SOM Ashok, ASAKAWA Kazuhiro
At every step in a corporation, resource allocation is critical to the strategy making process and its implementation. During the process, managers face the dilemma of arbitrage. Most corporations are more concerned about their resource based values such as – technology, functionality, service – but have overlooked the importance of aspirational and emotional values of the brand. A brand is an identity. It is the reflection of what customers feel with their senses. To do this effectively corporations need to have a concrete idea of what they stand for and direct all actions in creating the brand identity that will be the basis of the brand based view. Moving from the resource based view to the brand based view the managers are in fact changing the constraint of resource from the supply side to the demand side. It is not anymore about the resource allocation that is the key to implementation but the aspiration and the pull from the consumer that will drive the implementation. As consumer aspires and pay higher prices the brand drives the growth of the corporation. This produces a visible and immediate impact designed at keeping the stakeholder in good faith while the brand trades-up. Clarify intent – the 3P, the story, the DNA, the desire. Assign and reiterate the aspirational nature of the brand Communicate about the value of the brand rather than the utility of the product Align the product organization with the concept of credibility, legitimacy and authenticity Co-create and integrate emotional connection Deliver with transparency seamless, transaction less, personalized customer service for individuals and for the community it serves
SOM, A. et ASAKAWA, K. (2022). When Building-a-Brand is Strategy? The Brand Based View. The European Business Review, January-February, pp. 48-54.