Case study on Red Bull Essay Example | Topics and Well Written Essays - 2000 words

Case study on Red Bull - Essay Example Branding is about enabling people to identify a product from alternatives offered in the markets (Percy, 2003). â€Å"Brand equity is the creation of positive brand attitudes or service† (Schroeder et al, 2006). In other words, brand equity involves the creation of attitudes and perceptions that will enable a consumer to identify a product from alternatives offered by competitors. Although Red-Bull is a single product offering, it has been able to achieve brand equity across the world through its uniqueness and other factors that enable customers to identify it as unique and different from other soft drink and energy drink offerings on the market. In summary, its unique packaging (the blue, silver and red 250ml can) is famous around the world. Also, the unique content and effects on users is a very strong element of brand equity since it gives consumers a very positive physical, mental and health advantages that most competitors do not give. The Burnett model states that a bra nd equity has four main facades: personality image, source, differences and functions (Randall, 2000). In terms of personality image, customers around the world feel good about the health and mental alertness that Red Bull provides. They respect it as a premier energy drink because it does what a normal cup of coffee would do but with a very positive impact on the individual. Secondly, Red Bull seems to stand for good health, vitality and productivity and that is exactly how it is promoted and packaged as a revitaliser. Also, Red Bull was originally created to be different from all other soft and energy drink offerings on the market. Now that several similar products are available, Red Bull still maintains its distinct packaging and content which keeps it embedded in the mind of consumers. In spite of the universal nature of Red Bull's brand, there was the need for some variation in the brand offering in markets around the world. Dunn (2004) points out that there are six main proces ses that a business needs to go through before they can create brand equity and they are: 1. Market Analysis 2. Brand Architecture 3. Creation of a Strategic Branding Idea 4. Marketing Communication 5. Employee Involvement and 6. Measurement Market analysis involves scanning the dominant environmental factors in a country before offering your products in a country. For the case of Red Bull, the regulatory requirements, market penetration, presence of potential competitors and dominant culture played a major role in the establishment of the brand in Austria. This varied in other parts of Europe so their expansion into Europe required a high degree of analysis and understanding of the dominant culture. In growing from Europe to other markets around the world, Red Bull had to also understand the vital elements of these markets before they could move into them. Brand architecture involves the technical components of determining the brand's DNA (Dunn, 2004). Although the name, identity a nd character of Red Bull was sustained in most markets around the world, the vision, positioning, target market, emotions and pricing had to be varied based on the social, economic and cultural factors of the market they were entering. Thus we notice that the arrangements for entry into the UK market was quite different from that of the South African market because the political, economic and cultural structures of both countries required Red Bull to modify its brand penetration systems. I notice in page 79

Current legal event Essay Example | Topics and Well Written Essays - 750 words

Current legal event - Essay Example When the order made concerns the businesses, it either leads to a negative impact or a positive impact to the businesses. Such orders have occurred in the United States of America in the year 2012 and the beginning of the year 2013. For instance the president Barack Obama gave an executive order on 12/2/2013 on the legal interpretation to the companies that manage internet activities (Klein, 2012,23). He ordered that the companies should have an insurance coverage that currently exists so that they may be secured from other risks that would affect their operation. This insurance cover, the cyber liability policy, would protect these companies from losses that may result from either the third party or the second party since it would permit them the access to identify the information of customers that transmit computer viruses to the other business partners (Klein, 2012, 31). Therefore due to this order, companies that would be found without such an insurance cover would face governmen t fines or charges. They would in addition respond to the costs used by the government to carry the investigation especially when any breach of conduct is discovered. Some companies accepted this order while others claimed that the penalties were too high and this would not make them reach a wider market. Another ruling came from the Supreme Court on 28/6/2012 that ordered an expansion of Medicaid with governors and the implementation of health insurance exchange. The ruling was to instruct all the individuals that that were under the department of health and human service to design the benefit package for the covered individuals. The expansion policy was also meant for all the states. In addition the governors had requested the federal government to give states flexibility to expand Medicaid. The penalty for not securing health insurance cover was also enforced, to regulate commerce among the state. This order was dismissed by some companies which claimed that it compelled citizens to be participants in the commercial market that would shift them from healthcare market. Therefore the healthcare market would go down as A result. However the provision also prevented the insurance company from refusing persons with the preexisting conditions and to charge their based on the persons medical back ground. Therefore it forced the insurance companies under the health care to reduce their premium rates (Klein, 2012, 27). The court also produced an act, validity of mandatory arbitration clause, on27/2/2013 that provided a legal shield to the corporations who steal from their customers. It forced consumers to give up their constitutional rights of bringing disputes against defendants as class actions, to give immunity to corporation which steal small amount of money across many individual customers. These made the customers to lose hope with such corporations due to lack of trust hence the corporations loosed their customers. Question 2 The legal events will have a sign ificant impact on the businesses because their rights are being protected and catered for. When the federal government gives an order that favors businesses, they get encouraged to involve more on the business activities. For instance the order that was given to the companies that manage internet facilities, which required them to take an insurance cover