1. Alexander Consulting Enterprise 9/13/2015 Global Branding

2. Alexander Consulting Enterprise 9/13/2015 Top Ten Most Valuable Brands 2014¹ ¹ https://www.millwardbrown.com/brandz/2014/Top100/Docs/2014_BrandZ_Top100_Chart.pdf 1.Google 2.Apple 3.IBM 4.Microsoft 5.McDonald 6.Coca-Cola 7.Visa 8.AT&T 9.Marlboro 10.Amazon

3. Alexander Consulting Enterprise 9/13/2015 -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 What is a Brand?

4. Alexander Consulting Enterprise 9/13/2015 What is a Brand? “The Capitalized Value of the Trust Between the Company and the Consumer” James Burke, ex-CEO of Johnson & Johnson A Brand’s Value is Reflected in: - Attitudinal versus Behavioral Loyalty - Customer efforts to obtain the brand - Price Premium - Possibilities for leveraging the brand

5. Alexander Consulting Enterprise 9/13/2015 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 -Brand acts as an umbrella for new products Example: Honda cars, motorcycles, and lawnmowers

6. Alexander Consulting Enterprise 9/13/2015 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

7. Alexander Consulting Enterprise 9/13/2015 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

8. Alexander Consulting Enterprise 9/13/2015 Country of Origin Effect as Brand Element Perceptions about and attitudes toward particular countries often extend to products and brands known to originate in those countries Example: Different perception of Swiss watch versus Italian watch versus Chinese watch

9. Alexander Consulting Enterprise 9/13/2015 Common Features of Global Brands  Consistent Positioning  Alludes to Similar Consumer Needs Worldwide  Geographical Sales Balance

10. Alexander Consulting Enterprise 9/13/2015 Value of Brands “The value of a brand, like beauty, is in the eye of the beholder” Current Brand Value of Existing Owner + Synergies with existing operations +Increase in Sales +Brand Name Leverage +Preemption of Competition +Psychic Value (Employee Motivation) = Potential Brand Value

11. Alexander Consulting Enterprise 9/13/2015 Current Brand Value of Existing Owner Equals NPV of DCF (or Future Earnings) of Current Business Discount Rate Depends on: - Risk Free Rate - Associated Risk - Growth

12. Alexander Consulting Enterprise 9/13/2015 Two errors that management makes in choosing a strategy NIH (Not invented here) syndrome means managers ignore the advancements of subsidiaries overseas Managers impose policies upon subsidiaries because they assume what is right for customers in one market is right in every market How to Choose a Strategy?

13. Alexander Consulting Enterprise 9/13/2015 Cave Dweller – new products launched internationally to dispose of excess production Naïve Nationalist – company recognizes growth opportunities outside of home market Globally sensitive – company views world as competitive marketplace How to Choose a Strategy?