A Cross-cultural Study On Advertising Communication In China And America Applied By American Multinational Companies In Fast Moving Consumer Goods Industry

Many American multinational companies (MNC) in Fast Moving Consumer Goods (FMCG) industry are facing serious troubles in China. In order to improve the promotional effectiveness, advertisers and marketers of American MNCs in FMCG industry need to apply relevant advertising appeals that reflect the cultural values of the target market. Since the strategies of effective advertising vary with different products, an industry-specific study is of significance in generalizing industry features.This study investigates the similarities and differences of cultural values manifested in advertisements applied by American multinational companies (MNCs) in fast moving consumer goods (FMCG) industry in both country-of-origin (America) and country-of-target (China), through analyzing the advertising appeals demonstrated in the advertisements. Hofstede's cultural values and modified Pollay's advertising appeal system are employed as theoretical framework of this study.Both qualitative and quantitative content analysis are performed to compare 160 FMCG advertisements (80 from China and 80 from America) to seek answers to the following questions: (1) what are the most frequently demonstrated advertising appeals in FMCG advertisements applied by American MNCs in FMCG advertisements in China and America respectively? (2) What are the major similarities and differences of the use of advertising appeals? (3) Is the use of advertising appeals in FMCG advertisements in China and in America attributed to Hofstede's cultural value orientations?Similarities are visible in the use of primary FMCG advertising appeals. Two appeals such as Effective and Enjoyment that emphasize product merits are most frequently utilized in both Chinese and American FMCG advertising. Similarities are also found in the use of least demonstrated appeals like Cheap, Dear, Morality and Modesty in both countries, because these appeals are not in accordance with FMCG products characteristics. Significant difference is found in the use of 13 out of 31 advertising appeals such as Affiliation, Independence and Nurturance. A pattern of differences are observed in FMCG advertising between China and America when the advertisements are examined within Hofstede's theoretical frameworks. FMCG advertisements in China are more likely to use advertising appeals that indicate the cultural values of Collectivism, Femininity, Low Power Distance and Long-term Orientations. While value orientations of Individualism, Masculinity and Short-tern Orientations are found in America. So, this study supports the idea that most of the observed between-country differences are attributable to between country differences in cultural values. However, not all the uses of FMCG advertising appeals are attributed to cultural values. Advertising appeals that indicate Low Power Distance dimension is closely related to the product characteristics of FMCG industry.This study demonstrates the effectiveness of Hofstede's theoretical frameworks and their linkage with advertising appeals in visualizing a broad representative picture of cultural differences in FMCG advertising. However, the mixed results of this study suggest that neither a perfect global nor a local approach yet exists in FMCG advertising. Meaningful suggestions of glocal strategy for FMCG advertisers are given by this study results. For example, FMCG advertisers could consider utilizing some Chinese cultural values such as "family and group integrity", "interdependence with others", "tradition", and "close to nature" in advertising content when deciding FMCG advertising messages to be advertised in China. In contrast, FMCG advertisers could consider utilizing cultural values such as "independence", "freedom", "self-confidence" and "casual" when deciding advertising messages to be advertised in America.