Difference between domestic and global brands?

Answer 1

Local brands are defined by Wolfe (1991) as brands that exist in one country or in a

limited geographical area. It is also noted by Schuiling et al (2004) that local brands

belong to a local, international, or global firm. Local brands provide a link between

the national economy and individual well-being. Levitt (1983) defines global brands

as brands that use the same marketing strategy and mix in all target markets.

Johansson and Ronkainen (2004) assert that global brands benefit from the scale and

scope of having presence in multiple markets. The researchers define global brand as

"a brand that is marketed under the same name in multiple countries with similar and

centrally coordinated marketing strategies." However there are some selected global

brands that don't have the same name but share some marketing program elements.

For example, "Mr. Clean" also sells under the "Mr. Proper" and "Maestro Limpio"

names, among others. Although global brands play a dominant role in today's world, the advantages of the local brands are still stronger and this is reviewed in the

following part.