An Investigation of Low-Income Consumers Coping with Poverty
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POOR BUT NOT IN DESPAIR: AN INVESTIGATION OF LOW-INCOME CONSUMERS COPING WITH POVERTY A Master’s Thesis by GÜL YÜCEL Department of Management İhsan Doğramacı Bilkent University Ankara September 2012 POOR BUT NOT IN DESPAIR: AN INVESTIGATION OF LOW- INCOME CONSUMERS COPING WITH POVERTY Graduate School of Economics and Social Sciences of İhsan Doğramacı Bilkent University by GÜL YÜCEL In Partial Fulfillment of the Requirements for the Degree of MASTER OF SCIENCE in THE DEPARTMENT OF MANAGEMENT İHSAN DOĞRAMACI BILKENT UNIVERSITY ANKARA September 2012 I certify that I have read this thesis and have found that it is fully adequate, in scope and in quality, as a thesis for the degree of Master of Science in Business Administration. Assist. Prof. Dr. Ahmet Ekici Supervisor I certify that I have read this thesis and have found that it is fully adequate, in scope and in quality, as a thesis for the degree of Master of Science in Business Administration. Assist. Prof. Dr. Özlem Sandıkçı Examining Committee Member I certify that I have read this thesis and have found that it is fully adequate, in scope and in quality, as a thesis for the degree of Master of Science in Business Administration. Assist. Prof. Dr. Berna Tarı Kasnakoğlu Examining Committee Member Approval of the Graduate School of Economics and Social Sciences Prof. Erdal Erel Director ABSTRACT POOR BUT NOT IN DESPAIR: AN INVESTIGATION OF LOW-INCOME CONSUMERS COPING WITH POVERTY Gül Yücel Msc., Department of Management Supervisor: Assistant Professor Ahmet Ekici September 2012 This thesis explores mechanisms low-income consumers use to cope with material constraints and increasing pressure of consumer culture. Data were collected through qualitative research methods and draw upon twenty-two female low-income consumers. Findings suggest that consumption restrictions do not always end up with severe negative consequences because of mainly four factors. These factors affect low-income consumers’ approach to poverty and provide mechanisms to low-income consumers to cope with consumption restrictions. First, many of the informants cope with material constraints by redefining the meanings of poverty and proactively resisting consumer culture through utilizing religious discourses and norms. Second, structural issues such as their roots in village and living with people who have similar backgrounds affect the intensity of felt deprivation and their coping in the city. Third, low-income consumers find unconventional ways of meeting their needs and wants through effective and creative uses of their resources. Lastly, those who receive or accept social support are better able to handle material restrictions. Low- income consumers use community ties to boost their identities and differentiate themselves from affluent consumers. The thesis ends with a discussion of contributions, implications, limitations, and future research directions. iii Keywords: Poverty, low-income consumer, felt deprivation, coping, consumption constraints, consumer culture, religion, effective and creative uses of resources, rural and cultural background, social capital. iv ÖZET YOKSUL AMA ÇARESİZ DEĞİL: DÜŞÜK GELİRLİ TÜKETİCİLERİN FAKİRLİKLE BAŞA ÇIKMA YOLLARININ ARAŞTIRILMASI Gül Yücel Master, İşletme Fakültesi Tez Danışmanı: Ahmet Ekici Eylül 2012 Bu tezde düşük gelirli tüketicilerin maddi kısıtlamalar ve tüketim kültürü ile nasıl başa çıktıkları araştırılmıştır. Çalışmada kalitatif araştırma metodları kullanılmış ve yirmi iki düşük gelirli bayan tüketiciyle görüşülmüştür. Bulgular, dört faktörün düşük gelirli tüketicilerin fakirliğe olan yaklaşımını etkilediğini ve tüketim kısıtlamaları ile başa çıkmalarına yardımcı mekanizmalar sağladığını göstermektedir. Öncelikle, birçok tüketici maddi kısıtlamalarla, dini öğretiler yoluyla, fakirliği tekrar yorumlayarak ve tüketim kültürüne proaktif bir şekilde karşı koyarak başa çıkmaktadır. Diğer yandan, düşük gelirli tüketicilerin köy kökenli olmaları ve benzer geçmişe sahip kişilerle yaşıyor olmaları, yoksunluk hissinin yoğunluğunu ve maddi zorluklarla başa çıkmalarını etkilemektedir. Davranışsal başa çıkma stratejisi olarak düşük gelirli tüketiciler kaynaklarını etkili ve yaratıcı şekilde kullanarak ihtiyaç ve isteklerini karşılayabilmektedir. Son olarak, sosyal destek alan veya almayı kabul eden düşük gelirli tüketicilerin maddi kısıtlamalarla daha iyi başa çıkabildiği gözlemlenmiştir. Düşük gelirli tüketiciler sosyal bağlarını kullanarak kişiliklerini desteklemekte ve kendilerini zengin tüketicilerden ayırt etmektedirler. Son bölümde araştırmanın akademik bilgiye katkıları, sınırlı kaldığı yönleri ve ileride yapılacak araştırmalara dair öneriler tartışılmaktadır. v Anahtar Kelimeler: Yoksulluk, düşük gelirli tüketici, hissedilen yoksunluk, başa çıkma, tüketim kısıtlamaları, tüketim kültürü, din, kaynakların verimli ve yaratıcı şekillerde kullanımı, kırsal ve kültürel geçmiş, sosyal sermaye. vi ACKNOWLEDGEMENTS I would like to thank many people who have contributed to the creation and completion of this thesis. My thanks begin with my supervisor Dr. Ahmet Ekici for his guidance and help during the process of writing this thesis. I would like to express my special appreciation to Dr. Özlem Sandıkçı for her valuable insights and advices on my thesis. I also thank Dr. Berna Tarı Kasnakoğlu for her thorough reviews and comments. I am grateful to Duygu Akdevelioğlu, who contributed to this thesis in various stages especially in data collection, and shared this process with me, always offering help and support. I owe special thanks to Meltem Türe for her encouragement, fruitful discussions and great help on the theorization of the findings. I wish to express my deep sense of gratitude to Nilgün Aki and Sitare Kalaycı who helped me a lot on the difficult task of finding informants. I also want to thank informants who generously contributed to this study by answering my questions and providing their views openly. Finally, I would like to thank my family and friends for their understanding and support through the duration of this study and my mother Nuran Yücel for her help in the data collection process. vii TABLE OF CONTENTS ABSTRACT ............................................................................................................................ iii ÖZET ........................................................................................................................................ v ACKNOWLEDGEMENTS ................................................................................................... vii TABLE OF CONTENTS .................................................................................................... viii CHAPTER I: INTRODUCTION ........................................................................................ 1 1.1. Context.............................................................................................................................................. 1 1.2. Research Objectives ..................................................................................................................... 4 1.3. Trajectory of the Thesis ............................................................................................................... 4 CHAPTER II: POVERTY AND CONSUMER RESEARCH ..................................... 9 2. 1. What is Poverty ......................................................................................................................... 11 2. 2. Poverty in Turkey....................................................................................................................... 13 2. 3. Poverty Research in Turkey .................................................................................................... 15 2. 4. Consumer Culture and Poverty .............................................................................................. 16 CHAPTER III: POVERTY AND COPING ................................................................... 20 3.1. Exchange Restrictions................................................................................................................ 21 3. 2. Consequences of Restrictions ................................................................................................. 23 3.2.1. Felt Deprivation ..................................................................................................................................... 25 3. 3. Coping Strategies ....................................................................................................................... 26 3. 3. 1. Emotional Strategies .......................................................................................................................... 27 3.3.2. Behavioral Strategies ........................................................................................................................... 29 3. 4. Poverty and Subjective Well-Being ..................................................................................... 31 CHAPTER IV: METHODOLOGY .................................................................................. 33 4.1. Methods of data collection ....................................................................................................... 33 4.2. Sampling ........................................................................................................................................ 34 4.3. Ethics ..............................................................................................................................................