While Western companies prefer a different brand name for each area in which they operate, Far Eastern companies prefer a different brand name in many fields with one name is active.

About the brand management strategies of companies from two opposite corners of the world different approaches What could be the reason for its adoption? Especially when these companies are global giants?

This situation is actually mainly based on cultural differences.

The concept we call culture is quite broad on all fronts has the power to exert its effect. If this is the case, it is possible to see cultural differences being reflected in the way companies do business.

The subject of this content brand strategies It clearly shows the impact of culture on the way we do business.

For example, let’s look at the South Korean brand Samsung. In many sectors that we cannot count, from consumer electronics to white goods, from insurance to asset management. with the same name is active.

But with Western brands the situation is slightly different. A Turkish company From Zorlu Holding Let’s give an example. This gigantic company uses the Vestel and Regal brands in white goods and consumer electronics. In textiles, Taç, Linen and Pierre Cardin.

Why then would companies from the Far East prefer to operate under one umbrella brand?

From electronics to automotive, from finance to construction, brands such as Samsung, Mitsubishi and Hyundai in a wide range We see that you offer products and services.

The main reason why these companies use one umbrella brand is that they appeal to markets in the Far East Great trust in well-known brands.

Consumers who are satisfied with a brand Give preference to other products of the same brand shows the trend. This allows companies to build a strong reputation and a large customer base in the market. For this reason, these companies follow such a strategy so as not to damage the trust and recognition of the brand.

Companies that win the trust of consumers to capital They also translate. Because Far Eastern companies that use a brand’s positive image in various products and services are recognized and trusted in new markets. leverage the brand’s reputation They can enter more easily and at a lower cost.

In fact, the underlying reason for this situation is the influence of Far Eastern culture.

In the culture of the Far East, long-term thinking is important family business approach It is common.

For this reason, Far Eastern brands ensure that the brand maintains an overall family image and reflects this image in different business areas. one umbrella brand It moves along.

Moreover, companies often operate in the economies of the Far East for investment and risk management purposes prefers to diversify its activities.

The reason for this is that the company operates in different business lines. common strategies develop and use resources more efficiently

What about Western companies? Why do they choose to use different names?

If we look at the functioning of companies in Western countries, including our country, exactly the opposite situation We see. These companies often specialize in specific fields and provide services for any industry or product category. developing different brands prefers.

The main reason for this is that the concept of family businesses is not as prevalent in Western culture as it is in Far Eastern culture. not usual.

For this reason, companies in the West specialize in a certain area and ensure that a brand stands out in the eyes of the customer. acquire authority cares. In this way, each brand operates in its own market. achieve competitive advantage purposes.

The fact that Western culture is more individualistic is one of the most important factors!

Customers in Western countries expect to see the same name in every sector as in the countries of the Far East. They don’t describe it as an example of ‘trust’.

Consumers in the West are interested in brands that operate in different sectors. Even though it is known to belong to the same company Because they think these brands are made specifically for the industries they operate in, they tend to trust those brands.

For example, if the Coca-Cola brand produces both Coca-Cola branded beverages and textile products, The perception that the brand has previously created therefore “What does textiles have to do with the Coke brand? “It’s definitely bad.” To avoid the emergence of such a thought, it is used under a different name, even though it is produced by the same parent company. We attach importance to this sector and our investments. An attempt is made to create the perception.

through the Far East towards a more individual culture Another reason is of course that these brands want to protect their other brands against possible negativities by using different brands.

As a result, the differences in the use of umbrella brands between Far Eastern and Western companies are both market structure like cultural values stands out as a reflection.

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