Topic 4 – Offline

Brand Internationalization
Branding Strategies –
Geographic Perspective

Updated 17.07.23 by PP
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Pre-notes
• This set of slides has quite a substantial number of slides.

• There is no need to worry about that.

• There are a whole lot of slides in this set that are just reminder
slides (taken from topic 3)

• Due to time constraint, some of the contents will not be talked

about in class.
• The most fundamental will be discussed in class.

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Topic 3 Reminder
Branding Strategies: Multiple Perspectives

Geographic
Perspective: Global Relationship Time Process
Branding Perspectives
Strategies Perspective Perspective
Inside the
More local
company, within Brand Global
responsive (more
adaptations)
one master brand: Development Branding
Brand Architecture
TODAY- Strategies Process
TOPIC 4

More Outside of the

standardizations company

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Notes: The perspectives are interwoven

• Geographic development of the brand happens

over time.
• Process (by definition) is time-based.
• As a brand develops over time, its relationship
with other brands (both internal and external)
becomes more sophisticated.

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Topic 4 – Brand Internationalization
Branding Strategies: Building Brand Equity across
geographic borders
▪ Reminders of four key sub-topics
▪ Logical connections of these sub-topics
▪ Deep Dive into the most important one: Standardization vs
Adaptation
▪ Deep Dive into Country-of-Origin Effect (COO) as one key factor in
cultural environment that will affect the Standardization vs
Adaptation decision in Global Branding at the strategic level of
Positioning

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Back to the Process-perspective

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Notes on the Global Branding process

Since we talk about “global” brands, we focus on brands that
already exist with a clear brand purpose

If the brand has not had a purpose yet, it can always start with
the first step which is “Environment analysis” in order to work
out a purpose that fits with its environment.

In brand internationalization process, after analyzing the

environment, the brand must evaluate the overall market
attractiveness to select the most suitable market to enter with
the most relevant mode of entry.

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Reminder of four key sub-topics under topic

4- Brand Internationalization

4.1. Stages of internationalization & Readiness

4.2. Culture defined as Consumer Culture &
Product-Market Fit by Country
4.3.Country of Origin Effect
4.4. Standardization vs Adaptation

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Why analyzing the environment with a focus on

Culture ?
Differences in culture environment across geographic locations
present significant challenges to brands, and it requires brands
to make decision on adaptation or standardization, or in other
words, to what extend they will need to be locally responsive in
their Marketing Strategies and marketing mix implementation.

All the other environments factors will finally impact on the

culture, and eventually, lead to differences in
consumers/buyers behaviors – the center of all marketing
activities
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The inter-relationships
of different environment factors

Economic Geographic/Natural

Culture
(sub-culture:
buyer behaviors)

Socio-Demographic Legal - Political

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Illustration – Example of South Korea as host country

for Cong Caphe
Geographic/Natural: Not a
Economic: upper-middle income tropical country, does not have
(compared to the world, higher the climate to grow their own
than Vietnam)-people are willing coffee
to spend for a foreign brand Cold climate actually promotes
hot coffee
Culture: similar cultures from ancient time
(two of the four countries with similar
philosophical foundations including
China, Japan, Korea, Vietnam
(sub-culture: buyer behaviors): coffee
drinking behaviors, western style
adoption, young culture vs older
generation culture (coffee vs tea)

Socio-Demographic: Young
Legal – Political: Good
people with pop culture, high
density of younger people in relationship, people easily travel
between the two, lots of FDI in
major cities, considerable
number of Vietnamese in SK VN

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Building brand equity

across geographic borders
Brand internationalization pathway

Domestic
Brand (just Domestic International
one for few brand International Transnational
Brand (via Brand (via
local (national export) Brand
places) brand) foreign direct (presence in
investment) more than 5 Global Brand
countries, via (presence in
both exports about 30
and also FDI) major
countries)

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Notes

The brand internationalization pathway presented in the slides

here is more sophisticated than the four stages of brand
internationalization on Canvas. The version on Canvas is simplified
from this one for easier, faster understanding.

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Example: History of Cong Caphe

Establishe By 2016-
d 2017- International
2007 Domestic Brand (via International Transnation
brand al Brand Global Brand
Just one export) Brand (via (presence in
(national (presence in
café on brand: foreign direct about 30
Trieu Viet investment) about more major
mostly As a service than 5
Vuong, major company, countries)
Hanoi cities) countries,
they do not
have this South Korea via both
export and NOT HERE
step Malaysia YET- a very
FDI)
long way
NOT HERE
YET-
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Excerpt from Cong Caphe website

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Teaser Questions:

• So which brand of cafe (service/coffee house) has

reached the “global” scope?

• Which brands of “caphe” from Vietnam has a dream

of going global?

• Which brand of café from Vietnam has the highest

potential for becoming a “truly” global brand?

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Four
▪ International Strategy: Another name is Export
Internationalization/Global Strategy: takes existing products or services
Branding Strategies- created for a domestic market and sells them
internationally without customizing them to fit local
Reminder from Topic/W3 preferences and conditions.
▪ Multidomestic Strategy (another name:
Content here localization): highly adapts to local environment,
high responsiveness to satisfy the demands of each
domestic market in the different host countries.
Each country or market receives a customized
version of a product/service.
▪ Transnational Strategy (another name:
Glocalization): Combined both the International
Strategy and Multi-domestic Strategy. attempt to
benefit from the efficiencies generated from
standardization while leaning on global branches to
localize aspects of their messaging and offerings to
local preferences
▪ Global Strategy (another name: Standardization
Strategy): Highest level of standardizations across
many host countries’ markets

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Examples of
Brands with
four different
strategies

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What does 7-Eleven adapt in each host

country?

1.Assorts of products (catering to the local tastes

and popular items)
2.Payment methods and partners

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More on 7-Eleven

7-Eleven in Japan
selection of instant ramen and ▪ Bullet points here

soups and other treats — dried

squid, salmon onigiri, fish
cakes, fried chicken, fatty beef,
countless buns, a gigantic green tea
cookie, a strawberry cream
sandwich, and some sort
of matchaice cream burrito

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7-Eleven in India
7-Eleven in China
▪ a lot of instant noodles
It is yet to build the foothold there in ▪ local prices
India in 2021 and 2022

Partnership with local company:

Retail Reliance

Set up techhub in Bengaluru

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7-Eleven Vietnam Adaptations/Localizations

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7-Eleven Vietnam Adaptations/Localizations

https://www.7-eleven.vn/san-pham-dich-vu/

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7-Eleven adaptations in Vietnam

Rice meal options: Cơm món tự chọn

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Food for thought:

Why 7-Eleven Vietnam offers “cơm món tự

chọn” –rice meal options?

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So, with the four strategies, no matter what,

the key question for brands in
internationalization is?

To what extent do we adapt and/or

standardize in (a) (new) host
country(countries)?

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The billion-dollar question in

Global Branding:
Standardization vs Adaptation

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— Two fundamental sub-questions of the Billion Dollar

Question: To what extend should a brand
Agenda standardize or adapt?
▪Fundamental subQ1: Two levels of decisions in Marketing for
Standardization and Adaptation: Strategic STPD level and Marketing Mix level
▪Illustration case: Levis’ Strauss case
▪Fundamental subQ2: What must be standardized? What could be adapted?
Intro to Brand Essence concept
Unilever's take on Brand Essence
Two more perspectives of brand essence for reference
▪Illustration case on brand essence: The case of Oreo for adaptations vs
standardization
▪Some more food for thoughts

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Fundamental SubQ1
2 level of decisions to think about
Any Adaptations Needed on the ▪ To what extent adaptations or
standardizations to be applied to the

STRATEGIC LEVEL? Marketing Mix?

Targeting Group of Customers in the ▪ Product

new host country? ▪ Price
▪ Place
Positioning & Differentiation ▪ Promotion (Marcom)
Strategy?

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NOTE: Adaptations following the previous
level of decisions
As a matter of course, IF in the
host country, you need to
change your target customers,
then your positioning might
need adaptation as well.
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▪Also, as matter of course, IF in the
host country you need to adapt
your strategies (STPD), then the
marketing mix would require
certain level of adaptation as well
▪ However, you might target the
same segment and use similar
positioning but still need to adapt
the specifics of your marketing
mix in the new host countries
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Billion-Dollar Question:
To what extent do we adapt and/or standardize
in (a) (new) host country(countries)?

Answer: the decision should be based on Market

Research- Environment Analysis –Examine the
environment factors in the country that would lead
to the need for adaptations in the host country.
(both macro & micro) the very first step of the
marketing process (from Marketing Principles)
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Examples of adaptations at the Strategic level:

New target group of customers in host country
compared to home country
Levi’s Strauss Target customer ▪Levi’s Strauss Target customers
in home country: The US in Vietnam

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Example: Levi’s Strauss Adaption of Positioning

following adaptation of target group in Vietnam
Vietnam’s target segment: ▪ Place: Stores
Upper-middle income class are located in
high-end
shopping malls
So, Positioning & Differentiation (Aeon Mall,
must follow: Vincom
Positioning as a high-end brand Centres, etc.)

And Marketing Mix adaptations

would follow

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Levis’ Strauss Added Emphasis

In Vietnam: DYI ▪In the US: second hand’s
Customization, instructions market-place
for customers

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Marketing Mix adaptations

Note: this could happen even if the STPD strategy stays quite the
same (standardization of the marketing strategy)

The Classic Case of OREO in Global Marketing

Before we go into this case, we have another

important question:

What elements of the brand must stay the same

(standardization across countries, no matter what)?
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Fundamental SubQ2

What elements of the brand must stay the

same across countries?

What can be adapted?

How can brand managers know what to keep

the same and what to adapt? (besides looking at
the environment factors and their impacts on the
buyers behaviors in the host countries)
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Introducing the
concept of brand
essence and/or
brand DNA
What elements should be kept the same? What
could be adapted by brands across countries?

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Introducing the concept of brand essence

and/or brand DNA

Quick refreshers on previously learnt concept

Topic 1-Week 1
What is a brand?
What is branding?
Topic 3-Week 3
(Global) Brand Process
Brand Key model

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Quick refreshers on previously learnt concepts

Topic 1-Week 1
What is a brand? What is branding?

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Key points?

Brand is a perception in the buyers’ mind

Branding: process of shaping that perception

SO, in global branding, when the

buyers/consumers are different in the new host
countries, clearly there are needs for adaptations
of that perception.
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Quick Refresh on previous learnt concepts

Topic 3-Week 3
(Global) Branding Process
Brand Key model by Unilever

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Back to the Process-perspective

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Brand key model by Unilever:

Item 9: Brand Essence

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Unilever’s New Brand Key Model

Defining the brand essence in more specific
terms
The new trend: Purposeful Brands
Unilever’s adoption of the strategy on Purposeful Brands:

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Unilever's take on Brand Essence

(insider's info-Unilever changed the brand key model slightly)

Brand Essence = Brand Purpose + Distinctive Brand Assets

Distinctive Brand Assets (DBA): refer to Week 2- Aaker's

Brand Equity Model: Component 5: Brand Proprietary
Assets (legally registered & protected)

Examples: Brand’s logo, jingles, tagline,

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Activity: What is the brand purpose of the

following Unilever's Brands?

Would Unilever ever change this brand purpose when they

operate in different countries in the world?
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Purpose-led or Mission-driven statements

• Dove’s mission is to encourage all women and girls to develop a
positive relationship with beauty, helping to raise their self-
esteem, and thereby enabling them to realise their full potential.
• https://youtu.be/zY5L9M7Xcdk

• Lifebuoy's mission to help keep the world's population healthy and

hygienic
• https://www.youtube.com/watch?v=LlqaQyhi5Hc

• Love, Beauty, and Planet's mission is to make you more beautiful

while giving a little love to the planet
• https://www.youtube.com/watch?v=O0j6jh7zilI
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Dove

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Lifebuoy

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Love, Beauty, and Planet

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Notes
There are other takes/perspectives,
definition of brand essence rather than the
Unilever one.
Two are presented below for your
reference, but due to lack of time, we are
not going to look too carefully into these
two perspectives. IF you would like further
info, please do your own research
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Two other perspectives on Brand Essence

▪ Brand Essence expressed as from the
Brand essence as the inner most perception of the consumers/buyers in
layer of brand identity in Aaker’s multiple aspects of the consumers’/buyers’
model of brand identity/vision experience as in the Brand Essence Wheel
(system). There are three layers of by Bates Consulting, 1995
the brand identity concept.

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Brand Essence = Brand DNA

What your brand stand for?
▪THE SOUL OF THE
BRAND

THE CORE OF YOUR BRAND

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Basically, it is something you will not

change either over time or across borders
So, now back to the OREO
case

WHAT IS THE ESSENCE

OF THE OREO’ Brand

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A Classic Case of Adaptations vs

Standardization: OREO
WHAT ARE THE ESSENCE OF THE OREO's BRAND?
Product/Benefit Essence: Chocolate and Cream, Sweet Taste?
Promotional/ Emotional Essence: Joy and Bonding & Sharing?

Find the answers of Oreo to the Standardization/Adaptation questions from the

below videos

https://www.youtube.com/watch?v=U48nmKPJclA
Oreos in China (Example of Product Adaptation Strategy in Global Marketing)

https://www.youtube.com/watch?v=75NpeAN-z4k
Kraft Marketing Oreos Globally
What adaptions have been made by Oreo in different countries?
What are kept the same?
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Adaptations
Gluten-free version of Oreo in
Canada and the US, priced at 13.99
dollars

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Oreo Adaptation in Chile & Argentina

Caramel cream version only

available in these two
countries, even though made in
Canada

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Oreo Adaptation in Japan & China:

matcha & oolong cream

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So, what is the essence of the brand?

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Other cases for your own exploration

7-Eleven stands for CONVENIENCE.

That is why in Vietnam they offer the “cơm
món tự chọn” – rice meal options

What does McDonald’s stand for?

What are must-do “standardizations” of
McDonald’s across the world?

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Some food for thought

What if everything about the product stays the same, and
they just change the brand name in the new host country?

Is “brand name” a part of a brand’s essence?

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Country of Origin Effect (COO)

& its impact on
standardization/adaptation of
Positioning Strategy

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So, why Country of Origin effect?

It is an essential part of the cultural environment

It creates a major “secondary brand association”

Brand association is one of the five aspects of brand
equity (Topic 2-Week 2)
Three sources of secondary brand associations – COO,
Co branding, and Influencer Marketing

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Agenda

Country of Origin Effect (COO Effect) and Implications for Global

Branding Positioning Strategies
▪ COE Effect: Two dimensions to look at:
Category-based
Positive v.s. Negative
▪ Global Culture Positioning Strategies:
Local Culture Positioning
Foreign Culture Positioning
Global Culture Positioning

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Country of Origin Effect

Definition:
Country of Origin:
1. the country where corporate headquarters of the company
marketing the product or brand is located ( Johansson et
al. (1985) and Ozsomer and Cavusgil (1991)

2. “the country of manufacture or assembly”. It refers to the final

point of manufacture. (Papadopoulos (1993) and White (1979)

Related concepts: Home country & Host country

Two dimensions of the COO Effect

1. Product Category-based
2. Negative vs Positive

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Country Image or Country as a Brand

Two dimensions
1. Category-based
2. Negative vs Positive

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COO effect of the same country differs

by product category
Two dimensions
1. Category-based
2. Negative vs Positive: Perception or Reality?

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Global Branding –
Positioning Strategies
3 Strategies
* Local Consumer Culture Positioning (LCCP)
* Foreign Consumer Culture Positioning (FCCP)
* Global Consumer Culture Positioning (GCCP

Source: Brand Positioning in Asia, North America, and Europe: The Role of Global
Consumer Culture,” Alden, Steenkamp, and Batra

Related Concept:
What is Global Consumer Culture?

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Three Global Branding Positioning Strategies

Local Consumer Culture Foreign Consumer Culture Global Consumer Culture Positioning
Positioning Positioning (GCCP)
(LCCP) (FCCP)
Definition Positioning the brand in the host Using the appeal of the country of origin associates the brand with a widely
country based on local culture where the brand comes from (or understood and. recognised set of symbols
supposed to come from) and values believed to constitute global
consumer culture
Adaptation or Adaptation depends Standardization
Standardization?
Example Choco Pie in Vietnam based on Foster Beer position themselves as McDonald’s over the past 30 years
culture of gift-giving and praying Australian beer
to the ancestors
McDonald’s in the 1970s was based on
American appeal

Enchanteur positioned as coming from

France (famous for romances)
Campaigns links “Tinh nhu Chocopie” “Foster- Australian for beer” “I’m lovin it” (Global Campaign)
Media links for https://www.youtube.com/watch? https://www.youtube.com/watch?v=uCG6 https://www.youtube.com/watch?v=dI-
references v=JlcuI-aiHgc N1w6zp0 xHMM8wXE
ENCHANTEUR – DA THƠM MỊN ĐÓN MÙA YÊU https://www.youtube.com/watch?v=GApPXZ
https://www.youtube.com/watch?v=o- AvkRI
rpHwHPB90
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Local Consumer Culture vs Global Consumer
Culture
Local Consumer Culture
Each country has a different culture
The brand will adapt to the local
culture for faster adoption of the
local consumers
▪ Global Consumer Culture: cultural
entity that is not coupled to a single
country, as something larger that
transcends national cultures (Alden
et al., 1999).
Created by globalization: increasingly similar
consumer behaviors across countries
Rapid expansion of brands on international markets
thanks to Digital technologies

▪ Who are the Global Consumers? (Nielsen

research)
▪ https://www.youtube.com/watch?v=meQBjOd2XqA
▪ https://www.youtube.com/@nielseniq3851/videos
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How about your own examples for

each of these positioning
strategies ?

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Global Branding –
Positioning Strategies

What is Global Consumer Culture?

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Are you a “Global Consumer”?

What factors define a “Global Consumer”?
“MOSTLY”

Geographic? Demographic? Psychographic? Behavioral?

Urban? Age?
Income?

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Extra perks:
Digital Tools for Global Consumer Profiling?
Any?

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Global Consumer Profiling : not an easy job

done by global market research company
In fact, research is needed to identify differences among
consumers across the globe.

TGI Global Quick View by Kantar

References
https://www.kantarmedia.com/us/newsroom/press-releases/kantar-media-launches-global-consumer-profiling-and-planning-solution
https://www.youtube.com/watch?v=RExUpcMQBPc
https://blog.euromonitor.com/learn-more-about-consumer-types-around-the-world/

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—
Thank you

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