Local brands for local people: How brand design and recession impact premium‐priced products

Abstract

Purpose

Reviews the latest management developments across the globe and pinpoints practical implications from cutting‐edge research and case studies.

Design/methodology/approach

This briefing is prepared by an independent writer who adds their own impartial comments and places the articles in context.

Findings

Students who took Economics 101 in college will be familiar with the elasticity of demand, and how certain goods will maintain demand despite increases in price. In fact, some products – known as Giffen Goods – are in demand precisely because there is a demand level at a very high price that can be met. A good example of this in the twenty‐first century is the iPhone “app” that was $500 but did nothing other than show that whoever had this on their phone could afford it. Think of it as hi‐tech “bling” – much like the iPhone itself perhaps.

Practical implications

Provides strategic insights and practical thinking that have influenced some of the world's leading organizations.

Originality/value

The briefing saves busy executives and researchers hours of reading time by selecting only the very best, most pertinent information and presenting it in a condensed and easy‐to‐digest format.

Citation

(2010), "Local brands for local people: How brand design and recession impact premium‐priced products", Strategic Direction, Vol. 26 No. 10, pp. 25-28. https://doi.org/10.1108/02580541011080546