Standardize or Not Standardize? Brand-Name Strategies in the Worldwide Mobile Telecommunications Industry



This study analyzes the brand-name strategies of MNEs when expanding abroad. Specifically, we explore the factors that mainly encourage MNEs to use a single global brand-name in all foreign countries (i.e., a brand-standardization strategy). Using the global integration-local responsiveness framework, we argue that the brand-standardization strategy is more likely when: (1) the host country has lower levels of uncertainty avoidance and stronger market-supporting institutions (environmental factors); (2) there are more competitors using global brands in the host country (structural factors); and (3) the MNE has more experience in the host country and its global brand is well-known worldwide (organizational factors). We find support to our expectations in the global mobile telecommunications industry.