Corporate brand alignment and identity change. The case study of Cinecittà Studios.

1
ANALYZING IDENTITY CHANGE PROCESS THROUGH
STRATEGIC CORPORATE BRAND ALIGNMENT:
THE CASE STUDY OF CINECITTA’ STUDIOS IN ROME
8TH
GLOBAL BRAND CONFERENCE
OF THE AM’S BRAND, CORPORATE IDENTITY AND REPUTATION
SPECIAL INTEREST GROUP
Simonetta Pattuglia, Assistant Professor Marketing and Communication
pattuglia@economia.uniroma2.it
Michela Mingione, PhD Student, Marketing and Communication
michela.mingione@uniroma2.it
UNIVERSITY OF ROME TOR VERGATA, ITALY
Full article available at: Pattuglia, S. and Mingione, M. (2015) “Analysing identity change
process through strategic corporate brand alignment: The case study of Cinecittà Studios”,
Mc Graw Hill, ebook 978 88386 93397.

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Simonetta Pattuglia, Michela Mingione
ANALYZING IDENTITY CHANGE PROCESS THROUGH STRATEGIC CORPORATE BRAND ALIGNMENT: THE CASE STUDY OF CINECITTA’ STUDIOS IN ROME
Theoretical framework
1
Methodology
2
Results
3
Conclusions
4
Agenda
Main references
5

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Organizational identity and corporate identity:
two sides of the same coin (mulidisciplinary perspective)
Organizational identity is part of corporate identity (Balmer, 2001b)
Organizational identity and corporate identity are “alter egos” (Balmer and Greyser, 2003)
Organizational identity and corporate identity are unified under the label of “collective identity”, which is:
distinctive, fluid, strategic and provides basis for shared perceptions and superior outcomes (Cornelissen,
Haslam and Balmer, 2007)
CONVERGENCE
CONVERGENCE

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Identity change process:
fostering change and stability (multidimensional perspective)
Despite the definition of Albert and Whetten (1985) drove identity literature, the main dimension
refused by scholars is the temporal continuity: identity is fluid, evolving and adaptive (Gioia
and Thomas, 1996, Gioia et al., 2000, Brown and Starkey, 2000, Balmer 2001, Meyer et al.,
2002, Clark et al., 2010).
EXTERNAL
DIMENSION
Identity-reputation dissonances
Construed external image discrepancies
Deterioration of image
External orientation
FOSTER CHANGE
Dutton, Dukerich, 1991
Elsbach, Kramer, 1996
Fombrun, 1996
Gioia,Thomas, 1996
Gioia et al., 2000
Chreim, 2002
Martins, 2005Desired future image
Threats to employees’ identity
FOSTER STABILITY &
GENERATE RESISTANCE
Reger et al., 1994,
Elsbach,Kramer, 1996,
Bouchiky,Kimberly, 2003,
Jacobs, 2008,
van Dijk,van Dick, 2009
INTERNAL
DIMENSION

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Looking for multidisciplinary and multidimensional
identity change models (corporate brand perspective)
TO CREATE, MAINTAIN AND CHANGE IDENTITY
DYNAMIC INTERACTIONS BETWEEN INTERNAL
AND EXTERNAL DIMENSIONS (Hatch and Schultz, 2002)
EXTERNAL IMAGE AND
ORGANIZATIONAL CULTURE
ARE COMPLEMENTARY,
ESPECIALLY DURING CHANGE PROCESSES
(Ravasi and Schultz, 2006)
A CORPORATE BRAND PERSPECTIVE
As symbols allow interpretations and operate in an integrative manner (Brown, 1994), this work in order to
deal with multidisciplinary and multidimensional perspectives, follows a corporate brand perspective. The
alignment between multiple dimensions and identity is required in order to create, manage and maintain
successful corporate brands (Hatch and Schultz, 2001, 2008; Balmer, 2012)
VCI ALIGNMENT MODEL
(Hatch and Schultz, 2001, 2008)
Alignment between
STRATEGIC
VISION
AC4
ID TEST
(Balmer, 2012)
Alignment between
STAKEHOLDERS
IMAGE
IDENTITY ORGANIZATIONAL
CULTURE
ACTUAL
IDENTITY
C1
OMMUNICATED
CB IDENTITY
C2
ONCEIVED
CB IDENTITY
C4
ULTURAL
CB IDENTITY
IDEAL
CB IDENTITY
DESIRED
CB IDENTITY
C3
OVENANTED
CB IDENTITY

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A corporate brand perspective: Balmer’s AC4
ID
 Actual identity: “what we really are”, related to the concept of
corporate identity;
 C1
ommunicated corporate brand identity: “what we say we are”,
related to the disciplinary area of corporate communication;
 C2
onceived corporate brand identity: “what we are seen to be”,
related to the disciplinary area of image;
 C3
ovenanted corporate brand identity: “what the brand stands for,
what is expected”, related to the disciplinary area of corporate brand;
 C4
ultural identity: what are the feelings and values of employees,
related to the disciplinary area of organizational culture and identification;
 Ideal identity: “what we ought to be”, related to the disciplinary
area of strategy;
 Desired Identity: “what we wish to be” related to the disciplinary
area of senior management vision/leadership.

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Methodology
LEVEL OF ANALYSIS:
ORGANIZATIONAL LIFECYCLE
DATA SOURCES
 Annual reports (1997-2012)
 Press and web releases (2010-2012)
 Corporate biographies and publications (1995-2012)
LEVEL OF ANALYSIS:
AC4
ID TEST
DATA SOURCES
Actual corporate identity
 Annual reports (1997-2012)
 Experts opinion (2012)
 Direct observations (2010-2012)
C1
ommunicated corporate brand identity  Focus group - category: B2M – (2010)
 Blog and web articles (2012)
C2
onceived corporate brand identity
 Focus groups - categories: B2C, B2S, B2T- (2010)
 Customer satisfaction research (2010-2012)
 Web survey (2010-2012)
C3
ovenanted corporate brand identity
 Focus groups - categories: B2C, B2B, B2S, B2T- (2010)
 Market research (2010-2012)
C4
ultural corporate brand identity
 Blog and web articles (2012)
 Observations (2010-2012)
Ideal corporate brand identity
 Individual in-depth interviews - top management and CEO - (2012)
 Analysis of internal strategy documents (2010-2012)
Desired corporate brand identity
 Individual in-depth interviews - top management and CEO – (2012)
 Analysis of internal strategy documents (2010-2012)
SINGLECASESTUDY:CINECITTA’STUDIOS

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A four stage Cinecittà Studios path of identity change
in organizational lifecycle
1
Cinecittà Studios identity change process
2
Analysis of Cinecittà Studios corporate brand identities
2.1
Results
The analysis of alignment between Cinecittà Studios
corporate brand identities
2.2

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A five stage Cinecittà Studios path of identity change in
organizational lifecycle
Birth Growth Maturity
Retrenchment
Privatization
Utilitarian
identity
Normative
identity
1937-1946
1946-1970 1970-2007 2007-2012
CONFLICT AREA
A historical perspective (adapted from Albert and Whetten, 1985)
(1997)

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Cinecittà Studios identity change process:
analysis of corporate brand identities through AC4
ID Test
ACTUAL CORPORATE IDENTITY: AN ITALIAN HERITAGE IN CHANGING
100% 23,73%100% 50%100% 2,47%25% 27% 50%25%
80%40% 79,275%
2007
2012
Evolution of the group structure
FROM CINEMA CITY TO MEDIA CITY
OPENING OF
CINECITTA’ SHOWS OFF
PARTNERSHIP WITH
DELUXE ITALIA
JOINT VENTURE
WITH PANALIGHT
WORKERS
MERGING INTO
DELUXE AND CAT
NEXT OPENING OF
CINECITTA’ WORLD
EVOLUTION OF
THE GROUP STRUCTURE

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ID
ACTUAL IDENTITY: AN ITALIAN HERITAGE IN CHANGING
FROMCINEMACITYTOMEDIA
CITY
OPENING OF
CINECITTA’ SHOWS OFF
PARTNERSHIP WITH
DELUXE ITALIA
JOINT VENTURE
WITH PANALIGHT
WORKERS
MERGING INTO
DELUXE AND CAT
NEXT OPENING OF
CINECITTA’ WORLD
Location based entertainment business
(April, 2011)
Upgrading of post production digital facilities and
the capacity to offer a “full service”
Digital and set designers will merge into
Deluxe Italia and CAT
(Cinecittà Allestimenti e Tematizzazioni)
Modern museum
Special events
20 studios
Guided tours
Cinema theme park (next opening in 2014)
Workers strike

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ID
COMMUNICATED CORPORATE BRAND IDENTITY
DUALITY OF SOURCES AND DUALITY OF COMMUNICATED IDENTITIES
DUALITYOFSOURCESAND
DUALITYOFCOMMUNICATEDIDENTITIES
CONTROLLED
COMMUNICATION
The company is
changing its identity
to follow
market trends
NON CONTROLLED
COMMUNICATION
Rumors about
the company
future identity
Marketing and communication strategies are directly
managed by the top management
Formal top down communication
A web marketing project team has been recently constituted
Company claim: “Dreams Factory”
Absence of internal communization
Press and web articles: strong media reactions about
change (main themes: real estate speculation and workforce
strike)
Blog “Savecinecittà”: a blog created by employees.
“Cinecittà is an institution.
They have a speculation project: they want to build a hotel, a
beauty clinic, a gym“
(F. Mancini, strikers spokesman)
B2M (business to media) Focus Group: divided into
fabvorable and not favorable to the business diversification

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ID
CONCEIVED CORPORATE BRAND IDENTITY
MULTIPLICITY OF SOURCES AND MULTIPLICITY OF CONCEIVED IDENTITY
MULTIPLICITYOFSOURCESAND
MULTIPLICITYOFCONCEIVEDIDENTITY
DOMESTIC PUBLIC
COMPANIES AND
TRADERS
FOREIGN TOURISTS
CINEMA EXPERTS
YOUNG PEOPLE: give to the brand identity the meaning of a creative and
interactive area
They are attracted by the brand identity of Hollywood on the Tiber
They are typically far from the leisure formula and far from the location-based
entertainment mindset. They would prefer an area devoted to cultural
engagement.
ADULTS: prefer the traditional facilities with the technologies used to create the
“atmosphere” of the Dolce Vita and Fellini period
FAMILIES: consider as difficult to afford the prices that a competitive
entertainment service should present
They are deeply involved in sponsoring the new location (strategic, technical,
media partnerships)

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ID
COVENANTED CORPORATE BRAND IDENTITY
THE DREAMS ENTERTAINMENT COMPANY
THEDREAMSENTERTAINMENTCOMPANY
CINECITTA’ STUDIOS
CINECITTA’ SHOWS
OFF
The Dreams Company: based on past identity. The claim refers to
Fellini’s company, created during the “Golden Age” (1946-1970)
The Dreams Entertainment Company: shows the promise of an
entertainment operator strictly characterized by an educational
value, purpose and vision. The name “Cinecittà Shows Off” was
created by the top management to reinforce the strategy the
company would accomplish: the company would like to show itself
to the public in a transparent way.
Cinecittà Shows Off Logo
and Visual Identity

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ID
CULTURAL CORPORATE BRAND IDENTITY
FELLINI’S COMPANY
Employees values and beliefs about Cinecittà are still rooted on Cinecittà “Golden Age”
path about the company lifecycle.
Cultural identity is normative and deeply based on ideology.
FELLINI’SCOMPANY
Strike main purpose: to protect Cinecittà production site from the company
strategy that is seen as more related to economical and financial balance than to the
respect of the glorious tradition.
Employees are threatened by the gradual transformation into an entertainment
location seen as a business center, with hotels, commercial structures, health center,
parking, etc.
Thus, workforce feels that the repositioning is moving towards the direction of
commercial activities not related to the cinema as core business.
Reasons of employees resistance to change:
 threatens to the uniqueness and the distinctiveness
of the Italian cinema and to the cultural and historical heritage;
 preventing Cinecittà from speculative actions.

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ID
IDEAL CORPORATE BRAND IDENTITY
A BIG ENTERTAINMENT COMPANY
ABIGENTERTAINMENTCOMPANY
CORE BUSINESS
(STUDIOS)
NEW STRATEGIC BUSINESS UNIT
(CINECITTA’ SHOWS OFF
& CINECITTA’ WORLD)
Stretch
the film lifecycle
Adapt
to digital technology
Create new attractions
for new B2C demand
Enlarge and penetrate
the B2C market
Joint venture
with Panalight
&
partnership
with Deluxe Italia
“Cinecittà Studios is shifting from an old-fashioned cultural location
devoted to the typical segment of movie production to a contemporary entertainment site”
(CEO, Mr. G. Basso)

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ID
DESIRED CORPORATE BRAND IDENTITY
ABIGENTERTAINMENTCOMPANY
“THE COMPANY IS BARELY ABLE
TO BECOME MODERN” (CEO).
CINECITTA’ STUDIOS WILL BE:
A movie company that acts with the stars
and other companies of the segment
A company that will be a service
entertainment provider to its customers
“The « star system » and the «backstage» will be the platform of a new business model
that could be functional to lead and position the Company very far from the traditional core business”
(CEO, Mr. G. Basso)

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analysis of alignment between corporate brand identities through a centrifugal approach to
AC5
ID
CULTURAL CB IDENTITY:
FELLINI’S COMPANY
ACTUAL CORPORATE IDENTITY:
AN ITALIAN HERITAGE IN CHANGING (FROM CINEMA CITY TO MEDIA CITY)
COVENANTED CB
IDENTITY:
DREAMS
ENTERTAINMENT
COMPANY
COMMUNICATED CB
IDENTITY (NON
CONTROLLABLE):
RUMORS ABOUT THE
ORGANIZATION
FUTURE
COMMUNICATED CB
IDENTITY (CONTROLLABLE):
FORMAL TOP DOWN
COMMUNICATION
DESIRED & IDEAL CB IDENTITY:
CONCEIVED CB
IDENTITY:
MULTIPLICITY OF
CONCEIVED IDENTITY
Partial alignment
Misalignment
Alignment

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Conclusions
 Ideal and desired corporate brand identities in Cinecittà Studios overlap and act as sources of
actual corporate identity change
 A change in one identity (actual, shifting towards a utilitarian perspective) causes misalignment
between the company multiple identities: actual, ideal, desired, and communicated (controllable)
corporate brand identities are misaligned with cultural and communicated (non controllable)
corporate brand identities
 Cultural and communicated (non controllable) corporate brand identities influence each other and
generate resistance to identity change
 When an organization is externally oriented the conceived corporate brand identity is more aligned
with the new utilitarian identity than with the old normative identity
 Identity change is a lenghty process. The conflict between normative and utilitarian identity,
latent during the maturity phase (started in 1997, company privatization), becomes manifest during
the retrenchement phase (in 2012)
 Managerial implications: calibration of identities in times of change should be seriously managed.
To do: a better coordination between external communication and internal one; giving empowerment
to bottom-up mkg and comm processes; better involvement emplyoees in change management
processes
 Limitations: The company identity change process is not already ended; further research should
compare this case study with other similar to stress analysis from a “replication logic” point of view

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References
Thanks for your kind attention!
Simonetta Pattuglia, Assistant Professor Marketing and Communication
pattuglia@economia.uniroma2.it
Michela Mingione, PhD Student, Marketing and Communication
michela.mingione@uniroma2.it

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