Building the Brand Identity through Brand Differentiation Based Value of Culture and Locally-global Product Principles (Case on the City of Art)

Pasaribu Shinta Marito, Mulyana Deden, Rinandiyana R. Lucky Radi and Taufiq Adhitya Rahmat
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Pasaribu Shinta Marito: Economic Faculty, Siliwangi University, Tasikmalaya, Indonesia
Mulyana Deden: Economic Faculty, Siliwangi University, Tasikmalaya, Indonesia
Rinandiyana R. Lucky Radi: Economic Faculty, Siliwangi University, Tasikmalaya, Indonesia
Taufiq Adhitya Rahmat: Economic Faculty, Siliwangi University, Tasikmalaya, Indonesia

International Journal of Business and Administrative Studies, 2019, vol. 5, issue 2, 63-73

Abstract: The objective of this research is to build brand identity through a brand differentiation based on the value of culture and locally-global product principles. The research method used in this research is the survey method using a questionnaire distributed to 205 respondents using purposive sampling technique with the criteria of consumers of Tasikmalaya handicraft industry. The analysis tools used in this research is Structural Equation Modeling (SEM). The results of the analysis showed that value of culture has an effect on brand differentiation, brand differentiation has an effect on brand identity which means that stronger value of culture will show strong brand differentiation, the stronger the brand differentiation that will be formed the stronger brand identity. Locally-global product principle has an effect on the brand identity, which means that the better locally-global product principle, the stronger brand identity. While locally-global product principle has no effect on brand differentiation, which means that the stronger locally-global product principle does not form strong brand differentiation and value of culture has no effect on the brand identity, which means that stronger value of culture has not been able to build brand identity. One variable in this research is a renewable variable, namely Locally-global Product Principle obtained through the relevance of the theory of One Village One Product (OVOP) and it can be seen that each proposed indicator is accepted as a construct for locally-global product principle variables.

Keywords: Value of culture; locally-global product principle; brand differentiation; brand identity (search for similar items in EconPapers)
Date: 2019
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Persistent link: https://EconPapers.repec.org/RePEc:apa:ijbaas:2019:p:63-73

DOI: 10.20469/ijbas.5.10002-2

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