A Global Brand Crisis Essay

Exclusively available on Available only on IvyPanda® Made by Human No AI

Introduction

The purpose of any company is to meet the needs of its customers. However; there are many factors that determine the consumer’s behavior. Therefore this paper is going to examine the factors that influence consumer’s behaviors (which is the study of how people choose, buy, use and dispose off goods and services, experiences or ideas so as to meet their needs and desires).Additionally, each company has many competitors and has to do something so as to ensure that consumers gain confidence in their products. As a result this paper will also give examples of some global brands that have good qualities and give example of a global brand crisis that have occurred recently.

Factors influencing foreign consumer’s behavior

There are many factors that influence consumer’s behavior. Some of these factors are culture, subculture and personal factors. Firstly, culture which refers to the beliefs, norms, values or customs that are learned by an individual from the society they belong to influence consumer’s behavior. For example, it determines the type of food one eats as some foods are customary unacceptable, the type of clothes one wears and the type of house to live in. That is the culture will force people to buy goods and use the processes that are culturally acceptable to the whole society (Kotler & Keller, 2007, p. 32-40).Secondly, subculture which is a subdivision of culture and refers to people with similar core values from which can either be nationality, religion, racial group or geographical region also influences consumer’s behavior. For instance it influences the kind of clothes people buy, type of food they eat and the type of house they live in as some things are taboos to them. Moreover, it determines the activities people engage in the process of meeting their needs. Lastly, Personal factors also affect consumer’s behaviors. For example, a person will buy clothes and engage in recreation activities that fit their age and buy items whose personality match with their own personality. In addition, they will buy goods which they are capable of paying for. This therefore calls for market research.

Companies should carry out market research so as to know what their target customers needs. A company should hire an outside company to do research for them as this will reduce enormous costs in finding out what customers need and the outside company can provide more information than what the company could have collected by itself. In addition, the company can use that time they could have been doing research in other things that are important to the company.

Global brands

Brands refer to terms, names, symbols or combination of all which are used by companies so as to distinguish their good from those of their competitors. Some of the global brands that I believe have high quality includes; Coca Cola, Colgate, Sony. Nokia,Visa,Nivea,Gillette,Google,Nescafe,amazon.com,Yahoo,adidas,Philips,Siemens,Samsung , Microsoft, and IBM, amongst others. The global brands reflect global economy and therefore every company should work towards developing and improving their brand (Best global brands, 2009, p.1).

Global brand crisis

Toyota which is one of the biggest automobile company in Japan and the supplier of most quality vehicles in the world at low prices faced a crisis.It was argued that some of their parts were not of good quality e.g. the radiators were said to accelerate so much. This made them loose a good number of customers. The crisis was not managed well because the whole bad picture came to the public as problem was not managed in good time. In addition the company did not show their responsibility as they kept on blaming others nor did how they intend to solve the problem in future. Moreover they did not address the problem to the public.

Implications

Learning factors that affects consumer’s behavior have made the companies improve their marketing strategies, For example, after companies knew that people get the information about food when they are hungry have made the advertisement of snacks to be made in the evenings. In addition, the companies have been able to identify their consumers and reschedule the manufacture and supply of goods towards their consumer’s needs. For instance knowing that it is a taboo for Muslims to take pork has made the company not to take pork to Muslim community. Moreover the companies have been able to know their weaknesses and strengths by carrying out market research and this has enabled the company to grow by working on their weaknesses.

Issue of global brands have made many companies work hard towards creating a good image of their products by trying to improve its quality create satisfaction of their consumers. This is because when people have confidence in a certain brand no matter how many competitors are they will always go for that good. On the other hand, the issues of crisis that have faced certain companies have taught other companies many lessons. For example, to be always prepared on how to handle the crisis by developing mechanisms of solving the problem and solve it in good time so that the good image of their brand can remain.

Conclusion

In conclusion, it is important for the companies to carry out market research for them to know what their customers need and what affect their purchasing power. In addition, the company should be aware of the crisis that is likely to arise in their company and be prepared on how to solve them. Moreover, every company should work towards creating a good image of their brand.

Reference List

  1. Best Global Brands. (2009).
  2. Kotler, P., &Ketler, K. L. (2007).A frame work for Marketing Management.3rd Ed. New Jersey: Prentice Hall.
More related papers Related Essay Examples
Cite This paper
You're welcome to use this sample in your assignment. Be sure to cite it correctly

Reference

IvyPanda. (2021, December 24). A Global Brand Crisis. https://ivypanda.com/essays/a-global-brand-crisis/

Work Cited

"A Global Brand Crisis." IvyPanda, 24 Dec. 2021, ivypanda.com/essays/a-global-brand-crisis/.

References

IvyPanda. (2021) 'A Global Brand Crisis'. 24 December.

References

IvyPanda. 2021. "A Global Brand Crisis." December 24, 2021. https://ivypanda.com/essays/a-global-brand-crisis/.

1. IvyPanda. "A Global Brand Crisis." December 24, 2021. https://ivypanda.com/essays/a-global-brand-crisis/.


Bibliography


IvyPanda. "A Global Brand Crisis." December 24, 2021. https://ivypanda.com/essays/a-global-brand-crisis/.

If, for any reason, you believe that this content should not be published on our website, please request its removal.
Updated:
This academic paper example has been carefully picked, checked and refined by our editorial team.
No AI was involved: only quilified experts contributed.
You are free to use it for the following purposes:
  • To find inspiration for your paper and overcome writer’s block
  • As a source of information (ensure proper referencing)
  • As a template for you assignment
Privacy Settings

IvyPanda uses cookies and similar technologies to enhance your experience, enabling functionalities such as:

  • Basic site functions
  • Ensuring secure, safe transactions
  • Secure account login
  • Remembering account, browser, and regional preferences
  • Remembering privacy and security settings
  • Analyzing site traffic and usage
  • Personalized search, content, and recommendations
  • Displaying relevant, targeted ads on and off IvyPanda

Please refer to IvyPanda's Cookies Policy and Privacy Policy for detailed information.

Required Cookies & Technologies
Always active

Certain technologies we use are essential for critical functions such as security and site integrity, account authentication, security and privacy preferences, internal site usage and maintenance data, and ensuring the site operates correctly for browsing and transactions.

Site Customization

Cookies and similar technologies are used to enhance your experience by:

  • Remembering general and regional preferences
  • Personalizing content, search, recommendations, and offers

Some functions, such as personalized recommendations, account preferences, or localization, may not work correctly without these technologies. For more details, please refer to IvyPanda's Cookies Policy.

Personalized Advertising

To enable personalized advertising (such as interest-based ads), we may share your data with our marketing and advertising partners using cookies and other technologies. These partners may have their own information collected about you. Turning off the personalized advertising setting won't stop you from seeing IvyPanda ads, but it may make the ads you see less relevant or more repetitive.

Personalized advertising may be considered a "sale" or "sharing" of the information under California and other state privacy laws, and you may have the right to opt out. Turning off personalized advertising allows you to exercise your right to opt out. Learn more in IvyPanda's Cookies Policy and Privacy Policy.

1 / 1