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Chapter 4 Identity, Image, Reputation, and Corporate Advertising

Chapter 4 Identity, Image, Reputation, and Corporate Advertising. 4- 1. Image & Identity. What are image and identity? How do you build a solid reputation? Is corporate identity a trend? How can you differentiate based on image and identity? How do you manage the unmanageable?.

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Chapter 4 Identity, Image, Reputation, and Corporate Advertising

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  1. Chapter 4Identity, Image, Reputation, and Corporate Advertising 4-1

  2. Image & Identity • What are image and identity? • How do you build a solid reputation? • Is corporate identity a trend? • How can you differentiate based on image and identity? • How do you manage the unmanageable?

  3. Points to ponder… • Why choose Petronas over Shell? • Why study/work in USM? • Do you know that Nestle paid six times the net asset value to buy Rowntree and its spectacular portfolio of brand including Kit Kat and Smarties.

  4. General scenario… Competition increases Competitors can copy processes, products, systems, services, technology, quality, etc There is only identity/ brand that remains as a differentiator

  5. Importance • Importance of corporate identity • Customers • Inspires confidence (van Riel, 1995) • Increases visibility and reach (Keller and Aaker, 1998) • Improves credibility (Fombrun and van Riel, 2004) • Aids learning (Allesandri, 2001)

  6. CORPORATE IDENTITY • Identity components (Melewar and Karaosanoglu, 2006) • Corporate structure – brand structure, organizational structure • Corporate strategy – positioning and differentiation strategy • Corporate culture – mission, vision, values • Corporate behaviour – company, management and employee behaviour • Corporate design – slogan, architecture, office layout, location, website • Corporate communication – marketing, management and organizational comm.. • Industry identity

  7. Importance • Importance of corporate identity • Employees • Helps internalize the company’s values (Dutton and Dukerich, 1994 • Recruits and retains employee (Fanning, 1990) • Instills identity/brand values into key processes (Organ, 1990) • Increases identification (O’Reilly and Chatman, 1986) • Media, Investors, Financial analysts • Reputation (Whetten and Makey, 2002) • Attracts favourable responses (Fombrun and van Riel, 2004)

  8. Managing the Unmanageable • Step 1: Conduct an identity audit • Step 2: Set identity objectives • Step 3: Develop designs and names • Step 4: Develop prototypes • Step 5: Launch and communicate

  9. Community Image Customer Image Employee Image Investor Image What are Identity, Image & Reputation? Corporate Identity Names, Brands, Symbols, Self-presentations is perceived by… Sum of perceptions equals… Corporate Reputation

  10. Advertising: The Corporation is the Message • What is Corporate Advertising? • Where does it come from?  • Who uses it and why? • Should all companies use corporate advertising?

  11. Companies Use Corporate Advertising to: • Increase Sales  • Create Goodwill • Retain and Recruit Employees • Enhance the Financial Effort

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