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If the organizational structure is the anatomy of the firm, the management processes are its physiology. Thus, effective global brand management is as integral to a multinational’s success as its short term capital management and long-term investment plan. Failure to do so inevitably leads to clotting, weakening, and mediocrity. Yet only 10 % of companies believe they have the full complement of executional capabilities required to win overseas. Global brands without effective management are truly vulnerable to globally integrated powerhouses and nimble local brands. To manage global brands effectively, companies need to take the process seriously and make it a strategic priority. They should (1) assign global brand responsibility and leadership; (2) develop a global brand planning system; and (3) execute global brand strategies in local markets within a common framework.
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Khanna, Disnesh et al. (2015), “The Globalization Capability Gap,” The Boston Consulting Group.
The three options to manage a global brand were introduced by Aaker, David A. and Erich Joachimsthaler (1999), “The Lure of Global Branding,” Harvard Business Review, vol. 77 (November–December), pp. 137–144.
Matanda, Tandadzo, and Michael T. Ewing (2012), “The Process of Global Brand Strategy Development and Regional Implementation,” International Journal of Research in Marketing, 29 (1), pp. 5–12.
According to Brand Finance, in 2016 the brand strength of Pampers, Always, and Huggies was AAA−, AAA−, and AA+, respectively. Kotex was not even rated.
I use Interbrand for the comparison because Millward Brown BrandZ does not go back to 2000.
Quelch, John A. and Anna Harrington (2008), “Samsung Electronics Co.: Global Marketing Operations,” Harvard Business School Case 9-504-051.
Pfeffer, Jeffrey, Robert B. Cialdini, Benjamin Hanna, and Kathleen Knopoff (1998), “Faith in Supervision and the Self-enhancement Bias: Two Psychological Reasons Why Managers Don’t Empower Workers,” Basic and Applied Social Psychology, 20 (40, pp. 313–321; Pfeffer, Jeffrey (2013), “You’re Still the Same: Why Theories of Power Hold Over Time and Across Contexts,” Academy of Management Perspectives, 27 (4), pp. 269–280.
Aaker, David A. and Erich Joachimsthaler (2000), Brand Leadership, New York: Free Press.
Nielsen, Bo Bernhard and Sabina Nielsen (2013), “Top Management Team National Diversity and Firm Performance: A Multilevel Study,” Strategic Management Journal, 34, pp. 373–382.
The Economist (2010), “From Walkman to Hollow Men,” November 6, p. 79; Iwatani, Naoyuki, Gordon Orr, and Brian Salsberg (2011), “Japan’s Globalization Imperative,” McKinsey Quarterly, June, pp. 1–11; Kubota, Yoko (2015), “In First, Toyota Taps Foreigner for Big Job,” Wall Street Journal, March 5, p. B2.
Meyer, Erin (2014), The Culture Map, New York: Public Affairs.
The interpretation of the differences is based on the interactive tool developed by Erin Meyer: http://erinmeyer.com/tools/interactive-culture-map-exhibit/; accessed March 18, 2016.
Dewhurst, Marin, Jonathan Harris, and Suzanne Heywood (2012), “The Global Company’s Challenge,” McKinsey Quarterly, 3, pp. 76–80.
Khanna et al. (2015).
Human Capital Institute/UNC Kenan-Flagler Business School (2015), “Compete and Connect: Developing Globally Competent Leaders.”
Reiche, B. Sebastian (2015), “An Integrative Approach to Cross-Border Expansion: The Role of Global Leadership,” working paper, IESE.
Ghemawat, Pankaj (2012), “Developing Global Leaders,” McKinsey Quarterly, 3, pp. 100–109; Aquila, Kate et al. (2012), “Managing at Global Scale,” report, McKinsey & Company .
Human Capital Institute/UNC Kenan-Flagler Business School (2015).
Dewhurst, Martin, Matthew Pettigrew, and Ramesh Srinivasan (2012), McKinsey Quarterly, 3, pp. 92–99.
http://www2.thtconsulting.com; accessed March 16, 2016.
Steenkamp, Jan-Benedict E.M. and Martijn G. de Jong (2010), “A Global Investigation into the Constellation of Consumer Attitudes toward Global and Local Products,” Journal of Marketing, 74 (November), pp. 18–40.
http://www.ibtimes.com/huawei-founder-ren-zhengfei-dismisses-chinese-military-connections-1791228; accessed March 16, 2016.
I use a relatively crude 3-point scale which sets a relatively high bar for agreeing with an item. I do this on purpose as the norm in many MNCs will be toward embracing not only the home country culture but also the global world. This gives rise to socially desirable responding, which is reduced by this asymmetric response scale.
Sanchata, Mariko and Riva Gold (2013), “In Asia, Locals Hit Western Ceiling,” Wall Street Journal, August 14, p. B6.
http://cn-en.kantar.com/business/brands/2015/2015-ideal-employer-survey/, accessed December 15, 2015.
Sanchata and Gold (2013).
- Global Brand Management
- Palgrave Macmillan UK