36 Customs Religion and Culture Different countries have different lifestyles

36 customs religion and culture different countries

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3.6 Customs, Religion and Culture Different countries have different lifestyles, values and perceptions. Within a country, different religious or ethnic groups may have different characteristics, views and preferences. These differences have an impact demand. Products that may be highly significant to one group due to religious customs, cultural rituals or other may play a minor or even no role at all to other groups. This driver of demand affects Volkswagen as the demand for cars in general or specifically of Volkswagen cars can actually differ among various cultures. For instance, Volkswagen enjoys a special popularity in Germany due to the fact that it is a German brand and locals may be in favor of supporting the company. Also, different cultures have different perceptions on e-mobility. In the United States, e-mobility is currently not a major issue for most customers. These factors need to be taken into account for Volkswagen when deciding which products to sell in which market and play an essential role for marketing and advertising decisions.
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3.7 Future expectations Future expectations can affect demand in a positive or negative way. When thinking about the effect of future expectations on demand, the first thing most people think of is price. If prices are expected to go up in the future, people tend to buy more today and vice versa. However, future expectations are not only driven by price. For instance, technology represents another key effect that influences demand. On top of that, a person’s income can also impact future expectations. If people expect their income to rise in the future, they might adopt their current demand to their expected income in the future. Also, if there is an expected market decline or other negative predictions, the opposite effect may likewise occur. Applying this driver to Volkswagen, leads us again to the concept of e-mobility that has already been mentioned for previous determinants of demand. Volkswagen seems not to be the top of mind brand when it comes to electric cars right now, but taking a look at their (German) website, shows their current effort in this area. By 2020, Volkswagen promotes an electric car being able to drive 600km. By 2025, they actually want to manufacture a car that drives fully automated. Overall, Volkswagen is embracing the future trend of green technology. However, the embrace of future green tends has led VW into some trouble last year, because of false promises. However, the awareness of green thinking is present and strongly promoted by the company. Taking the common example of prices for future expectations, the development of gasoline prices may also influence the demand for some customers and make them particularly attracted to fuel efficient cars or possibly even public transportation or car sharing.
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  • Winter '18
  • Renault, Volkswagen, Porsche, Volkswagen Group, Scania

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