Effects of Global Market Conditions on Brand Image Customization and Brand Performance

TLDR

Market conditions shape whether managers standardize or customize their global brand image. The study investigates how these conditions moderate the effect of brand image customization or standardization on brand performance. The author analyzes secondary environmental data and survey responses from international marketing managers. Results show that managers consider cultural and socioeconomic conditions when forming brand image strategies, that these conditions moderate the market‑share effects of those strategies, and that broadening the information used in decision‑making can enhance brand performance.

Abstract

Abstract What market conditions do managers consider when deciding whether to standardize or customize their global brand image? To what extent do those market conditions moderate the effects of brand image customization/standardization strategies on brand performance? To answer these questions, the author reports the results from a research study based on both secondary environmental data and survey responses from international marketing managers. The results show that (1) although managers consider some cultural and socioeconomic conditions of foreign countries in forming their international brand image strategies, and (2) those conditions moderate the market share effects of their brand image strategies, (3) managers can enhance brand performance by broadening the information they use in making global brand image strategy decisions. The implications of the results for marketing and advertising managers are discussed.