In a short essay, explain why consumers prefer global brands. What are some of the important characteristics of the most successful global brands?

What will be an ideal response?

Consumers frequently prefer globally branded products because global branding provides a sense of trust and confidence in their purchasing.
A strong global brand:
? increases the efficiency and effectiveness of marketing programs
? stimulates brand loyalty
? allows the firm to charge premium prices
? increases the firm's leverage with intermediaries and retailers
? enhances the firm's competitive advantage in global markets
The firm can reduce its marketing and advertising costs by concentrating on a single global brand instead of numerous national brands. The strength of a global brand is best measured by its brand equity-the market value of the brand.
The most successful global brands tend to have several of the following characteristics:
1. High, conspicuous visibility, such as consumer electronics and jeans.
2. Status symbols, such as cars and jewelry.
3. Widespread appeal, due to innovative features that seem to fit everyone's lifestyle, such as
mobile phones, credit cards, and cosmetics.
4. Close identification with a particular country, such as Levi's (U.S. style) and IKEA furniture (Scandinavian style).