The significance of enterprise localization: Because foreign capital only values ??China’s abundant and cheap labor resources, localization in China is just a means for them to reduce costs and obtain economic benefits. Even though some wholly-owned enterprises currently produce the world's most advanced products in China, the core technology is still in the hands of foreign capital. 1. The significance of studying brand localization

1. Studying transnational brand localization development strategies has strategic significance. If a multinational wants to stand in the world, it needs to formulate many competitive strategies, such as product strategy, location strategy, strategy, management strategy, talent strategy, etc. However, contemporary multinationals have deeply realized that brand localization strategy is an indispensable and important strategy for winning local competition. Only by using the brand localization strategy can multinational products or services be more credible and appealing in the local area, and thus more competitive in the market.

2. Studying transnational brand localization strategies has economic significance. After the multinational brand localization strategy is determined, how to implement the strategy and gain market recognition is extremely critical. Localization is the core of multinational brand development strategies in host countries. Different products, different companies, different countries and regions have different implementations of their brand development strategies. This is the process of localized implementation of brand development strategy, and it is also the only way for multinational companies to succeed in local operations.

3. Studying transnational brand localization development strategies has strong reference significance. Chinese companies are increasingly aware of the importance of localization development strategies for multinational brands. One of the biggest challenges for Chinese companies to enter the international market is their low visibility and lack of a distinctive brand image. Chinese companies should humbly learn how multinationals attach importance to brand, brand development, brand marketing and other processes that run through all aspects of brand strategy and implement brand localization strategies in host countries.

2. Reasons why multinationals implement brand localization strategies in China

There are various reasons why multinationals implement localized operations, but the most important ones are the following: :

1. Pressure from consumer demands. Many operating areas have strong national or regional characteristics and must meet the needs of a variety of consumers, thus requiring a localized strategy. For example, Microsoft Office software has the same content and functions, but the local text must be used in each country. A well-known American company once used its successful experience in the United States to promote pastry ingredients in Japan, resulting in a loss of millions of dollars. The reason is that there was one biggest difference between Japanese families and American families at that time: there was no oven. The failure of this company is obviously that it failed to consider the needs of consumers.

2. Establish a good corporate image. The main reason why multinational companies can successfully develop on a global scale and receive local support is that they have a good corporate image and popularity. China, companies and people often regard whether to localize personnel, corporate culture, materials, marketing, etc. in China as a criterion to judge whether transnationalism is beneficial to China. Multinational companies localize their operations in China, invest in projects in China, and utilize Chinese human resources, which will help increase the company's visibility and enhance its local image. For example, Nokia of Finland has hired a large number of Chinese employees, invested in local projects in China, and catered to the needs of consumers, making it extremely well-known in the communications industry. Now, when people think of the brand "Nokia", they will think of it.

3. Integrate into Chinese national culture. In order to achieve global business operations, multinational companies are bound to face differences in different social cultures, corporate cultures, and languages. These differences bring great obstacles to cross-border integration into local society. Implementing localization of operations and utilizing Chinese human resources can well adapt to environmental differences, avoid fierce cultural conflicts, achieve integration with local culture, and promote the implementation of management changes.

4. Reduce comprehensive production costs. By localizing operations in China, multinational companies can make full use of China's advantages in low production costs, human resource costs, and low costs, reduce total costs, and improve total benefits, so that they can always occupy an important market share in the increasingly fierce market competition.

5. Adapt to the needs of the enterprise environment. Obviously, after entering our country from a cross-border market, the market environment that we face is definitely different from that of our host country. Consumers’ cultural environment and consumption outlook, legal systems and tendencies, differences in geographical and natural conditions, supply of raw materials, market substitutes, etc. There are differences. Only by adapting to these different environments can multinational companies survive better and make profits.

3. Ways and countermeasures for multinational companies to implement brand localization strategies in the Chinese market

Brand localization development strategies need to fully conduct in-depth research on the cultural background of the local market and understand the local market. The language background, the living customs and shopping needs of local consumers, especially the psychological needs of local people, must be studied in order to achieve success when introducing original brands or creating new brands locally, and lay a good foundation for the local operation of the brand. the basis of.

(1) Localization of brand positioning

Brand positioning is the entire process of establishing and shaping the entire internal and external image of the brand for the market, so as to enter the minds of target consumers and remain in a specific location. Brand positioning is based on market segmentation and focuses on the target market. Brand positioning is the prerequisite for brand operation and for enterprises to enter and expand markets. Mature brand positioning plays a guiding role in guiding enterprises to enter and expand markets. If the brand cannot be effectively positioned to establish a unique brand personality and image that consumers can identify with, the product will inevitably be submerged in many highly homogeneous products.

When an enterprise is positioning its brand, it should strive to be different from its competitors in terms of brand personality and image style, that is, it should be different from its competitors' positioning. Otherwise, it will be difficult for consumers to develop a sense of trust in brands that enter the market later.

When Pepsi-Cola first entered the market, it used the "Me Too" positioning, and Coca-Cola took the opportunity to launch the strategy of "Only 'Coca-Cola' is the real Coke" to further remind consumers that Coca-Cola is the original product. The others were all fakes, giving Pepsi a head-on blow. Therefore, having its own brand characteristics and being different from competitors is an important prerequisite that companies cannot ignore when positioning their brands.

The process of brand positioning is for enterprises to select target customers or guide potential customers through on-site research, and establish the positioning of their own products based on the strengths and weaknesses of competitors. Through positioning, differences are generated, associations are triggered, and the brand is repositioned or a new brand is positioned to meet the needs of Chinese target customers, such as Procter & Gamble. With the continuous influx of foreign brands, brand competition has become increasingly fierce, consumer-oriented business philosophy has become dominant, and foreign brands fully realize the importance of local brand positioning. Brand positioning is not only about achieving product differentiation, but also about brand differentiation.

For example, before Shanghai General Motors selected and finalized the Sail S-R, it positioned China’s target users and consumers on people born in the 1960s and 1970s. Compared with their parents’ generation, these consumers They are confident and full of energy, work hard and relax, pay attention to the health of themselves and their families, and know how to enjoy life. They are modern people who are confident, independent and have a diverse lifestyle. Therefore, "exquisite appearance", "spacious interior" and "functional and practical" have become the brand positioning of Sail S-R to satisfy this type of consumers.

(2) Localization of brand naming

Brand naming is to label a specific product with a specific name to distinguish it from other similar or heterogeneous products. The brand name should be able to imply the functional advantages and product features of the product; the brand name should be distinctive and easy to identify. A good brand name can attract people's attention and interest, improve the quality and taste of the product, and facilitate the shaping of the brand image, which ultimately is conducive to the rapid improvement of brand equity.

Contrary to the preference of Chinese brands to give foreign names, multinationals prefer to give their foreign brands Chinese names. Naming localization is a tool for cross-border brand communication. Localized names can eliminate consumers' psychological defenses and gain psychological recognition. They are also easy to be remembered by Chinese consumers. Some international brands can be used in the Chinese market. Its rapid popularity is closely related to its Chinese name. The success of Coca-Cola is a good example.

The reason why Coca-Cola can show its great power in China is inseparable from its successful Chinese translation. In order to make Coca-Cola acceptable to Chinese consumers, Coca-Cola has spent a lot of effort on the Chinese translation of its products. Back then, before Coca-Cola entered the Chinese market, it hired a Chinese teacher in London, Mr. Jiang, to design a Chinese translation. Mr. Jiang, who is proficient in Chinese characters and familiar with the psychology of Chinese consumers, lived up to his trust. After thinking hard for a long time, he was inspired and wrote the four words "Coca-Cola". The translated name adopts a double-tone overlapping rhyme method, which has both good sound and meaning. It is catchy to read and at the same time shows the efficacy of the drink and the psychological needs of consumers.

After the naming trademark was put on the market, it was indeed popular among Chinese consumers. Since then, the Chinese translation of Coca-Cola has become a naming classic in history. Coincidentally, Sprite produced by Coca-Cola is also unique in its translation into Chinese. Sprite means "devil" and "little goblin" in English. In order to make the product acceptable to Chinese people, it was translated into "Sprite", which reflects the refreshing and pure characteristics of the drink. In the hot summer, who wouldn't be tempted by the thought of flying white snow and a pool of clear blue water? (3) Localization

It is a mass communication activity that mainly aims to promote and strengthen the brand image, pay a certain fee, and disseminate brand, product and other relevant economic information through specific media. It is a comprehensive art with strong commercial nature. It can make unknown companies and products famous and become a household name, thereby creating a huge field effect. It is an important marketing tool that many well-known brands in the world must use in their expansion. However, in the successful implementation of global marketing, relevant decisions are most easily affected by different cultural differences. Consumer responses are conditioned by their culture, style, emotions, value systems, attitudes, beliefs and understandings. Combining international activities with the uniqueness of each venue's culture is an international or global challenge.

In terms of strategy, transnational brands are localized in everything from the selection of models, determination of appeal points, design of keywords to selection of media, etc., without using "foreigners", "foreign flavor", or Shows "foreign style". Among Coca-Cola's overwhelming products, the models chosen are Chinese stars such as Nicholas Tse, Ruby Lin, Zhang Huimei, Cecilia Cheung, and Fu Mingxia, who are popular among Chinese people. The films he shoots also cater to Chinese culture and style. For example, the "Windmill Chapter" for the Spring Festival of 2018, the "Dragon Dance Chapter" for the Spring Festival of 2018 and the "Brother and Sister Chapter" for the Spring Festival of 2018 are wonderful works of localization. In the compilation of subject headings, the transnational application of Chinese language is astounding. For example, Japan's Toyota said "There must be a road before the car reaches the mountain, and where there is a road, there must be a Toyota car", and Remy Martin's "As soon as the Remy Martin drives, good luck will come naturally" and so on.

(4) Channel localization

Pursuing localized marketing and establishing brand localized marketing can reduce production costs, shorten production cycles, and shape China’s local image for the Chinese market. Make its brand more popular among people.

1. Carry out channel model innovation according to the Chinese market environment. To truly understand the situation of the Chinese market, multinationals need to invest a lot of time and energy in conducting market research, then design local channel models based on the characteristics of the Chinese market, and continuously improve and perfect marketing channels as the environment changes. Many multinationals did not conduct research on the Chinese market and moved the channel models used in other international markets to China. However, due to the influence of policies and regional economic conditions, they could not be implemented. In the end, they suffered huge economic losses and lost the ability to enter the brand as soon as possible. Timing of the field. The famous Amway brought a globally unified direct sales model to China in the 1990s, but it suffered great setbacks and paid a huge price. In July 2017, Amway cooperated with the policy and began to transform, reopening with a "combination of stores + hiring sales personnel", transforming distribution centers across the country into supermarket or counter-style stores. Secondly, it allows retail channels opened by dealers to directly sell Amway products, and there are nearly 1 dealers across the country. In 2007, Amway products were launched in large department stores. In the past few years, Amway has made various attempts in its channels in China. In 2017, Amway opened a unique e-commerce system - composite e-commerce in Shanghai, Guangzhou, and other places. Whether using a computer or online, you can order products easily, and can solve the problem of business credit, Payment methods and delivery systems, the three major practical issues that restrict the network, strongly support Amway sales representatives in developing their businesses. Amway's channel transformation in China provides practical guidance for new multinationals entering China.

2. Through multi-level technical and management training, introduce successful foreign experiences to domestic business partners and form strategic partners with local dealers. In 2016, IBM began to fully implement its "Seed Plan" in China. First, it selects its partners, and then cooperates with selected agents to develop together by combining their respective technical and market advantages. In 2017, IBM launched the "IBM Value-Added Agent Program" to strengthen and deepen agent cooperation. This plan aims to cultivate and support value-added agents, and combines the respective technical and field advantages of IBM and value-added agents. Both parties work together to *** common development.

In line with the purpose of supporting China's national industries and focusing on supporting and cultivating localized value-added agent teams, IBM has also established a complete value-added agent support system, covering resource organization, field information, technical training, field promotion, software Provide comprehensive support in terms of services, rewards, etc. Through a series of support plans, IBM has attracted more than 1,000 strategic partners in China, including many with certification and licensing.

4. Thoughts on the implementation of brand localization strategies by Chinese enterprises

Through the above research on multinational brand localization strategies in China, it can be seen that successful multinationals are entering new markets. It is necessary to assess the situation and implement localization strategies according to local conditions. For Chinese entrepreneurs, comprehensively improving the company's core competitiveness in the world is their dream goal. The key is how to localize the brand in various regional markets and different countries to drive the company's international development. Therefore, Implementing the localization development strategy of the brand is one of the strategic measures they must adopt. We have gained the following inspirations from the implementation of brand localization strategies by multinational companies in China:

1. Pay attention to research and development, develop applicable technologies, and build enterprise professional advantages. In the era of knowledge economy, the value-added part of products mainly comes from technological innovation. As a developing country, my country's high-tech industries have low added value, and export products are mostly labor-intensive low-tech products. Therefore, when participating in the competition of economic globalization, if domestic enterprises compete with multinational companies on the overall level of original science and technology, Still at a disadvantage. Domestic enterprises must pay attention to research and development, learn from the experience of advanced countries in transnational technology and innovate, and develop applicable technologies with comparative advantages that are in line with my country's current economic development. Qualified enterprises can set up research institutes to develop high and new technologies, strive for the independence of core technologies, and strive to improve product quality and reduce costs, thereby forming professional advantages.

2. Make use of local advantages and actively cultivate local brands. Many well-known international companies have actively cultivated local brands after settling in China. Unilever, the daily chemical giant, re-entered the Chinese market in 2016 and has been successfully implementing its brand management strategy. Unilever is vigorously cultivating local Chinese brands while introducing world brands, thereby consolidating and expanding its market share and laying the foundation for it to become an internationally renowned brand. Since the beginning of the year, Unilever has invested a large amount of capital to vigorously support the three major local brands of "Zhonghua" toothpaste, "Laocai" soy sauce and "Jinghua" tea in terms of technology, production, marketing, publicity, etc., so that "Zhonghua" is not only It has maintained its position as the number one toothpaste brand in China and continues to launch new toothpaste brands. It can be seen from this that when multinationals operate international brands, they should vigorously accelerate the localization process of international brands, so that international brands can be closer to local consumers in terms of values, language habits, and national traditions, thereby absorbing more consumers. Loyal customers. Well-known national culture is the basis for people to recognize the brand. People's perception of a certain brand is basically consistent with the national culture, and brands that fully embody and implement the spirit of national culture are the most familiar to people. Therefore, when a multinational operates an international brand in the local market, regardless of whether the international brand is in close contact with the national culture at home, the organic combination of promoting the brand characteristics and the national cultural spirit should be the key task of opening up the market.

3. Effectively integrate local resources. Chinese enterprises must learn from the successful experiences of outstanding foreign multinationals in localized operations, and carry out production and operations from a global perspective. In particular, they must fully integrate the technology, talents, markets and product brands of the target countries (regions). and other resources to expand the influence of brands and enterprises overseas. Haier Group's approach to expanding its international market is to create localized brands by accelerating exports and promoting localized factory establishment. Obtain more user resources by creating localized brands, and then integrate more resources, such as seeking agent processing, creating a global base (international cooperative factory), forming an overall production and operation network around the world, and conducting brand operations. , through the transfer of brand royalties and other means to enhance the localization influence of the Haier brand, thereby winning a higher market share and corporate visibility and reputation.

4. Promote and protect the brand. The brand should have a personality, and through publicity, the brand's popularity can be increased and gradually strengthened. If a company's products want to be deeply rooted in the hearts of the people, in addition to working hard on quality, they must also pay attention to the promotion of the product, instill the brand into consumers as early as possible, improve the brand's popularity, stimulate consumers' desire to buy, and promote and expand the product's popularity. This is how many well-known trademarks have become famous.

When creating a brand, attention should be paid to protecting the brand, and using legal means to protect trademarks is the main means for enterprises to protect their brands. Multinational companies often take all possible means to protect their well-known trademarks, and registration is one of the most effective means to protect their brands. It can prevent the brand that the company has spent huge sums of money and energy on cultivating from being exploited by others.

The benefits of localization Chinese society is in the process of moving from tradition to modernity, and "guanxi" is a very important social organizational resource. Localization of relationships ensures the success of multinational investment strategies in China and helps them win the trust of China and the people to a large extent. For example, as the first multinational company to realize localized production of complete vehicles in China, Germany's Volkswagen fully cooperates with China in its joint venture production in China, plays its "cards", implements the strategy of localization of relationships, and transforms "Santana" into Dressed up as nearly 100% of Chinese cars, this intention has won the appreciation and trust of the Chinese people. At present, the main strategies adopted to localize transnational relations include: engaging with high-level officials, supporting China’s education, supporting China’s sports, supporting the construction of western China, and being enthusiastic about public welfare and repaying society. The benefits of product localization strategy to multinationals are many-sided, including establishing a "legal" status to develop in the Chinese market; laying the foundation for low-cost expansion; establishing the best partners and supply chains in China, making it a multinational An important part of implementing a global supply chain. Nokia (China) has enabled most of its components to be purchased domestically through the cultivation of local joint ventures or cooperative manufacturers. Due to the low production costs and component prices in China, Nokia not only won the domestic market in China, but also obtained high profit returns for itself in other markets around the world.