Securing the global brand strategy : – global standardization or local adaptation

Abstract: Master thesis in Business Administration, 15hp, School of Business and Economics, LinnaeusUniversity, Växjö, Marketing, 4FE02E, spring 2011 Authors: Jenny Andersson and Julia Borgvall Tutor: Engelbert Weiss Company contact person: Peter Samuelsson, Gunnebo AB Title: Securing the global brand strategy – global standardization or local adaptation Background: The infrastructure available today provides opportunities for companies allaround the world to transcend national boarders easily and to operate on the global market. During the preceding decades, brand management in the international environment hasbeen frequently discussed. The choice of a clear branding strategy and clear goals of what acompany wants to achieve is of great importance. Furthermore, companies that act in a globalenvironment need to decide upon whether to be standardized across these markets or to adaptto each specific market. Purpose: To reach an understanding of the factors influencing the choice of internationalbranding strategy by global standardization or local adaptation. Methodology: A case study has been used in this research in order to meet the purpose. Sincethis thesis is of a qualitative character the empirical data has been collected through semi-structured interviews within three respondent segments in the case organization: management,communication and sales. Conclusion: A conclusion drawn from this research is the importance of internalcommunication, when it comes to the formulation and implementation of brand strategies. - Factors influencing the decision of a global standardize brand strategy can be; the possibilityto become a strong global player, decreased expenses of marketing, economics of scale. - Factors influencing the decision of a local adaptation strategy can be; cultural differences,history and heritage, better knowledge of the local market. Suggestions for further research: Further research could be to conduct a more thoroughstudy with more respondents from different multinational companies and also to look at thecustomers' point of view.