Nation branding could promote a sense of the international community and prevent
countries from following a course of realpolitik at the expense of
global harmony.
Jack Yan1
Jack Yan is founder and CEO of Jack Yan & Associates and
president of JY&A Consulting.
Pulling together the strands The No Logo2 movement,
which saw Naomi Klein put together some of the threads that were concerning
parties prior to thatthe opposition to NAFTA by Zapatista rebels, for
instance; in the west, criticism of firms like Nike in BBC's Branded
in the late 1990sreally took shape in mid-2000, as the book became adopted
as a "bible" for anti-globalists.3 Those
same protesters same protesters descended upon McDonald's and other symbols
of American-led globalization. The author thought that the charges stemmed from
issues ranging from nation envy to an absence of ethical branding, rather than
any fault of the underlying structure of capitalism.4
This remains the author's view, but the caveats remain plentiful.
And the American brand has become an even more urgent inquiry since the United
States began its war on terror. The country risks facing isolation, if not at
governmental level, then amongst the citizenry of some countries. Talking to
young people in the autumn of 2002 for a paper in a special edition of the Journal
of Brand Management on corporate social responsibility, there were the
usual, expected commonalitiestastes, a sense of duty and volunteer work
being among thembut one gulf. Numerous American Generation Yers with whom
the author spoke rejected a notion of a borderless world, while their counterparts
in New Zealand embraced it.5
This is in contrast to the overall mood of 1990s America,
rapidly globalizing, happy to embrace the (commercial) internet as it left the
fringes of computer science. The generation, which saw War Games as
children, grew up. Down the modem line was the world, as some of the new economy's
whizz kids discovered, often in their teens.6
But it does not mean the international community has disappeared,
nor does it mean it is some undefinable concept dragged out by the Bush administration
to convince the public there is global support for the war on terror.
UN Secretary-General Kofi Annan believes the community is
there: we are all joined in the pursuit of a better world:7
In the broadest sense, there is a shared vision of a better
world as set out, for example, in the founding charter of the United Nations.
There is a sense of common vulnerability in the face of global warming and the
threat posed by the spread of weapons of mass destruction. There is the framework
of international law, treaties, and human rights conventions. There is equally
a sense of shared opportunity, which is why we build common markets and joint
institutions such as the United Nations. Together, we are stronger.
… The international community does
exist. It has an address. It has achievements to its credit. …
The international community remains and is not a fiction, but current events
show that it could be easy to switch back to what Annan said of the past century:8
For much of the 20th century, the international system was
based on division and hard calculations of realpolitik. In the new century,
the international community can and must do better. … [T]he world can improve
on the last century's dismal record.
With the swing from optimism to pessimism, not that much has changed in the
commercial world. Corporations still report, albeit in modified form, to investors
who never did much to earn dividends; the eventual consequence, as explained
elsewhere, is a gap between rich and poor.9
There are still no financial incentives for corporations to stop polluting,
if pollution prevention is seen as a cost.
Meanwhile, brand image, which can build or sully an organization
because of its actions, can and does lead to bottom-line results.10
Brands are more than assets on the balance sheet to be valued by Interbrand
and Business Week in annual surveys. Instead, they can collapse a company
because the very strengths of a brandits ability to create images based
on recall of its symbol or its namecan prove to be its weaknesses. As
2003 begins, who can say that seeing the logotypes of WorldCom or United Airlines
leaves them brimming with confidence? How quickly did the Enron "E"
symbol fall from grace? Investors can and do desert them.
This simple fact has not really been absorbed by organizations,
and that leads to extra problems when it comes to the war on terror, which will
be explained.
As the author and others have said before, it is not so much
globalization, but the absence of "moral globalization".11
Brand experts will tell you that it is not so much that branding is bad; more
the poor practice of branding.12
Indeed, the misunderstanding of branding prevails, while the
small number of people actually involved in the field, who are not in a sales
or strict marketing function, is probably small. It is a dangerous situation,
because it is an organization's primary connection to its audiencesbut
it explains why so many of them are flying blind. In a proper form, it is absent
in corporations that abuse workers or pollute the environment.
Another relatively recent development has been the growth
in awareness of nation branding.13 Taking
country-of-origin branding to the next step, this topic centres around how a
nation itself can become a brand, either uniting citizenry or attracting foreign
investment. Slovenia, Chile and Latvia may be on paths to changing international
impressions of what they represent, while in the late-twentieth century, Wally
Olins highlights in his Trading Identities that Spain was a success
story, abandoning Franco for the image of a modern, culturally vibrant country.14
The death of spin in commerce These developments bring together branding with national image and
its antecedent, nation branding. This often relies on the skills learned in
the branding of products and services. The lessons are valid, but the question
then becomes: has the nation adopted branding, or something that falsely passes
for branding?
If a nation adopts the branding behaviours of dull fast-moving
consumer goods, or worse, slaps on a branding department and lets it be, then
it is no better off. This would have the reverse effect: a department cut off
from research communicates to a foreign culture what it independently thinks
is best, when the culture has already been disposed against it. Some businesses
have already shown this to be a path to failure when failing to integrate branding.
For instance, if Chrysler understands branding, then why are its passenger cars
largely irrelevant for Europe and the rest of the range lacks cohesiveness?
There seems to be no accounting for consumers across the Atlantic, even though
Europe is a target market. Yet branding demands that the consumers be accounted
for.
This piecemeal method to branding can be the case in international
relations, writes Mark Leonard, director of London's Foreign Policy Centre which
had published Olins's Trading Identities:15
Joseph S. Nye Jr., dean of the John F. Kennedy School of Government
at Harvard University, has argued that the power of influence can complement
more traditional forms of power based on economic or military clout. Such "soft
power," he notes, can rest on the appeal of "one's ideas or the ability to set
the agenda in ways that shape the preferences of others." But governments have
yet to remold their own diplomatic structures to adapt to this changed environment.
Instead, most diplomatic institutions have done little more than bolt on a few
new units or recruit a couple of extra staff from NGOschanges that are
essentially cosmetic.
Along these lines, there are signs that the United States has not done particularly
well on its nation brand since 9-11.
If Generation Y consumers are anything to go by, then the
United States has, for the immediate term, promoted patriotism domestically.
It was an admirable, post-September 11 fallback position, uniting a country
behind Old Glory, even if selling Chevrolets using the same theme might be a
step too far. The President has provided a direction on where he wants to take
the country in the war on terror, one which has found agreement with credible
men such as George P. Shultz, who had warned America about terrorist cells during
his time in government as Secretary of State in the Reagan administration.16
But in this branding era, with cynical consumers, inquiries need to reveal substance.
Cynical electoratesLeonard cites an Environics International study that
showed that amongst 1,000 people in each of the Group of 20 industrialized and
developing countries, only 45 per cent trusted their national governments to
work in the best interests of society17are
much the same, with access to more information than before.
While Shultz also agrees on the removal of Saddam Hussein
from Iraq,18 the US has probably made
a mistake in linking the two matters to capitalize on the opinion-poll success
of the former. Plain facts about UN Security Council resolutions 687 and 1205
against Iraq may have instead been sufficient, for the world press, citizens
and other UN nation statesthere is substance to these, otherwise the normally
liberal Washington Post would not be devoting op-ed space to Shultz.
The same resolutions were used successfully by President Clinton and can be
used successfully by President Bush.
Unless, of course, this is what the US Government wants to
happen to sway international (read media) attention from the Israeli-Palestinian
conflict. If so, it is a risky tactic if the electorate demands transparency.
Meanwhile, in the media, Secretary of Defense Donald Rumsfeld
is trying to link Iraq with Al Qaeda, but the mass media and niche information
sources are not accepting his statements without question as they appeal to
inquisitive consumers. On the Pentagon's proof of an Iraq-Al Qaeda link, former
CIA counter-terrorism chief Vincent M. Cannistraro told The Washington Post,
'They are politicizing intelligence, no question about it,'19
claiming there to be a rift between the government and the intelligence community.
Corporations have had to deal with similar inquiries. They
have probably learned from nations in this "identity trade", to borrow Olins's
book's term, as they know that they face more questions from the public than
before. In some cases, they have been able to mobilize programmes to deal with
themand from observation, some of these programmes (H&M answering
charges of sweatshop labour in one instance) have overtaken the skills of the
best Humphrey Applebys by being based on truth. The best practitioners know
that very few things can be kept at bay once there is public fascination, as
Enron, Andersen and even Mrs Cherie Blair and thrice-jailed Peter Foster have
found out. Better truth than spin, for spin is the first cousin of deceit.
First, in commerce, the prevalence of sites such as Corpwatch.org
has ensured that information reaches consumers readily.20
The moderate San Francisco-based web site reports on corporate misbehaviours.
By being more subtle than No Logo or the New Zealand Green Party (which
has been known to send in MPs to join international protests),21
Corpwatch.org has earned itself plenty of respect as it deals with issues relating
to climate change and the abuse of commerce by Big Oil or Big Tobacco. People
can forward emails from such organizations, or petitions. Some in recent years
have targeted Nike and sweatshops. A growing number in 2002 relate to public
policy matters, such as preventing war or the stoning of Amina Lawal, the Nigerian
woman condemned to death after having a child conceived through adultery.
Secondly, commerce has competition, a contest to win consumers'
hearts and minds. Nations now have this additional duty. The war on terror and
the preemptive strike on Iraq has opponents in the form of nations. They compete
for attention because they realize there is a global community to sell to. Diasporas
are very influential, both targeted by their ethnic homes and import their heritage
to their newly adopted nations. This nation marketing can sway whether Jordan
and Syria give the US-led coalition bases to mount an attack, or convince Qatar
to support one. Similarly, it may go the other way, as Europe and Asia have
access to the same global media channels. Marketing wars are won on truth, not
cover-ups to disguise how bad a product really is.
What grabbed business headlines in 2002, the US Government
parading executives in handcuffs aside, was the hinting of sleaze in business.
This was the national mood, finding corporations, stock prices, banks and accounting
firms the villains. Fortune advised us in September in a cover story,
'You bought. They sold,' indicating how chairmen and CEOs of corporations left
the everyday investor out to dry as the bubble burst on Wall Street.22
The in-depth story stopped short of accusations and perhaps revealed little
new information. After all, in mid-2000, it was not unwise to get out of stocksthe
author's company was advising the same, from a branding context. But its relevance
earned the cover spot.
Commercial branding in the late 1990s and early 2000s shows
that the underdog has an easier time working against the establishment. McDonald's
is not the favourite of some families because they have the choice to go somewhere
more personal. Levi Strauss jeans are not the epitome of cool when compared
with trendy Diesel, which may be why the American company had to create a discount
Signature brand for Wal-mart in October 2002. The United States' mission in
branding is to avoid being seen as the international bully, because of this
very trend.
Third, it is not enough to sell; there has to be a psychographic
alignment with, if not direct involvement by, the consumer. That direct involvement
explains why automakers have theme parks: for instance, Volkswagen buyers can
go to Autostadt, next to its Wolfsburg headquarters, to collect their car from
one of two glass towers in which newly-built vehicles are placed after rolling
off the factory floor. They are no longer consumer goods that appear at retail
outlets, but crafted items that come from a factory. While waiting, customers
can indulge themselves at the Autostadt theme park, with pavilions for each
of the company's brands ranging from Volkswagen to Lamborghini. Over in Crewe,
England, Volkswagen's Bentley division promises unprecedented levels of personal
contact with the company.23
Branding foreign policy Branding is recovering from the No Logo era. Many of the attacks
on the profession were deserved, even if Klein's writing style partially masked
her sincere aims. Advertising, often confused with branding, presented slick
images that had little to do with branding. Branding is about understanding
consumers' wishes, creating a long-term organizational vision and generating
an image based on fact. When any aspect of marketing communications presents
a non-truth, then the organization has not branded.
As one step for 2003, participants (including the author)
at a retreat at Medinge, Sweden in summer 2002, which will have been followed
by the Chief Brand Officers' meeting in Amsterdam, the Netherlands by the time
this piece is published, drafted a manifesto restating branding's purposes.24
This document was the foundation of the book Beyond Branding, edited
by Nicholas Ind, on the "humanization" of the field.25
The manifesto is a suitable place to begin brand education,
not just at schools but in the branding profession.
Branding, as a profession, has had to come to terms with its
attacks. There are corporations that have acknowledged their critics, if not
expressly, then circumstantially. Nike has in place various programmes pertaining
to workers' rights. While some may regard this as too little, too late, it is
a step in the right direction. In June 2002, Volkswagen AG signed a workers'
charter 'that gives its 320,000 employees worldwide the same social rights,
regardless of where they live and work.' While announced after complaints that
there were wage differences between its Mexican and German plants, it preempts
potential inquiry about Volkswagen's commitment to employees. Suppliers would
be held to Volkswagen standards in time, said the company.26
While neither company implemented its policies in light of
the manifesto, the eight "brand truths" outlined therein form an effective checklist
for organizations engaged in branding.
To get to a manifesto-friendly stage, an organization must
understand its opposition, audience demands and competitive forces before forming
a clear vision about its direction. That vision is strategized and operationalized.
The international community has an equivalent of the manifesto.
It comes in the form of the United Nations Charter. In the context of international
relations, the Charter is not a legal document alone.
Human rights have been enshrined by the UN in its Universal
Declaration of Human Rights. Following the Charter, many countries, including
domestic policies within some Security Council members, would fall foul of the
minimum requirements. 1. Understand the gap. The first step is to understand
and acknowledge the gap between desired perception and reality and to begin
addressing those issues. It is important to understand one's own citizenry and
their demands, which is why Swiss referenda are so tempting a solution. An elected
government can use them to gauge its direction, even from a brand theory perspective.
But even without them, understanding the electorate is vitalpower comes
from it, not the other way around. Yet politicians do not behave like servants
of the people; quite the reverse.
That same understanding must apply to the other target audiences.
Why are they not being convinced?
Leaflets dropped by the US government on Afghanistan after
9-11 and shown by Leonard in his October 2002 Foreign Policy article27
are hard-sell methods, as were fixed-frequency radios tuned to pick up propaganda.
These confront the impression that Americanization is bad and there are signs
of it everywhere (McDonald's, Starbucks), even if other countries have escaped
that wrath with similarly widespread brands (Toyota, Nokia). The battle is to
sell an ideal, such a universal vision of the United States that it can easily
find appeal with an audience. It is not an information war, because the same
theory that audiences are predisposed to certain beliefs applies even more so
in foreign policy. To get audiences on side, as one does in branding, exceptional
research about the target audience is needed. This research must be comprehensive
and cannot be emphasized enough.
Instinctively, the research might uncover such internationally
accepted values as freedom (not something that curtailing civil liberties and
encouraging wiretapping, profiling and restrictions on movement seem compatible
with); and the ability for the best minds to realize their highest potentials
by conceiving those innovations that have driven the American economy (at odds
with discouraging those best minds from considering the United States as a home,
the reduction of innovation in favour of protectionism).28 2. Check the vision. That vision can then be formed
and its strategy checked against the UN Charter. Do this brand and communication
strategies comply? How might the audience interpret them, based on the earlier
research? Are there places where the strategy offends the Charter?
The Charter is one of the strongest, best-authored documents
in public international law; the preamble alone should be memorable to those
who participate in the UN dialogue. Because it purports to be universal, as
is the Universal Declaration of Human Rights that should also form part of this
analysis, the United States would do wisely to see if its current methods work.
Opposition suggests the country can do better. We have not trusted the government
to level with constituents, so trust needs to be rebuilt through branding.
Perhaps these questions can be posed: does this further the
cause of an international community, because that is what every nation should
ultimately be working toward? Are we analysing a régime to the basic
standard of innocent till proved guilty? But most importantly, in view of today's
international community, are our actions conscionable in the furthering
of a better world?
The Charter and the Universal Declaration are as close to
truths in international relations as one can get. Their relevance in not only
international law but the foundation of the international community suggests
they are living documents, possessing a conscience that must not be offended.
Therefore, aligning strategies with them in the context of
nation branding and diplomacy would be an invaluable process.
If this does not happen, then the brand becomes tarnished,
alliances fall and efforts using it failjust as they would in business
when the brand "attitude" is assaulted. Enron, which had awards or policies
on climate change and anti-corruption, is a prime example.29
If a nation fell short, how can it be fixed? It is through
this that a state can rise above inquiry, dealing with reasoned criticism and
the risk of anti-state emails and other communications. It addresses the Zeitgeist,
which sees people demanding transparency not only from their companies, but
their countries. Everything from Gore v. Bush and Bush
v. Gore to releasing evidence about Al-Qaeda could have been managed
better without compromising some sources, but too much remains steeped in legal
or political jargon. America is sick of politickingthe low voter-turnout
rate is a strong sign. 3. Get them involved. Direct involvement is valuable.
The earlier research aside, this involvement can be used to gauge how the public
feels about the implementation of the branding programme and whether there are
changes to make to the earlier stages. If research is done well, this "tracking
study" should validate the vision and strategy.
In international politics, such sophisticated involvement
can become as an exercise in democracy, but for the right decisions to be made,
people need honest information. Just as they do when selecting products to buy.
It presupposes an excellent educational system in which values, awareness and
responsibility are paramount.
So how were the communications to the publics? Has the audience
moved closer to the desired perception? Beyond the electorate, how about other
governmentshave we addressed what they thought was wrong about us? For
if the 21st-century world is to move forward, it must do so with cooperation,
trust and transparency:30
Nurturing relations between politicians of different countries
makes diplomacy easier by giving both sides a clear idea of the political positioning
of the other. Second, such relationships open a channel for policy exchange
that renews the intellectual capital of political parties. Third, exchanges
help develop an international outlook within parties that are not in power,
which can be advantageous in smoothing the transitions between administrations.
The potential for this involvement is great. When analysing one's own constituents,
online technologies could be employed. This leads to an inevitable, rhetorical
question: if consumers can become more involved via the internet and influence
product development programmes, can voters sway policy through electronic means
where their say has some binding, legal effect? It is a mere, quantum leap from
the idea of binding Swiss referendabut that may be a long-term aim.
The nation brand in international relations: parting ideas As with branding in commerce, the use of branding principles in the
realm of international relations must not fall into the same traps.
First, any such programme must be tied to a comprehensive
nation branding system. Secondly, this must be top-driven. It must exhibit cooperation
between departments, be properly resourced and possess commitment from the state.
Thirdly, it must be participative, building upon democratic notions and taking
them further. If there is a threat to current western democracies, it will not
come from new ideologies, but grass-roots parties that claim to act as the servants
of the people, rather than their overlords. This essential truthlistening,
then acting, on the electorate's wishesis conceivably why the New Zealand
Green Party has won more support amongst the cynical 19- and 20-year-old voter
than the major two parties.31
More often than not, nation branding is done half-heartedly
because there is no clear authority or budget. In 21st-century international
relations, there is little excuse not to practise it and to provide adequate
resources. The United States, meanwhile, would be wise to take a lead in addressing
its critics using internationally recognized conventions and understanding its
audiences. It has a melting-pot population which provide it with an advantage
in proper nation branding, something that some corporations themselves have
been slow to realize. Winning hearts and minds with the truth is compelling;
it could bring not only one's own nationals on side, but alliance partners in
the form of nation states.
With superpower status comes superpower responsibility to
take a lead, to legitimize the UN Charter and Security Council declarations
under which it, and other nations who are UN members, operate. The tools are
present in branding, ready to be used for both introspection and external communication.
Ignoring these concepts does the international community,
something cited by every administration in addition to Kofi Annan's comments,
no favours. It would be hypocritical (or worse) to go against its conscience
through spin or unwarranted action; it would offend the value we place on human
life and basic rights to resort to realpolitik at the expense of everything
else.
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References
Ind (ed.): Beyond Branding: How the New Values of
Transparency and Integrity Are Changing the World of Brands. London:
Kogan Page 2003. (Click
here for UK orders; below for US advance orders)
Anholt: Brand New Justice: the Upside of Global
Branding. Woburn, Mass.: Butterworth-Heinemann 2003.
Kitchen (ed.): The Future of Marketing: Critical
21st Century Perspectives. London: Palgrave Macmillan 2003, 224
pp. $29 (save $43·50)
Ind: Living the Brand: How to Transform Every Member
of Your Organization into a Brand Champion, 2nd ed. London: Kogan
Page 2004, 288 pp.
Van Gelder: Global Brand Strategy: Unlocking Brand
Potential Across Countries, Cultures and Markets. London: Kogan
Page 2003, 288 pp. £17·50 (save £7·50).
Click
here for UK orders.
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