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A comparative study of the company's brand and independent brands

Author: HuangShengBing From: www.yourpaper.net Posted: 2007-11-20 07:37:05 Read:
Abstract: This paper describes the two brand name of the company's brand and independent brands, and from the consumer market environment, enterprises themselves to study the determinants of the company's brand and the formation of an independent brand. The paper concluded that, due to the differences of the different brand-cultural understanding, which leads to differences in the way of the brand name. Faced with the choice of two general direction of the naming process of the products or services a company brand model, which is used directly as a brand name company name. In this mode of brand, company name, the brand name occupy a dominant position, and another is to use a company name is not related to the brand name, this model is the independent brand model. This brand model for the type of product to use the type of independent self-brand, even for the products of the same category has two or more than two independent brand. Different market environments under different corporate brand naming pattern will be different, for example, China, Japan, South Korea and other East Asian countries, the company's brand enterprises more choice mode, while the US-led Western companies to select independent brand model . Only is the corporate brand in the same market environment structure model will be different, even in the same industry, there are also both use the company's brand, but also independent brand. Then the business decided to use the company's brand or independent brand name what factors need to be considered? From consumers, the market and the external environment, the company's own three levels to study the determinants of brand name.

Consumer factors

1. The degree of attention of the consumer product features

For certain types of products, consumers are more emphasis on the functional properties of the product, such products are more likely to use the company's brand model, because the company's brand model allows consumers to realize that he purchased more than just the product itself, and the entire enterprise / manufacturer. The company's brand to strengthen the image of the product from the big companies, so that consumers are better quality, more a sense of trust, and feel more secure when. A multinational advertising content analysis: studies have shown that Chinese consumers attach great importance to product features, consumers in Japan and South Korea on the importance of product features is worse, the U.S. consumer is relatively weak. Correspondingly, the brand name of Japanese and Korean companies almost exclusively using the company's brand model rarely used, and even the brand, and great enterprise scale, product areas covered by the company's brand is also very wide, products associated with the product is not strong. Currently, China's domestic enterprises to use the company's brand models, such as Chunlan, Haier and so on.

Understanding of consumer brand culture

Western consumers to express themselves through brand, projected by me from the brand, the brand is actually reflected in a relationship of persons and things. Western culture essentially emphasized the role of the individual, personal interests first, and this corresponds to the independent brand model is trying to create a colorful individual brand image for each individual brand, in this mode, the same product emphasis on brand competition between the different independent brand in the category, but the brand for many Chinese people, but it is a kind of relationship between people externalization. Chinese culture and the stressed collectivism, highlighting the coordination and harmonization of the internal mode of the company's brand products are united in a brand's brand name is the company name, the company's brand reflects a solidarity and collective image of the organization. Relative to the independent brand, the company's brand more successfully handle the relationship between different interest groups, and more importantly, the company's brand to highlight the brand's personality and over-emphasize the emotional benefits of the brand. In addition, different types of brand name under a unified brand in the company, in line with Chinese culture recognized cases of psychological and respect for authority.

Second, the external environmental factors

1. The degree of homogeneity of the market structure

The degree of homogeneity of the market structure has a strong impact on the corporate brand naming choice, higher degree of homogeneity in the market, the company's brand model is more appropriate; heterogeneous, differentiated larger market, independent brand model is more suitable.

2. Technical

Using a single brand, relatively speaking, easier to adapt to rapid technological changes. The high frequency and continuous introduction of new products; independent individual brand model, they have for each new product or new style to use a separate brand name, marketing costs are too high. Thus, it is not difficult to understand including the West, including many of the advanced technology industries and enterprises, such as IBM, Philips, Microsoft and other enterprises, as well as Japanese companies as the company's brand model, too fast because of the speed of technological development in these industries , it is difficult to cultivate long-term one after another independent brand.

Third, the company's own factors

Why some companies its external environment facing the same consumer behavior and psychological temperature is the same, but they use the brand structure of the mode is not the same, the main reason is the business factors. Enterprises themselves what factors may affect the choice of brand naming pattern?

1. History and tradition

Although many marketing scholars might think that The brand naming decision should be a market behavior, but many practitioners of marketing and brand manager has recognized brand name in many cases are determined by a number of non-marketing factors. The company's history and tradition is one of the important factors. Many business decision-makers in the first named for their own products, may simply not carefully considered the strategic significance of long-term development, brand naming their goals just hope that it will survive in the market. Once a naming scheme is used, this naming is held down, and the formation of a traditional, continue to be used in new product development or extension of the process, and are often difficult to change. Many companies brand is so, the same is true for many independent brand naming companies. Such as Procter & Gamble, for each product, use a different brand, which is a long-term consistent brand policy.

2. The company's organizational structure

Enterprises with a high degree of centralization, the brand model is more conducive to the company brand management centralization of power, the general manager of the enterprise is actually the entire company brand brand manager; On the contrary, a higher degree of decentralization enterprises, companies want the brand manager, brand management functions into independent brand model is more likely and more conducive to enhance the enthusiasm of each brand manager.

3. The degree of attention to the company philosophy

If an enterprise is more emphasis on the entire company philosophy and corporate culture is passed to the consumer and the external environment, this business is more likely to use the company's brand as one of the spread of vector. Because the company's brand relative to the independent brands, more successfully with all aspects (not just consumers), and thus will be able to more effectively to all associated with the company's external relations and consumer advocacy and communication company philosophy. the

4. Corporate strategy

(1) the company's overall strategic objectives. Market share as the company's overall strategic objectives of the enterprise are more likely to use the company's brand, and the profit margin of the main goals of the enterprise is more likely to be independent brand named. Because the company's brand model easier to adapt to a rapidly changing market environment, such as the upgrading of technology and the growth of the size of the market, to win market share; the main motive of the independent brand model from the point of view of its long-term profit-oriented, so may be more long-term perspective to nurture the brand, hope to establish long-term's unique brand personality and visual image in the minds of consumers.

(2) the company's competitive strategy choice. According to Porter's theory of competitive strategy, enterprises in order to gain competitive advantage. It can select a cost leadership strategy and differentiation strategy. Company brand model is more suitable for cost leadership strategy. Since the company's brand is just a brand advertising campaign, so you can save a lot of marketing costs, it soon for the introduction of new products or just getting started, financial strength is not strong enterprises is very important. For differentiation strategy, independent brand model may be more appropriate for different target consumer group with a unified corporate brand is difficult to adapt to the different characteristics of the needs of consumers, and thus a number of different independent brand more suitable.

(3) The company's brand strategy. Use the company's brand model, can help the development of new products soon to consumer awareness, improve product visibility, but if companies want to establish a unique brand image for each of its different products, the independent brand relative to the company's brand is more advantage. The company's brand is not only related to the brand image, and more importantly, is related to the company's image, so the choice of the company's brand on the brand image is not large, are mainly partial static, can reflect a sense of steady display the spirit and objectives of the company's strength or reflect the company's independent individual brands, it can be static or dynamic; either appeal to the functional or physical properties of the product, but also from the emotional attributes to start, build a brand personality. Independent brand in the same market or different markets and create a unique brand image. Brand loyalty, brand building type with respect to the independent brand model, may be more likely to become a bridge between the companies, distributors, and consumers, cooperation and consumers easy access to dealers in the distribution process awareness.
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