Christopher Tugendhat, Vice President of

European Commision1981-1985
Told about
Multinational enterprise

Factors that influence in the

development of multinational
industrial.
Forming of mass market.
Improvement of transportation

system and technology

Growth of protection policy.

Strategic Alliances /
Strategic Partnership

1. To get more
competitive
advantages with
efficient risk and
cost.
2. To get economic
scale and business
partner in same
area of business.

Strategic Alliances /
Strategic
Partnership
3. Sharing cost to get
effective and
efficient proces of
business.
4. To break up culture
obstacles
5. Extend reach of
distribution.

How multinational industri

develop global brand
Develop the perception of

global brand.
Understand global consumer.
Develop strategic
communication.

Perception of Global Brands

Brand
Holden
Audi
Renault
Alfa Romeo
Ferrari
Gelly
Rover
Tata
Proton
Volvo
Citroen

Country of origin

Rank

Important Perception Factors in Choice

of Car
Japan
USA
Europe
Personal

Comfortable

Self expression

Comfortable

Personal

Drving sensation

Self expression

Comfortable

Quality

Driving sensation

Value for money

Sporty

Innovative

Driving sensation

Self expression

Sporty

Innovative

Quality

Key strategy
Select target audience and

positioning theme
Set specific campaign objectives
(strategic and operational)
Determine the promotional budget
Develop the message strategy
Decide on the media strategy
Monitor and assess campaign
effectiveness

Global Branding
Strategies
Ability to dominate markets
Retailer power.
World markets.
Economies of scale.
Exploitation of great ideas.
The nature of corporate management.
Investment

The most expensive brands in the

world
(dalam juta US$)
Marlboro
Coca-Cola
Budweiser
Pepsi-Cola
Nescaf
Kelloggs
Camel

31.0
24.4
10.2
9.6
8.5
8.3
4.4

Developing global brands

1. Expand established brands and develop
2.
3.
4.
5.

a national strategy into global strategy

Create a new brands.
Purchase local brands and
internationalize them.
Globalize by developing extensions
Employ a multi-local strategy

Global Advertising
Continuum
Adapted

Standardized

Standardized
Advertising

Assumption: Consumers everywhere

share the same wants and needs

Maintaining consistent image
Reducing confusion among world travelers
Implementing single-coordinated campaign

across countries
Reducing development, media, and other
costs

Adapted Advertising
Assumption: Insurmountable cultural,

economic, infrastructural, and political

differences across countries
Increasing effectiveness by tailoring ads to

local conditions
Giving more freedom to subsidiaries

Assignment
How we face Indonesian market,

which what strategy will you use.