Lecture 10 Flashcards
Alternative modes of internationalisation
Licensing, franchising
Turnkey, BOT
Joint venture, consortium
When can Alternative modes of internationalisation happen
anytime
Global companies
- manage their brands globally
- may sustain their business on local brands
- ex: Nestle
Global brand
might be owned by International (NOT GLOBAL) company
Chanel example
Global brand
- Uniformity in brand image
- Standardized product
- wide recognition
- for everyone
What influences the mix push pull
- The type of distribution system
- The cost and availability of media to reach target segments/ markets
- Consumer attitude towards the information source
- Product price as a percentage of income
why: Standardization of promotional programs
- Cost reduction
- Prevents international customers of getting confused from exposure to different messages
- Usually accelerates the product’s penetration rate on target markets
Standaridziation of promotional programs example
Persil, skip, Omo
promotion policy - Factors against standardisation
- message translation
- Legal constraints
- Moral standards
- Message content
Word/ phrase specificity example
esquires have approx. 30 definitions for different kind of snow;
several languages coexist in a country
Legal constraints example
for tobacco, alcoholic beverages
Moral standards example
criticised campaigns (body exposure denmark vs US)
message content example
food advertising
Europe (taste)
US (convenience)
japan (energy)
Branding policy - what to do
- to have or not to have a brand
- producer brand or independent brand
- only one brand or several
- one international brand or several local brands
Factors against branding policy harmonisation
- linguistic factors
- acquired brands
- the country of origin effect
- generic or almost generic names
