Do Feature and Discount Promotions for National Brands Primarily Drive (National) Brand Choice, Store Choice, or Both? An Exploratory Analysis

Author(s):  
Jonne Guyt ◽  
Els Gijsbrechts
2015 ◽  
Vol 13 (2) ◽  
pp. 123 ◽  
Author(s):  
Elias G. Rizkallah ◽  
Heather Miller

Motivated by profits and their growing power in the marketplace, retailers have been expanding their private-label brands to include more categories of consumer products and differentiation on quality to reach different consumer segments. This global phenomenon is adversely impacting the performance of national brands, thus creating a conflict between two powerful parties manufacturers of national brands and their large retailers who are supposed to be their helping hands in the marketplace. In this paper, the authors develop a conceptual framework, which captures the complexity and multidimensionality of the situation the stakeholders involved, the interest and power of each, the relationships among them, various strategies they employ, and the outcomes of the conflict. Several hypotheses were examined and tested through the empirical part of this study; for example, would the powers of these parties determine who is the loser and who is the winner or will the verdict be in the hands of the consumers? The study surveyed 281 consumers to assess their attitudes toward and preferences of store brands versus national brands across product categories and the underlying motivations. The paper concludes with recommendations for retailers and national brand manufacturers to win the hearts of consumers rather than exhaust their resources in the conflict.


1998 ◽  
Vol 7 (6) ◽  
pp. 481-494 ◽  
Author(s):  
Kau Ah Keng ◽  
Mark Uncles ◽  
Andrew Ehrenberg ◽  
Neil Barnard
Keyword(s):  

2020 ◽  
Vol 54 (3) ◽  
pp. 827-843 ◽  
Author(s):  
Rong Cheng ◽  
Weimin Ma ◽  
Hua Ke

Store brands play an increasingly important role in retailing business, leading more and more retailers to introduce store brands. Abundant research focuses on competition between store brands and national brands and counterstrategies that national-brand manufacturers can take to counter store-brand introduction. A little research studies the store-brand production issue, however, all under single-retailer scenarios. To approach the real world, we employ game theory to model interaction between a national-brand manufacturer and multiple locally monopolist retailers, one of whom has capability and motivation to introduce a store brand. Five Stackelberg games are build and solved to investigate: how the presence of the non-store-brand retailers affects the store-brand retailer’s decision on and profitability in the store-brand introduction; how the store-brand retailer should arrange store-brand production; whether there is a win–win situation where both the store-brand retailer and the national-brand manufacturerare better off with the latter producing the store brand. Accordingly, our study offers a novel rationale for why so many, especially leading, national-brand manufacturers are involved in the store-brand production. Some useful managerial suggestions are proposed on the store-brand introduction and production arrangement.


2018 ◽  
Vol 10 (6(J)) ◽  
pp. 99-112
Author(s):  
Cleven Masango ◽  
Vannie Naidoo

This paper examines the attractiveness of Brand Zimbabwe based on the factors perceived to impact on national competitiveness. Nation brand attractiveness is a necessary condition for a country to achieve influence and to effectively compete for global resources. Countries can enhance their attractiveness by building on their national brand equity and dealing with negatives around the national brands. The research sought to determine the perception towards Zimbabwe’s global risk and competitiveness; to ascertain the variables that promote competitiveness for Brand Zimbabwe and to contribute to the literature on risk perception and its impact on behaviour towards nation brands. The study followed a mixed approach; a combination of interpretivism and positivism. The research drew 372 respondents from politicians, scholars, the media, civic organisations, government officials, church and international organisations. The research established that Brand Zimbabwe faces glaring threats risks that impact on the country’s international image. The brand is affected by politics and governance together with socio-economic factors. Management and control of nation brand perception are critical for nations to distinguish themselves and to create vantage positions for sustainable performance. The way a country is viewed internationally is a function of how the country deals with factors that threaten its global competitiveness and perception towards the nation brand. Zimbabwe’s quest for foreign direct investment, international visitation and export revenue requires that the country deals with its nation brand image.


2020 ◽  
Author(s):  
Djavlonbek Kadirov

© 2015 Westburn Publishers Ltd. As private labels are consolidating their gains in national markets, a conventional recommendation to national brand manufacturers would most likely be to invest more in marketing in order to increase the perceived quality gap between national brands and private labels. It is assumed that the quality gap would boost consumer willingness to pay a price premium for national brands over private labels. Differing from this conventional approach, the current study focuses on the perceived authenticity gap between national brands and private labels, to explore whether and how this factor influences the effect of marketing and manufacturing variables on willingness to pay. This relationship is relevant in milieus where consumers might take brand authenticity rather than quality perceptions to guide their brand evaluations. The current study finds that the perceived authenticity gap mediates the effect of only some particular conventional marketing tools on willingness to pay. The study suggests that national brand managers should take the presence of private labels in the national markets as an opportunity to exploit the dynamics of authenticity evaluations, rather than as a threat.


2018 ◽  
Vol 56 (1) ◽  
pp. 188-203 ◽  
Author(s):  
Malin Song ◽  
Shuhong Wang

Purpose Technical progress is an important technique within improving China’s comparative advantages, as new and renewable technologies will be beneficial for energy security. Productive technical progress and green technical innovation are necessary to improve working conditions and productivity of industries. Therefore, the purpose of this paper is to study technical progress in China under such harsh competitive circumstances, as well as types of technical progress that can be promoted, productive technical progress or green technology progress, and how technical progress will affect China’s competitive advantages. Design/methodology/approach The authors perform a multi-index multi-factor constitutive model based on a sample of 468 Chinese industries, and divide the industries into four categories. Findings The results indicate that there is a “U”-shape relationship between green technology progress and comparative advantages and an inverted “U”-shape relationship between the intensity of market competition and comparative advantages. Research limitations/implications China has crossed the inflection point of the “U”-shaped curve. This, coupled with the slowing of economic growth, demonstrates the need for advocating green technology in China to decrease the pollutant discharge. Establishing Chinese national brands within overseas markets and earning a profit through the downstream of production chain enhance China’s international competitiveness. Originality/value One of the most original findings of this paper points out that China is faced with a situation in which exports are severely decreased and domestic environment pollution is increased. Vigorous promotion of green technology progress, improvement of the quality and the technical content of exported products, the establishment of national brand within the overseas market, as well as enhancement of China’s international competitiveness, is needed.


2020 ◽  
pp. 243-269
Author(s):  
Mónica Gómez-Suárez ◽  
Carmen Abril

Many national brands adopt innovation strategies based on frequent launches of new products to defend and grow market shares against private labels. However, retailers imitate the novelties of national brand new products very fast. One of the key questions to assess the effectiveness of national brands' product innovation is to get a deeper understanding of how consumers react in terms of choice when faced with a national brand new product and a me-too private label product. In particular this research explores the effects of consumer innovativeness and risk aversion on this choice in five European countries and the United States. Results show that consumers with higher innovativeness prefer national brands. However, there are significant differences among countries depending on their uncertainty avoidance and risk aversion.


Sign in / Sign up

Export Citation Format

Share Document