How global brands in local contexts remain strong

Brands may appear to be retreating from international markets due to factors such as Brexit, the US–China trade war, Covid-19 and the improving quality of local brands, but that doesn't necessarily indicate a move away from globalisation. 

Why global brands matter

International demand for strong global brands is not in decline despite health and financial crises, as well as supply chain disruptions. But brands need to focus on building the assurance that they understand the market and that they represent the benefits their customers look for.

Takeaways

• Brands are stores of brand awareness with the assurance of quality, and brand equity, which makes people consider them.
• The strongest brands take advantage of the osmosis effect of awareness from global marketing campaigns like sponsorship.
• They are still competitive outside their home markets and thrive on the soft power impact of their mother country’s reputation.