THE SURPRISING ENEMY OF SUSTAINABILITY? AN OVER-RELIANCE ON ANALYTIC THINKING

“The world we have created is a product of our thinking. If we want to change the world, we have to change our thinking.” — Albert Einstein

o Ancient Greek culture emphasized individualism, an independent view of the self, and analytic thinking

o The West is still heavily influenced by ancient Greek values, beliefs, and style of thinking

o An over-reliance on analytic thinking is not conducive to solving sustainability issues

o Incorporating behavioral sustainability — a more holistic framework — is the path to a better collective future

Table of Contents

• Recognizing Sustainability as a Human Problem

• The Intimate Relationship Between Culture and Psychology

• Ancient Greek Culture and its Lingering Effects on the West

• Analytic Thinking and its Implications for Sustainability

• Holistic Thinking: Lessons from Ancient China

• The Best of Both Worlds: The Importance of a Balanced and Integrative Perspective

• Introducing Behavioral Sustainability as an Integrative Solution

Like everyone else in the U.S. and across the world, I spent most of 2020 wondering what our collective future will look like. There has been a lot to contemplate, including the worsening climate crisis, intensifying racial tensions around the BLM movement, wildfires, hurricanes, and the COVID-19 global pandemic. Why has the U.S. — given its vast resources and infrastructure — been unable to contain the COVID-19 outbreak to the same degree as other countries, including my home country of Japan, have? Why is the U.S. still grappling with institutionalized racism decades after the official end of slavery? Why can’t we reduce and eliminate extreme inequality?

As a cross-cultural behavioral scientist, my instinct is to understand human behavior — how we act, and how we make choices and decisions — using a cultural lens. And using that lens, I have always suspected that individualism is a key part of the problem. Individualistic tendencies don’t exactly help us when we need to tackle sweeping issues that involve the well-being of countless stakeholders. But I knew I was still missing something in my theory. A few weeks ago, I had an epiphany: to put ourselves on a better, more sustainable trajectory, we need to change how people, specifically, individualists, behave by changing how they think.

Individualism didn’t just appear out of thin air. Individualistic beliefs and behaviors are tied to a certain style of thinking that is prevalent in the West. Without understanding how this style of thinking influences how people behave, we can’t change how people behave. And to understand and ultimately change how people think, we need to tap into the knowledge behavioral science researchers have gained about human psychology, styles of thinking, and behavior.

Now that I have arrived at this idea, I feel compelled to share it with as many people as possible, as quickly as possible, because we — all humans — need to care about sustainability for our own sake. While the world would indeed be a better place if everyone had the means and the interest to care about the well-being of life on earth and behaved better towards each other, we would be naïve to think that the end goal is that. Whether you care about the plight of people on the other side of the world or not, ultimately, the sustainability of the earth’s vast ecosystems determines everyone’s quality of life. The difficult truth is that it is only a matter of time until even the affluent will become unable to protect themselves from the effects of unsustainable practices and climate change. In fact, this year’s global pandemic, extreme weather, and wildfires are emblematic of this shifting reality, as even the most privileged were stripped of their ability to travel, see their friends and family, and enjoy the outdoors. We need to get serious about building a world that is worth living in and worth passing onto future generations. It’s time to figure out how to change our collective behaviors.

In this article, we will first explore the historical and cultural influences on decision making; we will then examine in detail the relationship between our culture and our psychology, and how our different styles of thinking manifest in our behaviors. Finally, we will conclude with my concept of behavioral sustainability, and why I think it is a critical framework that can help us build a better future.

WHETHER YOU FEAR OR EMBRACE NEW TECH DEPENDS ON WHERE YOU’RE FROM

· A handheld device that enables customers to order food and drinks from their karaoke room.
· A button attached to the table that customers push to alert a waitress.
· A slew of vending machines that sell everything you can imagine: alcohol, ramen, underwear, umbrellas, rice, newspapers, cell phones.
· Love hotels where guests can check in discreetly without interacting with other human beings.

Tourists visiting Japan for the first time often feel compelled to take a photo of the ubiquitous high-tech washlet toilets. These fixtures are hardly new; they have been on the market since 1980 and have more than 80 percent market penetration. Years before the Internet of Things became a phenomenon in the West, Japanese people were using their mobile phones to run their baths remotely while in a cab. They were also using a single card on their phones to buy groceries from a store, get green tea from a vending machine, and pay the fare for trains and buses.
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Evidence from cross-national academic research suggests that the speed of innovation adoption has historically been significantly faster in Japan, South Korea, and Taiwan than in the U.S. Aside from various market conditions and economic factors, why have Japanese people historically been more comfortable than Westerners with the new and the strange?

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​EXPERIENTIAL RETAIL IS OLD NEWS: WHAT THE U.S. CAN LEARN FROM ASIAN RETAIL

o  A Disney store that caters to adults, featuring interactive mirrors and fixtures subtly adorned with character details.
o  Cat cafés where customers can fraternize with owls while enjoying a cup of coffee.
o  A skatepark perched on top of a shopping mall.
o  A department store with a 2-story basement food market (depachika in Japanese) brimming with a vast array of renowned restaurant, dessert, and niche culinary brands.
o  A Muji Café where customers can peruse high quality, "private label" merchandise and/or sit down to grab a healthy bite.
o  A stationery store where customers can browse the dizzying array of stationery products from all over the world and delight in their newly purchased journal and fountain pen while sipping on a glass of wine.
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These are just a handful of not-so-new Japanese retail concepts that have been in existence for quite some time. In fact, in Japan as well as in other Asian countries, these types of experiential retail stores are not the exception but the norm. In such markets, retail businesses are required participate in a dynamic and perpetual cycle of invention and reinvention to stay competitive.
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Given the prevalence of such retail models in the East, can experiential retail really be considered the new face of retail? In the U.S., perhaps. However, experiential retail has a long history in Asia, most notably in Japan, where there is no clear distinction between experiential and traditional retail. Particularly in Japan, providing an experience has always been at the foundation of retail. Why is this the case?

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SURVIVAL OF THE FITTEST – WHY DIFFERENTIATED PHYSICAL RETAIL IS HERE TO STAY

For the last few years, there has been constant chatter about the imminent decline of brick and mortar retail, caused primarily by the rise of e-commerce. In fact, there is no question that department stores and malls are seeing rapidly declining sales—and traffic—as consumers virtually flock to online stores. Thanks to the various startups that have developed convenient online platforms to help us get everything done with only a few clicks—whether it’s ordering groceries on Instacart, satisfying a food craving on UberEATS, or utilizing 2-day shipping on Amazon to buy a picnic blanket for an upcoming beach day—we are able to painlessly make most purchases on our preferred devices.

However, the not so surprising truth is that most consumers actually still prefer to shop in physical stores. Humans are inherently social creatures, and like to interact and engage with others—in person. We also enjoy using our five senses. When it comes to products, we like to touch, smell, feel, see, and hear. Even though countless Silicon Valley engineers are working day and night to advance AR and VR technology, we are nowhere near a point at which such experiences can replace actual reality. (And that may never truly happen.)

But are all stores and categories of products created equally? The answer is an unequivocal no, which is why we see the widening gap in foot traffic between retail with antiquated, stale concepts and newer ones that incorporate elements that resonate with today’s consumers. Over the years, consumers have developed into more sophisticated shoppers who are savvy about retail, brands, and the companies that are trying to reach them. They are able to quickly and comprehensively conduct information searches online, and educate themselves about the hottest new brands, as well as about an organic ice cream shop that opened up halfway across the world. Armed with information about brands and stores that excite them, consumers can easily choose to avoid the rest.

Simply put, retail businesses that are winning consumers’ hearts are the ones that understand that in the world we live in today, the consumer herself is the most important channel. Omni-channel is the buzz word du jour, but in reality, all retailers increasingly need a direct link to the consumer, regardless of where she is shopping. The reason is that one-click online shopping has commoditized a lot of the consumption process and thus people have become channel-agnostic. As such, when consumers choose to make the trek to a store today, they do so because they are looking for an enjoyable, elevating experience. They expect to walk into a store that looks, feels, and smells pleasant and exciting. They expect to be able to browse an elegantly curated selection of items that pique their interest, and receive thoughtful recommendations and advice from employees should they want it. In other words, they are looking for an experience that is holistic, engaging, and entices them to get off the couch.

Therefore, savvy retail businesses—regardless of whether they are apparel stores or home improvement centers—know that the experience they provide must be differentiated, relevant, and authentic. Bluemercury, a beauty retail chain recently acquired by Macy’s, is an example of a retail company that is successfully growing its store base amid a pronounced decline in retail foot traffic. The company prides itself on having highly trained employees who are extremely knowledgeable about beauty and skincare, and are genuinely interested in helping their customers. They are trained to provide detailed expert advice and to never push products. They understand that selling their products is only part of the reason to have physical stores. With all the e-commerce options available today, it is clear that when consumers step foot in a Bluemercury store, it is because they proactively want to.

Similarly, shopping complexes that are vibrant and buzzing with activity are the ones that employ dynamic elements, and adeptly utilize brand pop-up shops, live entertainment, upscale eateries, and wine tasting events to attract patrons. Eateries where customers can eat and shop are becoming increasingly popular. More than ever, the ability to seamlessly execute carefully thought out, experiential retail concepts is becoming a critical success factor. Physical retail businesses that resonate with consumers and add value to their lives are certainly not dying—they are actually thriving because they understand that consumers’ consumption preferences and behaviors have irreversibly changed. Differentiated retail is here to stay.

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(EAST) ASIAN CONSUMER BEHAVIOR - 5 THINGS EVERY LUXURY BRAND SHOULD KNOW

1. Tell the brand story
Asian consumers love to learn about brands. Years of studying and collecting empirical evidence on cross-cultural differences in consumer behavior have taught me that this consumer behavior is significantly more robust among Asians than among Westerners. This consumer desire manifests itself in a research process that includes searching for details about product specifications and manufacturing processes as well as about the brand’s history and heritage. Asian consumers are delighted to learn about the founder’s upbringing, how the brand came about, and what the logo stands for. They want to know why the brand is unique. Asian consumers view gaining brand knowledge as an asset that they can then share with others. 

2. Mind the physical-digital retail gap
When compared to other mature markets, businesses in Asian countries, including Japan, are lagging behind in developing e-commerce sites for their brand. Though consumers still generally prefer shopping in brick and mortar stores, brands need to ensure that there is seamlessness and cohesiveness between their physical and digital stores. The biggest challenge for e-commerce in Asia is to ensure a high level of service. In effect, it is critical for Asian mobile messaging platforms such as WeChat and Line to develop user-friendly functionalities that enable consumers to click and purchase products with ease.

3. Really serve the customer
Given that Asian cultures are generally more collectivistic and hierarchical when compared to Western cultures, Asian consumers expect employees to be highly attentive and to anticipate and fulfill their needs even without overt communication. Under no circumstances can service feel transactional; instead, it needs to feel personal and customized to individual consumers. Consumers expect a flawless service experience, a reality that makes it essential to train and educate store employees to greet consumers properly, keep the right distance, and to walk each consumer to the door.

4. Obsess over the details
The high-end Japanese department store, Isetan, is famous for the intensive training in gift wrapping its employees are required to undergo. Every step, from folding and creasing the paper, to tying the ribbon on the gift, has to be perfect. If there is even a single blemish on the wrapping paper, the employee starts over. The customer’s time is precious, so gift wrapping must be done perfectly and efficiently. In addition, glass display cases must be impeccably polished at all times. Not a single speck of dust should be seen anywhere in the store. The bathrooms must be elegantly decorated and pristine. This level of attention to detail and quality control is especially important in the luxury context.           

​5. Respect the seasons
Asian cultures have a very intimate, deep-rooted relationship with nature. As a result, seasonality has a very strong influence on the market. Asian consumers love seasonal products and other limited edition products. Major luxury houses understand this very well, and regularly launch limited edition designs in different locations, and host season-inspired events that incorporate nature. For example, Moët-Chandon sponsors cherry-blossom inspired events in the spring in Japan, while other luxury houses launch Chinese zodiac-inspired collections during the Lunar New Year. To be successful in Asian markets, luxury brands need to gain a deep understanding of the consumers’ relationship with nature and its seasons.

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​WHY SOCIAL INFLUENCERS ARE EFFECTIVE BRAND AMBASSADORS

We all have images of what we want, and aspire to be. Women of all ages want to feel beautiful, sexy, and glamorous. Men want to feel strong, bold, and masculine. Accordingly, marketing campaigns for luxury brands are designed specifically to stoke the aspirational flame and make us feel more fabulous when we are carrying an Hermès bag or driving a Bentley.

With that said, it is not surprising that celebrities are often asked to become brand ambassadors. When we see Charlize Theron donning a Chanel gown, or Roger Federer wearing a Rolex, we associate the brand with an alluring lifestyle that is, for the most part, impossible to attain. Luxury houses want these iconic figures to represent their brands because they look the part, and because they fit the brand image—what the brand stands for. Celebrities are attractive, and psychological research has repeatedly demonstrated that whether we want to acknowledge it or not, we find attractive individuals more likeable. By endorsing brands, celebrities create what is called a halo effect around these brands—they make the brands appear even more attractive and alluring than they already are. The reverse is also true, of course; luxury brands create a halo effect around the celebrities (and anyone, for that matter) who consume them. So when we see A-list celebrities living their lavish lifestyle that is brimming with luxury brands, we inherently understand that they live in a different universe, but—or perhaps precisely for that reason—we still aspire to be like them. In effect, these synergistic partnerships between luxury brands and celebrities have been a key component of marketing campaigns for decades.

However, recently, more and more businesses—both luxury and non-luxury—have been engaging a new generation of social influencers to help promote their brands. Dior recently launched its “J’Adior Dior Shoes” online popup campaign, which is structured around 4 female social influencers. In contrast to the more typical ambassadors such as actors, musicians, and athletes, social influencers are consumers who have a strong following on social media sites such as Instagram and YouTube.

​So why do businesses want them to represent their brand? What additional value do they bring to the table?
The simple answer is that they fit "the Goldilocks criteria." They feel more relatable than celebrities do, yet still have significant social cachet. Sure, they do not run in the same circles as Karlie Kloss and Justin Bieber do, but they are also more celebrity-like than we are. After all, there must be a reason why millions of Instagrammers find their posts worth following. When we look at social influencers, we feel that perhaps if we ventured out more to interesting restaurants to snap photos of delectable bites, were more diligently on the lookout for the next hottest item to Tweet about, or used better filters on our pet photos, we could gain more followers and eventually be noticed by Moët Chandon or Burberry. We feel that if we wanted to, and that if we tried a little harder, we could be more like them, or even become one of them. What they have and are, feels more attainable than what Gigi Hadid has or is.

It is a fact that we are naturally drawn to, and are more easily persuaded by, people who are more like us. This is what the renowned psychologist Robert Cialdini aptly calls the principle of liking. We like people who are more similar to us, because they are more relatable and make us feel more comfortable. From this perspective, it can be argued that social influencers represent a more persuasive marketing tool than do celebrities, especially if they are perceived as the authority figure in the endorsed brand’s space. According to Cialdini, we are inclined to obey authority figures, because we automatically assume that they know best. So if a yoga instructor with over a million followers endorses Lululemon, we will feel very motivated to buy Lululemon leggings to bring to our next retreat.

​Given that young consumers pay close attention to the authenticity and relatability of brands, we should expect social influencers to continue to be an essential part of the marketing strategy. In fact, one could even claim that influencers are now a requisite component of any brand building endeavor.

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SELF-EXPRESSION THROUGH BRAND AND CONSUMPTION CHOICES: ​EXAMINING CROSS-CULTURAL DIFFERENCES

        ​In this dissertation, I investigated how the brand and consumption choices across cultures vary in meaning. In particular, I examined how self-expression through choice varies between the Western and East Asian cultural contexts due to the difference in how the self is viewed. Specifically, Westerners express self-consistency because they view themselves as independent and consistent regardless of the context. In contrast, East Asians express through self-improvement efforts because they view themselves as interdependent and thus have an obligation to invest effort into becoming a model social being through self-improvement.
        The topic of self-expression is particularly relevant and intriguing in the East Asian cultural context, as the most common portrayal of East Asian individuals emphasizes the conformist, socially obligated nature of their being. Hence, in this current research, I explored the meaning of East Asian individuality and selfhood in the context of brand and consumption choices.
        In Experiments 1 through 3, the results provided converging evidence that Western individuals have a higher self-brand connection when compared to East Asian individuals, and therefore are more loyal to the brands that they favor. In contrast, East Asians are less loyal to brands because of their higher interest in non-brand attributes.
        In Experiments 4 and 5, I focused on the luxury brands category to further explore the cross-cultural difference in brand and consumption choices. The results confirmed that East Asians, when compared to Westerners, have a higher appreciation for distinctive but relatively intangible features involving craftsmanship and heritage.
        In Experiment 5, I explored the topic of East Asian self-expression more directly. The results confirmed my hypothesis that East Asians self-express through their consumption choices by selecting the more unique, less popular option over the standard, more popular option—but only when it is socially appropriate to do so.
        The findings from this research provide new insight into the cross-cultural differences in how people self-express through their brand and consumption choices as a result of their varying self-concepts. Furthermore, the findings also shed additional light on the concept of East Asian self-expression, and confirm that one does not have to subscribe to the principles of individualism to be an individual.