Market-Tržište, Vol. 17 No. 1-2, 2005.
Conference paper
Brand as a key element of survival on the market
Tihomir Vranešević
; Faculty of Economics & Business
Miroslav Mandić
orcid.org/0000-0001-6118-6687
; Faculty of Economics & Business
Abstract
The article describes a practical example of the alliance of small manufacturers in order to create the common brand „Samoborska salama“. As a result of increasing competition on both domestic and foreign markets more and more companies decide to take part in a form of merger or alliances. Alliances are typical for dynamic, develompent oriented, and, above all, risky industries. Only few industries have not seen this phenomenon which has not bypassed even the smallest one. The uniqueness of this study is that it presents of useful and applicable model of common particišation in the small family manufacturer market. The process of globalisation is dramatically changing all the market conditions: markets have been increasingly opening up and old frontiers are being erased. The fact that the number of various forms of mergers, associations and partnerships between different companies is on the increase should not surpries. In such a market game companies stand at great peril of losing their identity. The model which is described in this paper showcases the many benefits which participation in the market under a common brand can reap. The article clearly demonstrates that those companies which have decided to participate in the market under a single, common brand, have also managed to ensure their (threatened) market survival, have improved their position in regard to their competition, and have created numerous synergic effects. With the pooling of the resources of all the companies participating in the creation of the unique brand „Samoborska salama“ many added values also came as a result. However, besides these added values, another result of the creation of a singlee, common brand is the differentiation, a key element of any company's survival, ensured thorugh the application of the said model.
Keywords
Brand; Added value; Differentiation; Strategic alliance; Mergers; Partnerships
Hrčak ID:
21991
URI
Publication date:
1.12.2005.
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