Enterprises Should Take Strategies As Media To Marry Brands.

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Brand is not only the resources of enterprises, but also the assets of enterprises.

Of course, it includes positive value, zero value and negative value.

Since brands have value, they can participate in market exchange and participate.

The strategic motivation of brand "getting married"

In life, "men get married, women get married", this is the common sense of life and the law of life.

Besides, there are willing marriages and free marriages for women.

Or active or passive, but the result is married, and whether it is happy after marriage, it is not known.

According to the background of brand "marriage" and the willingness of enterprises to "marry" brand, there are two kinds of situations: active "marriage" and passive "marriage".

Of course, this is a matter of enterprise strategy: active "marriage" is a lofty realm, and passive "marriage" is not necessarily a bad thing.

For the brand to take the initiative, "getting married" is often based on the strategic sense and courage of the enterprise, and voluntarily abandoning some non core brands and non dominant brands, so as to achieve the accumulation of the advantages of enterprises and the centralized use of resources.

And passive brand "marriage" is often seen in other enterprises' hostile takeover of brand, or brand business has great potential, but enterprises can not afford to support, or suffer from business crisis, so they have to reluctantly give up.

In any case, the only thing a business can do is to choose a "good husband family" so that the brand will continue to be brilliant or reborn.

This requires enterprises to identify the purpose of purchasing a brand.

The author believes that there are three main purposes for the brand buyers to be married. There are mainly the following purposes: first, the need to expand the brand camp; two, the strategic layout, the implementation of brand containment; three, speculation, first, "marry" after "marry".

Therefore, the best choice is to choose a doer (industrial enterprise) instead of "home" or "speculator".

The party who marries the brand often has strategic objectives, which are mainly embodied in five aspects:

First, enterprises should implement strategies to identify and divest non core business brands.

When enterprises implement strategies, the non core brands and businesses should be stripped.

In many cases, instead of stopping the business, an enterprise will switch the business to others.

This is not only in their interest, but also in their own interests.

In June 13, 2003, Intel sold the ICP Vortex brand which controlled the hard disk drive card to the Adaptec company, because the chip giant would continue to focus on the development of its core products.

In 2003, the Anglo-Dutch Company Unilever (Unilever) sold 4 home care products to Lehman brothers (Lehman Brothers Holdings Inc., LEH) and Witkoff Group, which was an important measure by Unilever to peel off its non core business assets and focus on the main brand.

In addition, in December 2008, the swan will hold a 51% stake in Jiangsu Swan Sanjiang Electric Manufacturing Co., Ltd. (referred to as "Sanjiang electric appliances"), and pfer it to Sanjiang electric appliance, a natural shareholder, a ring of troops.

Sanjiang electric appliances mainly run electric motors, electrical fittings, electric welders, fans, etc., and is not the core business of the Swan Washing machine.

This is in line with the development strategy of "Swans".

In fact, the brand of Sanjiang electric appliances is stripped.

Second, brand growth meets the bottle path, selling brand business to get away.

If the brand growth meets the bottle path, I am afraid it will not be far from the operating performance.

If the enterprise is sticking to it, then the final mess will have to be cleaned up by itself, or even impossible to clean up.

When a brand and business become hot potato, who is willing to hold it in hand? So selling before the brand is declining is undoubtedly a very good choice.

Third, activate the idle brand in order to revitalize brand equity.

Enterprises should revitalize brand equity and maximize brand value.

However, the excavation of brand value does not have to be done by the enterprise itself, and the outside partners can also participate in it.

If you can't market a brand, let other enterprises market the brand. If you can't maximize the value of a brand, let the enterprise maximize the brand value.

When adopting a multi brand strategy enterprise, when individual brand assets appear "idle", enterprises can consider selling, leasing or pferring the brand through the brand operation, so as to get profits and returns.

Fourth, enterprises encounter business crisis, the brand "lose their jobs and protect cars".

When an enterprise is confronted with a business crisis and a sluggish market, what should an enterprise do? At this critical moment, it is most necessary for the enterprise to make trade-offs, including the choice of brands. The wisest way is to "lose the job and protect the car" so as to maintain the basic interests or core interests of the enterprise.

GM, such as general motors, was deeply influenced by the financial crisis in 2008 and decided to go bankrupt and restructure.

GM will complete its restructuring plan in 90 days, hoping to turn it into a smaller and more competitive car manufacturer.

As part of the restructuring plan, GM has expressed its readiness to relinquish its auto core brands such as Hummer, Saab, Saturn and Pontiac.

Among them, general motors, such as Hummer and Saab, are ready to sell after finding buyers.

Fifth, the sale of endangered brands to the strength of buyers, in order to die reincarnation.

A brand can not survive in the hands of an enterprise, but in the hands of another enterprise, it is vigorous and lively in the market.

Can not be convinced, the difference between the quality of different enterprises, resources and capabilities determines the difference in the results of brand management. This difference can even be widely divergent.

Readers may ask: the brand assets of an endangered brand may be zero or even negative. Anyone interested in a brand with no net value? In fact, the so-called "no net value" is only a relative concept. The key is to see who is in the hands of the brand and how to build and maintain it.

In 2001, the "Guan Sheng Yuan" brand of Nanjing Guan Sheng Yuan food company suffered a crisis when it was specially fried by the media, but this does not mean that the brand can not be resurrected.

If properly operated, this fallen sign still has the hope of re lighting, no one can easily deny the possibility of revitalize the brand assets.

Find a good "husband's family" for the brand.

The pfer or sale of a brand by an enterprise is not just about giving up a brand name, but also stripping related businesses.

Moreover, as the interest groups in the market and society have already established the connection between enterprises and brands very firmly, enterprises must adopt scientific and artistic methods to cut off such links.

This determines that a company can not sell a brand like a peddler sells vegetables in the market.

It is very important to find a good "husband's family" for the brand. Just like taking the child to others and finding a good family, they are very concerned about whether the child can go to the future and live well.

In fact, the brand "get married" is also true.

To find a "family" for a brand can not be bought by a buyer, or "digging a hole is a dish", but to study its purpose and motive, and the possible impact of this paction, including the present and the future.

We should know that there are also "Sun seeking" and "conspiracy" in brand acquisition, for example, enterprises use the brand to expand their business capabilities, and for this purpose, they belong to "Yang seeking".

Under such circumstances, enterprises often strive to carry forward the brand, and the purpose of brand containment is "conspiracy".

For the intention of the "husband's family", the brand's "mother's home" should be accurately identified and the brand "wrong chair" should not be wrongly identified.

To choose a brand for the brand, enterprises should make serious judgments in five aspects.

First, look at the purpose of "husband's family".

The enterprise must make such thinking: why should the other party buy the brand? What is the purpose and motive of the other side? What are the advantages and interests of the seller to the other side? What are the problems and risks?

Fried brand is a speculation business behavior, excellent brands only need real business doers, not those speculating professional intermediary players, otherwise the brand can easily turn "fade".

In fact, there is indeed a situation where brands have been pferred many times. Especially in the market environment where mergers and acquisitions are becoming more frequent, those players should attach great importance to them.

At the same time, the desire of the "husband's family" is also crucial, which determines the three trends of the brand: being suppressed, pferred and developed.

Similarly, "marry out" may have different fates, so we should analyze their wishes and grasp their intentions.

Second, look at the profession of "husband's family".

Why should an enterprise care about what the brand acquirer does? It is to ensure the "counterpart" or "complementarity" of the business, so as to increase the possibility of the successful acquisition of the brand by the acquirer.

The "counterpart" mentioned here refers to the "husband's family" in the field of brand business, which is the same or similar or complementary to the "family".

So, what kind of acquirer has the best ability to manage the acquired brand well? That is professional, dedicated and exclusive brand.

Therefore, it is not necessarily a wise move for enterprises to find famous enterprises in the professional field to "marry" the brand, though this is a problem that has to be seriously considered.

If a good brand is not over extended, it should have good influence in one or a few fields, and have good business performance and good brand management experience.

For example, L'OREAL's acquisition of Yuesai, L'OREAL's small nurse, and compaq's acquisition of HP are all professional acquisitions within the business field, which are very good for brand development.

Third, look at the ability of "husband's family".

For the brand acquirers, the resources and economic strength are important, but their capability is more important.

You know, sitting on top of a mountain is not enough for the future.

Especially if the brand buyers increase the "population", if they lack the ability, they will probably not be able to afford it.

It should be emphasized that the capability here refers to the capability of sustainable operation, including both capital turnover and product R & D capability, production capacity, logistics capability and management capability.

In other words, enterprise capability refers to the total strength of enterprises in production, technology, sales, management and capital.

Only a company with strong capabilities can make a better tomorrow, and the "married" brand can have a good future.

Fourth, look at the culture of "husband's family".

In fact, the most difficult conflict is ideological conflict.

And the key point of brand merger and integration failure often lies in brand culture differences, so cross-border brand M & A is easy to fail in this factor.

According to a World Bank report, 1/3's foreign investment in China is in deficit. Even 65% of the global cooperation has ended in failure. 85% of CEO admitted that management style and corporate culture difference were the main reasons for the failure of mergers and acquisitions.

Conference Board, the world's leading business forum, surveyed 147 CEO and the vice president of mergers and acquisitions in Fortune 500 companies. 90% of respondents thought that cultural factors were at least as important as financial factors after the success of mergers and acquisitions.

Therefore, if the enterprise finds that the brand acquirers have obvious differences in brand culture, they also need to act cautiously.

Fifth, look at the resources of the "husband's family".

In real life, the foundation of establishing a marriage relationship is economic conditions, and the core of economic conditions is "money", which is related to whether the happy days after marriage will be satisfactory.

To love, we must also "bread", which is a slogan of the times.

For enterprises to "marry" brand is the same, we must consider each other's economic conditions, or resource ownership and integration capabilities.

Moreover, this is a basic condition.

Brand management (including brand building, promotion and maintenance) is a long and continuous investment business. If the buyer is short of resources, the brand will probably be "thin" or "starved to death".

Obviously, this is contrary to the purpose of finding a good "family" for the brand, which is also something that enterprises do not want to see.