These days, corporate value is based not only on what you sell, but who you are: in a 2016 global study by Edelman, 48% of consumers said they won’t buy from a company they distrust but 37% said they will pay more for a product from a company they do trust. Unfortunately, becoming one of these admired companies is not easy. A great reputation doesn’t just appear by magic simply by behaving honorably and doing good work. So what facets are needed to build a respected corporate identity?
In recent years, globalization has lifted billions of people out of poverty and created vast wealth, but has also spawned hyper-competitive markets that make a secure niche ever more difficult to find. Everyone from cabbies to multinational businesses find it’s harder and harder to maintain an edge. Meanwhile, in the world’s younger economies, particularly China, companies face another challenge: unlike Westerners who grew up loyal to particular brands, Chinese consumers did not have that; and as markets consolidate, consumers are selecting a few favorites. So how should companies deal with these new trends?
You are invited to download the December issue of CKGSB Magazine. You’ll enjoy articles and interviews like: COVER STORY: 3D printing: Prophets of doom say 3D printing will overturn manufacturing in China. They’re both right and wrong. CHINA INSIGHT: All in the Genes: In just about 14 years of its existence, BGI-Shenzhen has become the world’s […]
Strategy expert Rita Gunther McGrath says that the days of sustainable competitive advantage are long gone. Instead, companies should focus on transient competitive advantages. In 1979, the high priest of management thinking Michael Porter laid out the building blocks of the idea of competitive advantage in a seminal Harvard Business Review article titled ‘How Competitive Forces Shape […]
Durairaj Maheswaran, the Paganelli Bull Professor of Marketing at New York University’s Stern School of Business, sees the globalization of companies in terms of a “Five C” model of competitive advantage. In simple terms, this model examines how a company’s core benefit, competition, culture, corporate structure and country of origin impact its globalization strategy. As Chinese companies look […]