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The Importance of Image in National Competitiveness

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Title: The Importance of Image in National Competitiveness


1
The Importance of Image inNational
Competitiveness
2
The ICI Partnership
3
TheCountry Image Specialists
  • Worlds top specialized consultancy
  • on
  • country image

A quarter of a century experience
4
Countries are like brands,only bigger and more
important.
5
Image can make a countrycommercially viable.
6
The best examples
  • Germany Engineering
  • Japan Quality
  • USA Technology
  • Italy Design
  • France Fashion
  • Switzerland Precision
  • Thailand Tourism

7
Country product image iscultural/personality
in origin,but mostly brand driven.
8
Brand personalities
  • Mercedes Germany
  • Sony Japan
  • Chanel France
  • Rolex Switzerland
  • Microsoft USA
  • Giant USA or Taiwan?

9
Which came first,Made in Japanor Sony?
10
Image, not just reality,kills.
11
Colombia is an example
  • Drugs
  • Violence
  • Guerrilla warfare

12
But, what about
  • Coffee
  • Flowers
  • Emeralds
  • Leather
  • Scenery
  • Brand name apparel

13
Stop being defensive!Go on the image offensive!
14
Rule 1Realize the importance ofimage or
branding.
15
First, what is a brand?
16
Product vs. Brand
Photo courtesy of Montgomery County Historical
Society
IBM is a registered trademark of IBM Corporation
17
Brand vs. ProductBrand EmotionalProduct Fun
ctional

18
In the factories,we make cosmetics.In the
stores, we sell hope.
Charles Revson, founder Revlon
19
Benz Who cares about cars?
Mercedes-Benz is a registered trademark of
DaimlerChrysler
20
Rolex Who cares about time?
Rolex is a registered trademark of Montres Rolex
S.A.
21
The Marlboro ManHow much is he really worth?
400 million or 40 billion?
Marlboro is a registered trademark of Philip
Morris Companies Inc.
22
How Swatch Changed the Swiss Watch Market
Old Market Need Appeal Basic
Skill Watch Information Accuracy Craftmanship Ne
w Market Swatch Fashion Appearance Design
23
To have your own brand should be the ultimate
goal of all manufacturers, but its a long-term
process.
Stan Shih Founder Chairman Acer
24
Some Facts about Brands
  • Brands are market leaders
  • Brands have higher profit margins
  • Brands do not have lifecycles like products, they
    are bigger than products

25
Image Positioning
  • The key differentiator
  • Need vs. want (transport vs. Toyota)
  • Answer the question Why Colombia?

26
The Worlds Top Brands
  • Ford
  • Shell
  • IBM
  • Pepsi
  • Honda
  • Coke
  • Marlboro
  • Sony
  • McDonalds
  • Disney

27
ConclusionBrand image creates long-term,
sustainable, competitive advantages.
28
Part IICountry Image Case Studies
29
New Zealand
Problem Too much reliance on European
Market Solution The 7/11 of Asia
30
Mexico
Problem No financial confidence Solution The
new Administration means business!
31
Thailand
Problem Fragile investor confidence engendered
by Asian financial crisis Solution Admit ills
and commit to painful cures
32
Thailand
33
The Importance of Image
  • A
  • Made in Taiwan
  • Case Study

34
A serious economic problemcaused by image
  • The 25 discount
  • International jokes
  • Consumer prejudice

35
A Public Private Sector Initiative
  • Vice Minister of Economics P.K. Chiang
  • Secretary General of CETRA Agustin Liu
  • Stan Shih, Acer
  • King Liu, Giant
  • Frankie Hong, Proton
  • Kunnan Lo, ProKennex
  • BIPA (Brand International Promotion Assoc.)

36
Three Five-Year Plans
  • 1990-95
  • 1995-00
  • 2000-05

37
1st Five-Year Plan
Its Very Well Made in Taiwan
Attack weakness- Quality
38
Create a Signature
39
Communications Strategies
  • Connect with top brands
  • Connect with high-end products
  • Use IMC
  • Competitive SOV

40
Target Audience
Influentials
Business
Mass
41
Priority Markets
USA 50 EUR 30 JAPAN 10 S.E.
ASIA 05 LATIN AMERICA 05
42
Budgets
Five year, 60 million Each year Advertising
5 million PR 1.5 million Events 2.5
million Program 3 million TOTAL 12 million
43
Awards Program
Broad Symbol of Excellence Focused Gold
Silver Awards
44
Seminar Program
  • Upgrade promotion materials
  • How to deal with foreign media
  • Product launches/corporate identity
  • Advertising media planning

45
Taipei News Bureau
  • Central information point
  • MATs
  • Wire service features
  • Major media hits
  • Creativity driven

46
International Advertising
47
International Advertising
48
International Advertising
49
Event Marketing
  • Award winner exhibitions
  • Product launches
  • Annual National Awards Ceremony

50
Domestic Communications
  • Monthly newsletter
  • Media relations
  • Events
  • Product launches
  • Awards Program

51
2nd Five Year-Plan
Attack with strengths!
52
Core Competencies
  • Genius for cost-down manufacturing
  • Innovation for affordability/commercialization
  • Functions up, cost down added value

53
Long-term Competitive Advantages
  • Flexibility
  • Time to market
  • Low-cost engineering base
  • Components infrastructure

54
Gallup Benchmark Survey
Chief Strengths
Value for Money Innovative
55
We coined a new term
Innovalue.
56
Taglines
  • Taiwan. Your Source for Innovalue.
  • Taiwan. Innovalue Island.

57
Innovalue
58
Innovalue
59
Innovalue
60
Result?
Transformed the Made in Taiwan image from
rubber ducks to Silicon Island.
61
Part IIISummary ofEight Essential Steps
  • Realize the importance of image!
  • Conduct proper analysis/positioning
  • Create a signature
  • Build unity and consistency
  • Make a long-term commitment to goals
  • Make a competitive investment/SOV
  • Use IMC
  • Set world-class standards

62
Part IVA Case for Colombia?
63
Colombia
  • Location
  • Location
  • Location!

64
Challenges
  • Current image
  • Few international brands
  • Commodities-based economy
  • Travel advisories

65
Advantages
  • Location
  • Soft imagery
  • Creative
  • High standards
  • Committed to goals
  • Juan Valdez icon
  • Potential for robust economic growth
  • Youthful nation
  • New Start

66
Colombias Hidden Treasures
  • Coffee 3
  • Flowers 2
  • Lingerie 3
  • Bananas 3
  • Emeralds 1
  • Orchids 1
  • Carnations 1
  • Roses 3
  • Adidas clothes 1
  • Biodiversity 1
  • Fresh water 4
  • Keeping secrets! 1

67
The New Colombia
  • A makeover for Juan Valdez
  • Brand name apparel
  • Flowers
  • Biodiversity
  • Shakira!!!!!!!!!!!!

68
Some Recommendations
  • Get a head start, dont wait for competition
  • Build strategic foundation first
  • Make a long-term commitment/vision
  • Conduct domestic campaign
  • Simultaneous political PR
  • Support the new Administration
  • Go on the OFFENSIVE!!

69
Final Thought
Remember the Germans and Japanese!
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