The document discusses various product and branding decisions for international markets. It covers defining a company's product offering, the concept of products versus services and rights. It also discusses adapting products to local markets through attributes, packaging or positioning versus standardizing products across markets. Branding strategies like developing global versus local brands are also examined.
This document discusses global product strategies and considerations. It begins by defining what a product is as a bundle of tangible and intangible attributes. It then outlines some key global drivers of product demand and supply, such as higher customer expectations, innovations, and manufacturing rationalization. The document discusses decisions around existing and new global products, and approaches to global product development like standardization and adaptation. It provides frameworks for integrating markets, platforms, and competencies, and discusses issues like customer needs, competition, marketing infrastructure and internal resources at the country, region, and global levels. Finally, it covers topics like brands, brand positioning, brand equity, and strategic alternatives like local vs. global products and brands.
The marketing mix is the set of marketing tools a firm uses to pursue its marketing objectives. The marketing mix has four variables: product, price, promotion, and place of distribution. Product is the most important variable, while price, promotion, and place of distribution are supporting variables. The marketing manager must properly combine these variables using imagination and intelligence.
The document summarizes key concepts from Chapter 12 on setting product strategy. It discusses the five levels of the customer value hierarchy with the core benefit being the fundamental level. It also covers expected products, product classification systems, line stretching strategies, product pricing approaches, the definition of packaging, and warranties as formal statements of expected performance. The concepts focus on how marketers plan market offerings across different product dimensions and levels to meet customer needs.
The document discusses key aspects of sales management including:
1. Calculating gross margin and net profit from sales figures.
2. Setting sales objectives that align with broader corporate goals and developing strategies and tactics to achieve these objectives such as targeting specific customers or products.
3. Organizing the sales team and determining the optimal sales structure, compensation plans, and approaches for activities like introducing new products.
The overall focus is on planning sales activities, setting objectives, and organizing the sales force to execute strategies and meet targets in an effective manner.
This document discusses various methods for measuring brand equity and valuing brands, including comparative, holistic, and valuation approaches. Comparative approaches examine consumer responses based on changes in brand identification or marketing programs. Holistic methods attempt to place an overall value on the brand through residual or valuation techniques. Valuation approaches determine the financial value of a brand for purposes like mergers and acquisitions. Specific valuation models are also described, like Interbrand's five-step process involving market segmentation, financial analysis, demand analysis, and discounting forecasted brand earnings.
The document discusses various topics related to product strategy and new product development including:
1. It defines what a product is and classifies products into different types such as consumer products, industrial products, and other marketable entities.
2. It covers branding strategies such as line extensions, brand extensions, multibrands, and new brands.
3. It outlines the new product development process from idea generation through commercialization.
This document discusses global product strategies and considerations. It begins by defining what a product is as a bundle of tangible and intangible attributes. It then outlines some key global drivers of product demand and supply, such as higher customer expectations, innovations, and manufacturing rationalization. The document discusses decisions around existing and new global products, and approaches to global product development like standardization and adaptation. It provides frameworks for integrating markets, platforms, and competencies, and discusses issues like customer needs, competition, marketing infrastructure and internal resources at the country, region, and global levels. Finally, it covers topics like brands, brand positioning, brand equity, and strategic alternatives like local vs. global products and brands.
The marketing mix is the set of marketing tools a firm uses to pursue its marketing objectives. The marketing mix has four variables: product, price, promotion, and place of distribution. Product is the most important variable, while price, promotion, and place of distribution are supporting variables. The marketing manager must properly combine these variables using imagination and intelligence.
The document summarizes key concepts from Chapter 12 on setting product strategy. It discusses the five levels of the customer value hierarchy with the core benefit being the fundamental level. It also covers expected products, product classification systems, line stretching strategies, product pricing approaches, the definition of packaging, and warranties as formal statements of expected performance. The concepts focus on how marketers plan market offerings across different product dimensions and levels to meet customer needs.
The document discusses key aspects of sales management including:
1. Calculating gross margin and net profit from sales figures.
2. Setting sales objectives that align with broader corporate goals and developing strategies and tactics to achieve these objectives such as targeting specific customers or products.
3. Organizing the sales team and determining the optimal sales structure, compensation plans, and approaches for activities like introducing new products.
The overall focus is on planning sales activities, setting objectives, and organizing the sales force to execute strategies and meet targets in an effective manner.
This document discusses various methods for measuring brand equity and valuing brands, including comparative, holistic, and valuation approaches. Comparative approaches examine consumer responses based on changes in brand identification or marketing programs. Holistic methods attempt to place an overall value on the brand through residual or valuation techniques. Valuation approaches determine the financial value of a brand for purposes like mergers and acquisitions. Specific valuation models are also described, like Interbrand's five-step process involving market segmentation, financial analysis, demand analysis, and discounting forecasted brand earnings.
The document discusses various topics related to product strategy and new product development including:
1. It defines what a product is and classifies products into different types such as consumer products, industrial products, and other marketable entities.
2. It covers branding strategies such as line extensions, brand extensions, multibrands, and new brands.
3. It outlines the new product development process from idea generation through commercialization.
International Marketing - Global Product Strategiesstevetalks81
The document discusses several factors that companies must consider when standardizing or adapting products for global markets. It provides examples of how products needed to be modified for different climates, infrastructure conditions, cultural preferences, sizes and dimensions based on local needs, costs and prices, performance expectations, standards and regulations, packaging and labeling requirements, and warranty/service support across countries. Standardization aims to benefit from economies of scale while adaptation ensures products meet local customer requirements and tastes. Both approaches require careful evaluation of tradeoffs.
Bargaining
Power of Buyers
Dr. A.
33
Category
Category
Factors
Factors
• Environmental Factors
Economic Conditions
Demographic Trends
Technological Changes
Government Regulations
Social Trends
Globalization
Dr. A.
33
Category
Category
Factors
Factors
• Economic Conditions
GDP Growth
Interest Rates
Inflation
Unemployment
Disposable Income
Consumer Confidence
Dr. A.
33
Category
Category
Factors
Factors
• Demographic Trends
Population Growth
Age Distribution
Household Size
Geographic Mobility
Income Distribution
DESIGNING AND IMPLEMENTING BRANDING STRATEGIESAvinash Singh
This document discusses branding strategies and brand architecture. It defines key concepts like branding strategy, brand-product matrix, brand hierarchy, and brand portfolio. It explains how to design an effective brand portfolio that maximizes market coverage while minimizing brand overlap. The roles of different brands in a portfolio are discussed. Guidelines are provided for developing brand hierarchies and determining the appropriate number of hierarchy levels. The importance of corporate branding and cause marketing for building brand equity is also covered.
Secondary Brand Associations: The Ingredient Branding WayNishant Hirani
This document discusses ingredient branding as a strategy for building brand equity. It provides examples of successful ingredient branding partnerships like Intel Inside. It also summarizes DuPont's use of ingredient branding by promoting materials like Kevlar and Teflon. The key aspects of a successful ingredient branding strategy are selecting an ingredient with high awareness and strong attributes, ensuring visibility of the ingredient brand, and mutually beneficial financial agreements. Ingredient branding can increase sales, bargaining power, and brand loyalty when executed properly.
This document discusses co-branding, which involves combining two or more established brands into a single product. It begins by reviewing existing definitions of co-branding and differentiating it from other branding strategies. The authors then propose their own definition of co-branding as "the combining and retaining of two or more brands to create a single product or service." Finally, the document outlines different types of co-branding strategies based on the nature of complementarity between parent brands and their target markets.
The document discusses various marketing concepts related to products and services, including:
1) The product life cycle consists of introduction, growth, maturity, and decline stages. Branding strategies include multiproduct branding, using one name for all products, and multibranding, giving each product a distinct name for different markets.
2) A brand personality is human characteristics associated with a brand. Brand equity is the added value a brand gives beyond functional benefits. Packaging and labeling provide communication, functional, and perceptual benefits.
3) For services, capacity management and off-peak pricing are used to influence demand. Service organizations advertise to communicate benefits and build the brand.
MEASURING OUTCOMES OF BRAND EQUITY: CAPURING MARKET PERFORMANCEAvinash Singh
This document discusses various methods for measuring brand equity and valuing brands, including comparative, holistic, and valuation approaches. Comparative methods examine consumer responses to changes in branding versus marketing elements. Holistic methods attempt to place an overall utility or financial value on a brand. Valuation approaches develop brand values for accounting purposes, such as acquisitions, using cost, market, or income methods. Specific techniques include residual analysis, Interbrand's five-step process, and accounting for goodwill and intangible assets.
This document discusses DuPont's approach to ingredient branding, which involves nurturing a strong corporate brand while also leveraging successful product brands. It provides details on DuPont's 200-year history of branding and how it pioneered ingredient branding. Key aspects of DuPont's approach include linking the corporate name to high-quality product brands, promoting brands along the entire value chain, and focusing on ingredients that provide innovative advantages valued by customers. Examples like Lycra are given of how DuPont has successfully implemented this approach.
Measuring outcomes of brand equity and designing & implementing branding stra...Neetu Bhuyan
This document discusses methods for measuring brand equity and designing branding strategies. It describes three types of methods for measuring brand equity: comparative, which examine consumer response to brand changes; conjoint analysis, a survey technique to assess brand attributes; and holistic methods that attempt to place an overall value on a brand. It also outlines considerations for branding strategies such as brand architecture, breadth and depth of product lines, building brand equity at different hierarchy levels, and using cause marketing to build brand equity.
This document discusses competitive strategy and competitive advantage. It defines competitive advantage as when one firm earns persistently higher profits than rivals within the same market. The main types of competitive advantage are lower costs, differentiation, focus. Michael Porter identified three generic strategies: cost leadership, differentiation, and focus. Firms can pursue integrated or hybrid strategies. Sustainable competitive advantage is durable, valuable, rare, difficult to imitate. The strategies for market leaders are defensive strategies like position defense. Challengers pursue attack strategies like frontal attack. Followers imitate and adapt. Nichers target small, overlooked market segments.
This document discusses product differentiation as a business-level strategy. It defines product differentiation as creating perceived value and customer preference for a firm's products over competitors. Firms can differentiate based on product attributes, relationships with customers, or relationships within the firm. To achieve competitive advantage, a differentiation strategy must be valuable, rare, difficult to imitate, and the firm must be organized to exploit it.
This chapter discusses product and brand decisions in global marketing. It covers topics such as branding strategies, global brand development, product positioning, and new product development for global markets. The key strategic alternatives for global products are extension, adaptation, and creation. Choosing the right strategy depends on analyzing the product, market conditions, and costs. Successful companies focus on competitive global markets, recruit top talent, and rapidly bring new products to market.
4 Proftiable Growth, Service Enabled Cust ExpAnees Gopalani
This document discusses how manufacturers can leverage services to create competitive advantage through a strategy called Service Enabled Customer Experience (SECE). SECE involves targeting unique services to customer needs throughout the ownership lifecycle, integrating services into operations, and positioning services centrally in marketing. Implementing SECE requires understanding customer needs, developing a tailored service program, and measuring results. Benefits include stronger customer relationships, increased repurchases, and advocacy. The case studies show how SECE differentiated brands and improved customer satisfaction.
Introducing & naming products & brand extensions chapter 12 by Leroy J. Ebert
Content Extracted from “Strategic Brand Management” 3rd Edition
Authors: Kevin Lane Keller
M.G. Parameswaran
Issac Jacob
Presentation developed from SLIM Diploma In Brand Management Students
Presentation developed by Leroy J. Ebert (15th May 2014)
Measuring outcomes of brand equity
Content Extracted from “Strategic Brand Management” 3rd Edition
Authors: Kevin Lane Keller
M.G. Parameswaran
Issac Jacob
Presentation developed from SLIM Diploma In Brand Management Students
Presentation developed by Leroy J. Ebert (25th April 2014)
The document discusses the five generic competitive strategies: low-cost provider, differentiation, best-cost provider, and focused or niche strategies. It provides an overview of each strategy, including their objectives, keys to success, examples, and risks. Specifically, it outlines that the five strategies are low-cost provider, differentiation, best-cost provider, and two focused strategies. It also notes that each strategy positions a company differently and has tradeoffs to consider when deciding which one to pursue.
Ingredient branding the du pont way final version__pgp31029_ishita basupgp31029
DuPont has a long history of ingredient branding dating back to 1808 when DuPont became its company trade name. In 1909, DuPont established its super brand by connecting all of its brand names to "DuPont". Through the 20th century, DuPont shaped its image around ingredient branding and introduced iconic products like nylon. In the late 1980s, the term "ingredient branding" came into practice to describe DuPont's strategy of promoting its corporate brand throughout the value chain. While ingredient branding provides benefits like increased sales and brand equity, there are also challenges such as remaining invisible to consumers and retaining control over brand management.
This document discusses the interface between cotton production and marketing from the perspective of spinners and suppliers. Spinners require high quality raw cotton that meets certain specifications in terms of trash content, length, strength, fineness and other properties to efficiently run their spinning plants and produce quality yarns and fabrics. To meet these demands, growers and suppliers must ensure production, picking and ginning processes achieve very high standards. Cotton is also manually graded by experts to classify purchases for clients.
This chapter discusses product and brand decisions for international markets. It covers defining a company's product offering, including core benefits, expected products, and augmented products. The chapter also discusses different types of products, branding strategies, and adapting products versus standardizing them across markets. Key aspects that can be modified for different markets include product attributes, packaging, quality, positioning, and after-sale services. The chapter provides examples of companies that use global, international, local, and private label branding approaches.
International Marketing - Global Product Strategiesstevetalks81
The document discusses several factors that companies must consider when standardizing or adapting products for global markets. It provides examples of how products needed to be modified for different climates, infrastructure conditions, cultural preferences, sizes and dimensions based on local needs, costs and prices, performance expectations, standards and regulations, packaging and labeling requirements, and warranty/service support across countries. Standardization aims to benefit from economies of scale while adaptation ensures products meet local customer requirements and tastes. Both approaches require careful evaluation of tradeoffs.
Bargaining
Power of Buyers
Dr. A.
33
Category
Category
Factors
Factors
• Environmental Factors
Economic Conditions
Demographic Trends
Technological Changes
Government Regulations
Social Trends
Globalization
Dr. A.
33
Category
Category
Factors
Factors
• Economic Conditions
GDP Growth
Interest Rates
Inflation
Unemployment
Disposable Income
Consumer Confidence
Dr. A.
33
Category
Category
Factors
Factors
• Demographic Trends
Population Growth
Age Distribution
Household Size
Geographic Mobility
Income Distribution
DESIGNING AND IMPLEMENTING BRANDING STRATEGIESAvinash Singh
This document discusses branding strategies and brand architecture. It defines key concepts like branding strategy, brand-product matrix, brand hierarchy, and brand portfolio. It explains how to design an effective brand portfolio that maximizes market coverage while minimizing brand overlap. The roles of different brands in a portfolio are discussed. Guidelines are provided for developing brand hierarchies and determining the appropriate number of hierarchy levels. The importance of corporate branding and cause marketing for building brand equity is also covered.
Secondary Brand Associations: The Ingredient Branding WayNishant Hirani
This document discusses ingredient branding as a strategy for building brand equity. It provides examples of successful ingredient branding partnerships like Intel Inside. It also summarizes DuPont's use of ingredient branding by promoting materials like Kevlar and Teflon. The key aspects of a successful ingredient branding strategy are selecting an ingredient with high awareness and strong attributes, ensuring visibility of the ingredient brand, and mutually beneficial financial agreements. Ingredient branding can increase sales, bargaining power, and brand loyalty when executed properly.
This document discusses co-branding, which involves combining two or more established brands into a single product. It begins by reviewing existing definitions of co-branding and differentiating it from other branding strategies. The authors then propose their own definition of co-branding as "the combining and retaining of two or more brands to create a single product or service." Finally, the document outlines different types of co-branding strategies based on the nature of complementarity between parent brands and their target markets.
The document discusses various marketing concepts related to products and services, including:
1) The product life cycle consists of introduction, growth, maturity, and decline stages. Branding strategies include multiproduct branding, using one name for all products, and multibranding, giving each product a distinct name for different markets.
2) A brand personality is human characteristics associated with a brand. Brand equity is the added value a brand gives beyond functional benefits. Packaging and labeling provide communication, functional, and perceptual benefits.
3) For services, capacity management and off-peak pricing are used to influence demand. Service organizations advertise to communicate benefits and build the brand.
MEASURING OUTCOMES OF BRAND EQUITY: CAPURING MARKET PERFORMANCEAvinash Singh
This document discusses various methods for measuring brand equity and valuing brands, including comparative, holistic, and valuation approaches. Comparative methods examine consumer responses to changes in branding versus marketing elements. Holistic methods attempt to place an overall utility or financial value on a brand. Valuation approaches develop brand values for accounting purposes, such as acquisitions, using cost, market, or income methods. Specific techniques include residual analysis, Interbrand's five-step process, and accounting for goodwill and intangible assets.
This document discusses DuPont's approach to ingredient branding, which involves nurturing a strong corporate brand while also leveraging successful product brands. It provides details on DuPont's 200-year history of branding and how it pioneered ingredient branding. Key aspects of DuPont's approach include linking the corporate name to high-quality product brands, promoting brands along the entire value chain, and focusing on ingredients that provide innovative advantages valued by customers. Examples like Lycra are given of how DuPont has successfully implemented this approach.
Measuring outcomes of brand equity and designing & implementing branding stra...Neetu Bhuyan
This document discusses methods for measuring brand equity and designing branding strategies. It describes three types of methods for measuring brand equity: comparative, which examine consumer response to brand changes; conjoint analysis, a survey technique to assess brand attributes; and holistic methods that attempt to place an overall value on a brand. It also outlines considerations for branding strategies such as brand architecture, breadth and depth of product lines, building brand equity at different hierarchy levels, and using cause marketing to build brand equity.
This document discusses competitive strategy and competitive advantage. It defines competitive advantage as when one firm earns persistently higher profits than rivals within the same market. The main types of competitive advantage are lower costs, differentiation, focus. Michael Porter identified three generic strategies: cost leadership, differentiation, and focus. Firms can pursue integrated or hybrid strategies. Sustainable competitive advantage is durable, valuable, rare, difficult to imitate. The strategies for market leaders are defensive strategies like position defense. Challengers pursue attack strategies like frontal attack. Followers imitate and adapt. Nichers target small, overlooked market segments.
This document discusses product differentiation as a business-level strategy. It defines product differentiation as creating perceived value and customer preference for a firm's products over competitors. Firms can differentiate based on product attributes, relationships with customers, or relationships within the firm. To achieve competitive advantage, a differentiation strategy must be valuable, rare, difficult to imitate, and the firm must be organized to exploit it.
This chapter discusses product and brand decisions in global marketing. It covers topics such as branding strategies, global brand development, product positioning, and new product development for global markets. The key strategic alternatives for global products are extension, adaptation, and creation. Choosing the right strategy depends on analyzing the product, market conditions, and costs. Successful companies focus on competitive global markets, recruit top talent, and rapidly bring new products to market.
4 Proftiable Growth, Service Enabled Cust ExpAnees Gopalani
This document discusses how manufacturers can leverage services to create competitive advantage through a strategy called Service Enabled Customer Experience (SECE). SECE involves targeting unique services to customer needs throughout the ownership lifecycle, integrating services into operations, and positioning services centrally in marketing. Implementing SECE requires understanding customer needs, developing a tailored service program, and measuring results. Benefits include stronger customer relationships, increased repurchases, and advocacy. The case studies show how SECE differentiated brands and improved customer satisfaction.
Introducing & naming products & brand extensions chapter 12 by Leroy J. Ebert
Content Extracted from “Strategic Brand Management” 3rd Edition
Authors: Kevin Lane Keller
M.G. Parameswaran
Issac Jacob
Presentation developed from SLIM Diploma In Brand Management Students
Presentation developed by Leroy J. Ebert (15th May 2014)
Measuring outcomes of brand equity
Content Extracted from “Strategic Brand Management” 3rd Edition
Authors: Kevin Lane Keller
M.G. Parameswaran
Issac Jacob
Presentation developed from SLIM Diploma In Brand Management Students
Presentation developed by Leroy J. Ebert (25th April 2014)
The document discusses the five generic competitive strategies: low-cost provider, differentiation, best-cost provider, and focused or niche strategies. It provides an overview of each strategy, including their objectives, keys to success, examples, and risks. Specifically, it outlines that the five strategies are low-cost provider, differentiation, best-cost provider, and two focused strategies. It also notes that each strategy positions a company differently and has tradeoffs to consider when deciding which one to pursue.
Ingredient branding the du pont way final version__pgp31029_ishita basupgp31029
DuPont has a long history of ingredient branding dating back to 1808 when DuPont became its company trade name. In 1909, DuPont established its super brand by connecting all of its brand names to "DuPont". Through the 20th century, DuPont shaped its image around ingredient branding and introduced iconic products like nylon. In the late 1980s, the term "ingredient branding" came into practice to describe DuPont's strategy of promoting its corporate brand throughout the value chain. While ingredient branding provides benefits like increased sales and brand equity, there are also challenges such as remaining invisible to consumers and retaining control over brand management.
This document discusses the interface between cotton production and marketing from the perspective of spinners and suppliers. Spinners require high quality raw cotton that meets certain specifications in terms of trash content, length, strength, fineness and other properties to efficiently run their spinning plants and produce quality yarns and fabrics. To meet these demands, growers and suppliers must ensure production, picking and ginning processes achieve very high standards. Cotton is also manually graded by experts to classify purchases for clients.
This chapter discusses product and brand decisions for international markets. It covers defining a company's product offering, including core benefits, expected products, and augmented products. The chapter also discusses different types of products, branding strategies, and adapting products versus standardizing them across markets. Key aspects that can be modified for different markets include product attributes, packaging, quality, positioning, and after-sale services. The chapter provides examples of companies that use global, international, local, and private label branding approaches.
The document discusses various topics related to branding and product decisions in global marketing, including:
1. It defines what brands and products are, and discusses factors like brand equity, local vs global brands, and strategic alternatives for product development in different markets.
2. It also covers topics like new product development, testing products globally, and challenges in building a global brand.
3. Finally, the document provides questions companies should consider when seeking to develop a global brand and strategies for choosing the right approach in different country markets.
This document discusses several topics related to international business and product management. It covers the different orientations companies can take when expanding internationally, including ethnocentric, polycentric, regiocentric, and geocentric. It also discusses factors companies consider when deciding whether to standardize or adapt their products for different markets. Some of these factors include government regulations, consumer preferences and characteristics, economic development levels, and product characteristics themselves. Lastly, it touches on challenges like product counterfeiting internationally.
The product is the most important element of the marketing mix. It refers to anything offered in a market to satisfy a want or need, including physical goods, services, experiences, places, organizations, and ideas. There are several factors to consider when developing products for international markets, such as product life cycle stage, objectives, coordination between parent and foreign subsidiaries, and degree of standardization versus adaptation required. Product positioning involves creating an image or identity for a product in the target market's mind through promotional activities over time.
Chapter 12 Strategy In Intl Bus. (Fall 2007)knksmart
1. The document discusses strategies that companies can take to compete effectively in international markets, including lowering costs through activities like shifting manufacturing to lower-cost locations or achieving differentiation through product customization.
2. It also discusses benefits of global expansion like leveraging core competencies across markets, gaining location economies from performing activities in optimal locations, and leveraging skills from subsidiaries.
3. Companies expanding globally must balance pressures for cost reductions with pressures for local responsiveness through product customization to different market needs.
Chapter 12 Strategy In Intl Bus. (Fall 2007)knksmart
1. The document discusses strategies that companies can take to compete effectively in international markets, including customizing offerings to local conditions while maintaining core strategies, leveraging skills across subsidiaries, and balancing global standardization with local responsiveness.
2. Companies face pressures to both reduce costs through activities like experience effects and location economies, as well as respond to local differences in tastes, regulations, and distribution channels.
3. The example of Clear Vision eyewear demonstrates developing low-cost manufacturing and high-quality product differentiation strategies to increase value creation and profitability internationally.
The document discusses developing new products for global markets. It covers introducing products into foreign markets through extension, adaptation, or invention strategies. It also discusses developing global products through standardization or modularity. For new product development processes, a company can assign responsibilities to subsidiaries or head office. Sources of new development include lead markets, subsidiaries, purchasing R&D, importing, acquisitions, joint ventures, and alliances. Introducing new products globally requires test marketing and determining the target country and introduction timing.
The document discusses strategies for building international brands, including defining brands, understanding customer perspectives, and factors for creating successful global brands. It also covers decisions around product design, branding, and developing brands globally by extending, adapting, or creating new products for international markets. The presentation aims to explain how to establish and grow brands internationally.
The document discusses various aspects of global strategic management including stages of globalization, factors limiting product universality across cultures, motivations for international competition, and generic international strategies. It compares multi-country strategies, which tailor offerings to local markets, versus global strategies, which offer standardized products worldwide. It also outlines strategic options for competing in foreign markets and lists major trade blocs around the world.
This chapter discusses managing international product lines, combating product piracy, dealing with country of origin stereotypes, and branding strategies. It also addresses the challenges and opportunities in global service marketing. Managing a multinational product line involves considerations of customer preferences, price points, competition and more. Combating piracy includes lobbying, legal action, and product policies. Country of origin perceptions can be addressed through product policies, pricing, distribution, and communication strategies. Global and local branding approaches are discussed.
Product decisions in International Marketing management includes market segment decision, positioning and communication decisions. The term product decision includes product strategy, product planning and product management.
For more such innovative content on management studies, join WeSchool PGDM-DLP Program: http://bit.ly/ZEcPAc
This document discusses developing new products for global markets. It outlines 5 strategic options for introducing products into foreign markets: extension, adaptation, invention, standardization, and global products. It also discusses developing a global product using strategies like global product development and modularity. The document outlines the new product development process and various sources for new product development, including head office, lead markets, subsidiaries, and acquisitions. Finally, it discusses introducing new products to global markets, including concepts testing, test marketing, and determining optimal market entry timing.
The document discusses the various activities and considerations involved in international marketing, including assessing foreign markets, developing standardized or adapted product strategies, pricing policies, promotion strategies dealing with issues like language and cultural differences, distribution channel options, and transportation logistics. It also examines factors that influence whether companies should standardize or adapt their branding and products for different international markets.
The document discusses various considerations for extending marketing internationally, including deciding whether to enter global markets, which specific markets to target, and how to enter those markets through options like exporting, licensing, joint ventures, or direct investment. It also covers adapting the marketing mix of product, price, promotion, and place for different cultural and economic environments in international markets.
This document discusses various topics related to international marketing and product adaptation for foreign markets. It begins by listing recommended reading on the topic and topics to be covered, such as product policy, design, branding, and packaging decisions. It then discusses factors to consider when designing an international marketing program, including the degree of product standardization versus adaptation required. Key decisions for product policy are outlined, such as product type and life cycle. Reasons for product adaptation versus standardization are provided. The benefits of strong brands in local markets are described. International product strategies such as straight extension, adaptation, and innovation are introduced. Considerations for adapting products to foreign markets include target markets, regulations, competition, and company capabilities.
4 week 4 7023SSL International Dral readiness Product selection.pptxHusnainIqbal18
The document discusses various factors to consider for a company's internationalization strategy, including:
- Evaluating a company's history of international involvement, management experience, and how it compares to competitors.
- Identifying market, cost, competitive, government, and other drivers for expanding internationally.
- Addressing the global-local dilemma of standardizing products across countries versus adapting them for local markets.
- Selecting the right existing product or service line for international expansion based on competitive advantages, adaptation needs, and competitive environment in target markets.
Product innovation presentation by architArchit Sharma
This document discusses product innovation and the new product development process. It defines product innovation as the creation and introduction of new or improved goods and services. It describes different types of new products and outlines the typical steps in the new product development process, including idea generation, concept development and testing, marketing strategy development, business analysis, product development, test marketing, and commercialization. Key aspects of marketing strategy, packaging, positioning, common product failures, and approaches to commercialization are also summarized.
This document summarizes a research paper about hardware-enhanced association rule mining using hashing and pipelining (HAPPI). The HAPPI architecture proposes three hardware modules: 1) a systolic array that compares candidate itemsets to a database to find frequent itemsets, 2) a trimming filter that determines item frequencies to eliminate infrequent items, and 3) a hash table that is used to filter unnecessary candidate itemsets. The HAPPI architecture aims to reduce the number of candidate itemsets and database items loaded into hardware to address bottlenecks in previous hardware approaches for association rule mining. Experimental results showed that HAPPI significantly outperforms previous hardware and software methods.
1. The document describes a proposed system called HAPPI (HAsh-based and PiPelIned) architecture for hardware-enhanced association rule mining. HAPPI aims to solve performance bottlenecks in existing Apriori-based hardware schemes by reducing the frequency of loading the database into hardware.
2. HAPPI includes three hardware modules - a systolic array to compare candidate itemsets with database items, a trimming filter to eliminate infrequent items, and a hash table to filter unnecessary candidate itemsets.
3. The proposed HAPPI system is intended to address limitations of existing Apriori-based approaches that involve repeatedly loading large candidate itemsets and databases into hardware.
The document discusses a facial recognition system based on locality preserving projections (LPP). It begins by explaining that existing facial recognition systems using PCA and LDA aim to preserve global structure but local structure is more important. It then proposes a system using LPP, which aims to preserve local manifold structure by modeling the image space as a nearest-neighbor graph. The system represents faces as "Laplacianfaces" in a low-dimensional subspace that preserves local structure for more accurate identification. It provides theoretical analysis showing how PCA, LDA and LPP can be derived from different graph models.
Facial recognition systems analyze facial images to identify individuals. They measure facial features to create a unique template for each face. Historically, early systems used neural networks to recognize aligned faces. More advanced techniques like eigenfaces, laplacianfaces, and locality preserving projections map faces into subspaces to analyze them. Facial recognition has improved accuracy in identifying faces with variations in expression. However, it has limitations as it only utilizes a subset of human facial nodal points and does not account for manifold structure or biometric characteristics. Future areas of development include 3D recognition and unobtrusive audio-video identification systems.
Worldwide market and trends for electronic manufacturing servicesStudsPlanet.com
New Venture Research Corporation is a market research and business development consultancy that has specialized in contract manufacturing and outsourcing for over 15 years. They produce widely quoted syndicated research on the electronics manufacturing services industry. The presentation summarizes trends in the worldwide electronics assembly market between 2007-2012, with the computer and communications segments growing the fastest. It also reviews growth in the EMS market by geographic region as well as direct labor costs and leading contract manufacturers in key regions like Mexico, Eastern Europe, and China. In conclusion, the author predicts continued strong growth in the EMS market, particularly in low-cost regions, over the next 5 years.
This document provides an executive summary of the world electronic industries from 2008 to 2013. It finds that while the electronics industry experienced a decline in 2009 due to the financial crisis, production of professional electronic equipment is expected to drive overall growth above average between 2008 and 2013. Specifically, industrial and medical electronics will contribute significantly to industry growth. Additionally, China is projected to outperform other regions in recovering from the economic downturn. The summary highlights innovation and integration across various applications as keys to the long-term prospects of the electronics industry.
The document summarizes Alfred Weber's locational theory model, known as the Weberian model or the least cost approach. The key points are:
1. The Weberian model explains the optimal location of industrial facilities using the locational triangle. Transportation is the most important element of the model.
2. Solving the Weber model involves three stages - finding the least transport cost location, adjusting for labor costs, and adjusting further for agglomeration economies.
3. Transportation cost is the primary factor in determining optimal location, according to the model. Labor costs and agglomeration economies are secondary adjustment factors.
Kluckhohn and Strodtbeck developed a model for analyzing and comparing cultures based on their underlying values and orientations. The model identifies six key dimensions along which cultures vary: humanity's relationship with nature, concepts of time, views of human activity, social relationships, basic human nature, and orientation towards space. These dimensions provide a framework for understanding differences in how cultures approach issues like social organization, time orientation, and human nature. While useful, the model is limited by its vagueness, difficulty of measurement, and lack of direct focus on business and management issues.
The document discusses Kluckhohn and Strodtbeck's model of cross-cultural value orientations, which identifies six basic dimensions that cultures vary along: relationship to nature, time orientation, activity orientation, relationships among people, human nature, and space/property. These dimensions influence a culture's values regarding important issues like work, family, and social relations. While insightful, Kluckhohn and Strodtbeck's framework has weaknesses like being vague, difficult to measure, and not directly addressing business and management concerns.
This document outlines a model mediation procedure and agreement for intellectual property disputes in the UK. It provides guidance for conducting a mediation, including procedures for exchanging information, conducting the mediation, reaching and formalizing any settlement agreement, ensuring confidentiality, and allocating costs. Key aspects include having representatives with full authority to settle, preparing concise case summaries and documents to share, maintaining confidentiality of mediation discussions, and jointly sharing mediation fees and expenses.
Trompenaars and Hampden-Turner identified seven cultural dimensions along which cultures can be classified based on their research on business executives. These seven dimensions are universalism versus particularism, communitarianism versus individualism, neutral versus emotional, diffuse versus specific cultures, achievement versus ascription, human-time relationship, and human-nature relationship. Their 1997 book "Riding The Waves of Culture" explores these seven value orientations between cultures.
Toyota built a new car factory in Burnaston, UK, creating over 3000 jobs. Burnaston was chosen as the site because it was a large, flat, greenfield site next to major roads with access to suppliers and a local workforce. The new factory had positive economic effects, including jobs, increased spending, and supplier companies moving to the area. However, it also increased traffic and destroyed greenfield land. While most benefits were local, there was a potential downside if it reduced sales or jobs elsewhere.
The International legal environment of businessStudsPlanet.com
The document discusses the international legal environment of business. It covers topics such as international law and agreements, business structures abroad, and dispute resolution. It also examines the international business environment, risks of international transactions, and origins and sources of international law. International business involves entities from multiple countries and issues around trade, capital, personnel across borders under different legal systems and government policies.
India's textile industry is one of the largest in the world, contributing 14% to industrial production and employing over 35 million people. It is the largest provider of employment after agriculture and earns 27% of India's total foreign exchange through textile exports. The industry has grown significantly since economic liberalization in 1991 and includes cotton, silk, wool, readymade garments, and hand-crafted textiles segments. It faces competition from countries like China but also has opportunities for growth in the domestic market and through trade agreements. The government is taking initiatives to support the industry through skills training programs and new textile parks.
This document discusses key concepts related to documentary sales and international transactions. It defines key terms like documentary sale, negotiability, bills of lading, and documentary draft. It explains the stages of a documentary transaction and how the risks are allocated between buyers and sellers under different trade terms like CIF. The document also summarizes several cases that illustrate how these concepts are applied, such as who is responsible if goods are stolen during transport depending on whether it is an FOB or CIF contract.
This document discusses various leadership roles and responsibilities. It begins by listing numerous roles of strategic leaders such as visionary, builder, acquirer, implementer, integrator, and motivator. It then provides more details on the roles of staying informed, promoting culture, adapting to change, exercising ethics, and making corrections. The document also discusses developing new capabilities through senior management intervention and cooperation. It outlines actions demonstrating social responsibility like family policies and community involvement. Finally, it discusses leading corrective adjustments through both reactive and proactive changes to strategy and alignment of activities.
The document provides information on various credit insurance products offered by ECGC (Export Credit Guarantee Corporation of India) to exporters and banks. It describes short-term and medium/long-term export credit insurance that protects against payment risks and lending risks. It also outlines domestic credit insurance, overseas investment insurance, and exchange fluctuation covers. Statistics on ECGC's growth over time and profiles of specific insurance policies are included.
This document discusses various methods for resolving international commercial and business disputes. It notes that international litigation can be complicated by differences in judicial systems and challenges enforcing judgments across borders. The International Court of Justice allows disputes between nations but not individuals. Arbitration and mediation provide alternatives where a neutral third party decides the outcome (arbitration) or makes non-binding suggestions to reach a settlement (mediation). Other options include negotiation, expert determination, and utilizing dispute resolution processes under international treaties like the World Trade Organization. Overall, the best approach is to prevent disputes through risk management and carefully drafting contracts.
This document provides an overview of India's foreign trade policy for 2009-2014. It discusses India's growing exports and trade share in recent years. It then outlines the economic crisis and declining exports. The policy aims to arrest this decline and achieve annual export growth targets. It describes various components of the policy including import/export controls, duty exemption schemes, and promotional measures. Stimulus measures by the government and RBI to boost exports are also summarized.
This document discusses various types of multinational enterprises (MNEs) and their international operations. It defines MNEs as firms that engage in foreign direct investment and own or control value-adding activities in more than one country. The document also discusses measures of internationalization like the transnationality index. Finally, it covers topics like developing country MNEs, small and medium enterprises, and "born global" firms that seek international operations from the start.
2. Introduction: What to Sell ?
The international marketer needs to
determine what the market offering should
be in a foreign market :
– Defining the product offering
– Products versus Services/Rights
10-2
4. Basic Product Concepts
A product is a good, service, or idea
– Tangible Attributes
– Intangible Attributes
Product classification
– Consumer goods
– Industrial goods
10-4
5. Product Warranty and Service
Product Warranty :
– Should a company keep the same warranty for
all markets or adapt it country by country ?
– Should the firm use warranty as a competitive
weapon ?
Product Service :
– Service capability to accredit the firm with
foreign suppliers
– high investment in facilities, staffing, training,
and distribution network
10-5
6. Goods versus Services/Rights
Instead of marketing a product abroad, the
company may also sell rights or services in
a foreign market:
- rights : brand / trademark / patent
- services : management skills (hotel chain)
10-6
7. Sales of Rights - Examples
Franchising business :
- Coca-Cola : use of its name to licensed
bottlers around the world.
- Pilkington: licensing of the process of
float glass.
- Other : Manpower, McDonald's, etc.
10-7
8. Sales of Rights - Examples
Management Contracts :
- Sheraton Hotels :
• Management contract for hotels abroad
• Sale of consulting and management contracts
• Little equity invested : Sheraton manages almost
400 hotels worldwide but has equity in only 40 of
them.
• Advantages : minimum risk & strong competitive
position.
10-8
9. Sales of Rights - Examples
Turn-Key operations :
– The firm is selling technical and engineering skills.
– The firm is training foreign nationals to run a plant.
– The firm is supplying material and equipment.
10-9
10. International Product Strategies
Straight Product Product
Extension Adaptation Innovation
The firm adopts the The company caters The firm designs a
same policy used in to the needs and wants product from scratch
its home market. of its foreign customers. for foreign customers.
Source: W.J. Keegan, Multinational Product Planning: Strategic Alternatives,
Journal of Marketing, 33, 1969, pp.58-62
10-10
11. Extend, Adapt, Create: Strategic
Alternatives in Global Marketing
Extension – offering product virtually
unchanged in markets outside of home
country
Adaptation – changing elements of design,
function, and packaging according to needs
of different country markets
Creation – developing new products for the
world market
10-11
12. Standardization versus
Customization
Although the products sold abroad
generally are not identical to their domestic
counterparts, there is always a core of
expertise that the firm can carry abroad.
Principle " All Business is local."
10-17
13. Reasons for Product Standardization
Economies of scale : Production, R&D, Marketing
Common Consumer
needs : Drinking patterns, car sizes
Consumer Mobility : Customer retention & Loyalty
American Express, Kodak, ...
Home Country Image : US jeans, French Perfumes,...
Impact of technology : B to B Markets
10-18
16. Reasons for Product Adaptation
Climate: US Air-conditioning equipment
Skill level of users : Computers in Africa
National consumer habits :
- front-loading/top-loading washing machines
- car models : four-door (F) - two-door
(Germ.)
Government regulations on products,
packaging, and labels.
Company history and operations (subsidiaries)
10-21
17. Example:
European Toothpaste Market
Market Size in France:
Competitors in France :
– Unilever 33%
FF 1,8 Bill. (1996)
– Colgate 22,5%
Trends: – Henkel 19%
– Multiple number of
– Smithkline B. 12%
toothpastes/family
– P&G 0%
– Therapeutic /
sophisticated products
– Cosmetic products
– Volume
– Price
10-22
18. Drivers of Product Adaptation
Example COLGATE Toothpaste
(1) Differences in National Regulations
– Triclosan forbidden in Germany
– High fluorine content in local water (UK)
– Obligation to sell high fluorine content
toothpaste in pharmacy (France)
– Stringent clinical tests in France
10-23
19. Drivers of Product Adaptation
Example COLGATE Toothpaste
Packaging:
– Ecological Stand-up tubes in Germany
– Failure in France (Carrefour)
Distribution:
– Role of pharmacy in Italy and Spain
– Role of drugstore in UK
Communication:
– Medical in Italy and Spain (recommended by
dentist)
– Non-medical in UK 10-24
23. Brands
Bundle of images and experiences in the
customer’s mind
A promise made by a particular company
about a particular product
A quality certification
Differentiation between competing products
The sum of impressions about a brand is the
Brand Image
10-28
25. Brands
The added value that accrues to a product as
a result of investments in the marketing of
the brand
An asset that represents the value created by
the relationship between the brand and
customer over time
10-30
26. Brands
“We have to shift to high value-
added products, and to do that we
need to improve our brand.”
- Noboru Fujimoto, President Sharp Electronics
Corporation
10-31
27. Local Products and Brands
Brands that have achieved success in a
single national market
Represent the lifeblood of domestic
companies
Entrenched local products/brands can be a
significant competitive hurdle to global
companies
10-32
28. International Products and Brands
Offered in several markets in a particular
region
– ‘Euro-brands’
10-33
29. Naming your product
Alu-Fanny: French Foil wrap Atum Bom: Portuguese tuna
Kack: Danish sweets
Crapsy Fruit: French cereal
Mukk: Italian yogurt
Kum Onit: German pencil sharpeners
Pocari Sweat: Japanese sport drink
Plopp: Scandinavian chocolate
Poo: Argentine curry powder
Pschitt: French lemonade
10-34
30. Naming your product
Phonetic Problems with Brand Names
- Bardok (Sounds like Brothel in Russian)
- Misair (Sounds like Misery in French)
Translations
Intent Translation
- Stepping Stone - Stumbling Block
- Car Wash - Car Enema
- Highly Rated - Over Rated
Symbols
- Owl - Bad Luck in India
Other Countries make mistakes too
- Zit (Chocolate from Germany)
- Koff (Beer)
10-35
31. Global Products and Brands
Global products meet the wants and needs
of a global market and is offered in all
world regions
Global brands have the same name and
similar image and positioning throughout
the world
10-36
32. Global Products and Brands
A multinational has operations in different countries.
A global company views the world as a single
country. We know Argentina and France are
different, but we treat them the same. We sell them
the same products, we use the same production
methods, we have the same corporate policies. We
even use the same advertising—in a different
language, of course.
- Alfred Zeien Former Gillette CEO
10-37
33. Family Brands
Family Brand
Volkswagen
USA Europe Mexico
"Rabbit" "Golf" "Caribe"
-> lightness -> prestige -> avoid negative
connotation
10-38
34. Private Label Branding
Large retailers are moving increasingly into
their own brand, i. e. Marks &Spencer.
They try to obtain greater control and
higher margins.
Private branding can be an effective way to
break into foreign markets.
(Asian TV manufacturers)
10-39
36. European Households Judging
Credibility of Private Labels
Criteria Europe Germ. Spain France Italy UK
More expensive 3 3 2 3 3 1
Same 19 12 16 26 29 13
Less expensive 78 85 83 72 68 86
Higher quality 5 2 6 3 7 4
Same 78 90 73 78 71 77
Lower quality 17 8 21 19 22 18
More confidence 6 3 7 4 10 5
Same 74 84 71 73 66 74
Less confidence 21 12 22 23 24 21
Private labels per product category (% of sales in qunqtities in hypermarkets and supermarkets)
Source: Secodip International, 1998
10-41
37. Country of Origin effect
Country-of-Origin (COO) Influences on Consumers
– For many products, the “made in” label matters a
great deal to consumers.
Key research findings of
COO effects:
•COO effects are not stable
•Consumers prefer domestic
products over imports
•Both the country of design
and the country of
manufacturing/assembly play
a role in consumer attraction.
10-42
38. Branding Strategies
Combination or tiered branding: allows marketers
to leverage a company’s reputation while
developing a distinctive identity for a line of
products
– Sony Walkman
Co-branding features two or more company or
product brands
– NutraSweet and Coca-Cola
– Intel Inside
10-43
39. Branding Strategies
Brand acts as an umbrella for new products
– Example: The Virgin Group
• Virgin Entertainment: Virgin Mega-stores and MGM Cinemas
• Virgin Trading: Virgin Cola and Virgin Vodka
• Virgin Radio
• Virgin Media Group: Virgin Publishing, Virgin Television,
Virgin Net
• Virgin Hotels
• Virgin Travel Group: Virgin Atlantic Airways, Virgin
Holidays
10-44
40. Global Brand Development
Questions to ask when management seeks
to build a global brand:
– Will anticipated scale economies materialize?
– How difficult will it be to develop a global
brand team?
– Can a single brand be imposed on all markets
successfully?
10-45
41. Global Brand Development
Global Brand Leadership
– Using organizational structures, processes, and
cultures to allocate brand-building resources
globally, to create global synergies, and to
develop a global brand strategy that coordinates
and leverages country brand strategies
10-46
42. Global Brand Development
Create a compelling value proposition
Think about all elements of brand identity and
select names, marks, and symbols that have the
potential for globalization
Research the alternatives of extending a national
brand versus adopting a new brand identity
globally
Develop a company-wide communication system
10-47
43. Global Brand Development
Develop a consistent planning process
Assign specific responsibility for managing
branding issues
Execute brand-building strategies
Harmonize, unravel confusion, and
eliminate complexity
10-48
44. Local versus Global Products and
Brands: A Needs-Based Approach
Self-actualization
External/Internal
Esteem
Social
Safety
Physiological
10-49
45. Country of Origin as Brand Element
Perceptions about and attitudes toward
particular countries often extend to products
and brands known to originate in those
countries
– Japan
– Germany
– France
– Italy
10-50
46. Packaging
Consumer Packaged Goods when the
packaging is designed to protect or contain
the product during shipping
Eco-Packaging because package designers
must address environmental issues
Offers communication cues that provide
consumers with a basis for making a
purchase decision
10-51
47. Product Packaging and Labeling
Protection
Climate
Transport & Handling
Buyer's slow usage rate
Lack of storage facilites
Promotion Legal Constraints
Merchandising ( income level, shopping habits) Recycling of Packaging
Minimum breakage / theft (Duales System, Eco-Emballage)
Ease of handling Regulations on consumer info.
Multilingual Labels to Convey an International (Origin, weight, ingredients)
Image (Zara, Hollywood Chewing Gum)
10-52
49. Labeling
Provides consumers with various types of
information
Regulations differ by country regarding various
products
– Health warnings on tobacco products
– American Automobile Labeling Act clarifies the
country of origin, and final assembly point
– European Union requires labels on all food products
that include ingredients from genetically modified
crops
10-55
51. Labeling
As Americans become
increasingly concerned
about cholesterol, the
FDA (Food and Drug
Administration) has
responded by requiring
food manufacturers to
list trans fat (i.e., trans
fatty acids) on the
Nutrition Facts portion
of product labels,
effective 1/1/06.
10-57
53. Aesthetics
Global marketers must understand the
importance of visual aesthetics
Aesthetic Styles (degree of complexity
found on a label) differ around the world
10-59
54. Product Warranties
Express Warranty is a written guarantee that
assures the buyer is getting what they paid
for or provides a remedy in case of a
product failure
Warranties can be used as a competitive
tool
10-60
55. New Products in Global Marketing
Pursue opportunities in competitive arenas
of global marketplace
Focus on one or only a few businesses
Active involvement from senior
management
Ability to recruit and retain best employees
Understand the importance of speed in
bringing product to market
10-61
56. Identifying New Product Ideas
What is a new Product?
– New to those who use it or buy it
– New to the organization
– New to a market
10-62
57. The International New Product
Department
How big is the market for this product at various
prices?
What are the likely competitive moves in response
to our activity?
Can we market the product through existing
structure?
Can we source the product at a cost that will yield
an adequate profit?
Does product fit our strategic development plan
10-63
58. Testing New Products
When do you test a new product?
– Whenever a product interacts with human,
mechanical, or chemical elements because there
is the potential for a surprising and unexpected
incompatibility
Test could simply be observing the product
being used within the market
10-64
A product’s tangible attributes can be assessed in physical terms such as weight, dimensions, or materials used. Consider, for example, a flat-panel TV with an LCD screen that measures 42 inches across. The unit weighs 100 pounds, is 4 inches thick, and has a tuner capable of receiving high-definition TV signals over the air. These tangible, physical features translate into benefits that enhance the enjoyment of watching prime time TV and movies on DVR’s.
Companies differ in terms of both their willingness and capability to identify and produce profitable product adaptations. Unfortunately, in companies where an ethnocentric mind-set predominates, executives and managers are oblivious to the issues presented here. One new-product expert described three stages that a company must go through, they are listed above.
This slide sums up the section regarding choosing a product-communication strategy. It is important to note that only after analysis of the product-market fit and of company capabilities and costs can executives choose the most profitable strategy.
A frequently used framework for classifying products distinguishes between consumer and industrial goods. Consumer and industrial goods, in turn, can be further classified on the basis of criteria such as buyer orientation. Buyer orientation is a composite measure of the amount of effort a customer expends, the level of risk associated with a purchase, and buyer involvement in the purchase. The buyer orientation framework includes such categories as convenience, preference, shopping, and specialty goods.
Customers integrate all their experiences of observing, using, or consuming a product with everything they hear and read about it. The essence of a brand exists in the mind; as such, brands are intangible. However, companies develop logos, distinctive packaging, and other communication devices to provide visual representations of their brands. A logo can take a variety of forms, starting with the brand name itself.
This Slide illustrates that information about products and brands comes from a variety of sources and cues, including advertising, publicity, sales personnel, and packaging. Perceptions of service after the sale, price, and distribution are also taken into account. Information about products and brands comes from a variety of sources and cues, including advertising, publicity, sales personnel, and packaging. Perceptions of service after the sale, price, and distribution are also taken into account.
Products and brands can be broken down into three different categories. These are local, international and global. The next few slides illustrate the difference between the categories.
Companies should place a priority on creating strong brands in all markets through global brand leadership.
Both this slide and the next offer 8 suggestions for managers that are seeking to develop global brand leadership.
The essence of marketing is finding needs and filling them. Maslow’s hierarchy of needs, a staple of sociology and psychology courses, provides a useful framework for understanding how and why local products and brands can be extended beyond home country borders. Maslow hypothesized that people’s desires can be arranged into a hierarchy of five needs.14 As an individual fulfills needs at each level, he or she progresses to higher levels. At the most basic level of human existence, physiological and safety needs must be met. People need food, clothing, and shelter, and a product that meets these basic needs has potential for globalization. Mid-level needs in the hierarchy include self-respect, self-esteem, and the esteem of others. These social needs, which can create a powerful internal motivation driving demand for status-oriented products, cut across the various stages of country development.
One of the facts of life in global marketing is that perceptions about and attitudes toward particular countries often extend to products and brands known to originate in those countries. Such perceptions contribute to the country-of-origin effect; they become part of a brand’s image and contribute to brand equity. This is particularly true for automobiles, electronics, fashion, beer, recorded music, and certain other product categories. Perceptions and attitudes about a product’s origins can be positive or negative. On the positive side, as one marketing expert has pointed out, “‘German’ is synonymous with quality engineering, ‘Italian’ is synonymous with style, and ‘French’ is synonymous with chic.”
In many instances, packaging is an integral element of product-related decisions. Packaging is an important consideration for products that are shipped long distances to markets in all parts of the world.
One hallmark of the modern global marketplace is the abundance of multi-language labeling that appears on many products. In today’s self-service retail environments, product labels may be designed to attract attention, to support a product’s positioning, and to help persuade consumers to buy.
Aesthetic elements that are deemed appropriate, attractive, and appealing in one’s home country may be perceived differently elsewhere. In some cases, a standardized color can be used in all countries; examples include the distinctive yellow color on Caterpillar’s earth-moving equipment and its licensed outdoor gear and the red Marlboro chevron. In other instances, color choices should be changed in response to local perceptions.
The starting point for an effective worldwide new-product program is an information system that seeks new-product ideas from all potentially useful sources and channels these ideas to relevant screening and decision centers within the organization. Ideas can come from many sources, including customers, suppliers, competitors, company salespeople, distributors and agents, subsidiary executives, headquarters executives, documentary sources (e.g., information service reports and publications), and, finally, actual firsthand observation of the market environment. The diagram on this slide illustrates the continuum that new products will fall into and the amount of learning that consumers will have to go through in order to use the product.
A high volume of information flow is required to scan adequately for new-product opportunities, and considerable effort is subsequently required to screen these opportunities to identify candidates for product development. The best organizational design for addressing these requirements is a new product department. Managers in such a department engage in several activities. First, they ensure that all relevant information sources are continuously tapped for new-product ideas. Second, they screen these ideas to identify candidates for investigation. Third, they investigate and analyze selected new-product ideas. Finally, they ensure that the organization commits resources to the most likely new-product candidates and is continuously involved in an orderly program of new-product introduction and development on a worldwide basis.