The influence of global and local iconic brand positioning on advertising persuasion in an emerging market setting

How nostalgic brand positioning shapes brand equity: differences between emerging and developed markets

“…As such, it may be argued that globalization drives the innovation of more global products (Steenkamp and De Jong 2010). In turn, the enhanced globalness of a product may decrease the effects of local iconness (Heinberg et al 2017). In line with this reasoning, Özsomer (2012, p. 76) argues that the globalization of a local brand is viewed as a Bloss of commitment to home^by developed country consumers.…”

“…This argument appears particularly relevant to innovations, as brand innovations embody the growing strength of emerging market economies. Thus, possible cultural incompatibility arguments (Heinberg et al 2017) may be less pertinent in this case, and gaining a competitive edge among global brands through innovation should attenuate the negative effect of the emerging market setting. In other words, emerging market consumers feel greater pride and self-relevance for innovative local iconic brands than for non-innovative local iconic brands, which enables the emotional transfer that is necessary and strengthens the otherwise weak brand local iconnessbrand equity link.…”

“…We observe such an effect for highly innovative brands in developed markets. According to the literature, high innovativeness increases the global appeal of a brand (Steenkamp and De Jong 2010), and a global appeal may in turn obstruct the effects of brand local iconness (Heinberg et al 2017). As such, highly innovative brands face a weaker effect of local iconness on brand equity in developed markets.…”

“…Previous findings suggest that strong brands initially struggle to reap innovation benefits and that too many innovations may be harmful, especially to brand authenticity (Beverland 2009;Brexendorf et al 2015;Rubera 2015). In addition, in terms of level 2 variables, we control for product category differences pertaining to food (1) and non-food FMCGs (0), as product category differences have been found to moderate nostalgia effects (Kessous et al 2015); pricing level, as the effect of low-price (0) and high-price (1) levels may have a different impact in emerging and developed markets; and brand reach, as the perception of domestic (0) and internationalized (1) brands may differ between emerging and developed market consumers (Heinberg et al 2017). Before developing the model, we had to take into account measurement invariance between Chinese and Japanese respondents.…”

A cultural approach to brand equity: the role of brand mianzi and brand popularity in China

“…Building strong brand equity is a complex yet crucial process for multinational corporations (MNCs) to achieve and maintain competitive advantage (Chatzipanagiotou, K., Veloutsou, C., & Christodoulides, G. (2016), especially for those that have operations in emerging markets (Chabowski, Samiee, & Hult, 2013;Yang, Sonmez, Li, & Duan, 2015;Zhang, van Doorn, & Leeflang, 2014). The competitive landscapes in those markets could be tougher than the developed ones, and there are distinctive consumer cultures and brand preferences (Heinberg, Ozkaya, & Taube, 2017). Moreover these consumer cultures and preferences particularly those in China are in constant transition (Leung, 2008), creating uncertainty for foreign MNCs (Stallkamp, Pinkham, Schotter, & Buchel, 2017).…”