected by culture. Culture persuades ethical decision-making mainly in two methods: interacting with other variables in either direct or indirect mode (Christie Won, Stoeberl & Baumhart, 2003, p. 265). Conceptual Models for ethical attitude for marketing managers to make decisions: Bartels (1967) is regarded as first researcher to reveal the significance of cultures function of in ethical decision-making in marketing. According to his model, the determinants of ethical standards of a society is done through various cultural factors such as respect for individuality, law, power and authoritys nature, deitys concepts, relation of the individual to the state, national identity and loyalty, values, customs, and state of the arts. Synopsis of Theoretical Models for Ethical Decision Making in Marketing In the literature regarding marketing ethics, various remarkable models are available that focus at elaborating the procedures of achieving and commencing the solutions in situations causing ethical problems. Few of the models have grab attention but hadnt been very definite in approach (Malhorta & Miller, 1998). The descriptive models of numerous types can be categorized into: (a) total models and partial models, (b) individual or organizational decision-making models, and (c) models elaborating ethical decisions in general business situations or in particular marketing contexts. These above mentioned models of reveal that factors such as internal and external have impact on process of ethical decisions of marketers. Ethical predispositions of individual, stage of Cognositive Moral Development, moral characters strength, and ethical sensitivity are internal factors, while environmental and situational aspects are part of external factors (Srnka, 2004). There are some individual factors which are part of these three models for instance, personal values and the system of belief, religiosity, moral characters inner strength, ethical sensitivity, and stage of cognitive moral development that determines the process of

individuals decision making (Trevino, 1996, p. 602). The division of individual factors can be on the basic of demographics criterion such as gender, age, income, education, personality, motivations or knowledge experience, and ranking in organizational hierarchy, (Kay-Enders, 1996, p. 116). In context of decision making on the basis of ethics there are various personality traits like ego strength, field dependence, (that has the potential to make usage of external social referents for the purpose of guiding behaviour), and locus of control, (the degree to the events occurred in life is controlled by the abilities of an individual (Trevino, 1986). Other changeable that have been categorized as characteristics of personality or factors of individuals in the literature, such as standards or norms (Hunt and Vitell 1991), and attitudes and intentions (Ferrell & Gresham, 1985, p. 88) other than simple determinants, the comprised fundamental essentials of decision-making (Srnka, 2004, p. 8). By number of researchers the situational influences are argued by suggesting that decisions regarding ethics are made in the context of a situational context (Mayo & Marks 1990, p. 169). For example, some sustain that the chance to hold in impending unethical behaviour signifies a vital situational limitation for morality (Hunt and Vitell, 1986). Whereas environmental factors includes third part of determinants which are available in the literature of marketing ethics and reveals the factors that are most relevant in the context of present research study at hand. With reference to the general marketing theory (Kotler, 2003, p. 158) these determinants can be formulated as socio-cultural circumstances under which decisions are undertaken (Singhapakdi & Vitell 1990, p. 5). Conclusion: The models discussed in this literature contains various elements that has an impact on marketers ethical decision-making, including (family, social groups, educational system, management, peers, codes of ethics/corporate policy, code/policy enforcement, etc.). The different environmental factors recognized in the management literature mainly discuss the various forces on the basis of which the cultures level are classified (Srnka, 2004). These empirical researches and contingent models has laid the foundation for present research study to examine the cross cultural ethical attitudes of marketing managers while making decision at the chosen case study.

Research Design and Methodology: Research Design The present research is linked with the ethical attitude of marketing managers in order to investigate the impact of these behaviour and attitude on the cultural dimensions. Such research is of great significance as it is easy to gather the relevant information from respondents in short time (Sekaran, 2002).

For this study, the respondents are the employees working at Tesco supermarket and Sainsburys supermarket respectively. The approach for the research is a mixture of qualitative and quantitative and the research is designed according to the Christie, Won, Stoeberl & Baumhart, (2003) research pattern. In depth interview will be included as it is qualitative approach and the findings of interviews will be compared with the previous empirical researches. Structured and close ended questionnaire is used in this research in order to have more accurate data sorting. Research Method In this section of research various techniques and tools that are undertaken in this research are discussed. To critically examine the research questions these tools and techniques are used. In this research the instrument to find the answers of research question is a questionnaire which is the combination if close ended and structured questionnaire. This particular questionnaire used in the current study is alike the technique and approach of Dorman (2008) and Bhalotra (2003). Moreover, in this present investigation the data of both type that is qualitative and quantitative one is undertaken, this mixing of data was also commenced by Bhalotra (2003) and Dorman (2008) in their respective investigations. The value survey model for this study is alike the Geert Hofstedes Value Survey Module developed in1994. Instrumentation: In this questionnaire, there are 20 questions which allow the researchers to formulate score on dimension of systems of national value. All the questions are scored on a scale of five-point (Christie, Won, Stoeberl & Baumhart, 2003). Likert scale is the first inclusion in the instruement ranging from 1 to 5. (Where 1= utmost importance, 2= very important, 3= moderate importance, 4= little importance, 5= no importance). 20 questions included in the instrument are related to ethical attitude and work values that are used to measure the individualism dimension. Sampling Method The respondents are selected through the method of convenience sampling so that more generalzability is attained. The survey questionnaire based on value survey model will be distributed among the sample size. Data Collection The respondents for present research aging between 20-50 and on the basis of convenience sampling, the respondents are selected and the information is gathered from them. Moreover, the online information will be included so that more accurate findings are achieved, in order to do so Money Survey will be used in this study.

Time Table: For this research the time frame is one and a half month excluding holidays. The research probably begins at the probably in the last week on October which means from last week of this month till the early week of November the primary research will be carried out by visiting Hounslow Library and British Library, the online journals, internet research, articles will be studied. Once the secondary procedure is done, the primary research will be carried out by visiting Tesco supermarket and Sainsburys in the Hounslow. From the start of second week on November till the mid of November, the interviews and questionnaires will be circulated to gather the data from survey and from mid till the end of November, the data findings and sorting will be done, following by conclusion and recommendations. In the first week of December, the report will be ready in the soft copy as well in the shape of hard copy. Time-Table 24th October- 7th November 08th November-15th November 16th November-30th November 01 December- 5 December
th

Library research Interviews and Questionnaire Data Finding and sorting Final report

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