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1 “Don’t you like it? Yes, I don’t. You mean you do? No, I do…” Wing-sun Liu The Hong Kong Polytechnic University ITC The Hong Kong Polytechnic University Hung Hom Kln Hong Kong Tel: 852 2766 6444 Fax: 852 2779 1432 Email: [email protected] [email protected] Richard Elliott University of Exeter & Saïd Business School, University of Oxford School of Business and Economics University of Exeter Exeter EX4 4PU UK Tel: +44(0) 1392 263200 Fax: +44 (0) 1392 264425 Email: [email protected]

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“Don’t you like it? Yes, I don’t. You mean you do? No, I do…”

Wing-sun Liu

The Hong Kong Polytechnic University

ITC The Hong Kong Polytechnic University

Hung Hom Kln Hong Kong

Tel: 852 2766 6444

Fax: 852 2779 1432

Email: [email protected]

[email protected]

Richard Elliott

University of Exeter & Saïd Business School, University of Oxford

School of Business and Economics

University of Exeter

Exeter EX4 4PU UK

Tel: +44(0) 1392 263200

Fax: +44 (0) 1392 264425

Email: [email protected]

2

Content Area Codes: 24 56 75

Methodological Area Code: 24

For publication in ACR proceeding

An early version of this paper was discussed in a workshop hosted by EIASM, Brussels, May 12-14, 2000. The

authors are grateful to the comments of the participants in the workshop, in particular Dr Suzanne Beckmann and

Dr Susanne Friese. Thanks also go to Dr Yang Chung-fang of the University of Hong Kong, her dedication and

achievement in indigenous Chinese Psychology have always been an inspiration.

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Don’t you like it? Yes, I don’t. You mean you do? No, I do…

Abstract

This article discuses the inadequacies of extant consumer research on the Chinese consumer.

This huge market is full of complications, contradictions and confusions, and it has even been

argued that there’s no such thing as Chinese identity, only “ Chineseness”. The raw

transplantation of western theories and concepts of consumer behaviour to the Chinese

socio-cultural context can be a fatal trap. A Cross-Indigenous Ethnosemiotic approach to

consumer research is proposed.

4

Don’t you like it? Yes, I don’t. You mean you do? No, I do…

Native English speakers have probably come across this “different” kind of conversation with

a native Chinese speaker. I can still recall when I was small, in my English lesson the teacher

had to spend a long time to drill us to take on this logic. To a child who was alien to this new

language, this “negative and positive” logic just did not sound logical, I kept asking the

teacher for the reasons. Irritated by an inquisitive mind, my beloved and respected teacher

said, “ all because of a different culture.” Since then I have this very vague idea that culture

makes us think and act differently.

Since 1979, with the opening of China, this market with one fifth of the world’s population

and a 10% annual increase of consumer spending (Yan 1994) has stimulated a tremendous

growth of interest among both businessmen and academics. Academically, the prolific study

of China business does not meet with a parallel development in the area of consumer research.

In the iconic Journal of Consumer Research, only two papers on Chinese consumers have been

published in the last decade (Tse, Belk and Zhou 1989; Schmitt, Pan and Tavassoli 1994). In

Amazon.com, the self-advertised largest bookstore on earth, only 14 titles are related to

consumers in China.

Few would question the importance of China in the world economy, few would argue the

country has a unique and deep culture of her own, few would argue Chinese consumers do not

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act differently to their western counterparts. However, of the consumption culture of this 1.2

billion population we know very little. Challenging consumer researchers is a huge

population with 56 ethnic groups dominated by five major races (Wu 1991), all with their own

dialects and cultures, with other complexities woven in.

It’s so BIG

In 2003 the population in China is estimated to reach beyond 1.3 billion with a private

consumption of US$509 billion (The EIU 1999a). With the globalization of the economy, this

US$509 billion has already attracted investors from all over the world, with increasing

dominance from Europe and United States (The EIU 1999b). In academia, Universities have

given due concern to the growing importance of China as a big market, for example, there is a

China Business Center in the Manchester Business School, Professor John Child of

Cambridge University is directing a Chinese Management Center, Kellogg Graduate School

of Management has set up a strategic alliance with the Guanghua School of Management of

Peking University in China…… The market is so big that no one can afford to neglect it.

Extant Marketing/Consumer Research on China

Western images of the “Chinese National Character” derive from late-nineteenth and early

twentieth century missionary portrayals. To justify the funding and military support for their

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overseas proselytizing, they exaggerated their descriptions to justify funding and military

support. The most notable one perhaps is Arthur Smith’s explorations of “face”. (Kipnis,

1995)

A century later, this picture still lingers “ China” is still a sexy topic for researchers and

funding organizations in view of its unexplored and mythical nature. Replacing or elaborating

on face, Guanxi (personal relationships) is probably the most frequently mentioned

terminology in Chinese marketing studies (e.g. Davies 1995, Arias 1998) “Any marketer

wishing to be successful in Chinese economies would do well to understand how Guanxi

forms…” (Buttery and Wong 1999) Bjorkman and Kock (1995) further posit that the

relationship marketing advocated by the IMP group has its tradition in Guanxi. A beautiful

example of inter-cultural intellectual intercourse !

A convergence has not yet come to consumer research, notwithstanding the number of articles

and journals scattered around, consumer research in China is still in the infancy stage:

fragmentary and sometimes misleading. Stereotypes of consumer research in China today can

be exemplified by the works of Yau (1994) and Tam and Tai (1998). Yau’s book, Consumer

Behaviour in China, probably by far the most comprehensive study and very frequently

referred to in the study of Chinese business. Yau (1994) starts with a cultural analysis of the

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Chinese with a Confuciusian embellishment. A sample of 1,727 housing units is drawn, two

products: a ball pen and a mini cassette are used to verify the subject matter, a structural model

is then developed, hypotheses are tested and in his case LISREL is applied to the model.

Arbitrarily, the sample is only from Hong Kong; the empirical result is then generalized to the

1.2 billion “sizzling” Chinese consumers in the most distinctively different socio-cultural

context in the last 100 years of historical development. This casual generalization of results is

common. In another market study of females in “Greater China”, Tam and Tai (1998) sample

182 respondents from Guangzhou (a southern city of China) to represent the 1.2 billion

population in China, another two samples of 188 respondents each are selected for the 6

million population in Hong Kong and 20.6 million population in Taiwan respectively. In this

“Greater China” study, a raw transplantation of western ideas is using a simplistic approach

with little concern to the socio-cultural and historical context. Although they are well supplied

with convincing, well-constructed arguments and rigorous models, yet the fundamental

evidence is overlooked. The validity of the sample size is also questionable in view of the

huge Chinese population replete with a nuanced unity.

A Problematic Form of Unity

____________________________

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Insert Picture 1 about here

____________________________

The positivist approach to the complex unity of Chinese consumers is problematic. The

conventional view of China as a country with 5,000 years of uninterrupted history

characterized with a deep common culture does not entail an homogenous society. China is a

patchwork of local cultures (Cohen 1991), and standardization of local cultures are selective

(Ward 1965). Today, the whole population is composed of 56 ethnic groups (picture 1),

dominated by five major races: the Man (Manchus), the Meng (Mongolians), the Hui (ethnic

groups of Islamic faith in northwestern China), the Zang (Tibetans) and the Han (authentic

race). All of them have their own traditions, language and history. The concept of ‘Chinese’ is

complicated, for it represents an identity oriented towards a cultural and historical fulfillment

rather than the concepts of nationality and citizenship. (Wu 1991) More extremely, Wang

(1988, p.1) even argues that “the Chinese have never had a concept of identity, only a concept

of Chineseness” and many scholars would agree that China should be seen as a civilization

(Wang 1991).

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Liberally termed the “Greater China” (Mainland China, Hong Kong and Taiwan) ever since

the second world war, local identities of these three places have been re-contextualized,

picking up what was left from pre-war days, identities are then twisted and turned in new and

unexpected directions. (Liu and Faure 1996) In a Hong Kong identity study (Siu 1996), after a

century of British rule, a Hong Konger said the return of Hong Kong to China would make

them feel like foreigners in their own country. On the other hand, a strong movement in

Taiwan is advocating independence emphasizing the unique cultural heritage of the native

Taiwanese. On the Mainland, thousands of years of Confucian values were disrupted and

replaced by Marxism and Russian political models during the Cultural Revolution and then

further traumatized by major historical events. Today, Koreans are considered even more

Confucian than the Chinese (Hellmut and Ciarlante 1998). Caution must be taken when

classical Chinese traditional values are applied to the study of Chinese consumers today, they

may be withered, evolved, reshaped or even reinvented. The size and complex subtle nuances

of the Chinese market demand that consumer researchers severely question the transposability

of extant studies.

Transposability of Extant Studies

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Maslow’s hierarchy of needs is important in the understanding of “what” and “why’ of the

consumer purchase (Foxall, Goldsmith and Brown 1998; Solomon 1996). In the best selling

Kotlerian text targeting Asians, “Marketing Management: An Asian Perspective”, Kotler et al

(1996) have reiterated Maslow’s idea with a great degree of integrity. The applicability of the

hierarchy to the Chinese is, however dubious, particularly at the levels of self-actualization

(Redding 1982; Kindel 1983) and self- esteem (Kindel 1983). Even Maslow himself cast

doubt on its applicability to the Chinese and dismissed its cross-cultural viability (Maslow

1970). Engel (1985) has also questioned the cross-culturally validity of western marketing

models and concepts. The academic inertia of applying handy western models, without

contextual verification, to other cultures is highly dangerous.

An Indigenous Voice, From Far and Near

This is not an attempt to reject western models and theories of consumer behavior but in

applause of Van Raaji’s (1978) suggestion that we should study consumers in other cultures

with recognition of their own reality rather than blindly replicate Western studies. Consumer

research is beyond the realm of business/ marketing (Nicosia and Mayer 1976, Holbrook

1995), and the social sciences are drawn on heavily to study consumers and consumption. In

the social sciences, there’s already an awareness of the pitfalls in a blind replication of western

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concepts in different cultures and a localized or indigenous approach is proposed (e.g.Gergen

1988; Enriquez 1981; Kim and Berry 1993). In the main, this indigenous approach

emphasizes an understanding rooted in ecological, philosophical, cultural, political and

historical context (Kim and Berry 1993).

Focusing in on the Chinese subject, in 1980 social scientists met in Taipei for a conference on

“The Indigenous Approach on Social and Behavioural Science in China”. Since then, social

science theories on the Chinese have been rediscovered, reconstructed, developed and

indigenous research topics and methodologies explored (e.g. Chiu and Ying 1997, Hwang

1987, Yang and Bond 1990). This indigenous approach is reverberating in other areas of

management study. A group of scholars from a variety of disciplines in the University of Hong

Kong have just started to explore Chinese Values and Management Practices, and while their

major focus is on Organisational Behaviour and Human Resource Management, the study of

consumer behaviour is starting to stimulate intersect.

Soul Searching – Collectivist versus Holist

Hofstede (1980) started a new wave of discussion on individualism and collectivism (e.g.

Kim et al 1994), and even he agrees that at the individual level there exists a multidimensional

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model (1994). His concept of collectivism however, is often over simplified when it comes to

Chinese study (e.g Schutte and Ciarlante 1998, Buttery and Wong 1999). Triandis and

Gelfand (1998) have carried out studies of individualism and collectivism across eight

different cultures, the information collected is conflicting, they tell us that this kind of

characterization is an oversimplification and a culture should not be characterized as

individualist or collectivist. Referencing Hsu’s (1983) description of Americans as “Rugged

Individualists”, it may be too rugged to say Chinese are collectivists.

_______________________

Insert Picture 2 About Here

_______________________

Hsu (1981) describes the Chinese as ‘situation centered’, they relate themselves closely to the

outside world, and because emotionally they are shared they are under-determined in

representation. For example, Hsu (1981, p18) refers to the classical Chinese painting: “when

Chinese artists do portray the human form, they either treat is as a minute dot in a vast

landscape, or so heavily clothe it that the body is hidden. The facial expression of such figures

is nil. The viewer obtains a much better idea of the status, rank, prestige, and other social

characteristics of the subjects portrayed than he does of their personalities” . Picture Two is an

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classical Chinese painting from the Sung Dynasty (960-1279), it is entitled “Poet Tao Yuan

Ming in the Mountains”, which serves as a perfect example for Hsu’s description. The

characters, the poet and the servant are depicted through the landscape rather than through the

actual human forms or facial expressions.

Triandis (1999, p131) contends that “there is a major tendency of Western cultures in the use

of linear logic and decontextualised judgments. By contrast, in the East, thinking is more

holistic and context is used much more than in the West when making judgments.” According

to the discussion of Markus and Kitayama (1991, p227) on Chinese culture “there is an

emphasis on synthesizing the constituent parts of any problem or situation into an integrated

harmonious whole, persons are only parts that when separated from the larger social whole

cannot be understood”. It is this idea of holism that undermines the conventional

understanding of the Chinese as collectivist. Researchers are facing a mass of

situation-centered consumers, with an holistic view emphasizing harmonious wholeness

within a composite of cultures.

A Cross-Indigenous Ethnosemiotic Approach

With the sheer size of the market and its relatively unexplored nature, it is tempting for

researchers to study the market using quantification, rating scales and advanced

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data-gathering technology as contended by Hodock (1991), qualified by rather superficial

remarks as to the limitations of the study (Wells 1993). However, as discussed above Chinese

identity is ambiguous and paradoxical and this is particularly true in regard to emotion. It is in

the area of emotion that we can see how important an indigenous approach may be to the study

of the Chines consumer.

Qing: Real and Assumed Chinese Emotions

The role of emotion in consumer research has elicited a plethora of studies in the last decade

(Hirschman and Stern 1999). Elliott (1998) posits that much consumption experience is driven

by emotion and Strongman (1996) in a comprehensive study of theories in psychology

identified about 150 of them. In Chinese, qing is the word which denotes emotion and it is

hardly used alone in Chinese language, the specific meaning is determined by the character

which precedes it and follows after it. Ho (1949) has distinguished two levels of emotions

(qing) among the Chinese, the assumed and the real. Assumed qing is prescribed and

obligated by the socio-cultural calibrations. The real qing is cultivated through one’s real lived

experience. Yang (1991, p. 201) maintains that these two qings are mutually exclusive or

compensatory, in that both qings are essential in any emotional deliberation: “With these

levels of emotion (qing) operating in interpersonal interactions among the Chinese, people

usually treat each other with assumed qing when they think others treat them with assumed

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qing. Both levels of qing flow parallel with each other, each serving its function. The

assumed qing keeps society running harmoniously; people engaging in such interaction do not

expect real emotions from each other. Social interaction involving real emotion serves the

individual’s needs for love, safety, and security. This type of real emotion at first is shared

only among family members, and they can gradually operate under other types of dyadic

relations as well”. Qing is thus an ubiquitous and viscous element among the Chinese.

Hsu (1997) argues that the perhaps most constant element in people is “emotion” and the best

way to understand emotion is cross-culturally, through which commonalties and the

distinctiveness of different cultures may be truly comprehended. Cross-cultural study is also a

blending of etic and emic approaches. Using existing theories and methods to compare two

different cultures, they will then be verified, revised or rejected (Hofstede 1994, Triandis

1999). An indigenous approach (Kim and Berry 1993) upholds the importance of a deep

understanding of a particular socio-cultural context and examines how it interacts with the

individual. The cross-cultural and indigenous approaches are complimentary and not

mutually exclusive, thus a cross-indigenous approach is advocated (Enriquez 1993).

In order to study the Chinese consumer, it would be perverse to start from scratch. Existing

western theories and methods can be a framework on which a body of Chinese materials may

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be built. A cross-cultural approach in addition to a deep understanding of the socio-cultural

context will make possible the development of consumer study in a universal sense.

Elliott (1999) posits a new interpretive research paradigm, which endows the consumer with a

fragmentary and ambiguous nature. An ethnosemiotic approach is put forward to integrate

phenomenology, social representations and discourse analysis in an ethnographic study,

utilising multiple perspectives to explain the pluralities of meanings beyond the merely

rational.

The methodology of ethnosemiotics allows for the mixing of data collection approaches, such

as the use of impressionistic forms of looking and listening, together with personal

phenomenological narratives and more formal interview techniques. Once captured, data can

be analysed using the concept of social representations to identify shared imagery, and

consumer discourse analysed for variability in meaning and functional purpose. The

emotion-laden experiences of the consumer:- irrational, incoherent and driven by unconscious

desire; constrained by the market economy yet obtaining limited freedom through existential

consumption and symbolic creativity; able to build a D-I-Y self through consumption yet

suffering an expansion of inadequacy through advertising; these pose an enormous challenge

to consumer research. The concept of Chineseness is ambiguous, as a cultural identity it is

patchy and is continuously remade by factors across social, cultural, political and

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technological boundaries. The ethnosemiotic method converging with a cross-indigenous

approach could be the answer to the ambiguity and paradoxes of the Chinese market.

Don’t you like it? Yes, I don’t. You mean you do? No, I do…

As a country, China is turning from a producer to a consumer. The Chinese market is a fertile

ground to test and develop new, extant thoughts and concepts on the study of consumers. The

richness of the cultural context can suffocate or cultivate the growth of the discipline. For

growth, a Cross-Indigenous Ethnosemiotic approach is suggested.

When a Chinese customer says, “ No, I do.” Chances are he/she actually means “yes”.

18

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Picture 1

Picture showing people of the 56 ethnic groups in China

Source: Min zu da jia ting 1996

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Picture 2

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