Arrow Brand Revitalisation

Brand Strategy of

ARROW

Part II - 10th November 2013

# words: 1448

-------------------------------------------------

Table of Contents

1. Literature Review 3

2. Hypothesis Development 5

3. Questionnaire 7

-------------------------------------------------

-------------------------------------------------

Literature Review

Dr. Peter Steidl says a poorly managed brand will reach maturity and decline. But a well managed brand won’t unless the company cannot muster the ingenuity, resources or commitment to revitalizing it. The Mature Brand: To Revitalize or Milk – That’s the Question establishes that while major, mature brands tend to enjoy a significant market share in a commoditized market, unfortunately commoditization destroys value.

Margins get thinner as the market increasingly buys on the basis of price and convenience, reducing revenue and increasing costs. Fortunately for many mature brands, there have been significant developments in many areas – from manufacturing to communications, from service to logistics – that have allowed companies to reduce their costs. While major, mature brands tend to enjoy a significant market share in a commoditized market, unfortunately commoditization destroys value.

Margins get thinner as the market increasingly buys on the basis of price and convenience, reducing revenue and increasing costs. Fortunately for many mature brands, there have been significant developments in many areas – from manufacturing to communications, from service to logistics – that have allowed companies to reduce their costs. These benefits tend to be far more significant for large-scale organizations than for their smaller competitors, thus typically benefiting the ‘major mature brand’ organization.

However this is, ofcourse, the trap: major mature organizations tend to be quite profitable and they appear to make significant progress in terms of efficiency and associated profit gains. In fact, they...