Place Associations In International Branding And Advertising

423 Pages·2015·5.46 MB·English

Place Associations In International Branding And Advertising:
A Cross-National Investigation

by

Jill L. Reid

A thesis submitted to the Faculty of Graduate and Postdoctoral Affairs in partial
fulfillment of the requirements for the degree of

Doctor of Philosophy

in

Management

Carleton University
Ottawa, Ontario

© 2014, Jill L. Reid
Abstract

The impact of globalization, characterized by technological innovations in the sphere of
transportation and communications, presents multiple challenges to international marketing
managers. The accelerated diffusion of brands on a worldwide scale has heightened the
importance of international branding, as manufacturers endeavour to differentiate their
products and create a sustainable and relevant brand image across multicultural consumer
audiences.

This study offers a significant contribution to the field of international marketing
research by bringing together two connected areas that have largely been studied in parallel.
Specifically, this research examines the role of place brands in supporting the development
of product brand images. The increasing volume of studies in this field centres on the use of
place associations as brand image heuristics from the consumer perspective. The key
compelling element of this study is that it provides, for the first time, an exploration of the
use of country brand associations in marketing communications from the managerial
perspective.

The focal area of analysis of this study is to examine how the construct of
[geographic] place manifests itself in international branding and advertising, and to identify
some of the antecedent factors that direct the way place associations are utilized by
marketing managers. A multimethod quantitative and qualitative approach was adopted, and,
therefore, the study is divided into three phases.
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In Phase 1, the actual use of place associations in brand marketing communications is
investigated, using the vehicle of print advertising across four economically similar, but
culturally divergent nations. In light of the exploratory nature of this first-ever marketing
management study integrating the fields of place branding and product branding, an
inductive approach was adopted for the in-depth interviews in Phase 2, to gain a deeper
understanding of the managerial perspective and aid the design of the online survey
conducted in Phase 3. Each phase of the study is of value in itself to advancing research in
the fields of international branding and advertising, not least by engaging practitioners in the
process.

All three research phases reflect the continued interest in this topic from a marketing
management perspective, thus reinforcing the call for further investigation into this untapped
field.

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Acknowledgements

It has been an incredible journey, and one that cannot be undertaken alone. I am truly
thankful to everyone who has supported me along the way, and would like to share with you
all my pride in what we have achieved.
First and foremost I wish to express my deepest gratitude to my supervisor Dr.
Nicolas Papadopoulos for his monumental contributions to this work, from inception to
completion. It has been a long road, and this thesis would not have been possible without
your mentoring guidance and support to keep me on track. Thank you for your dedication,
high working standards, and continuous feedback that has inspired me to take my research to
an advanced level, launching this exciting new career.
I would also like to thank all my dissertation committee members, Dr. Charles
Blankson, Dr. Judith Madill, Dr. José I. Rojas-Méndez, and Dr. Michel Rod for their
constructive comments and valuable suggestions that have enriched my output.
Thank you to everyone at the Sprott School of Business, especially Greg Schmidt,
Cindy Halden and Melissa Doric, for being there for me whenever I needed their assistance
over the past five years.
This project was supported by a grant to the thesis supervisor, Dr. Papadopoulos,
from the Social Sciences and Humanities Research Council of Canada (SSHRCC).
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To my former work colleagues and students who participated at different stages of the
study, your valuable contributions are greatly appreciated and I look forward to sharing new
ideas with you again.
A special note of gratitude to my family and friends, both here and across the pond,
who have supported me in a multitude of ways along the way. I look forward to joining you
again. To Christine, Alia, and Anahit – thank you, ladies, you have been incredible!
None of this would have been achieved without my husband and my rock, Nigel.
Words cannot express my immense gratitude for your continuous encouragement, support
and motivation that have driven me along this journey to a new chapter. I could not have
accomplished this dissertation without you, thank you for always being there for me.

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Table of Contents
Abstract………………….…………………………………….…………………..……..… i
Acknowledgements…..….………………………………………….……………..…….… iii
Table of Contents……….…………………………….……………….………….……….. v
List of Tables…………….……………………………………………….………………… x
List of Figures………….……………………………………………………..................... xiv
List of Appendices ……………………………….………………………………..…..….. xv
CHAPTER 1: Introduction….…………………………………………….……….............. 1
1.1. Outline of Key Issues in the Study………………………………….…..…………. 2
1.1.1. Consumers, "Global" Brands, and Place Associations…….….…………...... 2
1.1.2. Managerial and Consumer Perspectives………………………..……….….... 4
1.1.3. Local, Foreign, and Global Brands…………………………….….………..... 6
1.1.4. Products and “The Brand State”…………………………………..………….. 7
1.1.5. Advertising Agencies and Marketing Managers…………….………..………. 8
1.1.6. Academic and Practitioner Perspectives………………………….…….…...... 9
1.2. Contribution to International Marketing Research……………….…………...….. 11
1.2.1. International Brand Strategy……………………………….………….…...... 11
1.2.2. International Advertising…………………………………………….…..…... 12
1.2.3. Place in International Brand Marketing…………………….….………..…… 12
1.3. Structure………………………………………………………………...…….…… 13

CHAPTER 2: Literature Review…….………………………………………...……..….. 15
2.1. International Brand Strategies……………….,,,,,,,……….………….….….......... 15
2.1.1. Managing Brand Equity…………………………………….…….……........ 16
2.1.2. Globalization and the Opportunity for Global Branding…………...…..…… 20
2.1.2.1. The Modern Era of Globalization……………………………....…….. 21
2.1.2.2. Cultural Globalization ……………………………………..……...…. 23
2.1.2.3. Global Branding…………………………………………..………...... 25
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2.1.2.4. Global Brands versus Local Brands…………………………..….…… 27
2.1.3. The Influence of Culture in International Brand Strategies …………..….… 29
2.1.4. Standardization versus Adaptation …………….……………………..….…. 34
2.1.5. International Brand Architecture and Brand Communication………………. 40
2.1.6. Strategic Decision-Making in International Marketing……………………... 43
2.2. International Advertising…………………………………………………………. 48
2.2.1. The Purpose of Advertising………………………………………………… 48
2.2.2. Variations in Information Processing Styles…………………………..…… 49
2.2.3. International Advertising Strategy…………………………...........……..… 53
2.2.4. Advertising Appeals and Executions………………………………………. 54
2.2.5. The Influence of Culture on Communication Strategies……………….….. 61
2.2.5.1. Culture and Marketing Communications …………………………….. 61
2.2.5.2. The Influence of Culture on Advertising Standardization Decisions… 68
2.2.5.3. The Reverse Effects of Advertising on Culture………………………. 71
2.2.6. Other Factors Influencing Strategic Decision-Making…………………….. 73
2.2.7. International Advertising Research………………………………………… 76
2.2.7.1. The Scope of International Advertising Research……………………. 77
2.2.7.2. International Advertising Research Methodologies………………….. 79
2.3. Place in International Brand Marketing………………………………………….. 82
2.3.1. Evolution of Academic Research ………………………………….……..... 83
2.3.2. Globalization: The Impact on Identity and Attachment to Place…………... 86
2.3.3. Place Branding and Place-based Product Branding ……………………….. 87
2.3.4. Place Associations and Products………………………………………….... 89
2.3.5. Place Associations and Brands…………………………………..……..….. 95
2.3.6. Place Associations in Advertising………………………………………… 100
2.4. Summary………………………………………………………………………… 102

CHAPTER 3: Research Objectives and Methodology……………………………..….. 106
3.1. Research Objectives………………………………………………………….. 106
3.2. Methodological Considerations and Approach to the Study………..……….….. 110
3.2.1. Study Design……………………………………………….……………… 113
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3.2.2. Selection of Markets………………………………………………………. 114
3.3. Research Methodology………………………………………………………….. 116
3.3.1. Phase 1: Content Analysis of Print Advertisements……………………..... 116
3.3.1.1. Content Analysis Method……………………………………………. 117
3.3.1.2. Database of Print Advertisements …………………………………... 120
3.3.1.3. Coding of the Use of Place ………………………………………….. 122
3.3.1.4. Content Analysis Process……………………………………………. 123
3.3.1.5. Summary ……………………………………………………………. 125
3.3.2. Phase 2: In-depth Interviews……………………………………………… 125
3.3.2.1. Grounded Theory: An Inductive Approach…………………………. 126
3.3.2.2. Application of a Grounded Theory Approach………………………. 128
3.3.2.3. Interview Sample …………………………………………………… 129
3.3.2.4. Interview Method ………………………………………………..….. 130
3.3.3. Phase 3: Cross-National Marketing Managers Survey……………………. 131
3.3.3.1. Questionnaire Design ……………………………………………….. 132
3.3.3.2. Research Instrument…………………………………………………. 136
3.3.3.2.1. Structure …………………………………………………... 136
3.3.3.2.2. Sampling…………………………………………………… 137
3.4. Research Hypotheses……………………………………………………………. 139
3.5. Summary………………………………………………………………………… 143

CHAPTER 4: Phase 1 Results: Content Analysis of Print Advertisements…………… 145
4.1. Summary of Distribution of Ads by Publication Country…………………..…. 146
4.1.1. Industry Sectors…………………………………………………………… 147
4.1.2. Advertising Appeals and Executions…………………………………........ 155
4.1.3. Use of Product-Country-Image (PCI) as an Execution Tool………….. …. 164
4.1.4. Use of Brand Country of Origin Associations…………………………….. 169
4.2. Use of Place Associations…………………………………………………........ 176
4.2.1. Use of Place Associations by Magazine Type and Industry Sector………. 182
4.2.2. Use of Place Associations by Country Market……………………………. 186
4.2.3. Use of Place Associations by Advertising Appeals and Execution……...... 190
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4.3. Summary of Key Findings …………………………………………………….. 193

CHAPTER 5: Phase 2 Results: In-depth Interviews ……………………………………196
5.1. Sample Description ……………………………………………………………. 196
5.2. Key Inputs……………………………………………………………………… 199
5.2.1. Government Sector Participants ………………………………………….. 200
5.2.1.1. Organizational Structure and Approach…………………..……… … 201
5.2.1.2. Developing the Country Brand Image ……………………………… 203
5.2.1.3. Use of Place Associations …………………………………………… 206
5.2.1.4. Public/Private Sector Interaction on Use of Place…………………… 210
5.2.2. Private Sector – Business Participants……………………………………. 213
5.2.2.1. Organizational Structure and Approach ……………………………. 213
5.2.2.2. Developing the Product Brand Image ………………………………. 215
5.2.2.3. Use of Place Associations …………………………………………... 219
5.2.2.4. Public/Private Sector Interaction on Use of Place ………………….. 226
5.2.3. Advertising Agency Participants………………………………………….. 229
5.2.3.1. Organizational Structure and Approach……………………………... 230
5.2.3.2. Developing the Product Brand Image ………………………………. 231
5.2.3.3. Use of Place Associations …………………………………………... 232
5.2.3.4. Public/Private Sector Interaction on Use of Place ………………….. 236
5.3. Summary of Key Findings……………………………………………………... 238

CHAPTER 6: Phase 3 Results: Cross-National Marketing Managers Survey………... 242
6.1. Survey Instrument……………………………………………………………... 242
6.2. Descriptive Analysis…………………………………………………………… 244
6.2.1. Respondent Characteristics……………………………………………….. 244
6.2.2. Company Characteristics………………………………………………….. 253
6.2.3. Market Characteristics…………………………………………………….. 259
6.2.4. Managers’ Use of Place Associations…………………………………….. 262
6.3. Analysis of Antecedent Factors ……………………………………………….. 268
6.3.1. Factors Affecting Management Decision-Making on Use of
Place Associations……………………………………….………………… 268
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6.3.1.1. Managers’ Perceptions of the Characteristics of the Firm…………... 270
6.3.1.1.1. Strategic Orientation ………………………………………. 270
6.3.1.1.2. Attitudes to Research……………………………………… 273
6.3.1.2. Managers’ Perceptions of the Characteristics of the Market………... 274
6.3.1.2.1. Intensity of Competition …………………………………... 275
6.3.1.2.2. Consumer Attitudes………………………………………... 276
6.3.1.3. Managers’ Perceptions of the Characteristics of the Product/Brand… 277
6.3.1.3.1. Brand Strength …………………………………………….. 278
6.3.1.3.2. Place-based Sector Reputation…………………………….. 279
6.3.1.4. Managers’ Attitudes to the Use of Place in Marketing
Communications………………………………………………..……. 282
6.3.1.4.1. General Attitudes to the Use of Place …………………...... 283
6.3.1.4.2. Brand-Related Attitudes to the Use of Place………………. 284
6.3.2. Tests of Associations and Regressions……………………………………. 286
6.3.2.1. Respondent Demographic Antecedent Factors……………………… 286
6.3.2.2. Company/Market Antecedent Factors……………………………….. 292
6.4. Summary of Key Findings………………………………………………………. 302

CHAPTER 7: Research Benefits, Limitations and Conclusion……………………....... 305
7.1. Research Benefits and Contributions..………………………………………...... 305
7.1.1. Theoretical Contributions……………………………………………...…... 305
7.1.2. Empirical Contributions……………………………………………………. 309
7.1.3. Managerial Implications………………………………………..…………... 312
7.2. Limitations and Future Research Directions……………………………………. 313
7.3. Conclusion………………………………………………………………………. 315

References ……………………………………………………………………………….. 320

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