Branding as a strategy: New forms of Decision-Processes

1. Branding as a strategy: New forms of Decision-Processes To Brand or Not to Brand? Trade-offs in corporate branding decisions. Written by: Jennifer J. Griffin, The George Washington University, Washington, DC. Presented by: MBA International Business Students IIFT-IFM Tanzania (2008/2010 intake). Group 1.

2. MBA IN INTERNATIONAL BUSINESS.INTERNATIONAL BRAND MANAGEMENTGROUP 1 MEMBERS. • Samson Akyoo 1100 • Enna Victor 1150 • Nuhu Suleiman 1156 • Mwete Amisi ALI 1152 • Edmund Katumbo 1160 • Anzuruni B. Malisawa 1153

3. INTRODUCTION Globalization . Cross- borders operations • Organization • . Brand Manager • - Critical decision-making • External & internal environment Information & communication Technology Firm’s visibility & increased competition

4. Introduction cont…. • Today’s organizations operate in a competitive environment due to increased globalization and dvpt in technology. • Firms can gain competitive advantages by creating and maintaining a strong corporate brand within and outside national boundaries. • Needs for effective decision-making to maintain better firm’s visibility and response to challenges.

5. Introduction Cont…. • Activities (functions) such as marketing, sales, procurement, etc.. Should be well managed and coordinated to add value to corporate brand • Brand managers need to analyze and understand corporate branding strategy typology and before creating trade-offs in corporate branding decisions and decide whether to brand or not to brand examine internal & external complex organizational environment.

6. ANALYSING CORPORATE BRANDING DECISIONS • Who are we? • How do we compete with our corporate brand? • Conflicts • Organizational Pressure/ • Internal factors • Business exposure • Top management philosophy • Decision Maker/Corporate Branding decisions • Strategic decisions • Operational decisions. • Stakeholder’s pressure/External factors • Environmental uncertainty • Institutional environment

7. OBSERVATION • These 2 Qns portrays visibility of the company, employees & brand; • 2 Categories of branding decisions: • Strategic: (transform organization to its environment and affected by multiple dimensions such as product mix, culture, geographic and customers)- economic & non-economic dimensions. • Operational: D2D tactical activities influenced by information flows and organizational structure to enhance brand acceptability.

8. Observation • For a brand to gain good response the company should engage in public/social policy debates; eg. Coca cola kwanza green initiative in Arusha, Kilimanjaro sponsorship to Simba&Yanga, Vodacom sponsorship to Taifa cup, IPP v/s Mbagala events. etc… • Identify and maximize fit btn organizational internal capabilities v/s environmental factors

9. FACTORS AFFECTING CORPORATE BRANDING DECISIONS. • External factors: • Environmental uncertainty- corporate branding should mitigate these variables that are beyond company’s capabilities. • institutional environment • Institutional environment: Brand as paper over of the realities about the organization. • Internal Factors: • Business exposure:- Resources specialization • Top management policy: Management of uncertainty and dependencies of the company.

10. 4 CORPORATE BRANDING STRATEGIES • Corporate Branding Strategies can be differentiated by their internal and external decision-making constraints and depends on how a firm actions and organize itself. • 4 corporate branding strategies: • Discretionary Branding: stable environment & centralized decision-making structure, minimal changes and limited differentiation. Eg. Industrial firms with industrial clients no need for great community commitment. • Dispersed Branding: stable environment, low uncertainty, decentralized decision-making- local decision makers influence decisions.

11. 4 Corporate Branding Strategies Cont…. • Definitive Branding: High uncertainty, decentralized decision-making, unstable political economies, requires specialization and great knowledge. Eg: Franchise • Discrete Branding: Complex environment, centralized decision-making for some products/service, special branding for some products/service different from corporate branding. NOTE: • Any category of branding may involves a combination of characteristics but the dominant is chosen. Eg. Discretionary may involve dispersed, discrete or definitive • The managerial implications of corporate branding is to formulate and implement strategies that best the changing environment while understanding the advantages and disadvantages of the decision-making structure of our own organizations.

12. Conclusion • A well managed Corporate Brand can: • Reduce inefficiencies, • Justify firm’s legitimacy, • Enhance resources • Corporate brand can add value to the organization if the firm integrate its internal and external constraints with its capabilities to mitigate them through both strategic and operational decisions • Here are the responsibilities for the boundary spinning manager/brand manager.